The Federal Board of Revenue (FBR) has introduced a Single Sales Tax Portal aimed at simplifying sales tax return filing for provincial taxpayers in the telecom, microfinance, and oil and gas sectors.
The development was disclosed in an official update by the World Bank under the ongoing Pakistan Raises Revenue (PRR) project.
According to the World Bank’s progress report, the unified portal is a major step toward harmonizing the country’s fragmented tax system. However, various technical challenges are being addressed during implementation, including adjustments aligned with policy changes mandated under the current International Monetary Fund (IMF) programme.
The Bank noted that the automation of input tax adjustments and refund calculations—a key component of the reform—has been deferred to the fiscal year 2025–26. Despite the delay, the associated Disbursement Linked Indicator (DLI-7) funding of $41.6 million remains unchanged.
In parallel, the FBR is also working to enhance its Track & Trace system and electronic production monitoring in key sectors. Initial implementation challenges led to the hiring of an external firm to evaluate and recommend improvements to the existing system. These recommendations will support expansion into new sectors.
Consequently, the end-target dates for related deliverables have been extended to fiscal years 2026 and 2027. The total allocation under DLI-4 stands at $22.4 million.
To better align revenue mobilization strategies with the extended timeline of the PRR project, the FBR has agreed with the World Bank to include targets for FY 2026 and FY 2027. This ensures continuity and consistency in tax system modernization and capacity building.
The PRR is a $400 million Investment Project Financing (IPF) initiative. Of this, $320 million is tied to results-based financing under Component 1, linked to the achievement of performance targets across four key areas: simplifying the tax system, improving taxpayer compliance controls, enhancing facilitation, and strengthening institutional capacity.
The remaining $80 million under Component 2 is allocated for infrastructure upgrades, particularly in FBR’s information and communications technology (ICT) systems. This includes software development, cargo inspection equipment, and technical training to modernize customs operations and revenue administration.
