KARACHI: The Directorate General of Customs Valuation has revised the customs value of coffee in retail packing (HS code 2101.1120) through Valuation Ruling No 957/2016 under Section 25-A of the Customs Act, 1969.
Sources told Customs Today that meetings were held on October 3 and 10, 2016 with the stakeholders and representatives of the clearance Collectorate. All the stakeholders strongly contended and requested that the said valuation ruling may be reviewed in the light of prevailing international and local market prices.
It was also highlighted that the subject goods are perishable items and therefore have got limited shelf life, consequently, near the expiry dates, these perishable items are sold on sale and discounted prices.
It was further contended by the traders that since the subject. Goods are mainly being sold on super and general stores, therefore, a lot more expenses (shelf rent, marketing expenses etc.) are contributed at retail level which cannot be managed without adding extra value to the subject goods.
Prices are also verified on the basis of location of market in the city, date of expiry and being seasonal item. While determining the prices the factors like mode and nature of essential packing have also been taken into account.
Meanwhile, the Model Customs Export has issued has launched crackdown against companies and issued notices to various companies to collect taxes.
The department has issued show cause notice to M/s Siara Garments and Kids Wear, located in the area of New Karachi to deposit the tax arrears.
Customs officials told Customs Today that the department had issued notice to the company to deposit tax amount during the first week of this month but it remained fail to submit the outstanding dues. It was revealed during the audit of the said company it cleared two consignments of garments by misusing SRO 556.
The company did not deposit Rs15,6000 during the clearance of consignments because of misused the SRO. Now after received the final notice the company cleared its arrears. The department has also issued the show cause notice to M/s Qaim Alwaris involved in tax evasion.
