—Hascol denies allegations of wrongdoing
ISLAMABAD: Hascol Petroleum Limited, a company engaged in the purchase, storage and sale of petroleum products, is committing tax fraud to the tune of Rs3.9 billion, it emerged on Monday.
Documents available with Pakistan Today state that Hascol Petroleum Limited has concealed and evaded sales tax amounting to RsĀ 3.6 billion and further tax amounting to Rs279 million. Scrutiny of record/data available for the period from July 2016 to December 2018 of sales tax returns-cum-payment challans revealed that M/s Hascol petroleum has declared self-sales by issuing flying invoices in the name of M/s Hascol Petroleum Limited to conceal further tax on supplies of lubricants and other related items.
Hascol, however, denies any wrongdoing.
The company has shown Rs13 billion sales value, Rs2.5 billion sales tax and there is Rs279 million further tax involved, documents stated.
On the basis of the above mentioned facts, Hascol has short paid further tax amounting to Rs279 million.
Further scrutiny of sales returns for the period July 2018 to March 2019 vis-Ć -vis July 2017 to March 2018 revealed certain anomalies that total purchase have increased by 15 per cent for the period of July 2018 to March 2019 as compared to corresponding period of last year. However, total sales only increased at 5 per cent for the same period.
If the purchases increased by 15 per cent, then sales should have increased by approximately 15 per cent as well. The trend shows that the registered person is evading supplies by accumulating into carry forward of input tax which resulted in short payment of sales tax.
It further stated that Section 21(2) of the Sales Tax Act, 1990 read rule 12(a)(i) of the Sales Tax Rules, 2006 clearly stipulates that the commissioner having jurisdiction, if satisfied that the registered person has issued fake invoices or has committed tax fraud, the registration of such person may be suspended by the commissioner through system without prior notice, pending further inquiry.
āIn the light of above stated facts and in exercise of powers conferred under section 21(2) of the sales tax act, 1990 read with rule 12(a)(i) of the sales tax rules, sales tax registration of above mentioned registered person is hereby suspended with immediate effect and until finalisation of the proceedings. Furthermore , the tax payers will be considered as non-active taxpayers as per provision of rule 12A read with clause (1) of section 2 of sales tax act 1990,ā the document said.
Attempts were made to reach out to the owner of Hascol Petroleum for clarification but no response was received.
Seema Shakeel
Member FBR
Faiz Illahi Memon
Director General LTU, Karachi
Threatened Hascol to pay advance of Rs 7 billion tax to meet FBR targets or face consequences.
Writer is pretending as if he doesn’t know about the dogs sitting in the FBR, the employee of FBR who gave this writer this baseless information for some pennies can go to the foot licking level for millions of rupess, this fact is known by everyone but only Mr. Shahzad Paracha is a baby who doesn’t know anything despite being a journalist
Fake newd
Fake news.
Hascol growth over short period is unusual. Fabricated news but no smoke without fire!!! Hascol just fired 450 of its staff, can someone explain this?
All the business are down gourmet fired 1000 staff included drivers. There is no smoke there is fire in our country.
If FBR accuses someone of tax evasion/theft, as a taxpaying citizen, it would be prudent to side with the accused due to FBR’s proven history of ‘harrassment and blackmailing of legitimate taxpaying businesses reputation’ and the bribe happy blackmailing staff on its payroll.
FBR must conduct inquiry into who leaked business tax data and give examplery punishment.
Further, forensic audit of all FBR public facing/dealing employees and their management must be conducted to unearth their hidden assets local and abroad.
Also, sting operations must be conducted to prevent harrassment and blackmailing of legitimate taxpayers by FBR staff.
Hascol has done so much for Pakistan it is unfair to malign a prestigious company like Hascol who pays billions as tax to government would involve itself in to wrong practice.
The procedures are laid down instead of flashing news in press it would have been more appropriate for FBR to issue notice
Pakistan is already suffering badly in revenue collection such steps shall prove to be counterproductive and would deter future investors which the country badly needsŪ They have the second largest storage facility and meet Defence needs in emergency. Let us follow proper procedure
It is very unfair and unethical to present one side point of view and labeled some one as tax thief. Hascol point of view should be taken and present in this news.
it is normal practice of FBR’s field formations to demand Advance tax from Taxpayers to meets their Targets. In case Taxpayer is unable to meet their demands they issues fake orders against Taxpayers(teach him a lesson)