As the continued protest by revenue officials crippled the activities of the National Board of Revenue (NBR), demanding the repeal of the new ordinance, the finance ministry today said it would turn the NBR into a specialised and separate agency.
It said the framework for strengthening the NBR and separating revenue policies through the establishment of a specialised institution—while safeguarding the interests of officials from the customs, excise, and taxes cadres—will be finalised following discussions with the NBR, the Revenue Reform Advisory Committee, and key stakeholders.
For all latest news, follow The Daily Star’s Google News channel. In order to strengthen the NBR and separate tax policymaking, the required amendments to the ordinance will be introduced by July 31.
Until the amendment is made, the ordinance will not be put into force, said the finance ministry in a statement.
The government expects that the concerns among tax, customs, and VAT officials will subside after the announcement, and that they will focus on revenue collection and resume providing services immediately, it said.
The announcement comes as protesting NBR officials have announced a complete shutdown from tomorrow, halting export and import services unless their four-point demands—including the repeal of the revenue ordinance—are met.
The protesters announced the programme on the ninth day of protests against the Revenue Policy and Revenue Management Ordinance, which seeks to dissolve the NBR.
The ordinance proposes forming two separate divisions—one for tax policy and the other for revenue collection—which the government says is intended to prevent conflicts of interest between policymaking and implementation.
NBR officials claim the provisions are discriminatory.
The demonstrations resumed late last week after negotiations between the officials and the government failed.
The ongoing protest has been disrupting imports, tax-related activities, and revenue collection, raising concerns about the NBR’s ability to meet its fiscal year targets.
On Thursday, the finance ministry softened its stance and said it would bring the “required amendments” to the ordinance.
In a statement issued later that day, protesting employees welcomed the announcement but said it fell short of addressing their core demands.
However, the import of medicines and life-saving equipment will remain outside the purview of the strike, it said.
