Pakistan’s tax authority is preparing to expand the use of artificial intelligence to check tax returns and catch undeclared income and assets, a senior official said.

The Federal Board of Revenue (FBR) plans to cross-check tax declarations against property, banking and vehicle records. After a pilot covering a limited number of income tax and sales tax returns, the models will be applied to income tax filings for the year ended June 2026.

“This time the system will leave nowhere to hide,” the official told Arab News, speaking on condition of anonymity. “It does not get tired and it does not miss a line.”

The official said flagged returns could be selected for audit, face assessment proceedings, or trigger compliance nudges asking taxpayers to correct their filings. A flagged discrepancy would require examination but would not by itself prove fraud.

The move is part of Pakistan’s efforts to widen its tax base and raise revenue under its IMF-backed economic reform programme. The FBR’s campaign this year carries the slogan “FBR Sab Janta Hai” — the FBR knows everything.