SRB Cracks Down on Tax Evasion: Red Apple Restaurants in Karachi Closed for Non-Compliance
[Karachi] In a significant move to enforce tax compliance, the Sindh Revenue Board (SRB) has shut down two popular branches of the Red Apple restaurant chain in Karachi. The closures, affecting the flagship outlet in Khadda Market, DHA, and another in Clifton’s Block 2, come after repeated warnings from the SRB went unheeded.
The SRB had been demanding the integration of Red Apple’s Point of Sale (POS) systems with its own network to facilitate real-time sales reporting. This measure, mandated under the Sindh Sales Tax statutes, applies to restaurants with an annual turnover exceeding Rs. 5 million or those operating more than one location. The integration is crucial for remote monitoring of sales transactions by tax officials and for enabling customers to verify the authenticity of tax invoices.
However, the Red Apple chain, according to SRB officials, consistently ignored these directives. The lack of compliance led to the decisive action by the SRB, underscoring their zero-tolerance policy towards tax evasion practices.
The SRB’s actions serve as a stern reminder to all dining establishments in the region about the serious repercussions of evading POS integration requirements. The Board has expressed its determination to impose stringent measures on any businesses that flout the provincial taxation rules.
As the SRB continues to strengthen tax compliance monitoring across Sindh, this operation marks a significant effort in curbing tax evasion tactics in the bustling culinary sector of Karachi.