On the basis of feedback from three intelligence agencies on the financial integrity and competency of twenty-five officials in higher pay categories of 21 and 22, Prime Minister Shehbaz Sharif dismissed them from the Federal Board of Revenue (FBR) on Friday.
Chief commissioners, senior board members, and a former FBR chairman—who had been unemployed for the previous two years—were among those dismissed.
Officials from the government said that people who have been deemed qualified and righteous by the three intelligence agencies will be their successors.
25 FBR officials have been transferred and posted by the government to replace those who were removed from the FBR. They consist of people who perform below average yet hold important roles in the “A” category assignments.
It was the first time the nation’s democratically chosen chief minister had taken such a harsh measure to remove officials who either had a bad image or lacked competence in public speaking.
The action demonstrates the government’s resolve to clean up the FBR.
Furthermore, it was the second time in less than a week that the premier had acted forcefully to convey his resolve to transform the FBR into a new organization.
A top FBR official was previously suspended by the premier for failing to follow a court order.
The 25 FBR personnel, including the suspended officer, have been judged deficient on several professional charges.
Following the Prime Minister’s Office’s recommendation, the FBR announced on Friday that 13 officials working in grades 21 and 22 would be leaving their positions with immediate effect.
Twelve more officers were called back; these individuals either had no jobs already or were on deputation in other ministries.
In the first phase, grade 21 and 22 officials have been dismissed from their jobs with the Inland Revenue Service and the Customs Group, a cabinet member informed.
The intelligence agencies are finalizing the names of grade 20 officers who will be removed from the FBR in the second phase.
Out of the 25, 14 contaminated or incompetent personnel in the view of the intelligence agencies belong to the Inland Revenue Service and 11 to the Customs Group.
There were eight officials of the Inland Revenue Service and Customs Group who were on deputation. The law ministry, the maritime affairs ministry, the Establishment Division, and the State Life Insurance Corporation have been contacted by the premier, who has requested their swift return so that they can be designated as officers on special duty (OSDs) and have the authority to remove them.
As OSDs on the board, four more officers are now employed.
The highest tier of the tax apparatus was to be evaluated by PM Shehbaz based on their public dealing, financial honesty, and competence. This assessment was to be made by the top management of the FBR and the three intelligence agencies.
The government classified the FBR officers working in grades 20 to 22 into four groups based on the intelligence services’ recommendations. The highest jobs as members, chief commissioners, and chief collectors will go to the hygienic and capable officers.
Removing these officers, only weeks before the new budget and in the midst of the busiest time of year for tax collection, is a brave move by the federal government.
The prime minister appears prepared to sacrifice money in order to elevate the decrepit tax system.
Only category “A” officers with excellent reputations and qualifications, according to sources, will henceforth hold the highest administrative posts in the FBR, including those of board members, commissioners, chief collectors, and collectors.
Officers in category “B” will generally hold less significant roles.
Officers in category “C” will be marginalized.
The category “D” officers were eliminated on Friday and added to the FBR’s administrative pool, which means they are now jobless.
PM Shehbaz personally made sure that action was done against all these officials by refusing them any appointment.
The FBR was additionally asked by the PM’s Office to submit letters requesting the prompt return of any personnel working on deputation in other ministries and appellate bodies.
The Input-Output Coefficient, the Director General of Member Accounting, the Chief Commissioner of Karachi, the Director General of Internal Audit, the Member Policy, the Former Chairman of the FBR, the Member of the Appellate Tribunal for Accountants, the Executive Director of the State Life Insurance Corporation, the Director General of Law and Prosecution, the Director General of Customs Valuations, the Chief Collector of Karachi, the Member Technical of Customs, and the Member Technical of the Customs appellate tribunal are among the grade 21 officers who have been removed.
Although the FBR had previously investigated a few of these officials, no action was taken against them.
The administration was in the final stages of selecting new candidates to fill these important jobs in tax collection, which must not remain unfilled.
According to the sources, category “C” policemen will lose their jobs during the second phase.
A grade-22 employee of the Inland Revenue and the director general of the FBR’s investigative and intelligence wing are among them.
Additionally, the internationally recognized consulting company McKinsey and Company was chosen by the government on Friday to oversee the digitization initiative.
The amount that McKinsey charges for its consulting services is what the Bill and Melinda Gates Foundation will cover.
The procurement procedure was explained to the federal finance minister. It featured a committee that was approved and comprised of technical specialists from Karandaaz Pakistan and top officials from FBR.
Following a careful analysis of the financial and technical elements, McKinsey & Company was the highest-ranking bidder.
The committee was provided with McKinsey and Company’s negotiated full and final proposal. The group approved the moderator’s request to award McKinsey and Company the contract and start the project.
The discussion ended with an agreement on the next steps for the board and the private sector to work together to begin the process of digitizing the FBR’s operations in order to create a digitally empowered tax ecosystem in the nation.
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