FinMin eyes tech-led tax overhaul

ICAP proposes documentation, group taxation measures as budget consultations continue

ISLAMABAD:

Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb has emphasised the government's focus on transforming tax administration through reforms centred on people, processes and technology, during a meeting with a delegation of the Institute of Chartered Accountants of Pakistan (ICAP), according to an official statement issued on Monday.

Welcoming the delegation, the finance minister stressed the importance of continued engagement with professional bodies and industry stakeholders to ensure economic and taxation policies remain responsive, practical and aligned with the country's broader reform objectives.

The finance minister shared the government's ongoing efforts to transform the tax administration system through reforms centered around people, processes, and technology. He underscored the importance of institutional modernisation, process simplification, and enhanced automation to improve transparency, reduce unnecessary human intervention, and facilitate taxpayers.Aurangzeb highlighted the operationalisation of the Tax Policy Office under the Finance Division as an important institutional reform aimed at strengthening policy formulation and improving coordination between tax policy and administration.The meeting also covered the growing role of technology and digital systems in strengthening compliance, enforcement, and revenue administration.

He noted that AI?led production monitoring and technology?driven oversight mechanisms introduced across various sectors are helping improve documentation, strengthen compliance and reduce leakages.

The ICAP delegation presented a range of proposals relating to documentation, group taxation structures, export?oriented services and harmonisation of tax treatment across sectors. Discussions also focused on measures to improve competitiveness, facilitate investment, strengthen ease of doing business, and support effective revenue mobilisation alongside broadening of the tax base.