Prime Minister Shahbaz Sharif of Pakistan has declared the Track & Trace system, a digital monitoring system to curb tax evasion, a complete fraud to the nation and economy.
The Track & Trace system, a digital monitoring initiative implemented in 2019 to combat tax evasion, was initially introduced in the cigarette industry and later expanded to other sectors such as fertilizers and sugar.
However, during a cabinet meeting, Sharif expressed his disappointment with the system’s performance, stating that it failed to deliver the expected benefits in the cigarette industry.
“The system was nothing but a cruel joke to this nation,” Sharif said, adding that the agreement for the Track & Trace system was made in 2019, but the implementation was severely flawed.
He added that the Track & Trace system could have generated billions in revenue for the country, but it was utterly mismanaged.
Commenting on the issue, macroeconomic analyst Osama Siddiqui said, “The country has not only lost billions in potential revenue but also crucial years that could have been utilized for the betterment of the economy.
He said the government should take stern action against the main culprits and implement measures to curb illicit trade in the country going forward.”
It is pertinent to mention that due to the lack of efforts to curb tax evasion and crack down on illegal manufacturers, tax evasion in the cigarette sector has reached 63%, causing the economy a loss of Rs 310 billion.
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if that track and trace system is rubbish then release the details of how much and how it costs the country billions meanwhile what other options does Govt have to collect tax efficiently?