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Task force set up to reform FBR legal wings, address litigation gaps

The federal government has formed a task force to revamp the legal wings of the Federal Board of Revenue (FBR).

The purpose of the task force is to reform, revamp, and strengthen FBR’s revenue litigation framework at all levels, including initial adjudication by the tax department, commissioner/collector appeals, Appellate Tribunals Inland Revenue and Customs, high courts, Supreme Court, and the Federal Constitutional Court.

The high-level task force was constituted by the Prime Minister’s Office (PMO) and is aimed at examining and overhauling FBR’s legal wings.

The task force was set up after the federal government’s recognition of growing concerns over persistent gaps in litigation management that have hindered effective representation and enforcement of tax and customs laws.

The task force will be presided over by Shad Mohammad and includes senior legal and operational officials from FBR, the CEO of Pakistan Single Window, technical advisors, representatives of the Attorney General’s Office, and the eminent constitutional and tax lawyer Hafiz Ahsaan Ahmad Khokhar, highlighting the seriousness of the government’s initiative.

The Terms of Reference (TORs) provide the task force with a broad and critical mandate. Members are required to conduct a comprehensive assessment of the existing legal wings, covering workload management, human and logistical resources, and overall operational capacity.

The review will focus on identifying structural weaknesses, procedural bottlenecks, and systemic inefficiencies that contribute to prolonged litigation and delayed resolution of tax and customs disputes.

Additionally, the task force is tasked with proposing a robust framework for the revised legal wings that enhances efficiency, improves inter-departmental coordination, and minimizes pendency across all levels of litigation.

A key component of the review will be the Litigation Management System (LMS), which has faced challenges in integration with appellate tribunals and superior courts.

The task force is expected to recommend reforms that ensure a more effective, data-driven, and institutionally coordinated approach to litigation.

Potential measures include enhanced case-tracking mechanisms, streamlined communication between legal divisions and operational wings, and targeted capacity-building of legal staff to strengthen FBR’s ability to defend its position in complex tax and customs disputes.

The task force will cover all stages of litigation, including matters before the Appellate Tribunal (AT) and superior courts, with the flexibility to co-opt additional members as required.

The FBR will provide full secretarial support, and the task force is mandated to submit its report by April 15, 2026.

Legal experts and stakeholders view this initiative as a pivotal step toward addressing long-standing operational and legal gaps in FBR litigation, ensuring that Pakistan’s revenue administration can more effectively safeguard public resources while maintaining transparency, accountability, and legal compliance.



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