Sales tax evaders face severe penalties and possibly possible incarceration, according to the Chairman of the Federal Board of Revenue (FBR). Evaders may face a punishment of Rs 5 lakh, which may rise to Rs 2.5 million if they seek to evade the law again.
In a meeting of the Senate Standing Committee on Finance, he disclosed this. The Committee meets on a regular basis to go through all of the budget ideas in detail.
Officials from the FBR confirmed that a first-time evader would be penalized Rs. 500,000, with a punishment of Rs. 1 million if caught a second time.
If evasion is detected after the third time, the maximum penalty is Rs. 1.5 million, and if evasion is discovered after the third time, the fine is Rs. 250,000 plus six months in jail.
Senator Farooq Naek argued that the evader should not be imprisoned if they had sold their firm. He went on to say that if the fine is not paid, the evader should be prosecuted. He noted that closing their firm would be equal to “financial suicide.”
The FBR discovered that the POS system lacked a monitoring mechanism and that when someone makes a purchase, the receipt is automatically entered into the FBR Prize Scheme. However, some persons have tampered with the devices, causing them to fail to disclose the true cell, according to the FBR Chairman.
The committee recommended that the FBR have a procedure in place to track down the originating cell.
Some delegates also expressed dissatisfaction with the fact that they had reserved containers before to the import restriction, which they are now unable to collect. Senator Saleem Mandviwala responded by directing the FBR to address the importers’ concerns.
For the latest Business & Tech news, follow on Facebook, and Google News. For the latest news on business & technology
Discussion about this post