Islamabad, Mar 6 2025: PAC Orders FBR to Probe Rs. 312 Billion Sales Tax Irregularity, referring the matter back to the Federal Board of Revenue’s (FBR) Departmental Audit Committee (DAC) for in-depth scrutiny.
This development was reported by Business Recorder (BR) following a PAC session chaired by Junaid Akbar Khan.The committee conducted a detailed review of FBR’s audit objections, which collectively amounted to Rs807 billion.
PAC members raised serious concerns over FBR’s ability to safeguard national revenue, stressing the need for stricter financial oversight to prevent mismanagement and fraud. During the proceedings PAC Orders FBR to Probe Rs. 312 Billion Sales Tax , Senator Afnanullah Khan strongly criticized FBR for failing to detect a staggering Rs803 billion tax-related discrepancy.
He questioned how such a substantial financial issue remained undetected, pointing to potential gaps in FBR’s monitoring and accountability mechanisms. FBR Chairman Rashid Mahmood Langrial, while addressing the committee.
Admitted the challenge of tackling corruption within the tax system but refrained from commenting on past financial irregularities. He claimed that an attempted tax fraud of Rs312 billion had been successfully prevented.
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However, he acknowledged that another Rs60.4 million tax fraud had gone undetected. During the discussion, audit officials highlighted that FBR has historically resisted external scrutiny of its Common Pool Fund (CPF).
Afinancial reserve designated for low-grade employees’ welfare. The revenue board has consistently maintained that CPF is a private fund, exempt from government audits.
Rejecting this argument, PAC member Omar Ayub emphasized that, as a state institution, FBR’s financial dealings must remain fully transparent and subject to regular auditing.
In response, the committee instructed FBR to establish clear audit guidelines for CPF, noting that the fund has never been audited since its inception. Adding to the concerns, PAC members also pointed out that 15 federal ministries currently lack chief financial officers (CFOs).
The committee has now requested a comprehensive report on this issue to ensure proper financial management within government institutions.
This latest scrutiny on FBR’s financial operations underscores the growing pressure on the revenue board to enhance transparency, accountability, and tax governance across Pakistan.