RIYADH: More than 24,000 packs of cigarettes that were stored by a private establishment in the Eastern Province were confiscated by authorities for evasion of the zakat tax.
The Ministry of Commerce and Industry (MCI) conducted the raid in cooperation with the selective tax working group of the General Authority for Zakat and Tax (GAZT) in Dammam. The inspection teams seized 24,810 cigarette packs in an apartment belonging to an establishment in Dammam. The large quantity of tobacco products exceeded the minimum tax threshold estimate of SR60,000 ($16,000). According to an official from the ministry, the owner of the establishment failed to notify authorities of the large stock of cigarettes in his possession.
Earlier, the GAZT announced that stored goods exceeding the minimum tax threshold should be registered for payment of the prescribed tax. Those who fail to register and pay the tax are considered violators of the selective tax law. Those found guilty would be subject to investigation, prosecution and legal penalties. The GAZT, in cooperation with MCI inspection teams and Saudi customs, has appealed to citizens and residents to notify authorities of violations, for which they will be rewarded.
