KARACHI: The Collectorate of Customs Adjudication-II has issued an Order-in-Original against M/s Abdul Hameed Shahabuddin for evading tax/duty by taking undue benefits under SRO 1125(I)/2011 dated 31.12.2011.
According to details, the Directorate of Post Clearance Audit, Customs, while scrutinising data of importers relating to claiming of admissible/inadmissible concessions in taxes found that the importer had illegally availed the benefits of concessionary rates under aforesaid SRO.
In the ONO, Customs Adjudication-II Deputy Collector Muhammad Aftab stated that the importer M/s Abdul Hameed Shahabuddin intentionally and wilfully caused loss to the government exchequer by availing benefits of SRO 1125(I)/2011 dated 31.12.2011, which was evidently not admissible to them at the time of imports.
The ONO further states that the show cause notice was issued to the importer whereby hearing was fixed for 29.5.2015. However, no one appeared for hearing on behalf of the importer. Again, a notice was issued to the importer for 8.6.2015 whereby the importer again failed to appear in the case.
Keeping in view the principles of natural justice, final hearing notice was issued to the importer for 16.6.2015 whereby the copy of the same was displayed on the notice board of the Customs House Karachi under Section 218 of the Customs Act, 1969. However despite repeated efforts, no one turned up on behalf of the importer.
In the ONO, the Adjudication-II deputy collector directed the importer to pay the evaded revenue of Rs 133,844. In addition to that, a penalty of Rs 50,000 was also imposed for violation of Provision of Section 32(1)(2) & (3A) of the Customs Act, 1969, Section 3(1), Sections 3, 6 and 7 read with Section 34 of Sales Tax Act, 1990 and Income Tax Ordinance, 2001, punishable under Section 33(5) and Section 7A of the Sales Tax Act, 1990, read with Chapter X of the Sales Tax Act Special Procedure Rules 2007 (Special procedures for payment of sales tax by the importer) and punishable under relevant provision of Income Tax Ordinance, 2001, under Clauses (14) and (14A) of Section 156(1) of Customs Act, 1969 on the exporter.
