FBR Incurs Rs. 14.6 Billion Tax Revenue Loss Due to Cybersecurity Failure

The Federal Tax Ombudsman (FTO)recently said there’s a massive cybersecurity breach in the Federal Board of Revenue (FBR), which has caused a tax revenue loss of Rs. 14.66 billion. Hackers exploited vulnerabilities in FBR’s security systems and reported fake transactions amounting to Rs. 81.43 billion, which resulted in a big loss. The FBR is already facing various problems in meeting its revenue collection targets. The tax regulator achieved only 43 percent of its monthly target during the first 18 days of September. FBR has approached the Chief Commissioner of the Corporate Regional Tax Office and demanded more intensity in revenue collection efforts. The regulator urged for stronger measures to recover outstanding taxes, ensure timely filing of monthly sales tax returns, and enhance monitoring of withholding agents to prevent tax evasion.