The Integrated Risk Information System (IRIS) developed by the Federal Board of Revenue (FBR) has become a pivotal tool in managing tax compliance and streamlining administrative processes. Designed to enhance transparency and efficiency in the taxation system, IRIS integrates various aspects of tax administration, allowing for a more cohesive and accessible platform for both taxpayers and tax authorities.
How IRIS Works
IRIS is an advanced digital system that automates and facilitates various tax-related functions, including filing returns, managing tax records, and ensuring compliance. Its primary features include:
- Atomated Filing: IRIS enables taxpayers to file their tax returns online, reducing the need for physical paperwork and manual processing. This automation helps in minimizing errors and processing times.
- Real-time Monitoring: The system offers real-time updates and monitoring capabilities, allowing both tax authorities and taxpayers to track the status of tax filings and payments efficiently.
- Integrated Data Management: IRIS consolidates data from multiple sources, providing a comprehensive view of taxpayer profiles and enhancing the accuracy of tax assessments.
- Compliance Checks: The system employs algorithms and data analytics to identify discrepancies, ensuring that tax filings comply with legal requirements.
Challenges Faced by Taxpayers
Despite its advantages, IRIS has faced criticism and challenges from taxpayers. One major concern is the system’s complexity and the learning curve associated with its use. Taxpayers, particularly those with limited technological proficiency, often struggle to navigate the system effectively.
Additionally, there have been reports of technical glitches and system downtimes, which can disrupt the filing process and cause delays. Such issues are particularly concerning as the deadline for compliance approaches.
Recent Developments and Concerns
As the deadline for certain compliance activities approaches, specifically September 30, 2024, there has been increasing anxiety among taxpayers. The FBR has issued numerous notifications emphasizing the importance of meeting this deadline. However, instead of offering relief or remedial measures, these notifications have been perceived as threatening.
Taxpayers are concerned that the FBR’s approach could lead to penalties and legal complications for those who are struggling with the system. The focus on the looming deadline, without corresponding support or extensions, has heightened these worries.
Conclusion
While the IRIS system represents a significant step forward in tax administration, it is not without its issues. As the September 30, 2024, deadline approaches, it is crucial for the FBR to address the challenges faced by taxpayers. Providing additional support, addressing technical issues, and considering extensions or relief measures could help alleviate the current concerns and ensure a smoother transition for all stakeholders involved.
