ISLAMABAD: Prime Minister Shehbaz Sharif has directed authorities to tighten tax collection enforcement through modern technology and automated monitoring systems to curb tax evasion and boost Pakistan tax revenue.
Chairing a weekly review meeting on Federal Board of Revenue (FBR) affairs on Tuesday, the prime minister emphasized the importance of adopting advanced digital systems to improve tax compliance and ensure transparency in the country’s revenue collection process.
Shehbaz Sharif welcomed the recruitment of experts to the executive team of Pakistan Revenue Automation Limited (PRAL). He stressed that PRAL must act as a proactive institution to oversee digital monitoring and strengthen the FBR monitoring system across key sectors.
The prime minister said the government aims to maximize the use of technology in tax administration. He noted that automated tax monitoring will help ensure accountability, transparency, and sustainable revenue growth.
During the meeting, FBR officials briefed the prime minister on ongoing digital reforms designed to improve tax collection and monitor production in major industries. Officials said production monitoring systems are already operational in sugar, cement, cigarette, and fertilizer factories. These systems use video analytics, barcode scanning, stamping, serialization, and unit counting to track production and prevent tax evasion.
According to officials, these technology-driven initiatives have already contributed to an increase in tax revenue. Authorities are now expanding similar monitoring systems to additional sectors including textiles, leather, paper, automobiles, and beverages. The expansion is expected to generate billions of rupees in additional revenue.
The briefing also highlighted reforms in the Alternate Dispute Resolution Committees (ADRCs). Amendments to ADRC laws have been introduced to improve transparency and restore taxpayer confidence. The government expects ADRCs to generate around Rs80 billion in revenue by June 30, 2026.
Officials further informed the meeting that FBR rulings on tax cases generated Rs102.9 billion between July 2025 and January 2026. Pending tax cases could potentially bring an additional Rs369 billion to the national treasury by June 2026.
Meanwhile, PRAL’s digital invoicing system has become fully operational and processed transactions worth Rs800 billion during January and February. The government aims to achieve Rs3 trillion in digital invoicing by April.
The meeting also reviewed the newly completed FBR data centre and the introduction of digital cargo tracking systems, including the e-Bilty platform and GPS tracking for petroleum products to prevent smuggling.
