ISLAMABAD: Following the directives of the Presidency, the inquiry by the audit department of the Federal Board of Revenue (FBR) has finalised a demand of Rs18 billion in sales tax on the tractor maker.

The case relates to an inquiry by the FBR against Millat Tractors Ltd (MTL), related to sales tax thefts under benami laws but the company challenged the action by the FBR at the Federal Tax Ombudsman (FTO).

The FTO issued three orders against the company during 2022-2023, and the company and the FBR filed seven appeals with the President of Pakistan from Jan 31 to March 2023.

On Nov 11, 2023, the president directed FBR to restore the investigation against MTL over an alleged inadmissible sales tax refund of over Rs12bn obtained on ‘Benami’ transactions for the tax period 2018-2022.

The compliance report submitted by the LTU Lahore to the President of Pakistan, recently, has highlighted that demand of Rs18.21bn has been created against the said company in line with the recommendations of the FTO.

Published in Dawn, February 4th, 2025

Follow Dawn Business on Twitter, LinkedIn, Instagram and Facebook for insights on business, finance and tech from Pakistan and across the world.

Opinion

Editorial

Maintaining balance
Updated 16 Feb, 2025

Maintaining balance

It must take a more proactive approach to establishing Pakistan’s bona fides.
Welcome return
16 Feb, 2025

Welcome return

IT is almost here; the moment Pakistan has long been waiting for — the first International Cricket Council...
Childhood trauma
16 Feb, 2025

Childhood trauma

BEING a child in this society should not be so hard. But recurrent reports of child abuse — from burying girl...
The Peca problem
Updated 15 Feb, 2025

The Peca problem

The fight for fundamental freedoms is not the media’s alone, but one that concerns every citizen.
Miners in danger
15 Feb, 2025

Miners in danger

YESTERDAY’S devastating terrorist attack in Harnai, which killed at least 11 coal miners and injured seven others,...
Solar panels scam
15 Feb, 2025

Solar panels scam

THE scam involving over-invoicing to the tune of more than Rs69bn in the import of solar panels raises many ...