20000126

A saving of Rs 46.2m

1,000 to lose jobs in CBR down-sizing exercise

JAVED MEHMOOD

ISLAMABAD: In order to carry out a comprehensive surgery in the over-staffed Central Board of Revenue, the economic managers have decided to abolish 1,000 posts from top to toe (Grades 1 to 21) to save Rs 46.20 million a year, it was learnt.

Unfolding the right-sizing plan in the CBR, official sources said that in the first phase six posts of 'Members' had been abolished, and from Tuesday, the second phase, the CBR further has eradicated 31 posts, including two posts in BS-21, eight in BS-22, directors and chiefs, and 21 posts of deputy directors, secretaries in grade 19.

They said that on last Monday a meeting was held in the CBR, which was chaired by Finance Minister Shaukat Aziz and attended by CBR Chairman, Riaz Hussain Naqvi and sitting members. During this meeting, a plan was chalked out to right-size the board by purging the unwanted and corrupt officials from the organisation, an official said.

According to the plan the number of existing collectorates of customs, central excise and sales tax are being reduced from 25 to 19. The functions of collectorate of central excise, Karachi, have been merged with the collectorates of sales tax, East and West, Karachi, whereas the collectorates of central excise and sales tax, Lahore, have been merged.

The collectorates of sales tax, customs and central excise, Hyderabad, hitherto functioning separately, have also been converted into one collectorate.

The functions of collectorates of customs appraisement and export, Lahore, have also been unified. Besides, the collectorate of customs, central excise and sales tax, Quetta, and collectorate of sales tax, Hub, have also been merged and made one administrative unit and the same strategy will be applicable for the collectorates of sales tax, customs and central excise, Multan.

The measures would be effective from February 1, 2000. The right-sizing of the direct taxes administration is also under review by the government, and a decision in this regard is expected shortly.

It may be recalled that the International Monetary Fund and the World Bank had asked the previous government to right-size the Central Board of Revenue, reorganise it and reform it to change the culture of taxation in the country.

The previous government had made a commitment with the donors to carry out this plan, but it continued to defer it on one or the other pretext, causing annoyance to the donors.

The World Bank is also considering a loan for Pakistan to implement tax reforms. To fulfil the demand of the donors the current team of economic managers has initiated reforms and down-sizing in the CBR that may be completed in a couple of months, said the official sources.

However, the fever of right-sizing has scared the officials of CBR and everyone is feeling that his job is insecure, and down-sizing has become a 'hot topic' within the tax machinery these days.