ISLAMABAD: After a tax fraud worth millions in the name of farmers, Federal Tax Ombudsman (FTO) ordered the Federal Board of Revenue (FBR) to take action against the tractor manufacturing company and 82 dealers.
The Federal Tax Ombudsman (FTO) issued an order in favour of poor farmers of Sindh to the Federal Board of Revenue (FBR) to investigate an alleged tax fraud scandal of Millat Tractors Limited (MTL).
It was learnt that the tractor manufacturer had committed a tax fraud worth over Rs14.88 billion in term of sales tax refund from 2017 to 2022.
The FTO had issued a detailed order against the Millat Tractors Limited (MTL) on February 10 following the complaint of the senior vice president of the Sindh Chamber of Agriculture – Hyderabad chapter over alleged misappropriation in a sales tax refund.
The ombudsman also directed to investigate 82 dealers for the alleged tax fraud and asked the FBR to submit a report within 90 days.
The complainant stated that the manufacturer had committed the tax fraud via national identity cards during the sale of tractors in order to make black money into white.
It added that the firm used different national identity cards instead of actual buyer. The FTO also stated in its order that the tax fraud also exposed the negligence of the concerned department as the tractors were sold to those persons who do not own agricultural land.
