LAHORE: The Punjab Revenue Authority (PRA) has uncovered around 50 aesthetic clinics in Lahore that are reportedly generating billions of rupees annually without paying any tax.
One such clinic, operated by a foreign national, recorded sales of up to Rs1.8 billion in a single year.
“These clinics were never on the tax radar, but our ongoing survey—aimed at expanding the tax net to 11 new sectors—has identified them for the first time,” PRA Chairman Moazzam Iqbal Sipra said. “We have now traced their multibillion-rupee sales on which no tax was previously paid.”
The PRA, established under the PRA Act 2012, is mandated to modernise tax administration, improve compliance, and develop a robust provincial revenue system. Although its network was originally planned to cover all districts, expansion was delayed for years. The government has now revived this effort.
Sipra said surveys of 11 additional sectors—including property developers, private construction, aesthetic clinics, beauty parlors, car dealers, property dealers, event management firms, warehouses and cold storage facilities, and fashion designers—are currently in progress. The survey is expected to conclude within a month, after which the PRA will begin taxing these sectors.
He added that geo-tagging of 20,000 newly identified marriage halls, hotels, restaurants, and caterers has been completed, and tax notices will be issued soon. Around 9,000 such businesses are already registered with the PRA.
The authority’s coverage, initially limited to eight major districts, later expanded to 16. Under the chief minister’s direction, the PRA now aims to operate in all 36 districts and is currently securing buildings to establish offices in the remaining 20 districts—expected to be completed within 15–20 days.
Sipra acknowledged gaps in internal audit mechanisms, which were previously handled solely by enforcement officers at headquarters. New vigilance, IT, and system-based audit frameworks are being developed. The PRA currently has just 60 enforcement officers, compared to 400 in Sindh, and is recruiting 200 additional officers through the public service commission.
He also announced an upcoming user-friendly online system that will allow businesses to register digitally and enable customers to verify whether service providers have deposited collected taxes. If a business is found withholding payments, the system will automatically generate a complaint that could lead to its closure. Amendments to relevant laws and rules are also underway to strengthen penalties for tax evasion.
