Subject: SUMMON JO PRODUCE EVIDENCE 8t RECORD I DOCUMENTS

UNDER SECTION 37 OF THE SALES TAX ACT. 1990 N THE CASE OF

M/ S SHAFI
& SONS LPG COMPANY (PVT) LTD. OUETTA

Please refer to the subject noted above .

2. It is intimated that my predecessor Commissione r R has Issued summon
to produce evidence & record / documents u/s 37 of the Sales Tax Act, 1990 to M/s Shafi
& Sons LPG Company (Pvt) Ltd, Room No, 4, 2nd Floor, Jinnah Centre, Jinnah Road,
Quetta bearing NTN: 4360056-5 & STRN: 32-77-8761-170-78 vide letter
C.No.CIR/Zone-1/N.H/ RTO-Quetta/2022-2023/1131 dated 04-04-2023 , wherein It has
been reported that upon scrutiny & analysis of theIncome Tax returns and other data
available at e-Portal, FBR for the tax year 2017 till tax year 2022, the following
discrepancies are observed:

3. During analysis I scrutiny of the Sales Tax returns with theIncome tax
returns for the tax period 2017 to tax period 2022, it has revealed that there Is a
variation in the value of imports and local purchases declared by the R/p in the Sales
Tax returns and
in the ncome Tax returns. The details of which are tabulated as follows:

Value of mports
Tax declared as per Imports as perl Import mport.s declared as per
Period Income Tax returns Date Sales Tax returns Difference
(Receipt Value)

Rs.54,784,327/- Rs.73,889,652/- Rs.6,008,481/- Rs.67,881,171/-

2017

Rs.00/- Rs.79,415,340/- Rs.19,183,930/- Rs.60,231,410/-

2018

20 Rs.1,337,135,604/- Rs.1,429,251,491- Rs.1,215,313,400/- Rs.213,938,091/-

19
Rs.13,242,619,655/- Rs.11,486,116,785 /- Rs.1,756,502,870/ -
2020

2021 Rs.21,589,489,654/- Rs.18,995,859,025/- Rs.2,593,630,629/-

Rs.18,559,090,709/- Rs.15,918,176,797/- Rs.2,640,913,912/-

2022

Rs.7,333,098,083/ -
Total

It is evident from the above position that the R/p has suppressed taxable purchases and
taxable imports to the tune of Rs.7,333,098,083/- and the supplies/sales made against
such purchases has been suppressed by the R/p & the sales/supplies against these
suppressed purchases made to un-reglstered persons . Therefore the R/p have thus
committed Tax Fraud In terms of section 2(37) of the Sales Tax Act, 1990.
Therefore, the Sales Tax
evaded on such suppressed sales / supplies of Rs. 1 .099,964,711/-
{Rs.7,333,098,083/ - - /,
... \.... ;'.5 '