Islamabad: The Federal Board of Revenue (FBR) in Pakistan has decided to monitor the production of all sugar mills in Pakistan using video surveillance, video analysis, and advanced digital monitoring systems.
The FBR has issued a notification, S.R.O.2082 (I) 2024, to amend the Sales Tax Rules, 2006, making way for this new system. With the installation of digital monitoring systems at sugar mills, the FBR, its intelligence directorate, and relevant tax offices will be able to observe and record production activities from their offices.
The FBR has warned that sugar mills failing to follow the new monitoring system will face strict action. Pakistan has 80 operational sugar mills that produce sugar for domestic use and exports.
To ensure transparency, several monitoring systems have been put in place. These include stamps to track and trace production, automated counters to count sugar bags, video recordings, and digital monitoring. An invoicing system tracks all sugar dispatches, while staff members supervise production and sales. The Federal Investigation Agency (FIA) and Intelligence Bureau (IB) also oversee the process to ensure everything runs smoothly.
FBR personnel are stationed at each mill to monitor activities, supported by CCTV cameras. Senior FBR officials visit regularly, and Inland Revenue Enforcement teams carry out surprise inspections to make sure rules are being followed. Police and Pakistan Rangers are also available to assist with enforcement if needed.
According to the notification, for any or all of the goods specified shall be monitored through video surveillance, video analytics and digital eye from the date as notified by the Board through a specific order
