ISLAMABAD: The government is considering the creation of a separate tax audit wing for effective monitoring of the performance and effectiveness of various programmes, schemes, and activities as part of the ongoing reforms in the Federal Board of Revenue (FBR), a senior tax official told Dawn on Tuesday.
The proposed move is to take away internal audit policy formation and its implementation from the FBR.
“We have received several proposals regarding the function and administration of the new audit wing,” the official said, adding that universal self assessment always needs to be followed by an effective internal audit system.
Currently, internal audit is part of the FBR hierarchy and seeks approval regarding policy and its implementation.
According to the official, it was noted that the audit under the current set up mostly remained redundant and ineffective because it was not possible for the officers to come up with identification of violations being part of the same department.
As per the proposed plan, the internal audit wing will be stationed at the FBR with tax officers posted there. The audit wing will directly report to the finance minister, the officer said, adding…
