LAHORE: The caretaker Prime Minister has approved a 140% executive allowance for Federal Board of Revenue officers of grade 17 or above.
Sources privy to the development said that the PM, on the recommendation of the Finance division, has approved a summary pertaining to rationalization of allowances to the FBR headquarter.
The Finance division had requested 150% Executive Allowance on basic pay; however, the PM approved 140% allowance for around 300 officers (Inland Revenue as well as Customs officers) working in the FBR headquarters.
The said allowance will come into effect from November 1st, 2023 and the expenditure involved shall be met by the FBR from its allocated budget for the current fiscal year 2023-24.
Sources said that FBR will have to bear approximately an additional Rs 300 million after adjustment of the FBR-specific allowances and incentives. It is important to note that government officers of grade 17-22 were also granted a 30% adhoc relief allowance in the budget 2023-24.
The increase in the allowance of senior officials also raises questions about the frozen performance allowances of small scale employees. Finance division on the recommendation of FBR in July 2023, asked the PM office not only to defreeze performance allowances for 1,724 officers in field formations, but also a disparity reduction allowance of 40% for all employees (BS 1 to 16).
It is pertinent to note that former finance minister Ishaq Dar in 2013-14 budget freezed the allowances of lower grade officials which has not been defreezed despite a number of protests by FBR officials.
