A delegation of the Karachi Tax Bar Association (KTBA) held a meeting on September 9, 2026, in Karachi with Mr. Rashid Mehmood Langrial, Chairman of the Federal Board of Revenue (FBR). The deliberations encompassed several significant taxation matters, including the filing of income tax returns, refunds of tax collected under Section 7E of the Income Tax Ordinance, and measures aimed at strengthening taxpayer facilitation and voluntary compliance.
FBR Representatives
- Rashid Mehmood Langrial, Chairman, FBR
- Zubair Bilal, Member (Inland Revenue – Operations)
- Sajjad Taslim Azam, Member (Inland Revenue – Policy)
- Zain ul Abideen Sahi, Chief Revenue Domain Officer, Pakistan Revenue Automation Limited (PRAL)
KTBA Representatives
- Mehmood Bikiya, President - KTBA
- Abdul Qadir Memon, Former President – KTBA, Chairman - PTBA Academy of Taxation and Former Patron & President - PTBA
- Saud ul Hassan, Vice President - KTBA
- Shams Mohiuddin, General Secretary - KTBA
- Abdul Wahab, Joint Secretary - KTBA
- Muhammad Tarique, Librarian - KTBA
Key Matters Discussed
- Technical Issues with Income Tax Return Forms (IRIS Portal)
FBR acknowledged KTBA’s active engagement with PRAL in facilitating the timely resolution of technical issues. The meeting was informed that approximately 2.2 million income tax returns had been filed as of the date of the meeting, as compared with 1.724 million during the corresponding period of the preceding year. FBR and KTBA agreed that continued coordination remains essential to ensure the efficient operation of the IRIS portal and the expeditious resolution of technical matters.
- Refunds of Tax Collected under Section 7E
With reference to KTBA’s earlier request concerning the timely issuance of valid refunds, FBR informed the meeting that a dedicated mechanism is being developed for the refund of tax collected under Section 7E of the Income Tax Ordinance, in light of the judgment of the Federal Constitutional Court. Appropriate instructions will be issued for the priority processing of eligible claims. The proposed mechanism is intended to facilitate taxpayers and ensure an efficient refund process.
- Income Tax Return Filing Deadline
KTBA observed that FBR’s objective of obtaining comprehensive information through return declarations has materially increased the time required to prepare and electronically file accurate returns. KTBA accordingly urged FBR to allow taxpayers sufficient time to fulfil the enhanced reporting requirements, thereby facilitating the highest possible level of compliance.
- Digital Integration and E-Invoicing
KTBA commended FBR’s recent technological and digitalization initiatives aimed at enhancing the quality of declarations and documentation. It emphasized that the effective implementation of these measures should be supported by sustained taxpayer awareness and facilitation. KTBA further noted that field formations had initiated penal action in certain instances involving the service industry and requested that each matter be considered on its individual merits, in accordance with the applicable law and with appropriate leniency, so as to encourage broader compliance.
- Faceless Audits and AI-Based Assessments
The meeting considered the prospective use of faceless assessments and artificial intelligence-based initiatives in future assessment and monitoring processes. KTBA underscored the importance of enhancing taxpayer awareness and compliance preparedness and recommended that the transition to the forthcoming assessment regime be implemented in a phased manner to minimize avoidable inconvenience.
- Small Shopkeeper Scheme: Awareness and Compliance
FBR sought KTBA’s support in promoting awareness of the Shopkeepers Scheme and encouraging the highest possible level of compliance to achieve its intended objectives. KTBA representatives assured FBR of their continued cooperation in advancing taxpayer awareness and compliance and reaffirmed the Association’s readiness to collaborate with FBR in facilitating taxpayers and improving understanding of the Scheme.
The meeting concluded in a constructive and cordial manner. FBR and KTBA reaffirmed their commitment to maintaining regular dialogue and strengthening institutional coordination with a view to enhancing tax administration, taxpayer facilitation, and voluntary compliance.
KTBA conveyed its appreciation to the Chairman and the senior FBR officials for their time, responsiveness, and continued engagement with the tax bar.
