FBR busts major network involved in tax evasion through 'benami' sales

KARACHI: The Federal Board of Revenue (FBR) on Tuesday busted a major network involved evading billions of rupees in taxes through 'benami' sales, officials said.

The FBR officials said that several sugar and textiles mills, and other major enterprises had been evading taxes worth billions of rupees.

They said these entities registered their sales under the names of labourers and drivers, instead of their actual owners.

The officials said these enterprises had been dodging the revenue authority by evading income and sales taxes through these 'benami' sales.

"The scheme was being used to hide earnings and evade sales tax of entire supply chain," they said. "The FBR has widened the scope of its investigation into the matter."

Sugar and textile mills owners has also been evading taxes by showing lesser sales, the officials added.