ISLAMABAD – The Federal Board of Revenue (FBR) unearths tax evasions worthbillions of rupees in Lahore and Karachi.
FBR has unearthed sales tax evasion of Rs. 18 billion by a corporatetaxpayer during the last five years, reported a local media house.link
According to the report, the Large Taxpayers Unit (LTU) Karachi discoveredthat the taxpayer did not declare its sales and purchases properly. LTUKarachi, a major revenue collecting arm of the FBR, has jurisdictions overbig volume companies.
The report, quoting the sources, said that the tax evasion was discoveredafter detailed scrutiny of monthly sales tax returns filed by the taxpayerbetween 2015 and 2019. However, they didn’t mention the company’s name.
LTU said the discovery was made when the taxpayer’s sales tax returns werescrutinized ‘in-depth’ revealing huge anomalies in declared sales. “Thetaxpayer has been served with the statutory notice under the relevantprovisions of Sales Tax Act 1990 and collection of evaded sales tax isexpected,” the unit said in a statement.
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In another case, the LTU Karachi detected a taxpayer who claimed illegalbrought forward losses of Rs. 21 billion. The revelation was made when thetaxpayer’s past assessment record was assessed which revealed that thetaxpayer claimed losses of Rs. 21 billion compared to actual assessedlosses of Rs. 10 billion, said the report.
It further stated that the taxpayer was indulged in brought forward lossesfor the past six years. While this was allowed under the law, the scrutinyrevealed that the taxpayer exaggerated the losses and was trying to dodgethe tax authorities to reduce his income tax liabilities.
