FBR Granted Authority to Recover Funds Without Prior Notice Under Tax Ordinance 2025.

FBR Granted Authority to Recover Funds Without Prior Notice Under Tax Ordinance 2025.

By M.Ilyas Mullakhel

ISLAMABAD – The Federal Board of Revenue (FBR) has been granted sweeping powers to recover tax dues directly from taxpayers’ bank accounts and seize properties without prior notice, under the newly promulgated Tax Laws (Amendment) Ordinance 2025.

According to the ordinance issued by President Asif Ali Zardari, the FBR can now recover outstanding tax amounts from bank accounts or movable and immovable properties of taxpayers immediately after court rulings, without the requirement of issuing any further notice.

This major change has been introduced through an amendment to Section 138 of the Income Tax Ordinance, 2001. As a result, the FBR no longer needs to issue notices before initiating tax recovery procedures.

Furthermore, the ordinance authorizes the FBR to deploy its officers at business premises and factories to oversee production processes, monitor the supply of goods, and inspect unsold stock. This move is aimed at enhancing transparency and ensuring accurate tax collection from businesses across the country.

The new powers are part of the government’s broader efforts to strengthen tax enforcement and improve revenue generation.