FBR certificates: Panel directs FIA to issue notices to 108 firms

ISLAMABAD: A parliamentary panel on Thursday directed the Federal Investigation Agency (FIA) to issue notices to 108 companies that received consumption certificates worth Rs 1,120 billion from the Federal Board of Revenue (FBR).

The Sub-Committee of the Senate Standing Committee on Interior and Narcotics Control, which met under the convenorship of Senator Saifullah Abro, directed the FIA to issue notices to companies that obtained consumption certificates worth billions of rupees. All these companies should submit the same documents before the FIA which they had earlier submitted before the FBR, the convener said.

During the previous meeting, the committee had directed the FIA to conduct an inquiry into Rs 1,120 billion in consumption certificates issued to different companies and to complete it within two months.

The parliamentary body discussed the matter related to tax exemption mechanisms in erstwhile Federally Administered Tribal Areas (FATA) and Provincially Administered Tribal Areas (PATA) regions. The committee reviewed issuance of consumption certificates by the Federal Board of Revenue (FBR) and Customs for imported raw material exempted from taxes. Non-taxable raw materials valued at 1,120 billion rupees entered in erstwhile FATA and PATA between 2018 and 2026, the convener said.

During the previous meeting Abro said that two companies, including Pakistan Tobacco Company (PTC) and Philip Morris (PMI) Pakistan Limited, are the biggest importers of cigarette raw material. He said that if 94 percent of tax has been evaded, then investigations of PTC and PMI should also be conducted. The committee, during the previous directed the concerned RTOs/LTUs to furnish complete details of taxes collected and imported material received by these companies.

Member, FBR, told the committee that FBR could not provide records related to PTC and PMI. Law did not permit FBR to disclose such kind of information, he said.

The committee issued directives to issue a show-cause notice to LTU Karachi for not attending the meeting. The parliamentary body directed the FBR to submit production details of all cigarette manufacturing companies, including the brand names. The committee also sought details of tax paid by the cigarette manufacturers and advertisements they published in both print and electronic media.

Copyright Business Recorder, 2026