ISLAMABAD: Federal Tax Ombudsman (FTO) Dr. Asif Jah has directed an investigation against the Federal Board of Revenue (FBR) after it was revealed that the tax authority had surreptitiously altered the Wealth Statement format for Tax Year 2025, just days before the September 30 filing deadline.
According to reports, FBR inserted a new column titled “Estimated Current Market Value” in the online wealth statement template. The change requires taxpayers to provide subjective valuations of their assets — a move described by tax professionals as arbitrary, unlawful, and a source of potential harassment for filers.
Important Update: FBR Removes Estimated Market Value Column Amid Ongoing Confusion
Complaint Leads to FTO Intervention
The probe was initiated after Lahore-based tax lawyer Waheed Shahzad Butt filed a public interest complaint. Acting on it, the FTO summoned top FBR officials, including the Secretary Revenue Division, Member (Operations-IR), Member (Policy), Member (Legal), and DG (IT & DT). They have been instructed to appear on Monday, September 29, 2025, with written comments explaining the sudden change.
PTBA Raises Alarm Over Negligence
The Pakistan Tax Bar Association (PTBA) has also issued a strong protest, urging the Finance Minister to intervene immediately. PTBA criticized FBR’s handling of its IT systems, pointing out repeated negligence and technical failures in the IRIS portal.
In a detailed representation, PTBA asked the Finance Minister:
- Why were income tax returns notified as late as August 18, 2025, giving taxpayers insufficient time?
- Why was the IRIS system abruptly shut down for five days without notice?
- Why is withholding tax data still incomplete on the MIS portal?
- Why is self-populated data in returns incorrect?
- Why do IRIS sessions time out so frequently, disrupting filing?
- Why was the new “Estimated Current Market Value” tab secretly added on September 23, after thousands of returns had already been filed?
- Why are AOPs unable to adjust tax under Section 235, and why are exempt shares still being subjected to surcharge?
The PTBA stressed that these lapses are not minor glitches but systemic failures that burden taxpayers and damage FBR’s credibility.
Experts Criticize Sudden Change
Real estate expert Muhammad Ahsan Malik told Business Recorder that FBR had repeatedly promised not to demand such subjective asset valuations. “Instead of burdening ordinary taxpayers, the FBR should first disclose the actual market value of assets owned by parliamentarians, bureaucrats, and politicians,” he said.
Complainant Waheed Shahzad also called FBR’s move a “blunt violation of law.” Citing Sections 114, 115, and 116 of the Income Tax Ordinance, 2001, and Rule 73 of the Income Tax Rules, 2002, he stressed that there is no statutory requirement for taxpayers to declare estimated current market values. “This unlawful addition exposes filers to arbitrary demands, unnecessary litigation, and harassment by tax officials,” he warned.
Next Steps
The FTO’s office will now examine whether FBR acted illegally and without authority in altering the wealth statement template so close to the filing deadline. Findings of the investigation could lead to recommendations for disciplinary action against responsible officials.
Meanwhile, PTBA has reiterated its demand for urgent corrective measures, accountability within FBR’s IT wing, and an immediate rectification of the IRIS system to ensure smooth, fair, and harassment-free tax compliance.
