LAHORE: Customs Appellate Tribunal quashed the Order-in-Original and accepted appeal of M/s Ahad Enterprises against Collector of Customs (Adjudication) Lahore.
On 9.11.2018, Member Judicial bench-II Omer Arshed Hakeem heard the arguments from appellant and respondent, and passed a final verdict on the grounds that the appellant does not fall within ambit of mis-declaration so the impugned order and penalties on the appellant are quashed and appeal is accepted.
According to the details of case, M/s Ahad Enterprises imported potatoes from India by using exemption of SRO549(I)/2018. During the audit, Directorate General Audit revealed sales tax evasion. The matter was referred to RTO-I for clarification that no exemption of sales tax was availed during the period of 26 June-06 August 2014 on the import of potatoes and short paid amount should be recovered from the importer.
M/s Ahad Enterprises imported 29 consignments during the intervening period. After investigations it was revealed that importer is liable to pay sales tax at 17 percent and Rs5,209,194 charged as legitimate revenue on importer.
After show cause notice, order in original passed with remarks that short payment received from importer along with Rs300,000 fine.
Being aggrieved with the order, appellant filed the appeal before the Customs Appellate Tribunal on the grounds that order-in-original passed without the all facts of case and order passed in mechanical fashion without application of judicious mind and same order is liable to set aside. On the other side, respondent denied all allegations. After hearing arguments Customs Appellate Tribunal accepted appeals.
