FBR raids a motorcycle manufacturer for alleged tax evasion|Manufacturer deposits Rs.620 million

(Update): The latest on this is that United Motorcycles has agreed to voluntarily deposit the sum of Rs.620 million in the treasury, making it the largest tax payment from a single taxpayer for the current fiscal year.

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A few days ago, the Directorate of Intelligence and Investigation, Inland Revenue, Federal Board of Revenue (FBR), along with the local police and magistrate raided United Motorcycles’ manufacturing plant in Johar Town area of Lahore. United Motorcycles is alleged to be involved in tax evasion.

According to the details, the motorcycle assembling and manufacturing plant was undervaluing its products, along with not paying its full share of due taxes. The alleged sales tax evasion runs in millions of rupees.

The motorcycle company’s general manager, however, denied that the company was involved in any illegal activity, asserting that the company pays taxes, hoping that the matter will be resolved amicably.

It is worth reminding our readers that the FBR, a few months ago, raided a famous bakery in Phase V, D.H.A. Lahore, which was also accused of not paying its full share of sales tax.

It seems that the FBR has finally decided to crack the whip against alleged tax defaulters.

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