MULTAN: The Model of Customs Collectorate witnessed shortfall of revenue due to imposition of Infrastructure Development Cess on the import consignments at Multan Dry Port.
Collector Sarfraz Ahmad Warraich told Customs Today that Multan Customs has handled only 255 import containers of the various goods during the first six months (July to December) of the fiscal year 2016-17. The number of import container from July to December of the fiscal year 2016-17 were 451 and collection of duty taxes on them were almost Rs686.88 million. On the other hand Model of Customs Collectorate Multan has collected revenue of Rs530.20 million by handling 255 import containers of various goods cleared from Multan Dry Port and 196 import containers have been reduced for clearance from Multan Dry Port after the imposition of the Infrastructure Development Cess.
The Government of Punjab has imposed 0.9 % Punjab Infrastructure Development Cess on the import of all fresh food items like vegetables, fruits and High Speed Diesel (POL) products. The Punjab government is collecting Infrastructure Development Cess on all import consignments since 20th May of the 2016.
Importers are compelled to pay dual duty taxes as Sindh government is already collecting 1.2% taxes on the import of each consignment. The importers are paying excess duty taxes at the other dry ports of the country including Multan, Faisalabad, Sialkot and Lahore.
Sources told that importers have to pay Sindh excise duty at Karachi and then they paid infrastructure development cess afterwards at various dry ports located in Punjab.
Collector Sarfraz Ahmad Warraich has prepared comprehensive report for the decline in the import of Multan Customs due to imposition of infrastructure development ess. The report on the shortfall of the Collectorate revenue will be forwarded to Chief Collector Samaira Nazir of Customs Central Region to devise new strategy to seal the collection gap.
The value of the import goods cleared from Multan Customs was almost 1413.40 million. Multan Customs has collected Rs.256.90 million under the heads of customs duty, sales taxes Rs.162.84 million and income tax of Rs.111.42 million from the import of various items during July to December.
The Federal Board of Revenue will evaluate the revenue collection and shortfall to devise new strategy for the Multan Collectorate after keeping in view the Punjab infrastructure development cess on the import goods.
