The FBR Board-in-Council on Saturday in a surprise move withdrew the powers of Member Inland Revenue and Member Customs to transfer and post tax officials. Sources told Business Recorder here on Saturday that the FBR called an urgent Board-in-Council meeting to discuss the matter of transfers and postings.
The sole agenda of the meeting was to abolish powers of FBR Member IR to transfer and post tax officials. During the unscheduled meeting, FBR Member Admin proposed that the powers of transfers and postings should be given to the FBR Administration Wing.
Besides other Member, FBR Member Inland Revenue strongly objected to the proposal with the argument that the FBR Members are the most appropriate authority to transfer and post the officials in the field formations. Without realising the serious repercussions of the decision, Board-in-Council, has taken away the powers of the FBR Member Inland Revenue and Member Customs for transfers and postings, which make no sense at this critical juncture.
Sources said that the Minister of Finance Abdul Hafiz Sheikh had highly appreciated the merit based policy of the FBR to empower the FBR Member IR and Member Customs for transfers and postings at the Chief Commissioner/Commissioners Conference held on March 9 2011. The policy has been reverted without any justification and logic. During the meeting, the FBR Member IR tried to convince the council that it is very necessary that the transfers and postings must be done by the concerned members with the approval of the FBR Chairman. The concerned Members informed the council that merit based transfers and postings have been done to improve revenue collection by appointing right people at the right place, but the Board-in-Council has suddenly handed over all transfers and postings powers to the FBR Member Admin.
FBR Member IR further informed the council that transfers and postings on key positions in the field formations have been done keeping in view policy of merit and honesty. Under the restructuring of the Board, the first step is transfer of proper officials at important position, who can deliver results having honest background. The integrity of the persons has been given top priority while making these transfers and postings under the policy to ensure maximum revenue collection through proper strategy of the Board.
The FBR was so much hurry in implementation of the decision that the Board has issued an office order soon after conclusion of the Board-in-Council meeting. According to the FBR office order "delegation of administrative powers" issued on Saturday, FBR Member Admin has been empowered to transfer tax officials.
According to the sources, the decision of the Board-in-Council is a clear violation of the commitment made by the FBR in the presence of Minister of Finance Abdul Hafiz Sheikh at the Chief Commissioner/Commissioners Conference held on March 9 2011.
On the conclusion of the conference, Chairman Federal Board of Revenue (FBR) Salman Siddiqui had categorically said that the FBR Member Inland Revenue Khawar Khurshid Butt and FBR Member Customs Mumtaz Haider Rizvi have been given free hand to make transfers and postings in the field formations under the Board's plan of restructuring for meeting the revenue target.
Responding to a query on recent reshuffling in the field formations, the FBR Chairman had informed media that the FBR has given complete autonomy to the Member IR and Member Customs for transfers and postings. These members would have total autonomy for transfers and postings in the field formations.
The FBR Chairman said that the FBR Administration and Management Wings are support functions and the main responsibility of reshuffling in the field formations has been given to the FBR Member IR and FBR Member Customs. This is a historical step taken by Chairman to empower the line members to make reshuffling and these members are fully autonomous to decide whatever they to do in their respective jurisdiction.
The FBR Member IR and Member Customs are fully empowered to select their own teams in the field formations. "The selection of FBR Members has been done and now I have given them complete delegation of authority to do so," the FBR Chairman added.
It is a major shift in the policy of the Ministry of Finance to give full autonomy to the FBR Chairman and had his team to freely work and produce the desired results, FBR Chairman added. It is strange to note that the FBR has suddenly changed its policy in the next few weeks due to unknown reasons. Sources have apprehended that depriving FBR Member IR from transfers and postings would have serious impact on revenue collection and discipline in the field formations.
Sources said that it is not understandable that why the FBR has hurriedly taken away all administrative powers of the FBR Member Customs and FBR Member Inland Revenue, which is against the announcement made by the tax authorities at the Chief Commissioner/Commissioners Conference held on March 9, 2011.