Prime Minister Imran Khan has called for introducing track and trace system to avoid massive tax evasion in major sectors such as sugar, cement, fertilizers and tobacco industry.
The premier has chaired a meeting of the federal cabinet in Islamabad on Tuesday. The PM states that the Federal Board of Revenue has been striving to bring this system over the last fifteen years but every time their efforts are sabotaged.
“Only two companies are paying taxes in the cigarette industry whilst forty percent cigarettes are being sold in black,” mentions the PM.
The PM further states that FBR has assured to roll out the track and trace system by July this year, however, the Sindh High Court has given a stay on it.
The Law Minister has been directed to take the high court into confidence regarding the government’s intention and get stay order reversed.
According to the PM, due to tax evasion, the government has to rely on indirect taxes which leads to price hike.