Amendment bill on National Assembly agenda: Policy Board to be set up to guide FBR

The government has decided to establish an exclusive Policy Board, including the representatives of public and private sector, including sector specialist, to guide the Federal Board of Revenue (FBR) in drafting fiscal/tax policy for achieving the revenue collection targets and reforming the tax machinery.
The Federal Board of Revenue (Amendment) Bill, 2010 has been placed on the agenda of National Assembly here on Tuesday for establishment of the Policy Board to provide guidance in matters relating to vision, mission and values of the board and guidelines in framing fiscal policy and in achieving goals and targets. Beside businessmen, leading sectoral experts could also be nominated as members of the Policy Board for chalking out tax policy for the FBR.
The Federal Board of Revenue (Amendment) Bill, 2010 is exclusively available with Business Recorder. According to the Bill, the Finance Minister shall be the Chairman of the Board, while the Board shall consist of members including Minister of Commerce, Minister of Industries, Minister of Textile Industry, Minister of Privatisation, Chairman of Senate Standing Committee on Finance and Revenue, Chairman of National Assembly Standing Committee on Finance and Revenue, Chairman of FBR, one member from the Senate to be nominated by Chairman of Senate, one member from the National Assembly nominated by Speaker of National Assembly, and such other members as the Prime Minister shall nominate having necessary qualifications, experience and expertise from amongst sectoral specialists and businessmen on honorary basis.
The Bill says that the Chairman of FBR shall act as Secretary of the Policy Board and at least one meeting of the Board shall be held in each quarter of a financial year. The nominated members other than ex-officio members shall be subject to ratification by the Standing Committees on Finance and Revenue of the Senate and National Assembly.
The Policy Board would be established after the passage of "The Federal Board of Revenue (Amendment) Bill, 2010" in the National Assembly. For this purpose, the Bill was placed in agenda item of Wednesday sitting session of the National Assembly but it could not be tabled for the passage due to absence of Finance Minister Dr Abdul Hafeez Sheikh.
The Bill also amends section 5 in sub-section in clause (i) and (j) and adds new clause (k) in Federal Board of Revenue Act, 2007. According to new clause, "(k) power to grant incentives and reward to the employees and reward to the person assisting the employees in preventing evasion of duties and taxes. The Board shall, with the approval of the Policy Board, prescribe performance standards for the employees and criteria for grant of incentives and rewards."
Similarly in the said Act, in section 4, in sub-section (1), for clause (m) shall be substituted, namely:- "(m) to establish a Foundation and Fund relating thereto so as to provide support and facilities to the employees, and for the welfare of the serving and retired employees and their families, and to create, establish, organise, assist in the social and cultural activities."