Government plans to phase out super tax, says FBR chairman

  • Rashid Mahmood Langrial says the super tax rate has been reduced by two percentage points as part of plans for its eventual removal.
  • An FBR office will be established at KATI, while help desk services will be extended from Karachi to Sukkur.
  • Industrialists call for timely refunds, greater automation and fewer discretionary tax procedures.

Federal Board of Revenue (FBR) Chairman Rashid Mahmood Langrial has said the government intends to abolish the super tax gradually, with its rate already reduced by two percentage points.

Speaking to industrialists during a visit to the Korangi Association of Trade and Industry (KATI), Langrial said the reduction was a step towards the tax’s eventual elimination.

He announced that an FBR office would be established at KATI to assist industrialists and that the scope of the board’s help desk services would be expanded from Karachi to Sukkur.

Langrial said meetings would be arranged to address border trade difficulties facing the leather industry. He also discussed adopting a model similar to the Drug Regulatory Authority of Pakistan (DRAP) for the pharmaceutical industry to improve the effectiveness of the Track and Trace System.

The chairman said FBR aimed to improve tax administration and facilitate businesses. He urged industrialists and the wider business community to help identify and curb tax evasion, saying their cooperation was needed to make the system more transparent and effective.

KATI President Sheikh Umer Rehan thanked Prime Minister Shehbaz Sharif for directing the FBR chairman to visit Karachi every month to address industrialists’ concerns and support economic improvement.

Rehan said regular attention to Karachi by federal ministers and cabinet members could also contribute to strengthening the national economy.

He said effective implementation of FBR’s progressive policies, faceless assessment system and digitalisation could broaden the tax base and raise revenue. He added that these measures could help the government reach what he described as its Rs100 billion export target sooner.

The KATI president urged FBR to meet the prescribed deadlines for refund payments and strengthen automated processing for genuine, verified claims. He said legitimate refunds should not be delayed through unnecessary audits or documentation demands.

Rehan also called for greater automation across tax procedures to reduce unnecessary interaction between officials and business representatives, limit discretionary decisions and minimise opportunities for corruption.

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