ByIslamabad, Pakistan: The government plans to establish a separate Tax Policy Office (TPO) under the Finance Ministry to handle tax policy matters. This move aims to separate tax policy formulation from tax collection, which is currently handled by the Federal Board of Revenue (FBR).
The TPO will be headed by a Director General who will report directly to the Finance Minister. The TPO will be staffed with tax specialists, academics, and other professionals who will develop tax policy measures based on a comprehensive analysis of the economy. Dawn
The establishment of the TPO is part of the government’s efforts to improve tax administration and increase revenue collection. By separating tax policy from tax collection, the government hopes to ensure that tax policies are based on sound economic principles and are not influenced by short-term revenue considerations.
The government has also recognized the need to focus on tax implementation to plug loopholes and minimize tax fraud. The FBR will be responsible for implementing tax policies formulated by the TPO.
The establishment of the TPO is a significant step towards enhancing the effectiveness and transparency of Pakistan’s tax system.
