KARACHI: The government’s plan for online monitoring of sugar production has faced a technical hurdle as real-time video connection with the tax system cannot be developed to reach the middle ground.
Surveillance cameras initially failed to capture manufacturing activity at sugar mills, he said.
The Federal Board of Revenue (FBR) has asked sugar mills to install a video analytics system (VAS) to share production activities in real time by January 15.
Sources at the Large Taxpayers’ Office (LTO) Karachi said that at least two sugar mills have so far implemented VAS from designated vendors, but the gadget has a record of production lines with the FBR’s central database. Couldn’t sync. LTO Karachi has jurisdiction over 29 sugar mills.
The FBR released a list of seven vendors in November last year. Sources said that the shopkeepers complained that the sugar mills were located in different parts of the country and they were unable to display the goods due to travel expenses and other expenses involved.
A source said, “A meeting has been scheduled at the FBR headquarters on January 13 (today) to resolve the issues between the sugar mills and vendors.
Sources said that implementation of VAS on sugar mills will not be possible in the current crushing season. The sugar crushing season lasts from November to March.
The FBR has deployed its officials at Sugar Mills as a stop-gap initiative until it develops real-time video communications with the crushing and production process.
Earlier, the FBR had extended the implementation of VAS till January 15 after requests for extension of deadline by members of Pakistan Sugar Mills Association (PSMA) and pre-qualified vendors as the work was basically Could not perform due to CoVID. 19 challenges.
Last September, the FBR introduced video analytics rules for electronic surveillance on the production of certain goods through a legal regulatory order. The following month, the PSMA signed a Memorandum of Understanding to enforce video analytics rules.
Video analytics technology has been introduced for the purpose of collecting production information data from manufacturing sites and using it for tax collection purposes.
The FBR allowed sugar mills to send final notices to the authorized vendors to submit their quotations for VAS in mills.
The FBR said the sugar mill would eventually issue a work order to the selected vendor. The seller has to install VA system in the premises of Sugar Mill within 15 days.
“It’s a matter of non-compliance
It said in a statement that action could be taken against any of the parties (sugar mills or vendors) in accordance with the law.