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Network of illegal cigarette brands is affecting tax revenue

Karachi: A recent survey has revealed that about 81% of cigarette brands sold in Pakistan do not have tax stamps, which is a major concern for revenue.

The position is that only 12% of brands complied with the legal stamp, and about 7% were brands that were found in the market with and without stamps.

The survey also revealed that the illegal cigarette distribution system is operating in parallel with the brands of legal companies, due to which the government’s tax net is weakening.

Experts say that strict surveillance at the retail level, complete verification of tax stamps and active intervention by law enforcement agencies are indispensable to control this fraudulent route.

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