- High-integrity officers now dominate key FBR posts.
- Low-rated officers removed from sensitive positions.
- 32 officers denied postings over integrity concerns.
ISLAMABAD: In response to concerns highlighted by the International Monetary Fund (IMF) in its Corruption and Diagnostic Assessment Report, the Federal Board of Revenue (FBR) has placed higher-grade officers on a performance monitoring list, making financial integrity a key factor in promotion decisions.
In a background discussion with a select group of reporters on Friday, the officials concerned said financial integrity had become a major factor in promoting FBR officers, The News reported.
It was claimed, citing official data, that the ratio of officers placed on a performance watch list compared with those promoted rose between 2023 and 2025, increasing from 2 percent in 2023 to almost 40% in 2025.
For grade 17 to 18 and grade 18 to 19 promotions, the ratio increased significantly, while for higher grades, the proportion of officers placed on the watch list also went up.
“In other words, roughly two in five officers considered for promotion in 2025 were also placed under scrutiny, compared with about one in 50 two years earlier,” an official added.
The FBR’s RSS — officially known as the Rating and Reward System (RRS) — is an internal performance management and multi-rater feedback scheme launched for officers (BS-17 and above) to assess their competence and distribute financial rewards.
For the first time, a performance management mechanism has been adopted, with forced peer reviews achieving 97.4% , 99.5% and 100% completion across the last three evaluation cycles.
The FBR high-ups argue that this has provided a reliable mechanism to judge the integrity and professional competence of officers and decide their postings, promotions and rewards.
The share of officers with low integrity ratings (graded C, D or E under internal system-based assessments) in critical Inland Revenue positions has fallen from 74% in July 2023 to 11% by June 2026, with 89% of those posts now held by high-rated officers (A or B).
In Customs, the share of low-rated officers in critical posts declined from 71% in January 2023 to 9% in June 2026.
Although there are pros and cons of the RSS, it is being implemented to reward officers based on performance rankings, with four basic salaries for the top 20% of officers, three basic salaries for the next 20% , and no reward for the bottom 20%.
The tax machinery has also claimed to have carried out a sustained self-accountability drive. FBR figures show that disciplinary proceedings resulting in major penalties against staff have nearly doubled, rising from 38 cases in FY2023-24 to 49 cases in FY2024-25 and 75 in FY2025-26.
The suspensions of Inland Revenue Service (IRS) and Customs officers in grades BS-16 to BS-21 increased from 33 in FY2023-24 to 106 in FY2024-25 and 105 in FY2025-26.
As of April 2026, the FBR said 32 officers with questionable reputations — 14 from the Inland Revenue Service and 18 from Customs — had been sidelined and denied postings. The majority of them were BS-20 and above.
The crackdown also resulted in criminal cases against two officials, with cases registered by the Federal Investigation Agency (FIA). Two Preventive Officers were also named in cases.
An additional collector of customs was also arrested on alleged corruption charges, officials concluded.
