PTBA calls for fully operational FBR office in Gwadar

KARACHI: The Pakistan Tax Bar Association (PTBA) has demanded the establishment of a fully operational office of the Federal Board of Revenue (FBR) in Gwadar, the port city of Balochistan.

In a letter to the Member IR (Operations) of the FBR, the association highlighted that a seminar on tax awareness and compliance was recently held in Gwadar, where the Makran Tax Bar was provisionally established. This bar serves Gwadar, Turbat, and other nearby cities.

The association pointed out that while the FBR has a facilitation centre in Gwadar, it is insufficient to meet the tax compliance and procedural needs of the region’s taxpayers. The association added that Gwadar has become a hub of economic activity due to its crucial role in the China-Pakistan Economic Corridor (CPEC). The city’s rapid development, increasing trade volume, and the establishment of the Gwadar Port have significantly raised its economic profile. This growth has created a pressing demand for efficient tax administration and facilitation services. However, despite its growing importance, Gwadar currently lacks a dedicated FBR office, with only a facilitation centre available, which is inadequate to address the tax and customs-related needs of businesses, traders, and investors operating in the region.

Per the PTBA, the establishment of a fully functional FBR office in Gwadar would improve revenue collection. A local office would streamline tax collection processes, ensuring compliance and reducing revenue leakage. Having a local presence would also provide much-needed support to businesses, helping them comply with tax regulations and promoting economic growth. Simplified tax processes would encourage further investment in the region, contributing to Gwadar’s economic development.

A dedicated office could improve the monitoring and auditing of business activities, ensuring greater transparency and accountability, the PTBA added. The association urged the FBR to prioritise establishing an operational FBR office in Gwadar. If a full office is not feasible immediately, the association suggested that the FBR provide a video link facility for taxpayers to connect with the Regional Office in Hub, or arrange for officers to visit on rotation to conduct hearings. This would eliminate the need for taxpayers to undertake a five-six-hour journey to attend hearings. The PTBA proposed that in the long term, the FBR should establish a fully operational Regional Tax Office (RTO) in Gwadar.

“This initiative would not only address the immediate needs of the region but also align with the government’s vision of fostering economic growth and development,” the association concluded.