Cigarette makers directed to keep records

Cigarette manufacturers who possess the capacity to produce filter rods must keep a record of filter rod production.

ISLAMABAD: The Federal Board of Revenue (FBR) has directed cigarette manufacturers who possess the capacity to produce filter rods to keep a record of filter rod production. The cigarette manufacturers will have to issue details of filter rods produced on a monthly basis, according to a notification issued by the FBR.

Additionally, they will also have to provide details of all raw materials bought and imported on a monthly basis. According to the report, manufacturers will have to specify how many rods were used in the production of cigarettes and how many rods were sold in the open market.

According to the FBR, the primary aim of the SROs was to ensure the collection of federal excise duty on filter rods by guaranteeing their documentation. Separately, cigarette manufacturers can also obtain conditional exemptions on federal excise duties implemented on unrefined tobacco.

Published in The Express Tribune, August 25^th, 2010.