FBR to Crack Down on Tax Evasion in Key Sectors

The FBR has assured the IMF of aggressive action against tax evasion in Pakistan’s retail, real estate, and tobacco sectors using audits and tech tools.

According to the IMF’s latest review, the FBR will increase audits to identify high-risk taxpayers across key sectors. The CRM system will help pinpoint evasion, while more auditors will be hired for better enforcement.

The government also plans to expand the POS system for retailers, track irregular import patterns, and strengthen anti-smuggling efforts to boost revenue.

In the tobacco sector, audits will focus on acetate tow imports misclassified under wrong HS codes. Only registered firms will be allowed to import these materials using bonded warehouses. Transit imports to Afghanistan will be banned.

Additionally, the government aims to strengthen the track-and-trace system and checkpoint operations, especially in the northwest, to curb illegal trade.