FBR-Nadra Biometric App will simplify registration for overseas and remote taxpayers through mobile verification.
In a forward-thinking move to address growing concerns over accessibility in Pakistan’s taxation system, the Lahore Tax Bar Association (LTBA) has urged the Federal Board of Revenue (FBR) and the National Database and Registration Authority (Nadra) to launch a secure mobile application for sales tax biometric verification.
The proposal aims to remove logistical roadblocks currently hindering taxpayers, especially those residing overseas, in underdeveloped regions, or facing physical challenges. As Pakistan leans into digitization and automation of revenue collection, such a solution aligns with FBR’s broader digital transformation goals for 2025.
Key Problems with Current Biometric System
SRO 350(1)/2024 Requirements Create Accessibility Gaps
The sales tax registration system mandates biometric verification under SRO 350(1)/2024, which must be completed both at registration and annually. Currently, this is only possible via Nadra’s physical infrastructure, limiting access for:
- Overseas Pakistanis temporarily living or working abroad
- Residents of remote or underdeveloped areas
- Elderly or physically challenged individuals
These citizens face delays in registration, missed deadlines, and restricted access to the tax ecosystem, despite a willingness to comply.
Proposed Solution — A Secure FBR-Nadra Mobile App
The LTBA’s proposed mobile application would offer biometric services using smartphone-based facial recognition or fingerprint scanning. This mobile-driven solution would involve secure integration between FBR and Nadra’s data systems.
Key Features of the Proposed App
| Feature | Description |
|---|---|
| Remote Verification | Facial/fingerprint scan via smartphone |
| Secure Integration | Real-time sync between FBR and Nadra databases |
| User Authentication | Two-factor login and device locking for privacy |
| Biometric Annual Updates | Users can perform annual checks without visiting Nadra offices |
Benefits of a Digital Sales Tax Biometric App
Enhancing Compliance and Inclusivity
The mobile app would remove physical access barriers, especially for:
- Overseas taxpayers who are often non-compliant due to inaccessibility
- Rural residents where Nadra offices are miles away
- Senior citizens and disabled taxpayers who face mobility issues
Boosting Revenue and Tax Base
The app could encourage greater participation in the tax system, improving:
- Sales tax return filing rates
- Active taxpayer registrations
- Overall tax revenue due to improved accessibility
Challenges the App Would Solve
| Problem | How App Solves It |
|---|---|
| No remote verification for overseas users | Enables remote scanning via phone |
| Delays in registration activation | Instant verification reduces wait time |
| Non-compliance due to accessibility issues | Inclusive design boosts voluntary filing |
| Resource stress on Nadra offices | App reduces foot traffic and queues |
FBR’s Vision and LTBA’s Alignment
This digital proposal reflects FBR’s broader Vision 2025, which emphasizes:
- Automation of tax infrastructure
- Ease of doing business for individuals and SMEs
- Expanding the tax net through inclusivity and digital onboarding
The LTBA’s letter to FBR calls this step “transformative” and necessary to ensure Pakistan’s taxation system does not exclude those willing to comply but unable to travel.
Conclusion
The LTBA’s proposal for a sales tax biometric mobile application reflects a pressing need for inclusive digital transformation in Pakistan’s tax system. By eliminating physical barriers, the FBR and Nadra could empower overseas citizens, rural communities, and vulnerable populations to comply easily and securely with tax laws. With strong alignment to FBR’s vision for a paperless, accessible, and modern revenue framework, this step could redefine the future of taxpayer facilitation in Pakistan.
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