Crackdown on corruption ordered: No under-performance will be tolerated, PM warns FBR

ISLAMABAD: Prime Minister Shehbaz Sharif on Monday issued a blunt warning to Federal Board of Revenue (FBR), ordering an across-the-board crackdown on corruption and declaring that officials who continued to underperform would have no place in the tax machinery.

Chairing a weekly review meeting on FBR affairs, he called for an intensified push to narrow the country’s tax gap, which officials said had fallen from 6 per cent to 5pc of gross domestic product (GDP) over the past three years.

The prime minister directed the revenue authority to press ahead with reforms and expand faceless systems across tax collection functions, seeking to curb official discretion and improve transparency.

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He called for indiscriminate action against corrupt officials but said those showing improvement in their conduct and performance should be given a chance to reform.

Those who persisted in corruption or failed to improve, he warned, would not be allowed to remain in the institution.

The meeting was briefed on changes to the FBR’s technology, operational procedures and human resources, with officials claiming that technology had already curtailed the discretionary powers of tax officers.

A key measure has been the recruitment of 957 auditors on a merit-based contractual basis to conduct third-party audits.

Officials said the appointments had increased the FBR’s audit capacity fourfold.

The authority is also undergoing technology-driven restructuring, with specialised technical staff being recruited and a performance-linked incentive system introduced, according to the briefing.

Newly recruited officers are receiving training at Lahore University of Management Sciences (LUMS), while training programmes for serving officials are under way. A peer-rating system has also been introduced to assess officers’ performance.

The prime minister directed FBR officials to deliver measurable improvements, signalling that the reform drive would be judged by results rather than promises.

The meeting was attended by Finance Minister Muhammad Aurangzeb, Planning Minister Ahsan Iqbal, Law Minister Azam Nazeer Tarar, Economic Affairs Minister Ahad Cheema, Information Minister Attaullah Tarar, State Minister for Finance Bilal Kayani, Attorney General for Pakistan Mansoor Awan and senior government officials.

Copyright Business Recorder, 2026