ISLAMABAD:

The tax authorities have admitted that the entire current gap of Rs3.6 trillion in sales tax collection cannot be eliminated due to the fragmentation and informality of the retail sector, in an assessment that underscores the challenge of pooling due taxes from all economic sectors.

The assessment has recently been shared with the Prime Minister's Office, indicating that in the retail sector alone, the tax gap was nearly one-tenth, or Rs310 billion.

However, the Federal Board of Revenue (FBR) also claimed it collected Rs874 billion in the last fiscal year through enforcement measures. The Express Tribune had sent questions to the FBR on September 15, requesting a breakup of the Rs874 billion, but the authority did not provide details till the filing of this story.

Sources sa

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