An IMF team visited the Federal Tax Ombudsman (FTO) office to examine maladministration in the Federal Board of Revenue (FBR). The review focused on field-level operations and areas needing improvement.
The delegation was led by Senior Economist Frank Van Brunschot from the IMF Fiscal Affairs Department (Revenue Administration). The team sought feedback on the working of the FTO and the main types of maladministration reported by taxpayers.
FTO officials told the IMF team that most cases of maladministration involved refund payments, tax audits, and non-implementation of appeal orders. Other issues included repeated notices, illegal tax demands, frequent raids on businesses, illegal gratification, and delays in tax proceedings.
Over the past four years, the FTO received 64,129 complaints. Of these, 39,085 cases were confirmed as instances of maladministration. The FBR implemented corrective actions in 32,445 cases, showing a maladministration rate of 61 percent.
For the current year up to November 2025, the FTO received 35,179 complaints. Out of these, 24,700 cases were confirmed, and the FBR took action in 18,060 cases. The maladministration rate for this period was 70.21 percent.
The IMF team also asked about areas in tax administration that could be improved. FTO officials highlighted the need for timely implementation of appeals, stronger monitoring, and transparent tax procedures.
Officials said addressing these issues is important to restore taxpayer confidence and strengthen the efficiency of Pakistan’s tax system. The FTO is working to reduce maladministration by identifying recurring problems and recommending corrective measures.
The IMF’s review underscores its focus on supporting reforms in Pakistan’s revenue administration. Experts say that resolving these issues will improve accountability, enhance fiscal governance, and promote fair tax practices across the country.
In other related news also read IMF Warns Of Politicized Anti-Corruption Steps In Pakistan
This engagement marks a critical step toward better tax administration and increased transparency in Pakistan’s financial system.
