FBR Seals Two More Sugar Mills for Tax Evasion, Tightens Track and Trace Enforcement
FBR has sealed two sugar mills in Faisalabad and Chiniot over violations of the Track and Trace System, intensifying its crackdown on tax evasion during the crushing season.
1/7/20261 min read
The Federal Board of Revenue (FBR) has stepped up its crackdown on tax evasion in the sugar industry by sealing two chutes at Chanar Sugar Mill located in Samundri, Faisalabad. The action was taken after the mill was found violating the mandatory Track and Trace System, which is designed to monitor sugar production and prevent tax leakage.
According to FBR officials, the enforcement move is part of the authority’s zero-tolerance policy against non-compliance in the sugar sector. The Track and Trace System is compulsory for all sugar mills to ensure transparency, accurate reporting, and proper tax collection.
In a separate operation, Safina Sugar Mills in Lalian, Chiniot was also sealed for failing to comply with FBR’s electronic monitoring and tracking requirements. Officials confirmed that the mill was bypassing digital controls meant to record real-time production data.
The latest actions come just days after similar enforcement measures were taken against other sugar mills across Punjab, indicating that the FBR is intensifying inspections as the crushing season progresses. Authorities say inspections will continue nationwide without interruption.
FBR officials further clarified that monitoring will remain in place even after the crushing season ends to ensure sustained compliance and to protect government revenue. The authority warned that no leniency would be shown to mills attempting to evade taxes or manipulate production records.
The FBR reiterated that strict enforcement of the Track and Trace System is essential to maintaining market transparency, stabilizing sugar supply, and safeguarding consumer interests.
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