KARACHI: The Prime Minister has given approval-in-principle to the Federal Board of Revenue (FBR)’s Transformation Plan. To ensure the effective implementation of this plan, the Prime Minister has established several Working Groups tasked with refining various proposals in consultation with relevant stakeholders and presenting a detailed implementation roadmap with clear timelines.

 

Work Streams and Assigned Working Groups:

Work Stream-I:

Focus Areas: PRAL Transformation, Value Chain Digitalization, Internal System Digitalization

Members: Secretary IT, Tania Aidrus, Chairman FBR, Asif Peer, CEO PSW

Work Stream-II:

Focus Areas: HR/Capacity Enhancement, Operations/Model Tax Office

Members: Minister Establishment Division, Chairman FBR, Ali Sarfaraz Hussain, Secretary Establishment Division, Hamid Yaqoob Sheikh, Secretary Finance Division

Work Stream-III:

Focus Areas: Anti-Smuggling, BPR Implementation, RMS/Scanners (Customs), Faceless & Digital Key

Members: Minister EAD, Chairman FBR, Secretary Interior, Dr. Saeed Jadoon (ex-member FBR), DGMO, DG (Reforms & Automation) Customs, CEO PSW

Work Stream-IV:

Focus Areas: Policy Changes

Members: Minister for Law and Justice, Dr. Tauqir Hussain Shah, Attorney General of Pakistan, Chairman FBR, CEO Pakistan Business Council, President Pakistan Bankers Association, Governor SBP, Chairman NADRA

Work Stream-V:

Focus Areas: Donor Programs

Members: Minister EAD, Chairman FBR, Secretary EAD, Secretary Finance, Member (Reforms)-FBR

Terms of Reference (TORs) for the Working Groups:

Review and finalize specific operational plans for all proposed interventions in the FBR Transformation Plan, suggesting improvements where necessary.

Deliberate and finalize specific implementation modalities for each intervention.

Suggest sequencing of proposed interventions for optimum results and smooth rollout.

Finalize timelines for each intervention, clearly specifying required legislative changes, approvals, and resources.

The Working Groups have the authority to co-opt additional members as needed. The Federal Board of Revenue will provide secretarial support to these groups. The final implementation plan is to be submitted to the Prime Minister within three days.

The Transformation Plan aims to eliminate corruption within the Federal Board of Revenue (FBR). As part of the customs reforms, centralized conference halls will be established at all dry and sea ports, where all assessment officers will be stationed. Goods Declarations (GDs) will be randomly assigned to assessment officers from different stations, ensuring that GDs from Quetta, for example, will be handled by officers from Karachi, Sukkur, or other locations, but not Quetta itself. This will end direct contact between clearing agents/importers and customs officials.

Sources indicate that McKenzie is reportedly developing the transformation plan. McKinsey & Company is a renowned global management consulting firm.