Prime Minister Shehbaz Sharif on Thursday directed the launch of a pilot project for an automated tax collection system in Islamabad. The initiative aims to modernise tax administration, improve revenue collection and reduce human intervention. Taxpayers, businesses and government institutions are expected to be affected by the proposed reforms.
The directive came during a review meeting on ongoing reforms in the Federal Board of Revenue. Finance Minister Muhammad Aurangzeb, State Minister Bilal Azhar Kayani and senior officials attended the session. Participants examined measures designed to make tax collection more efficient, transparent and technology-driven. Officials also presented a plan for a faceless revenue system to improve compliance and accountability.
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According to the proposal, the new system will use data from banks, vehicles and property records. Authorities said the platform would help identify under-declared income and assets through automated analysis. Modern technology and artificial intelligence will support tax assessments and enforcement efforts. The government believes the approach can reduce loopholes and strengthen revenue collection.
Prime Minister Shehbaz said an automated and efficient tax management system would mark a major step in the reform agenda. He stressed that reducing discretionary powers and human involvement remains essential for improving governance. The premier added that the reforms would increase transparency, fairness and public confidence in the tax system. He also reaffirmed the government’s commitment to documenting the economy and expanding the tax base.
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The meeting also reviewed enforcement efforts against illegal cigarette trade across the country. Officials estimated that stronger actions could generate an additional Rs40 billion in tax revenue this year. Under the proposed framework, authorities plan to establish a National Faceless Audit Wing, a National Assessment Wing and a Field Operations Wing to support the new system.