KARACHI: The Directorate of Customs Post Clearance Audit (PCA) has detected duties and tax evasion of Rs 11.35 million allegedly by M/s Rehman Auto Parts and Accessories, it is learnt here.
Sources told Customs Today that M/s Rehman Auto Parts and accessories imported a consignment of engines parts, new and used wiper motors and other items and got the same cleared from the PICT Karachi vide GDs on November 16, 2017 by paying customs duty at 8 percent after claiming the benefit of the SRO 568/2007.
However, the subject items were correctly classifiable under the PCT 2587.2407 attracting customs duty at 12 percent and income tax at 10 percent, thus, by way of mis-declaration of classification, the company evaded/short-paid Rs 11.35 million. The goods were cleared by Head Examiner Asad Ullah Khan Niazi.
Sources said that the importer violated the provisions of Section 14 (9) & (7A) of the Customs Act-1969, Section 12 read with Section 70 of the Sales Tax Act-1990 and Section 457 of Income Tax Ordinance 2001 punishable under clauses (254) and 178 of Section 547(6) of the Customs Act-1969, Section 78 of the Sales Tax Act-1990 and Section 25 & 89 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.It is necessary to mention here that Post Clearance Audit has detected a number of cases during last month of February and 16 cases in 28 days of March 2018.
