Islamabad: The Federal Board of Revenue (FBR) has announced an ambitious plan to upgrade all its tax offices to Model Tax Offices (MTOs) by January 2028. This initiative is designed to streamline tax collection processes and enhance revenue generation across the country.
According to Zameen.Com, the transformation is scheduled to start in October 2024 and will continue in several phases over the next four years. The first phase will begin with the conversion of the Large Taxpayer Office (LTO) in Karachi on October 20, expected to be completed by January 2025. Lahore’s LTO is set to follow with its conversion by July 2025. The process will also encompass three Corporate Tax Offices (CTOs) in Karachi, Islamabad, and Lahore, as well as a Medium Tax Office (MTO) in Karachi.
By January 2026, the LTOs in Islamabad and Multan, along with all CTOs and the MTO in Karachi, are expected to have transitioned to MTOs. The final stage involves transforming 17 Regional Tax Offices (RTOs) across major cities including Islamabad, Karachi, Lahore, Multan, and Faisalabad into MTOs by the end of January 2028.
The redesigned MTOs will incorporate advanced technological solutions, rigorous performance management, and a new taxpayer facilitation zone. The FBR is also planning performance-based incentives for tax officials, to be evaluated through integrity and competence assessments.
In addition to structural changes, the FBR aims to address the current auditor shortage by hiring additional staff through three recruitment phases, as the existing 355 auditors fall short of the required 1,559.