The retailers may face penalty for selling fake, smuggled and non-taxpaid cigarettes as strict action has been proposed against such practices in the Federal Budget for the fiscal year 2024-2025.

Minister for Finance and Revenue Senator Muhammad Aurangzeb proposed the strict action while presenting the Federal Budget 2024-25 in the National Assembly on Wednesday.

According to him, the government and the concerned departments were concerned by the availability of such cigarettes in the market.

Availability of the fake, smuggled and non-taxpaid cigarettes in the market was still a challenge despite the launch of track and trace system, he said.

To this end, those shops that found selling cigarettes without tax stamps may face sealing or closure in future.

The federal government has decided to tighten the noose against the sale of fake cigarettes in the country. It has been decided to seal the factories selling fake cigarettes.

The Shehbaz-led cabinet has decided to impose a Rs44.000 tax on the material used in the production of cigarette filters.