The BCS Taxation Association has called to immediately rescind the draft ordinance that proposes dissolving the National Board of Revenue (NBR) and replacing it with two separate entities -- the Revenue Policy Division and the Revenue Management Division.

Under the draft "State Policy and Revenue Management Ordinance, 2025", both the NBR and the Internal Resources Division will be abolished.

Describing the ordinance as inconsistent, the association argued that it fails to address the legal challenges and administrative complexities that would emerge in revenue management after the dissolution of the NBR.

"The draft is a 'hastily prepared' document which lacks proper stakeholder engagement," the association said in a statement, circulated today following a special general meeting on Saturday.

They also raised questions to determine whether the abolition of the NBR is necessary or justified.

"It requires massive stakeholder consultation, comprehensive review and expert assessment."

Despite the direct involvement of thousands of officials from the income tax, VAT, and customs departments, this major administrative reform was pursued without any consultation with them, it said.

The association warned that the draft ordinance would undermine the rights and career progression of revenue officers, lead to administrative confusion in tax management, and potentially harm fiscal policy and national development.

The association also urged the formation of a high-level national commission or committee involving economists, legal experts, business representatives, tax professionals, and departmental officers to advise on meaningful and effective revenue reform.

The association stressed that reforming the revenue sector should not be reduced to a bureaucratic restructuring exercise.

The association emphasised that the aim should be to go beyond mere structural separation in the name of revenue reform, instead recommending the government prioritise key actions such as formulating a sustainable revenue policy, amending relevant laws, modernising and automating tax administration, and strengthening the NBR's institutional capacity.