Pakistan’s Federal Board of Revenue has proposed expanding the use of artificial intelligence and automated data-matching to scrutinise individual income tax returns, allowing possible factual, legal and reporting discrepancies to be identified before formal enforcement or penal proceedings begin. The proposed framework is contained in draft Rule 38-B, titled “Procedure for Electronic Scrutiny and Intimation of Issues Detected by the Automated System,” which would be inserted into the Income Tax Rules, 2002. The FBR has invited stakeholder feedback before finalising the rules. Under the proposed mechanism, the automated system would analyse tax returns and cross-match information declared by taxpayers with