KARACHI: The Directorate of Post Clearance Audit (PCA) has detected duty/taxes evasion to the tune of Rs 1.205 million allegedly by M/s RK Enterprises through claiming inadmissible benefits of SRO 1125(I)/2011 dated December 31, 2011.
According to the details, during the audit of the import of data of waist belt strips/composition leather strips classifiable under PCT Heading 4203.3000, the PCA observed that certain importers illegally availed the benefits of SRO 1125(I)/2011 for clearance of these goods on payment of reduced rate of sales tax, additional sales tax and corresponding income tax by mis-declaring the goods under PCT Heading 4115.1000.
The PCA’s report alleged that M/s RK Enterprises imported six consignments of waist belt strips/composition leather strips correctly classifiable under PCT 4203.3000 chargeable to customs duty at 20 percent, sales at 12 percent, additional sales tax at 3 percent and income tax at 6 percent and cleared the same through the Model Custom Collectorate Port Qasim knowingly and willfully mis-declaring the goods under PCT Heading 4115.1000 in order to claim inadmissible benefit of SRO 1125(I)/2011 for payment of reduced rate of sales tax, additional sales tax and corresponding income tax.
Thus, by way of mis-declaration M/s R K Enterprises has evaded/short-paid an amount of Rs 1,205,467. In this regard, an audit observation has been issued to the importer asking him to deposit the evaded/short paid amount at the earliest.
