FBR Launches Nationwide Field Audits: Sector Experts Deployed Across 42 Industries

Pakistan’s Federal Board of Revenue (FBR) is ramping up tax oversight with an expansive field audit initiative. The program aims to ensure tax compliance across key economic sectors, utilizing industry-specific audit teams to drive accountability and revenue collection. What Is a Field Audit? A field audit refers to a direct, on-site inspection of a taxpayer’s records, conducted by FBR-appointed experts. Unlike desk audits, field audits involve visiting business premises and reviewing financials, operations, and documentation in depth. This approach helps FBR better assess tax compliance across sectors. Audit Rollout: Sector-Wide Focus Scope: The initiative will cover 42 major sectors, including automotive, banking, telecom, textiles, pharmaceuticals, real estate, energy, and more. Phased Start: The first audit phase focuses on 14 priority sectors, including: Automobiles Textiles Iron & Steel Independent Power Producers (IPPs) & DISCOs Pharmaceuticals Finance & Insurance Sugar Chemicals & Fertilizers Real Estate (Builders & Developers) Petroleum, Oil & Lubricants Cement Telecommunications Tobacco Expert Deployment & Selection Process 102 sector-audit experts will be appointed, each specializing in one of the 42 sectors. Selection Process: Human resource firms will shortlist experts, after which a dedicated selection committee will vet the candidates. The process may be conducted in person or virtually. Quality Assurance: Third-party auditors will be engaged to maintain consistency and rigor in audit protocols. Why This Matters This initiative reflects FBR’s strategy to strengthen enforcement and promote transparency in tax administration. By deploying specialized experts across diverse sectors, the FBR intends to: Close compliance gaps Target high-risk industries effectively Detect underreported or evaded taxes Enhance overall revenue collection Final Word With this field audit initiative kicking off from August 2025, businesses — especially in the initial 14 sectors — must ensure their records and tax submissions are fully compliant and audit-ready. Proper documentation and timely responses can help safeguard against adverse findings and promote smoother audit outcomes