Stakeholders consider change in FBR a right decision

The change in the top hierarchy of Federal Board of Revenue (FBR) has been considered a "right decision" by stakeholders here. Traders, importers, union leaders and taxpayers expressed hope that the appointment of Salman Siddique as FBR Chairman would "bring transparency in tax administration, automation and elimination of corruption from FBR."
They said they have a strong feeling that FBR projects, including e-FBR portal, e-customs system, tax management system, taxpayer audit and monitoring system, need to be reorganised on international standards. Taxpayers have been raising serious concerns before the FBR that its web portal was not working properly since its launch, but the FBR team did not pay any attention to resolve the issue and the issues related to the system. If the system is not automated, the idea of automating the entire taxation system would collapse, they say.
On the other hand, importers and users of Pakistan Automated Customs Computerised System (PaCCS) have rejected Sindh government's stand to collect stamp duty on goods declarations (GDs). Above 60 percent of importers file their GDs through PaCCS.
Traders demand automation of entire tax administration system to get rid of the menace of corruption from the customs department. A former Chairman of FBR, Abdullah Yousuf, had launched the country's first automated solution, named Pakistan Automated Customs Computerised System in 2005, to automate the customs clearance processes and had installed it at Karachi International Container Terminal (KICT). As a result, the percentage of revenue had jumped up from KICT, and benefited the national kitty.
But soon after the successful launch of this pilot project, some vested elements created problems in its implementation at other terminals, like QICT and PICT. Although recently Finance Minister Dr Abdul Hafeez Shaikh had asked FBR to sit with Agility, the Kuwait-based logistics company behind PaCCS, to continue the system and expand its area of operation, but hurdles are still being created to delay the process, or even kill the system. The Finance Minister has made it clear to the FBR that the present government cannot afford litigation with Agility, and desired immediate resolution of the problem.
Needless to mention, all working chambers, ie Federation of Pakistan Chambers of Commerce and Industry, Karachi Chamber of Commerce and Industry, Lahore Chamber of Commerce and Industry and Islamabad Chamber of Commerce and Industry, have expressed confidence in the automated solution because of its capabilities to handle tax reforms.
The just replaced FBR Chairman, Sohail Ahmed, did play his role in supporting the implementation of PaCCS, but was badly handicapped due to his limited powers. He had to report even petty matters to Finance Secretary. Former Finance Minister Shaukat Tarin had decided to close down PaCCS just two days before leaving office.
What actually happened was that tax authorities, having vested interests, had misled him on computerised customs clearance system by telling him that ISI had raised "security concerns" about the project. But, later it turned out that the reports were concocted. Stakeholders have welcomed the change and have demanded transparency in tax administration and continuation of PaCCS and termed it necessary for national interests.