ISLAMABAD: The Regional Tax (RTO) Islamabad has launched crackdown against the restaurants and eateries who are involved in distortion of monitoring and tracking system of taxable activities at point of sale by electronic means.

Sources told Business Recorder here on Tuesday that the restaurants are required to install approved fiscal electronic device and register all branches with the Board’s computerized system, from which they make supplies and shall also register each point of sale (POS) to activate the integration and record the sale on real-time basis.

However, data communicated through POS showed that many restaurants located in posh

area of Islamabad either transmit very low sale or no sale at all to the FBR, based on which, Chief Commissioner, RTO, Islamabad directed to Investigation; Prosecution Cell to start crackdown against the tax evaders.

Therefore, surprise visits were made in various sectors of Islamabad to check the functionality of the POS system and warned the restaurants to declare actual sales and ensure that no parallel system of invoicing is used, which caused loss to the national exchequer.

The Chief Commissioner has also directed the Zonal Commissioners of Inland Revenue to start strict monitoring of restaurants and make sure sales are recorded in the FBR’s system on real-time basis through POS and sales tax collected by the restaurants are deposited in national treasury.

Chief Commissioner further directed to initiate criminal proceedings under Sales Tax Act, 1990 in case any restaurant is found in manipulation, they added.

Copyright Business Recorder, 2021