ISLAMABAD: Pursuing its zero-tolerance policy against tax evasion in the sugar sector, the Federal Board of Revenue (FBR) has continued its stern enforcement actions against sugar mills found involved in violation of the Track and Trace System and the electronic monitoring system of FBR.
In continuation of these efforts and ongoing monitoring of sugar mills, on January 5, 2026, FBR staff stationed at Chanar Sugar Mill, Samundri, Faisalabad, sealed two chutes due to violation of the Track and Trace System. Similarly, on 06 January 2026, Safina Sugar Mills, Lalian, Chiniot, has been sealed for violations of FBR’s electronic monitoring system.
The Government of Pakistan reiterates its zero-tolerance policy against tax evasion and non-compliance in the sugar sector. These enforcement actions form part of a broader campaign to strengthen tax compliance, safeguard government revenue, and ensure transparency within the sugar industry.
Strict monitoring and swift enforcement actions will continue, even after the close of the crushing season, to ensure regular supply of sugar to end consumers after recovery of due taxes.
Earlier on January 4, 2026, in continuation of the above-mentioned actions and ongoing monitoring of sugar mills, FBR staff posted at Safina Sugar Mills, Laliyan, District Chiniot, sealed two chutes of the mill.
The action is taken due to the mill management’s failure to install the required digital eye cameras and NVR system on these chutes which are violations of track and trace rules as given in sales tax rules 2006. Consequently, the FBR team sealed both these chutes until mill management install digital eye camera and NVR camera on these chutes.
