ISLAMABAD: The Model Customs Collectorate Islamabad has detected no case of under invoicing or valuation during first quarter of FY2019-20 and same period of FY2018-19 while single case of under invoicing has detected during Post Clearance Audit.
According to document provided to Customs Today by the sources of FBR (Federal Board of Revenue) which point up that the Chief Collector North Asif Jah has asked the Collector MCC (Model Customs Collectorate) Islamabad through correspondence to provide detail of cases where under invoicing or valuation has been reported.
In replying to the Chief Collector letter the Collector MCC Islamabad explained that no case has been framed during the prescribed period July to September 2018 and July to September 2019 regarding under invoicing or valuation however one case of under invoicing has been detected during PCA (post clearance audit) where instances under invoicing was found.
It further mentioned that one of the party (name not disclosed) which was detected by the PCA was got medical devices cleared by at the value much lower than the actual value while accordingly a demand notice amounting to Rs.444.989 has been issued to the party.
An illustrative list of following items being freely importable at AFU (air freight unit) of MCC Islamabad always under dispute and more prone to under invoicing on the other hand the Collectorate uses all available sources of information and historical data of 90 days for determination of value under section 25 of Customs Act 1969.
The Collectorate mentioned that disputed declared value along with assessed value in US dollar is as under, the Ultra sound machine declared value is US$650 per piece while its assessed value mention US$1000 per piece, it added that sun glasses declared value is US$0.3 per dozen while assessed value of sunglasses is US$3 per dozen whereas Key pad rubber for computer declared value US$0.2 per Kg while it’s assessed value is US$0.5 per piece, ECG machine declared value US$300 per piece while its assessed value is US$400 per piece as well as Thermal Printers declared value is US$3 per piece whereas its assessed value mentioned US$4 per piece, stunts set declared value US$6 per piece against assessed value US$65/75 per piece, EDMS (external drainage monitoring system) declared value US$6 per piece but its assessed value is US$65/75 per piece, it added that graphic cards declared value is US$3 per piece while its assessed value mentioned US$1 piece.
The sources of Customs informed the correspondent that the menace of under invoicing and mis-declaration at the Customs stage are incurring huge losses to the national economy. Ends
