Distributors of liquefied petroleum gas (LPG) on Friday alleged that smuggling of LPG from the country was causing a revenue loss of Rs four million per day to the national exchequer, besides creating problems for them.
LPG Distributors Welfare Association Chairman, Hadi Khan said about 30 to 40 tonnes of LPG was being smuggled due to rising demand in the country. This had created problems for local LPG distributors, as they could not compete with the unscrupulous dealers, he added.
Hadi feared that this practice might cause a revenue loss to the government in term of GST as this LPG was being sold without any record or payment of 15 percent sales tax, which authorised distributors were paying to the national exchequer. He alleged a selected cartel was selling this LPG in substandard cylinders, which might also cause a mishap.
Hadi called upon the government to check this practice and stop smuggling of LPG to save local distributors from losses and as well as revenue loss.