Illicit tobacco sector outgrows legitimate one.
ISLAMABAD -- Since the revision of federal excise duty on tobacco products early this year when the duty was increased more than 200%, the sale of illegal cigarettes has swelled to more than 63% of total volumes, signalling the illicit sector has outgrown the legitimate one, revealed the data shared by Pakistan Tobacco Company (PTC) representatives in an interaction with media.
The government-led national anti-illicit tobacco strategy and revitalisation of the dedicated enforcement task force could help reduce illegal trade and help grow state revenues, the PTC representatives stressed.
For the first time in history, the potential government revenue loss due to the illicit sector would be surpassing the total revenue being collected from the legitimate industry in FY24.
'The loss of potential government tax...
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