KARACHI: Collector of the Collectorate of Customs Adjudication-II Dr Ahmed Mujtaba Memon held the hearing of tax evasion case against M/s Siddiqsons Limited on Tuesday.
The case has been filed by the Research and Development (R&D) Section of MCC-Appraisement (East) against M/s Siddiqsons Limited in its alleged involvement in tax evasion tune to Rs20million in terms of Customs Duty (CD), Sales Tax (ST) and Income Tax (IT).
The Research and Development (R&D) Section of Model Customs Collectorate of Appraisement (East) has made the Contravention Report (CR) against the importer M/s Siddiqsons Ltd on October 5,2014 in its alleged involvement in tax evasion tune to Rs20,343,390 in share of duty/taxes including Customs Duty (CD), Sales Tax (ST) and Income Tax (IT) and forwarded the case to the Collectorate of Customs Adjudication-II.
Subsequently, the Collectorate of Customs Adjudication-II has served show-cause against the importer M/s Siddiqsons (Ltd) by the end of October. It is pertinent to mention here that the R&D officials under the supervision of the Collector, MCC-Appraisement (East) Najeeb-ur-Rehman Abbasi detected a case of tax evasion against the importer M/s Siddiqsons in which the importer tried to import and cleared air covered yarn of PCT heading 5402.6200, chargeable to CD @10per cent ad-valorem cleared in the garb of spandex/lycra under PCT heading 5402.4410 chargeable to Customs Duty @ zero per cent (now 1per cent in the current budget).
In the Contravention Report, the R&D Section found that the importer M/s Siddiqsons has violated the Sections 20, 26, 32(1), 32(2), 32(3)A, 32A, 79 and 80 of the Customs Act, 1969 punishable under Clauses 10A, 12, 14, 14A and 43 of the Section 156(1) of the Customs Act, 1969 read with Section 36 of the Sales Tax Act, 1990 punishable under Section 33 of the Sales Tax, 1990 and read with Section 148 of Income Tax Ordinance 2001.
