PM directs to curb smuggling, tax evasion in cigarette industry

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Prime Minister Shehbaz Sharif has directed to take immediate measures to curb smuggling and tax evasion in the cigarette industry.

He gave these directions, while chairing a high-level meeting in Islamabad on Wednesday to end smuggling and tax evasion as well as illegal transportation of tobacco in the country.

The Prime Minister also instructed the Federal Board of Revenue to ensure achievement of tax targets, set for the current fiscal year. He said tax evaders should be brought to justice. He said the system of tax collection should be improved by using modern technology and its better enforcement. 

The meeting was informed that a track and trace system has been installed at most of the cigarette factories on the directions of the Prime Minister that has led to a significant improvement in the tax collection.  It was told that 83.5 billion rupees were collected in this sector from July to December, which is 26 percent higher than the tax collected during the same period last year.

Shehbaz Sharif advised FBR to devise a comprehensive strategy to improve tax collection so that tax evasion can be eliminated. He appreciated efforts of the FBR officials and directed the bureau to further expedite its work to improve tax collection.

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