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FBR Set to Launch E-Audit System

The Federal Board of Revenue (FBR) has proposed a novel idea of E-Audit removing direct connection between the audit officer and taxpayer chosen for audit in order to stop harassment during the audit of taxpayers.

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To enable taxpayers to attend hearings without visiting tax offices or FBR Headquarters, the FBR plans to adopt online audit (e-audit) proceedings.

SRO 636(I)/2021 was published by the FBR to update the 2002 Income Tax Rules. Within 15 days of the SRO’s release, the FBR has urged stakeholders to submit comments on the draught rules.

The audit procedures of a registered person conducted electronically, including through video links, or through any other facility as may be specified by the Board from time to time, are referred to as “e-audit” under the new facility.

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In order to make an order for the assessment of tax under Section 122, including the imposition of penalty and default surcharge in accordance with Sections 182 and 205 of the Ordinance, as required, as noted in the audit report, the Automated Case Selection System will once more configure and assign the case to any Adjudication Officer throughout the jurisdiction.

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