PM Shehbaz emphasized the use of modern technologies for successful taxation.

PM Shehbaz, who presided over a discussion on the status of FBR reforms, underlined the importance of maintaining a warm and amicable environment for taxpayers in the FBR.

The prime minister emphasized the importance of utilizing cutting-edge technologies to improve the taxation and revenue collecting system. Shehbaz Sharif also directed that a strategy be developed for the restructuring of Pakistan Revenue Automation Limited.

Furthermore, he advocated for improving FBR officers’ professional qualifications and assuring their optimal utilization.

The Prime Minister also directed that the country’s anti-smuggling mechanism be enhanced.

Meanwhile, the income tax regulations were revised in 2002 to improve the efficiency and responsiveness of the Active Taxpayer’s List (ATL) system, streamlining tax processes and increasing compliance.

According to a news release, the board stated this in accordance with the Income Tax Rules, 2002, as notified by S.R.O. 1638(I)/2024 on October 18, 2024.

These revisions, made under Section 237 of the Income Tax Ordinance of 2001, are intended to improve the efficiency and responsiveness of the Active Taxpayer’s List (ATL) database.

The ATL will now be updated on a daily basis, as opposed to the prior weekly update schedule.

This change guarantees that taxpayers who satisfy their reporting deadlines are instantly recognized as active taxpayers, improving real-time accuracy and enabling compliance.

Taxpayers who file their Income Tax Returns (ITR) for the most recent tax year (2024) by the due date, or within any extension permitted, will be included in the ATL immediately.

Additionally, taxpayers who file their returns after the due or extended date may still be included in the ATL if they pay the surcharge specified in Section 182A of the Income Tax Ordinance.

The former arrangement, which involved shifting the ATL annually in March, has been altered. A taxpayer will now be included in the ATL immediately after filing the ITR, expediting the process and assuring quick acknowledgment of compliance.

“These reforms mark a big step forward in improving the efficiency and transparency of FBR operations. The FBR is committed to helping taxpayers and guaranteeing speedier processes for the benefit of all stakeholders by taking a more dynamic and responsive approach to ATL updates, according to the statement.