Islamabad, – In a decisive move to combat the illegal cigarette trade, the Federal Board of Revenue (FBR) has empowered provincial authorities with the authority to seize illicit cigarettes under SRO 1279(I)/2025 issued on July 15, authorizing designated provincial officers to act on behalf of Inland Revenue officials for confiscating untaxed and counterfeit cigarettes from retail outlets, warehouses, and vehicles, the powers are granted under the Federal Excise Act, 2005, aiming to expand enforcement coverage nationwide, Deputy Commissioners, Assistant Commissioners, and equivalent provincial revenue officials are now allowed to inspect cigarette stock in warehouses, while Excise and Taxation Officers of grade BS-16 or above can take action against retailers and transporters of illicit cigarettes, if cigarettes are found without valid FBR tax stamps, officers can seize both the product and the vehicle carrying it, the seized items must be handed over to the Additional Commissioner (HQ) at the nearest Regional Tax Office (RTO), and the seizure must be reported within 48 hours using a dedicated application provided by the FBR to ensure transparency, the seizure reports will then be reviewed by the relevant provincial Secretary or nominated officer and forwarded to the Director General of Intelligence and Investigation at FBR, the initiative aims to strengthen enforcement particularly in regions with limited federal presence and enhance cooperation with provincial governments to reduce tax evasion in the tobacco sector, the FBR stated that the illegal cigarette trade causes billions in annual revenue loss and this delegation of power is intended to increase the effectiveness of the nationwide crackdown and secure legitimate revenue for the government.
