Shehbaz Sharif denounces Track & Trace system failure

Prime Minister Shehbaz Sharif of Pakistan has denounced the Track & Trace system, a digital monitoring tool aimed at combating tax evasion, as a significant failure for the nation's economy. The system, introduced in 2019 to tackle tax evasion primarily in the cigarette industry and later expanded to other sectors like fertilizers and sugar, has fallen short of expectations.

During a recent cabinet meeting, Sharif expressed his dismay over the system's performance, labeling it as a 'complete fraud on the nation.' He criticized the flawed implementation of the Track & Trace system, emphasizing that it could have generated substantial revenue for Pakistan if managed effectively.

The Prime Minister highlighted that tax evasion in the cigarette sector alone has soared to 63%, resulting in a staggering loss of Rs 310 billion for the economy. Fawad Khan, a spokesperson for Mustehkam Pakistan, an advocacy firm combating illicit trade and tax evasion, urged the government to identify and take legal action against those responsible for the system's mismanagement.

Khan emphasized that the negligence and misconduct within the Track & Trace system have deprived the nation of crucial funds that could have been utilized for human development projects. The failure to curb tax evasion and crack down on illegal manufacturers has significantly impacted Pakistan's economy, underscoring the urgent need for effective measures to address these issues.