IMF Team Seeks Answers on Widespread FBR Maladministration

The International Monetary Fund (IMF) team inquired with the Federal Tax Ombudsman (FTO) about the nature of maladministration being committed by Federal Board of Revenue (FBR) officials in the field formations. A delegation from the IMF Fiscal Affairs Department (Revenue Administration) visited the FTO office to obtain feedback on the working and functioning of the FTO, with a focus on major types of maladministration. The IMF team was headed by Senior Economist Frank Van Brunschot of the Fiscal Affairs Department (Revenue Administration). According to sources, the IMF delegation also inquired about areas in tax administration where there is potential for improvement. FTO officials informed the three-member IMF team that most maladministration has been observed in the areas of refund payments, tax audits of taxpayers, and non-implementation of appeal orders issued against the FBR. Other areas of maladministration include repeated issuance of notices to taxpayers, creation of illegal tax demands, frequent raids/sealing of business premises, illegal gratification, and malafide intent to prolong tax proceedings against taxpayers. FTO officials briefed the IMF that the total number of complaints received during the last four years stood at 64,129. Cases where maladministration was confirmed were 39,085; cases implemented by the FBR were 32,445; and the percentage of maladministration stood at 61 percent. The IMF was informed that the total number of complaints during the current year was 35,179 up to November 2025. Cases where maladministration was upheld were 24,700; cases implemented by the FBR were 18,060; and the percentage of maladministration was 70.21 percent.