KARACHI: The Customs’ Post Clearance Audit (PCA) has detected tax evasion to the tune of Rs 14.5 million by M/s Green Globe Private Limited on import of LED lights, ceiling lamps etc.
The PCA officials, on scrutiny/audit of import data found that M/s Green Globe had imported declared to be LED light with fixtures, down lights, ceiling lamp, panel lights, soft lamp strips, bulbs, led light for solar use, lighting fixtures etc through Model Customs Collectorate Appraisement-West and claimed benefits of Fifth Schedule, Sixth Schedule.
The exemptions are only available to SMD, LEDs with or without ballast with fittings and fixtures for promotion of the renewable energy technologies as per notification mentioned above. Whereas, clause 77 part-IV Second Schedule of Income Tax Ordinance, 2001 is more restrictive and allows exemption to items with dedicated use of renewable source of energy, which includes sources like solar and wind power only, sources elaborated.
The examination staff in their examination report has not confirmed that the imported LED lights are for solar or wind energy use. It appears from the examination report that the imported items are for general use, as these are operative / works under alternating current (AC) of voltage ranges 100-240 volts which is the normal thermal / hydel power sources normally produced and used in Pakistan. The images scanned by the examination staff and examination report shows goods are operative at voltage as 100 – 240 volts. It is an undeniable proof that the imported goods are not meant for to work / operate with the renewable energy sources like Solar Energy or Wind Energy.
It transpires that the imported goods do not operate on direct current (DC) which is used / and operate in the renewable energy technologies. Therefore, the concessions under the claimed notifications are not available to the subject imports.
The PCA officials has directed the importer M/s Green Globe (Private) Limited, Lahore to pay the short-paid duties/taxes as earlier as possible.
