KARACHI: The customs court directed investigation officer of Commissioner Inland Revenue Zone-IV, Regional Tax Office-I, Karachi to complete investigation and submit progress report against suspect namely Abdul Aziz, owner of M/s Victory International and others, who were nominated in first information report for commission of tax fraud by falsifying sales tax invoices.
On 29 December 2020, investigation officer submitted first information report (FIR) and stated that during the investigation, it was revealed that illegal and inadmissible input tax/ refund have deceitfully and fraudulently been adjusted and refund of sales tax was obtained on the basis of fake invoices and fake/ fabricated bogus documents.
He further submitted that the persons involved in running/ involved in running/ operating the fraudster units and beneficiaries mentioned at serial no 04 above, have fraudulently and jointly committed the tax fraud by way of using the fake sales tax invoices and adjusting illegal/ inadmissible input tax and claimed refund on the basis of fake sales tax invoices and fake/ bogus documents, by committing this tax fraud, they have deprived national exchequer of its legitimate revenue to the tune of Rs3.0 million and have violated the provisions of sales tax act, 1990.
Investigation officer stated that M/s Victory International are involved in the scam of issuance/ using of fake/ flying invoices claiming fake input/ refund invoices without any physical transfer of goods by way of obtaining unlawful/ fraudulent input tax adjustment and proceed of issuance of fake sales tax invoices of other suppliers/ buyers in the supply chain and not existent at the declared business premises, which is tantamount to tax fraud in terms of section 2 (37) of the sales tax act, 1990.
