Prime Minister Imran Khan on Tuesday launched a track and trace system (TTS) of the Federal Board of Revenue (FBR) to curb tax evasion in the sugar sector.
The TTS will help government authorities supervise the transportation of sugar from sugar mills as the government seeks to control tax evasion in the sugar industry.
Speaking at the launch on the occasion, Imran Khan said people had stopped trusting the tax system of Pakistan, but the steps taken by the current government helped restore people’s confidence in the tax system. He also elaborated the measures taken by his government over the past three years to improve the tax system.
Talking about the TTS, Imran Khan said, “It is an integrated, technology based solution that shall ensure accurate reporting of production volumes through real time monitoring of manufacturing by affixation of tax stamps, improve quality control and thus ensure increased revenue collection.”
“Track and Trace System will serve as a central pillar of that economic policy and shall revolutionize tax collection across Pakistan,” he added.
Commending the Federal Board of Revenue for their untiring efforts to implement the TTS in the shortest possible time, Imran Khan hoped the board FBR will be able to collect Rs. 6 Trillion by the end of current financial year.
The premier also stressed the need to promote and strengthen Pakistan’s tax culture by assuring people that their taxes would be spent on their own welfare and not on the luxuries of rulers.
“FBR will have to play a role in restoring the confidence of the people in the tax system,” inisited Imran Khan.
Industries under TTS
Following the inauguration of TTS, the sugar industry becomes second after cigarettes to be scrutinized through the electronic monitoring system. The FBR is considering expanding the electronic track and trace system to other industries as well, including:
- Beverage industry
- Cement industry
- Fertilisers
- Iron sector, and
- Petroleum sector
The Track and Trace System
Under the system, effective Nov. 11, no production bag of sugar can be taken out of the factory or manufacturing plant without a stamp and individual identity mark. The FBR has already notified all stakeholders about TTS through specific rules.
The unique identification markings (UIMs) are to be obtained/procured from FBR’s Licensee AJCL/MITAS/Authentix Consortium.
The track and trace system is expected to ensure transparency in tax collection, enhance the country’s revenue collection and help to restore confidence of people in FBR.
Advisor to the PM on Finance & Revenue Mr. Shaukat Tarin, Cabinet Members, Parliamentarians, Federal Secretaries, office bearers of Sugar Mills Association, Chairman FBR Dr. Muhammad Ashfaq Ahmed and senior officers of FBR attended the graceful ceremony.