Key Takeaways
- FTT calls for an urgent review of the Rs 40 billion estimate of tax evasion in the cigarette sector.
- The FTT Chairman, Muhammad Amin, presented the call at a media event in Islamabad.
- The FTT claims the figure is inconsistent with the size of the illegal market and earlier revenue-loss estimates.
The Fair Trade in Tobacco (FTT) has called for an urgent review of the Rs 40 billion estimate of tax evasion in the cigarette sector, according to a statement issued at a media event in Islamabad.
Speaking at the event, FTT Chairman Muhammad Amin highlighted the inconsistency between the reported tax-evasion figure and the size of the illegal market, as well as earlier revenue-loss estimates.
Amin stated that the current estimate appears to be at odds with the actual scale of the illegal trade, suggesting a need for a thorough reassessment.
The FTT’s concerns stem from the discrepancy between the reported tax-evasion figure and the estimated size of the illegal market, which the organization believes is smaller.
Earlier revenue-loss estimates from the sector have also been cited as a basis for the FTT’s call for a review, indicating that the current figure may be overestimated.
The FTT’s call for a review is aimed at ensuring accurate and fair taxation in the tobacco industry, which is crucial for government revenues and public health.
The tobacco industry is a significant contributor to the national economy, and any discrepancies in tax collection can have far-reaching implications.
The FTT’s statement comes at a time when the government is increasingly focused on revenue collection and the regulation of the tobacco sector.
