The Federal Board of Revenue (FBR) has failed to meet the International Monetary Fund’s (IMF) requirement to implement a Track and Trace System (TTS) in five sectors starting July 1st. According to the sources, the apex tax collection body promised the IMF that the TTS would be implemented on July 1. The IMF was assured that FBR would launch TTS in five sectors to monitor sugar production, fertiliser production, tobacco production, cement production, and beverage production. Companies have taken legal action against TTS tenders, according to sources, alleging that TTS is biased and unfair. As per the FBR website, “The Track and Trace Solution is to be rolled out across the Tobacco, Cement, Sugar and Fertilizer Sectors from 1st July 2021 in Pakistan with a view to enhancing tax revenue, reducing counterfeiting and preventing the smuggling of illicit goods through the implementation of a robust, nationwide, electronic monitoring system of production volumes and by the affixation of more than 5 billion tax stamps on various products at the production stage, which will enable FBR to track the goods throughout the supply chain. It’s worth noting that the FBR received financial bidding in February this year to place a track and trace system (TTS) for major tax evasion sectors like tobacco, sugar, cement, fertiliser, and beverages.