KARACHI: The Directorate of Post Clearance Audit PCA Karachi has detected another evasion by M/s Omar Associates (Pvt) Limited to the tune of Rs 17.49 million while violating Duty Tax Remission Export (DTRE) concessions.
As per details, the PCA during scrutiny of DTRE No.KEXP/3285/25112009 dated November 25, 2009, observed that M/s Omar Associates imported 25,000 metric tons soap stone under H.S. Code 2526-1010 availing facility of DTRE Rules notified vide RO 450(i)/2001 dated June 18, 2001.
The DTRE user imported subject under 98 goods declarations during the period January 05, 2010 to February 22, 2010. The DTRE user Exported 9769 M.Tons of finished talc lumps under 15 export goods declarations during July 06, 2010 to October 26, 2010 showing utilization of 10000 M.T of raw material/ input goods imported for utilization of output goods of DTRE.
M/s Omar Associate under Rule 302 of DTRE Rules was granted specific contract based DTRE approval for acquisition of duties and taxes suspended input goods for solely use in exports against instant DTRE as requested in the application submitted to the Regulatory Collector in the form set out in Appendix-I to the DTRE Rules having all required information (Rule 298 of DTRE rules).
This approval is on the basis of declaration of the applicant who alone stand responsible for fulfilment of these declarations which besides others includes that the input goods acquired under Chapter XII of SRO.450(I)/2001 dated 18-6-2001 shall be utilized in the manufacture and export of output goods of this DTRE within 12 months. The DTRE user submitted reconciliation statement on 14.9.2013 on prescribed form (App-III) in terms of Rule 307-D of the aforesaid Rules.
It is worth mentioning, that under Rule 302-A, samples of imported input goods and output goods meant for export shall be drawn at the time of import and export so that the same could be used for cross matching or any other purpose as required.
M/s. Omar Associate (Pvt) Ltd, Karachi, is accordingly advised to deposit the short levied amount of Rs. 17.49 million along with additional duty and taxes.
