KPRA is governed as a public corporate entity, with relative autonomy placed under the Finance Department for interface with the Government. It is governed by the Policy Making Council chaired by the honourable Chief Minister, Khyber Pakhtunkhwa and comprising of three cabinet ministers, Chief Secretary, Secretaries of the respective departments and four representatives nominated by the Government from the private sector.

The Council is a policy making body for the Authority which formulates policy guidelines pertaining to tax administration, planning, reforms, budget and any other matter referred to it. The policies formulated by the Council are binding upon the Authority.

The Director General KPRA acts as Secretary to the Council and is responsible to implement all the decisions of the Council through the respective Directors and Collectors of the Authority and submit a progress report to the Council in this behalf.

The Authority comprises of Director General and not less than three Directors who are appointed by the Government. Presently the Authority is comprised of one Director General and five Directors. The Director General acts as Chief Executive of the Authority.

Figure visually summed up the governance framework of the Authority.