Karachi, The Federal Board of Revenue (FBR) of Pakistan has inked a pivotal agreement with Karandaaz Pakistan, marking a significant step towards the digitization of the country’s tax system. This collaboration is aimed at transforming FBR into a modern Digital Tax Administration, aligning with the Prime Minister’s vision for an automated and digitized economy. The move is set to streamline tax compliance processes, document the economy, widen the tax base, and set FBR on a trajectory towards sustainable revenue growth.
According to Federal Board of Revenue, the partnership will see Karandaaz Pakistan assisting FBR in formulating a comprehensive digital strategy. This will involve an assessment of FBR’s current business needs, IT infrastructure, and processes to lay down a foundation for digitalizing Pakistan’s tax system. Karandaaz Pakistan, recognized for driving economic growth and enhancing financial and social inclusion, will focus on creating taxpayer-centric solutions, aiming to ease the compliance burden and improve overall tax administration efficiency.
Mr. Malik Amjed Zubair Tiwana, Chairman of FBR, emphasized the board’s commitment to enhancing automation and digitalizing the economy. He highlighted the importance of this initiative in addressing the challenges posed by the undocumented economy and expanding the tax base. “This collaboration with Karandaaz for the digital transformation of FBR is a crucial step towards our goal of a modernized tax system,” he stated.
Mr. Muhammad Aurangzeb, Minister for Finance and Revenue, who met with representatives from FBR and Karandaaz, underscored the significance of adopting a business and people-centric approach in designing digital solutions. He advocated for leveraging top-tier expertise to ensure the initiative’s success, suggesting that international consultants with experience in tax digitalization be involved in the project.
Mr. Waqas ul Hasan, CEO of Karandaaz Pakistan, highlighted the alignment of this initiative with the Bill and Melinda Gates Foundation’s Digital Public Infrastructure workstream. He envisioned the digital transformation as an opportunity to build a strong ecosystem for the Pakistan Digital Stack, benefiting the entire nation by making the tax administration more resilient, agile, and centered around the taxpayer’s needs.
The landmark agreement was officially signed on March 15th, 2024, with Mr. Ardsher Salim Tariq, Member (Reforms and Modernization) representing FBR, and Mr. Sharjeel Murtaza, Director Digital Services, signing on behalf of Karandaaz Pakistan.