Islamabad: Federal Finance Minister Muhammad Aurangzeb has announced that the government is introducing a faceless tax administration system, under which direct interaction between taxpayers and tax officers will be eliminated and replaced with a digital and automated process.

Speaking during the National Assembly’s budget session, the finance minister said the government has undertaken major reforms in the tax system aimed at increasing transparency, improving efficiency, and reducing opportunities for corruption.

He explained that under the new model, taxpayers will no longer need to deal directly with tax officials for routine matters. Instead, a technology-driven system will handle processes that were previously managed through personal interaction between taxpayers and Federal Board of Revenue (FBR) officers.

According to Aurangzeb, the objective of the reform is to create a fairer and more transparent taxation framework while minimizing human discretion in tax-related decisions.

The finance minister also addressed criticism regarding the performance of the FBR, stating that constructive and positive criticism is welcome and can contribute to improving the institution’s performance.

“We have introduced fundamental reforms in the tax system. The relationship between the taxpayer and the tax officer will end, and a faceless system will take its place,” he told lawmakers.

During his speech, Aurangzeb highlighted what he described as signs of improving economic stability in Pakistan. He said that the policy direction set by Prime Minister Shehbaz Sharif in the previous budget had contributed to positive economic outcomes.

The minister noted that industrial activity is continuing, the country’s current account balance has moved into surplus, and the export sector is showing encouraging signs of growth.

He also pointed to the performance of Pakistan’s technology sector, stating that IT exports have increased by 20 percent, reflecting the growing contribution of digital services to the national economy.

Commenting on regional developments, Aurangzeb said that diplomatic efforts had helped reduce tensions in the region. He congratulated Field Marshal Asim Munir, Prime Minister Shehbaz Sharif, and the people of Pakistan, saying their efforts contributed to preventing a broader conflict.

The finance minister described the avoidance of war as a significant achievement and emphasized the importance of maintaining stability both economically and diplomatically.

Experts say that a faceless tax system could help reduce bureaucratic hurdles and improve transparency if implemented effectively. Similar systems have been introduced in several countries to limit direct contact between taxpayers and tax officials, thereby reducing opportunities for misconduct and increasing public confidence in tax administration.

The government is expected to provide further details regarding the implementation timeline and operational framework of the new system as part of its broader tax reform agenda.

Officials maintain that the reforms are designed to modernize revenue collection, expand the tax base, and create a more efficient and taxpayer-friendly environment while supporting Pakistan’s long-term economic goals.