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Home Karachi

Adjudication-I serves show cause notice on National Petro Carbon

byS. R. Khan
14/05/2016
in Karachi, Latest News
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KARACHI: The Collectorate of Customs Adjudication-I has served show cause notice on an importer, M/s National Petro Carbon (Private) Limited, for availing inadmissible benefit of the SROs 450(I)2001 and 655(I)/2007.

The Collector of Customs Adjudication-I Abdul Basit Chaudhry has fixed May 24, 2016 as the date of hearing of the case.

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According to details, it has been reported by the Directorate of Post Clearance Audit-PCA-Karachi vide contravention report that during scrutiny of import data relating to claiming of concession of customs duty and sales tax  accorded vide notification SRO450(I)/2001 and 655(I)/2007, it was found that the importer M/s National Petro Carbon (PVT) Limited has imported  the consignments of “carbon black oil” vide GD Nos KOIL-EB-1436 under PCT Heading 2707.9910 through MCC-Preventive –Karachi and had illegally availed the benefit of concessionary rate of customs duty and sales tax under aforesaid notifications.

The concessions offered vide SRO 450(I)/2001 and SRO650(I)2007 are only admissible for the goods mentioned in the said SROs by description. The imported item “carbon block oil” are not covered under the said SROs by description and as there is no mention on the GDs regarding any other information for the subject clearance of goods without payment of customs duty and sales tax.

The PCA in its contravention further stated that the imported was attempted to evade an amount of Rs50,069,605 has been short paid on account of customs duty and sales tax. Therefore, the importer M/s National Petro Carbon (Pvt) Limited has violated the provisions of Section 32(1), (2) and 3A of the Customs Act, 1969; Section 3(1), Sections 3,6 and 7 read with Section 34 of the Sales Tax Act, 1990; punishable under Clauses (1), (9) and 14 of the Section 156(I) of the Customs Act, 1969; Section 33(5) and Section 7(A) of the Sales Tax Act, 1990 read with Cahpter X of the Sales Tax Special Procedure Rules, 2007 (special procedures for payment of sales tax by the importers.

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