FBR has introduced a more structured faceless audit and assessment framework through the National Faceless Center. According to the reported changes, proceedings relating to audit under sections 177 and 214C, unexplained income under section 111, and various assessment and amendment proceedings under sections 120, 121 and 122 may be conducted through the Center where the relevant cases have been assigned to it by the Board under section 122E(2).
The framework separates functions through different wings, including Audit, Assessment, Quality Control and Field Operations. The material also indicates that the system is designed to reduce direct discretionary selection and interaction at the jurisdictional level, with cases being allocated through the faceless mechanism. From a taxpayer’s perspective, this makes the quality of written submissions and documentary evidence even more critical. Where proceedings are substantially conducted electronically and different officers may perform audit, assessment and quality-control functions, explanations should be self-contained, properly reconciled and supported by documentary evidence at the appropriate stage. Businesses should therefore revisit how they maintain tax reconciliations, supporting schedules and responses to statutory notices rather than relying heavily on subsequent oral explanations.