ISLAMABAD: The Federal Board of Revenue (FBR) has detected cases of sale tax evasion amounting to Rs14.5 billion.
According to a media report, during the last two months, the Board’s Directorate General of Intelligence and Investigation (DG I&I) found some 6,186 cases of sales tax evasion amounting to Rs14.5 billion.
An investigation launched in November last year into all tax returns with negative carry forward amount of sales tax led to the detection of the cases.
On October 29, 2018, the government restored powers of the Federal Board of Revenue (FBR) DG I&I to carry out criminal prosecution against sales tax evaders after a delay of 15 months.
The report in Dawn said that more detections are expected involving billions of sales tax evasion. It quoted an official of FBR as telling the newspapers that the Board has extended the scope of investigation into some specific sectors.
As per the investigation of DG I&I, a pattern of negative balance pertaining to unadjusted credit available for the purpose of refunds was detected from the analysis of sales tax returns.
Further analysis revealed that taxpayers have illegally enhanced their carry forward amount which resulted in short payment of sales tax in subsequent tax periods.
The official said data was sent to the concerned large taxpayers units (LTUs) and regional tax officers (RTOs) across the country for recovery of sales tax from the identified 6,161 cases.