Islam Abad
The International Monetary Fund (IMF) has demanded that the capacity of PRAL (Pakistan Revenue Automation Limited) be increased to prevent tax evasion.
According to sources in the Ministry of Finance, tax evasion will be caught with the help of technology in the next financial year. The PRAL system will immediately identify and take action against those who evade tax and misdeclaration.
Sources have said that the International Monetary Fund (IMF) has also demanded that tax evasion be stopped in the cement and steel sectors. The Federal Board of Revenue has not yet been able to implement the track and trace system in the cement sector.
Sources also say that the government had assured the IMF to implement the track and trace system in the cement, fertilizer, cigarette and cement sectors from July 1, 2024.
According to FBR sources, tax evasion in the steel sector is estimated to be Rs 80 to 90 billion annually. The FBR will have to bring all unregistered re-rolling mills into the tax net and will also have to collect General Sales Tax (GST) on re-rolling scrap.
