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Govt Revives Plan to Split NBR

High-powered committee formed to separate tax policy and administration functions

Written by The Banking Post


The government has moved to revive its long-pending plan to split the National Board of Revenue (NBR), forming a high-powered committee to push forward the reform.

The Cabinet Division has constituted the committee, headed by Public Administration Adviser Md Ismail Zabiullah, with senior officials from key ministries and divisions as members.

The panel includes the finance ministry adviser, cabinet secretary, and secretaries from the Finance Division, Financial Institutions Division, Economic Relations Division, Legislative and Parliamentary Affairs Division, and the Internal Resources Division (IRD).

Officials said the committee will recommend separating the NBR into two distinct entities — one for tax policy and another for tax administration — a move aimed at improving efficiency and strengthening revenue collection.

“The reform remains essential for strengthening revenue administration,” a senior official said, noting that earlier attempts to enact the bifurcation stalled despite broad policy support.

The new committee has been tasked with revising two draft ordinances — the Revenue Policy Ordinance, 2025, and the Revenue Management Ordinance, 2025 — along with their amended versions prepared during the interim government period.

The IRD will provide secretarial support to the committee.

The proposed restructuring has long been debated among tax, customs and administrative officials, with proponents arguing that separating policy from implementation would enhance transparency, accountability and institutional capacity.


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