ISLAMABAD: The Federal Board of Revenue (FBR) has decided to extend the track and trace system to beverages and petroleum sectors along with other sectors after issuance of letter to the successful company of the project. Sources told Business Recorder here on Thursday that the FBR is in the process of implementation of the track and trace project.
Track and trace project would now simultaneously be extended to tobacco sector, cement, sugar, fertiliser, beverages, and petroleum sectors.
The FBR will grant contract for providing IT-based solutions for electronic monitoring (track and trace system) for these sectors.
Earlier, it was decided that the system would be extended to the beverages and petroleum sectors at the later stage, but now both these sectors have been included after grant of contract to the successful bidder.
In order to prevent leakage of federal tax revenue and under-reporting of production and sales of tobacco, cement, sugar, and fertiliser products, and to ensure proper payment of duties/taxes on the manufacture and sale of these goods, the FBR is mandated to licence the development, implementation, operation and maintenance of a track and trace system.
Track and trace system would be rolled out from July 2021 that would help in enhancing revenue collection in the country.
The system would also monitor the beverages and help to overcome the issues of underinvoicing as well as expanding the tax base.
Copyright Business Recorder, 2021