The Federal Tax Ombudsman (FTO) has called for immediate action against Federal Board of Revenue (FBR) officers allegedly involved with tax fraud gangs, emphasizing the need to curb illicit activities undermining Pakistan’s revenue system.
In a recent directive, the FTO instructed the Directorate of Intelligence & Investigation (Customs and Inland Revenue) to launch a thorough probe into cyber activities connected to fake supply chains, fraudulent invoicing, and other schemes designed to evade taxes.
The FTO’s move comes amid increasing concerns over the use of digital platforms by tax evasion networks, which exploit loopholes to manipulate import and sales data. The investigation aims to identify FBR officials colluding with these networks and hold them accountable under existing laws.
“Tax fraud gangs pose a serious threat to Pakistan’s economy, and any involvement of revenue officials cannot be tolerated,” the FTO stated. “We are directing investigative authorities to take immediate and comprehensive measures to dismantle these illicit networks.”
The Directorate of Intelligence & Investigation has been tasked with monitoring suspicious cyber transactions, tracking fake invoices, and verifying the authenticity of reported supplies. The probe will also examine patterns of collusion between tax officials and private entities to prevent further loss of government revenue.
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Lawmakers and business groups have welcomed the FTO’s directive, noting that accountability among revenue officers is crucial for restoring public confidence in Pakistan’s tax administration.
The investigation is expected to have far-reaching implications, potentially leading to disciplinary action, criminal proceedings, and policy reforms to strengthen the integrity of Pakistan’s tax system.
