Islamabad(The Cow News Digital) The Federal Board of Revenue (FBR) of Pakistan is reportedly considering involving private-sector informants to assist in identifying and recovering funds from tax evaders, marking a significant shift in its enforcement strategy.
According to officials, the FBR aims to leverage credible information from private companies and specialized informants to locate individuals and businesses evading tax obligations. Under the proposed plan, the tax authority would share a fixed percentage of recovered amounts with informants, ranging between 5 to 10 percent depending on the sum collected.
The move comes as the FBR explores innovative methods to increase tax compliance and broaden the national revenue base. For the first time in several years, the possibility of resuming the publication of the Tax Directory—a database listing registered taxpayers—is also under discussion, signaling a renewed focus on transparency and accountability.
Experts suggest that involving private informants could significantly enhance the FBR’s capacity to detect hidden assets and uncover complex schemes used by tax evaders. “Private-sector intelligence has proven effective in multiple countries for tracing undeclared income and assets,” said a tax analyst. “Providing financial incentives ensures that credible leads are pursued while reducing administrative burden on government authorities.”
However, officials caution that strict vetting and confidentiality measures would be essential to prevent misuse of the program. The FBR emphasized that only verified and trustworthy sources would be allowed to participate, and all recovered funds would be properly documented before disbursing any shares to informants.
The initiative is part of a broader effort by Pakistan’s revenue authorities to strengthen enforcement and deter tax evasion, which continues to pose a challenge for the country’s economy. By collaborating with private-sector partners, the FBR hopes to recover substantial revenues that have remained uncollected due to underreporting, concealment, or fraudulent practices.
If implemented, the program could mark a historic change in Pakistan’s tax collection strategy, encouraging citizens and businesses to remain compliant while creating a system of checks and balances. Officials have also hinted that similar models may be introduced for other forms of financial crime, further integrating private expertise into public enforcement.
The FBR plans to announce the final framework and operational guidelines soon, signaling a proactive stance in tackling tax evasion nationwide.
