Pakistan’s tax reforms were showcased as a global case study at the World Bank’s annual meetings in Washington, where the Federal Board of Revenue (FBR) also unveiled its new digital tax platform, IRIS 3.0, aimed at further enhancing automation and taxpayer facilitation.

Federal Minister for Finance and Revenue Muhammad Aurangzeb, FBR Chairman Rashid Mahmood Langrial, the Finance Secretary, and senior officials attended the session, which drew strong interest from development partners and representatives of various countries.

In his address, Finance Minister Aurangzeb said Pakistan had achieved “one of the most significant institutional reform successes in recent history,” noting that the tax reform agenda comprehensively restructured the system around people, processes, and technology.

He said the reform plan was entirely homegrown, had full support from the Prime Minister and the federal cabinet, and was already yielding “tangible improvements and visible progress” in revenue administration.

FBR Chairman Rashid Mahmood Langrial highlighted that Pakistan had raised its tax-to-GDP ratio from 8.83 per cent in FY2023-24 to 10.33 per cent in FY2024-25 — the highest annual increase in 23 years.

He explained that the comprehensive reform program integrates process improvement, technological advancement, and human resource strengthening.

The newly launched IRIS 3.0 digital tax platform, he said, will simplify return filing and make tax administration more efficient through automated operations.

Langrial emphasised that the success of Pakistan’s tax reform lies in combining technological innovation with better governance and management practices, rather than relying on technology alone.

Participants at the World Bank meeting appreciated Pakistan’s reform model, describing it as a promising framework for developing economies seeking to modernise their tax systems and improve revenue performance.