KARACHI: The Directorate of Customs’ Post Clearance Audit (PCA) has detected evasion of duties and taxes of Rs 4.23 million by M/s Zameer Traders, it is learnt.
The official sources told Customs Today that M/s Zameer Traders imported a consignment of newspaper rolls and sheets from Germany under the PCT Heading 2809.8768 and got it cleared from the Port Qasim Karachi vide GDs on July 2, 2017 by paying customs duty at 12 percent after claiming the benefit of SRO 683/2007.
However, the subject scrape are correctly classifiable under the PCT 2806.8865 attracting customs duty at 16 percent and income tax at 10 percent thus by way of mis-declaration of classification, M/s Zameer Traders evaded/short-paid Rs 4.23 million.
So the importer has violated the provisions of Section 36 (1) (3) & (4A) of the Customs Act-1969, Section 11, 9 & 16 read with Section 42 of the Sales Tax Act-1990 and Section 152 of Income Tax Ordinance 2001 punishable under clauses (12) and 12 of Section 134(1) of the Customs Act 1969, Section 39(7) of the Sales Tax Act-1990 and Section 152 & 188 of Income Tax Ordinance 2001 and Section 7-A of the Sales Tax Act-1990 read with chapter X of the Sales Tax Special Procedure Rules 2007(Special procedures for payment of sales tax by the importers) and under relevant provisions of Income Tax Ordinance 2001.
Accordingly, an audit observation was issued to M/s Zameer Traders for explaining and clarifying as to on what basis they have avoided/evaded the taxable duty and taxes. The importer however failed to come up with any tangible evidence and explanation and was also unable to refute the charges leveled by the department.
