FBR Says Cabinet Approval Needed for Taxpayer Data

The Federal Board of Revenue (FBR) informed a Senate sub-committee that information relating to Pakistan’s highest taxpayers cannot be disclosed without obtaining prior approval from the federal cabinet.

The issue was discussed during a meeting of the sub-committee of the Senate Standing Committee on Interior and Narcotics Control, chaired by Senator Saifullah Abro.

Previously, the committee had directed the FBR to furnish comprehensive records covering the past 20 years, including taxes assessed, collected, and outstanding from the tobacco industry.

The committee had also requested detailed information on all registered tobacco manufacturing units, documentary evidence relating to pending tax liabilities, a complete list of tobacco companies and their brands, along with revenue and tax collection data spanning the same period.

During the meeting, FBR officials informed lawmakers that although extensive records had been brought before the committee, certain information had been withheld. They stated that the FBR had sought legal guidance from the Ministry of Law to determine whether the requested taxpayer information could legally be shared with the committee.

Expressing dissatisfaction with the response, Senator Saifullah Abro directed the FBR to submit the requested taxpayer data. In response, FBR officials reiterated that disclosure of information relating to the country's highest taxpayers would require approval from the federal cabinet.

Abro maintained that the FBR was unnecessarily complicating the matter and insisted that the complete information be presented before the committee.

The committee was further informed that 35 tobacco companies currently operate in Pakistan under multiple brand names. FBR officials also stated that tobacco factories previously operating in tax-exempt zones had benefited from income tax exemptions, which have now expired with effect from July 2026.

Lawmakers also reviewed the reported theft of 2,828 cartons of cigarettes from FBR warehouses located in Swabi and Mardan.

During the discussion, Senator Abro clarified that the Federal Investigation Agency (FIA) was conducting an independent investigation into the alleged theft and that the committee was not responsible for overseeing that inquiry.

He also questioned whether inaccurate figures regarding annual tobacco tax evasion had been presented to the Prime Minister before the publication of an official advertisement.

Senator Dilawar Khan similarly criticised the FBR’s tax administration, raising concerns over allegations that incorrect information had been conveyed to Prime Minister Shehbaz Sharif, Federal Information Minister Atta Tarar, and Defence Minister Khawaja Asif.

He further questioned the decision to grant leave to an officer reportedly under investigation in connection with the alleged theft of 2,828 cartons of cigarettes.