ISLAMABAD: Collector Customs Adjudication summoned owner of the M/s Yaqoob Hanif Trading Company in tax evasion of Rs5.08 million.
According to details, Collector Adjudication Seema Raza Bukhari summoned the owner of the said company in the contravention case No. 222/2018. During the audit of the record of the customs dry port Peshawar for the financial year 2013-14, the data of M/s Yaqoob Hanif Trading Company revealed that the textile fabric was imported on payment of sales tax at reduced rate.
However, while making assessment of duty and taxes, the Customs authority realized the sales tax rate of 2% instead of 5%. Meanwhile under the SRO 1125(1)/20111 import of the finished articles of textile ready for use by general public, shall be charged to sales tax at rate of 5% and the value addition tax rate at 2%, which resulted in short realization of government revenue amounting to Rs5.08 million.
It is also established that M/s Yaqoob Hanif Trading Company Peshawar as importer has not paid duty and taxes and therefore, recoverable under the provision of Section 32(3-A)of the Customs Act 1969 Section 3 of the Sales Tax Act 1990, and also Section 148 of the Income Tax Ordinance 2001.
Meanwhile, in the light aforesaid report and in exercise of the power vested under Section-179 of the Customs Act 1969, Collector Adjudication Islamabad Seema Raza Bukhari has issued a show-cause notice to the owner of M/s Yaqoob Hanif Trading Company Peshawar as to why not the evaded amount of duty /taxes amounting Rs. 5.08 million should not be recovered and why penal action should not be taken against him under Section 156 (1) (9) (14) of the Customs Act 1969 read with the section 33(5) of the sales tax 1990,and section 182 (1) (15) of the Income Tax Ordinance 2001.
