FBR Asked To Device Mechanism To Control The Illicit Trade Of Tobacco
Fakhir Rizvi 4 months ago Wed 12th September 2018 | 11:18 PM
The Senate Special Committee on Causes of Decline in Tax Collection of Tobacco Sector Wednesday directed Federal Board of Revenue (FBR) to develop a comprehensive mechanism to control illicit trade of tobacco, which has been causing loss of billions of rupees to national exchequer.
ISLAMABAD, (UrduPoint / Pakistan Point News - 12th Sep, 2018 ) :The Senate Special Committee on Causes of Decline in Tax Collection of Tobacco Sector Wednesday directed Federal Board of Revenue (FBR) to develop a comprehensive mechanism to control illicit trade of tobacco, which has been causing loss of billions of rupees to national exchequer.
The committee, which met here with Senator Kalsoom Parveen in the chair, also asked FBR to identifying the market share of different companies to determine the tax and directed it to prepare a report on the subject and submit before the committee within 15 days.
The committee also observed that illicit trade of tobacco was harming the national economy badly and asked for taking strict measures to stop the illegal trade of tobacco.
They asked for proposing an equitable taxation for providing level playing fields to local as well as multi-national companies to stop the smuggling of the commodity, which was denting to the national economy in tune of billions of rupees annually.
Speaking on the occasion, Senator Muhammad Azam Khan Swati said that 3rd tier was introduced in the cigarettes manufacturing industry to enhance the tax collection, adding that after introduction of 3rd tier the tax collection witnessed drastic decrease.
He stressed the need for introducing tracking system to check the illicit trade of tobacco and bringing the culprits to task as it was harming the national economy by tax evasion.
Meanwhile, Chairman FBR apprised the meeting that 3rd tier of taxation in tobacco industry was introduced with the approval of the parliament, which was aiming at controlling the illegal trade of the commodity.
He said that FBR was determined to control the illegal trade and promoting the legal business activity by bringing reforms in its administration and policy reforms, adding that tracking system on cigarettes and supervised monitoring system on Green Leave Thresher would be launched to overcome the illegal movement of tobacco.
The Committee also offered Fateha for the departed soul of late Begum Kulsoom Nawaz and prayed to Allah Mighty Allah rest the departed soul in eternal peace and grant patience to the bereaved family members.
The Senators, Muhammad Azam Khan Swati, Dilawar Khan and Dr Ashok Kumar attended the meeting, where as senior officials of concerned departments were aslo present on the occasion.