The Punjab Revenue Authority (PRA) has taken strict action against a major food chain in Lahore over alleged tax violations. The authority launched enforcement operations as part of its ongoing crackdown on tax evasion.
Officials confirmed that the PRA seals outlets of KFC across multiple locations in the city. The sealed branches include outlets in DHA EME, Askari 10, and DHA Z Block.
According to reports, the PRA seals outlets after detecting irregularities in sales tax records. The action was taken under Section 59A of the Punjab Sales Tax on Services Act, 2012.
A video circulating online shows a tax official placing a notice on the entrance of one of the outlets. The footage quickly spread on social media platforms.
Earlier, the authority had also taken similar action against other food and beverage businesses in Lahore. The enforcement drive has now expanded further.
The PRA said that the PRA seals outlets where violations of the Electronic Invoice Monitoring System (EIMS) were detected. Officials stated that invoices were being issued outside the required system.
According to the order, this practice violates provincial tax laws and deprives the government of revenue. The authority said it collected invoices that were not processed through EIMS.
The report also highlighted discrepancies between declared sales and actual business activity. Officials said this suggested under-reporting of taxable income.
The PRA explained that such actions constitute willful non-compliance under tax regulations. It added that strict enforcement is necessary to protect government revenue.
The order stated that the PRA seals outlets until compliance with tax laws is ensured. The suspension may remain in place for up to one month or until violations are corrected.
The authority has intensified inspections across multiple business sectors in Lahore. Similar enforcement actions were previously taken against a coffee chain in the city.
Officials said the crackdown will continue to ensure transparency in sales tax reporting. Businesses have been urged to follow all digital invoicing requirements.
The PRA maintains that tax compliance is essential for fair economic practices. Further action may follow if violations are found in other establishments.
The ongoing campaign highlights the government’s focus on strengthening tax enforcement mechanisms across Punjab.
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