Karachi, March 22, 2025 – The Medium Taxpayers Office (MTO) Karachi has taken decisive action against a well-known furniture retailer for failing to comply with mandatory Point of Sale (POS) integration requirements.
In a targeted enforcement operation, the MTO Karachi sealed two outlets of the prominent furniture chain, Master Offisys, due to non-compliance with the Federal Board of Revenue (FBR) sales tax regulations.
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The operation was spearheaded by the Zone-2 enforcement team of MTO Karachi, led by Ms. Motia Shah and Mr. Saqlain. The team successfully executed the sealing of two retail branches, one of which was located in Arambagh, Karachi. During the enforcement action in Arambagh, the officers encountered resistance from the local market association. However, the situation was carefully managed and de-escalated, allowing the officials to carry out their duties without further disruption.
According to MTO Karachi officials, the crackdown was initiated based on credible information that Master Offisys had failed to properly integrate its POS system with the FBR’s online sales monitoring platform. This violation is a direct breach of the Sales Tax Act, 1990, specifically under Section 33, in conjunction with Rule 150ZEO of the Sales Tax Rules, 2006. The sealing of the premises ensures that no further business operations take place until the retailer meets its legal obligations.
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Authorities at MTO Karachi have confirmed that the outlets will remain sealed until the retailer clears all outstanding sales tax liabilities and fully integrates its POS system with the FBR’s database. The enforcement action serves as a stern warning to other businesses in Karachi that fail to comply with tax regulations.
The Federal Board of Revenue has recently intensified efforts to curb tax evasion, granting MTO Karachi and other regional tax offices greater authority to act against businesses manipulating their sales data. Officials have reiterated their commitment to enforcing compliance measures and ensuring transparency in the retail sector. Businesses in Karachi are urged to rectify their tax reporting systems to avoid facing similar punitive actions in the future.