ISLAMABAD: Federal Board of Revenue (FBR) has approved provisional clearance of consignments stuck up at ports due to the confusion regarding classification of the imported goods.
According to sources, Federal Board of Revenue (FBR) has received various representations regarding classification of certain goods in Part-III of the 12th Schedule to the Income Tax Ordinance, 2001, whereas the importers claim the goods to be covered under either Part I or II of the said Schedule. Section 148 of Income Tax Ordinance, 2001 has been amended vide Finance Act 2020 changing the rates of Advance Income Tax collected at import stage, as specified in the newly inserted 12th Schedule to the Ordinance.
While these representations are being examined in the Board, to avoid the delays in clearance of consignments stuck up at different ports on this account, it is directed that all such consignments be allowed clearance, it otherwise in order, by securing the differential amount of advance income tax in the shape of pay order or bank guarantee, subject to the condition that the importer provides documentary evidence to the satisfaction of the Collector of Customs to the effect that the same claimed rate has been allowed to him during last financial year, on the same goads. Encashment or return of these securities will be decided on the basis of the decision in terms of the newly inserted proviso to section 148 ibid.
