by humayunbaig 
In a shocking revelation, the Federal Board of Revenue (FBR) recently exposed a colossal Withholding Tax (WHT) evasion scheme in Punjab property sector. The Regional Tax Office (RTO) in Sargodha carried out a comprehensive digital audit that shed light on a significant evasion of WHT amounting to billions of rupees.
Unearthing the Scope of the Scandal
The RTO successfully retrieved over PKR 388 million from the defaulters, illuminating the scale of these financial discrepancies. This substantial amount, procured through property transactions, was never transferred to the national treasury, leading to a significant revenue loss.
The Role of Bogus Challans
The digital audit also unveiled the utilization of counterfeit challans, orchestrated in conjunction with buyers and sellers, exacerbating the revenue deficit further. This disclosure emerges at a time when the collection of WHT from the sale of immovable properties has experienced an unprecedented escalation.
Read More About : Lahore Development Authority Unearthed A Massive Property Transfer Scam
A Surprising Surge in Collections
An impressive increase of 340.5% during the fiscal year 2022-23, compared to the previous year, has been documented. The collection skyrocketed to PKR 70.326 billion in 2022-23, marking a substantial leap from PKR 15.966 billion in 2021-22.
The Investigation: Unmasking the Culprits
Dr. Faheem Muhammad, the Chief Commissioner, along with Mr. Raja Babar Nawaz, the Withholding Zone Commissioner, jointly spearheaded an investigation. The inquiry revealed property registrars’ involvement in fraudulent activities, causing a revenue loss of billions. These illicit actions were carried out in alliance with a well-organized group comprising: (Punjab Property Sector)
Lawyers
Sub-registrars
Regional revenue officers
The audit implicated all 17 sub-registrar offices for withholding deducted taxes on immovable properties.
Conclusion: A Wake-up Call for the Property Sector
The massive WHT evasion scam highlights the need for stricter regulations and transparency in Punjab’s property sector. As we move forward, it is essential to implement robust measures to prevent such fraudulent activities and ensure the economic stability of the real estate industry. (Punjab Property Sector)
Please note that this article is based on information available as of today’s date and may be subject to changes or updates. For the most accurate and up-to-date information, kindly consult the official FBR website or contact a tax consultant.
Stay Connected For More Information :Â WALI REAL ESTATE
