LAHORE: Directorate of Post Clarence Audit (PCA) unearthed duty and tax evasion by M/s Zhong Xing Telecom Pakistan (PVT) Ltd Lahore by way of mis-classification of servers from telecommunication use as servers for computers.
The PCA has informed the importer of the clearance data effected from Customs Collectorate Karachi during January 2012 onward has revealed that the importer got clearance imported server for telecommunication use by mis-classifying under PCT heading 8471.5000 as server for computers, paying customs duty @ 0 percent, one percent and two percent instead of classifying under correct PCT heading 8517-6290 (other machines for the transmission or reception of voice, images or other data, including switching and routing apparatus) attracting customs duty @ 20 percent.
It was said that the company deposited short payment worth Rs 118, 085 (customs duty Rs 93,604, sales tax Rs 15,913, additional sales tax Rs 2,808 and income tax Rs 5,760). The PCA has asked the company to pay the evaded amount of duty and taxes.
The PCA said that in case the company does not agree with the audit observation, the company has to provide a written clarification along with the supporting documents as well as all related import documents including copies of goods and declaration, commercial / pro forma invoices, L/Cs packing lists, contracts, purchase orders, catalogue/ literature.
The PCA also told the company representatives may appear in person or through accredited representatives to rebut the audit observation in the chamber of deputy director at the Customs Houses.
It was intimated that if no one appears or no reply is received it shall be deemed that the part has nothing to offer in rebuttal of the observation and case shall be dealt as per law on the basis of facts available on record.







