The Federal Board of Revenue (FBR) has suspended two senior tax officers for 120 days following a pen-down strike call against the government’s proposed restructuring of the tax authority.
As per media reports, the suspensions took effect immediately under the Civil Servants (Efficiency and Discipline) Rules, 2020, according to separate FBR notifications dated 19 October 2026.
The officers are a Commissioner of Inland Revenue at Regional Tax Office (RTO) Zone-I Hyderabad and an Additional Commissioner of Inland Revenue at RTO Sargodha.
During their suspension, both officials have been directed to report daily to the FBR Member Administration and Human Resources office, with their attendance to be recorded at 09:00, 12:00 and 16:00.
The action follows opposition from the Inland Revenue Association to the government’s proposed restructuring of the tax authority.
The association had called for a pen-down strike, in which employees stop performing official duties, but later withdrew the call after talks with the FBR’s Member Administration and Member Operations.
Sources cited in local media said Prime Minister Shehbaz Sharif had expressed displeasure over the strike announcement.
The suspensions come as the government considers changes intended to strengthen tax collection, improve compliance and address weaknesses in the country’s revenue system.
Among the proposals under consideration is the establishment of dedicated sales tax zones within the FBR’s Large Taxpayer Offices and Corporate Tax Offices.
The proposed units would focus on monitoring, enforcement and compliance. The government is also examining changes that could expand the FBR chairman’s authority over appointments and removals, as well as allow the recruitment of professionals from the private sector.
The government’s focus on sales tax enforcement comes amid concerns that the gap between the tax revenue that should be collected and the amount actually collected is larger for sales tax than for income tax and federal excise duty.
