Govt approves Rs32.5bn package to boost FBR performance 

Package includes enhanced mobility for tax officers with 1,100 new cars, anti-smuggling posts staffed by ex-military, other incentives

The Cabinet’s Economic Coordination Committee (ECC) has approved a Rs32.5 billion package for the Federal Board of Revenue (FBR) to boost its efficiency with new vehicles, anti-smuggling measures, and performance-based salaries. 

According to a media report, the six-month package includes provisions for nearly 1,100 new cars for FBR officers, additional monthly salaries, and customs posts led by retired military personnel.

The plan allocates Rs5.6 billion for purchasing 1,087 cars of 1,300cc engine capacity and Rs19.7 billion for anti-smuggling initiatives, largely repurposed from the existing budget. 

Performance-based salary incentives totaling Rs2.5 billion were also approved, with the highest performers eligible for up to four additional salaries.

The initiative, under the Transformation Plan endorsed by Prime Minister Shehbaz Sharif, includes the establishment of Digital Enforcement Stations along the Indus River and in Balochistan, 10 reinforced customs checkpoints, and a customs tracking system. 

Additionally, 148 posts for retired military personnel and over 1,500 support roles have been created to assist with anti-smuggling operations. 

The ECC has also approved the creation of a Model Tax Office, staffed with third-party auditors and sector-specific experts to enhance audit capacity. This includes Rs3.4 billion to improve the operational capacity of tax officers, with funding contingent on the current year’s results.

Other initiatives include a special allowance for officers in a new Reform Delivery Unit, funds for an MBA in Tax Management for new FBR officers, and capacity-building programs totaling Rs 394 million. The government plans to continue funding in the next fiscal year if targeted results are met.

Monitoring Desk
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