Despite a high-profile transformation plan, the Federal Board of Revenue (FBR) is facing a surge in maladministration complaints, which rose by 550% in the first four months of 2025, according to The News.
Between January and April, the Federal Tax Ombudsman (FTO) received 13,000 complaints, a sharp increase from 2,000 during the same period in 2024. Historically, the FTO has averaged around 2,000 complaints every four months, with annual totals hovering near 2,500.
The complaints detail a wide range of issues, including alleged highhandedness by FBR officials, illegal notices, arbitrary account attachments, fake or flying invoices, hacking of sales tax accounts, and various procedural violations. While the FTO has resolved over 6,000 cases, officials remain concerned about the scale and pace of new grievances.
In response, FBR officials have defended their actions, citing pressure to meet an ambitious annual tax target of Rs12,970 billion, later revised to Rs12,332 billion after negotiations with the International Monetary Fund (IMF). Senior management has reportedly pushed field offices to meet stringent monthly and quarterly targets, prompting aggressive revenue collection tactics.
Under IMF conditionalities, the FBR is also working to raise the tax-to-GDP ratio to 10.6%, despite economic pressures and declining growth in key revenue-generating sectors. Analysts warn that this mismatch between fiscal targets and economic realities could further fuel public dissatisfaction unless alternative dispute resolution mechanisms are introduced to ease tensions and reduce administrative friction.
