MULTAN: The Multan Customs has detected tax evasion of Rs 2.2 million allegedly by Dastagir Enterprises during audit process.
Model of Customs Collectorate Multan conducted the audit of Dastagir Enterprises on the direction of Deputy Collector (Audit) for the period from 01-03-2015 to 30-06-2013. Dastagir Enterprises was registered as manufacturer, importer and exporter but the firm is an export oriented unit.
The audit was done to verify the consumption of duty and tax free imported raw material and export of goods as provision of SRO 327(I) /2008 dated 20/03/2008.
During the scrutiny of contents of said firm it was revealed that firm was granted permission to import “fabrics “only and according the analysis certificate was also issued which have also mentioned the consumption formula including input/output ratios and wastage’s allowed about fabrics .
Their input goods were dyed textile woven, ladies suiting fabrics from ratios was allowed to manufacture their output goods of ladies suits, children suits, ladies gowns, scarves and sarees.
Dastagir Enterprises never been allowed to import any other raw materials except fabrics in their granted license but they have formed other items. Through audit of company record it revealed that firm had violated provisions of SRO by importing un-approved goods unlawfully by self-extending the benefit of SRO 327(I)/2008.Firm had manufactured zippers, thread yarn, ladies nighty and children gowns.
Audit team observed few other discrepancies including the balance of quantity of zipper, plastic tape elastic, beads imported unlawfully but the unconsumed quantity have difference in their consumption
In the light of audit facts Dastagir Enterprises have committed a gross violation of rule 3 SRO 327(I) /2008 dated 20/03/2008 and so company have found in tax evasion of Rs 2.244 million on account of duty taxes and taxes.
Dastagir Enterprises found involved in import of unlawfully imported and unconsumed goods items which are recoverable from them under section 32 3(A) recoverable from them under Customs act 1969. The audit team forwarded case to Additional Collector Customs Adjudication for further proceeding.
