The FBR’s efforts to curb the trade of illicit cigaretted=s are commendable, however, national level policies are necessary such as the implementation of a track and trace system to disrupt the supply of these cigarettes. Illicit cigarettes are openly being sold in the country. This is not only hurting the country economically, but also affecting the country's tax-compliant sector. These illicit cigarette manufacturers have taken all steps to get out of the FBR’s jurisdiction, so that their illegal activities continue without any issues.
In a recent raid in Kunri, the FBR seized a stock of 353 cartons of illicit cigarettes which, if sold, would have caused a loss of Rs7 million in taxes to Pakistan. This amount has revealed tax evasion of millions of rupees in just one case, one can only imagine the overall monetary loss to the country’s economy due to the sale of these items.
Abu Bakar
Karachi
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