MULTAN: The Regional Tax Office of the Federal Board of Revenue (FBR) has collected Rs 900 million from fertilizer companies on December 31, 2015.
According to details, the Regional Tax Office had detected massive tax evasion of Rs 1.66 billion a few months ago allegedly against two companies namely Pak-Arab Fertilizers and Fatima Fertilizers.
The Fatima Fertilizer Company Limited, which is also biggest manufacturer and supplier of fertilizer products in the country, has allegedly committed sales tax fraud with tax authorities during the last few years. Fatima Fertilizer Company was taken on the charges of tax evasion of Rs 1,668 million at it had concealed the stock of 264,443.500 metric tons from tax authorities which was manufactured in Fatima Fertilizers Sadiqabad and Pak-Arab Fertilizers Factory Multan.
During the investigation, the companies admitted to the concealing of their stock.They confessed in front of the RTO Multan about tax fraud of Rs 1.668 billion, which was done by not paying sales tax on fertilizers weighing 126,255 metric tons of Fatima Fertilizers and 138,188.500 metric tons of Pak-Arab Fertilizers.
The tax authorities have lodged two various FIRs against influential business tycoons, including their directors Arif Habib, Mian Faisal Mukhtar Sheikh, Mian Fawad Ahmed Mukhtar and Mian Fazal Ahmed.
The Fatima Fertilizer and its sister company have paid Rs 1.41 billion in three installments. They paid Rs 210 million in the first installment, Rs 300 million in the second installments and Rs 900 million in the third installment.
Fatima Fertilizer paid taxes in the last few days after detection of their massive tax evasion and they still have to pay outstanding taxes of Rs 25 million. Sources said that they will pay the remaining taxes to the department soon. The Federal Board of Revenue is taking action against big fish by setting examples which were involved in any misdeclaration and tax evasion. The Multan RTO has collected taxes from the tax evaders with backing and full cooperation of high –ups during all this matter.
