LAHORE: The Punjab government has decided to establish a dedicated Tax Reform Unit (TRU) within the finance department for tax policy analysis.
Sources told Customs Today that this new body of tax reforms will conduct research in the field of collections and highlight weaknesses in the system as well. The body will suggest reforms to increase revenue of the province.
Sources further revealed that the provincial government acknowledges that it has incomplete picture of its tax system as neither the finance department nor any of the three tax agencies-
Currently the Punjab Revenue Authority, the Board of Revenue and the Excise and Taxation Department- carry out such research or analysis.
The newly established tax reforms unit will help government to frame new policies relating to the taxes and revenue collections. The unit will not only strengthen tax policy and tax administration, but also ensure a holistic view of Punjab’s tax system.
Tax reform unit will suggest measures to improve coordination between the departments of Punjab government including human resources, information technology and communication.
Major functions of the tax reform unit will coordinate between the sources of tax department and tax payers and tax collection bodies like excise, revenue authority and revenue board. TRU will also introduce new tax resources for the departments.
The TRU will also conduct periodic performance reports on the major taxes; will prepare monthly reports on the performance of revenue collections by three agencies.
Tax reforms unit will work under the direct supervision of ministry of finance of Punjab.
