ISLAMABAD: The Federal Board of Revenue (FBR) has revised the remuneration for chairpersons and members of Alternative Dispute Resolution Committees (ADRCs), establishing a two-tier system based on the amount of tax liability involved in disputed cases. The changes were introduced through SRO 765(I)/2025, which amends the Income Tax Rules 2002, issued on Thursday.
Under the new regulations, the chairperson of an ADRC will receive a one-time payment of Rs 500,000 for cases where the tax liability exceeds Rs 50 million. For disputes involving tax liability up to Rs 50 million, the ADRC chairperson will be remunerated with Rs 300,000.
Members of the committee, excluding the Chief Commissioner Inland Revenue, will also receive revised one-time payments. In cases with tax liability exceeding Rs 50 million, members will be paid Rs 250,000. If the tax liability is up to Rs 50 million, committee members will receive Rs 150,000.
These remunerations are to be paid after the committee makes its decision under sub-rule (8) of the relevant section.
Furthermore, the amended rules stipulate that the chairperson or a member of the committee may be granted TA/DA (Travelling Allowance/Daily Allowance) equivalent to the entitlement of BPS-22 and BPS-21 officers of the federal government, respectively.
Government Focuses on Curbing Tax Evasion
In a related development, Prime Minister Shehbaz Sharif has recently ordered a comprehensive crackdown on tax evasion and the issue of under-invoicing across various sectors.1 This directive underscores the government’s commitment to strengthening tax compliance and boosting national revenue. The FBR is expected to intensify its efforts to identify and penalize those involved in illicit financial practices.
