Introduction
In a move aimed at modernizing Pakistan’s tax administration and addressing longstanding taxpayer grievances, the Pakistan Tax Bar Association (PTBA) has proposed the implementation of an online jurisdiction transfer system through the Federal Board of Revenue’s (FBR) IRIS portal. This digital initiative is expected to resolve one of the most persistent issues in the tax filing ecosystem—incorrect jurisdiction assignments, which have been a major source of compliance delays and legal complications.
Background: The Jurisdiction Challenge
Under the current system, many taxpayers are erroneously assigned to inappropriate or outdated tax jurisdictions, leading to:
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Delays in return processing
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Jurisdiction-based audit notices sent to wrong offices
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Legal ambiguity in handling appeals and assessments
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Frustration among filers and tax consultants
The manual nature of jurisdiction transfer requests has made it cumbersome, time-consuming, and dependent on discretionary approvals.
PTBA’s Digital Proposal: Key Features
The PTBA’s proposed solution involves integrating a jurisdiction transfer module directly into the FBR’s IRIS portal—the central online platform used for tax return filing and taxpayer management.
Key features of the proposed system include:
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Online application submission by taxpayers or tax practitioners
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Digital tracking and acknowledgment of transfer requests
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Automated routing based on current place of business, address, or CNIC data
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Real-time notifications of jurisdiction updates to relevant tax offices and the taxpayer
Expected Benefits of the Online System
| Benefit | Impact |
|---|---|
| Reduced compliance burden | Easier resolution of jurisdiction errors |
| Faster processing | No more manual follow-ups or paper-based applications |
| Improved accuracy | Location-based automation for assigning tax zones |
| Enhanced transparency | Taxpayers can view the progress and final status online |
| Dispute minimization | Avoid legal confusion during audits or assessments |
Alignment with Tax Administration Reforms
The PTBA’s proposal aligns with the broader objectives of:
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The Pakistan Raises Revenue (PRR) project, backed by the World Bank
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FBR’s digitalization drive, including risk-based audits, e-hearings, and automated STR filings
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FATF and OECD recommendations on improving tax governance and transparency
Call for FBR Action
The PTBA has urged the FBR leadership and Member IT to prioritize the development and rollout of this system to:
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Prevent harassment and delays faced by taxpayers
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Promote taxpayer confidence and voluntary compliance
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Support Pakistan’s transition to a modern, service-oriented tax system
Conclusion
The proposed online jurisdiction transfer system through the IRIS portal is a pragmatic, cost-effective, and timely solution to one of the most common administrative hurdles in Pakistan’s tax landscape. If implemented, it could greatly enhance the taxpayer experience, ensure more efficient use of FBR’s resources, and support the ongoing tax reform initiatives aimed at building a trust-based, digital-first tax environment.
