KARACHI: The Directorate of Customs Post Clearance Audit (PCA) has detected duties and tax evasion of Rs 11.27 million allegedly by M/s Inam Enterprises, it is learnt.
Official sources told Customs Today that M/s Inam Enterprises imported a consignment of various type of generators and generator parts under the PCT Heading 2306.3305 and got it cleared from Port Qasim Karachi vide GDs on September 11, 2017 by paying customs duty at 8 percent after claiming a benefit of SRO 567/2007 by the hand of Appraiser Khawar Ayubi.
However, the subject item is correctly classifiable under the PCT 2605.3486 attracting customs duty at 12 percent and income tax at 14 percent. Thus, by way of mis-declaration of classification, M/s Inam Enterprises evaded/ short-paid Rs 11.27 million.
So the importer has violated the provisions of Section 38 (6) & (8B) of the Customs Act-1969, Section 8, 9 & 16 read with Section 76 of the Sales Tax Act-1990 and Section 128 of Income Tax Ordinance 2001 punishable under clauses (9) and 45 of Section 167(9) of the Customs Act-1969, Section 26 (4) of the Sales Tax Act-1990 and Section 132 & 166 of Income Tax Ordinance 2001 and Section 7-A of the Sales Tax Act-1990 read with chapter X of the Sales Tax Special Procedure Rules 2007 (Special procedures for payment of Sales Tax by the importers) and under relevant provisions of Income Tax Ordinance 2001.
Accordingly, an audit observation was issued to M/s Inam Enterprises for explaining and clarifying as to on what basis they have avoided/evaded the taxable duty and taxes.
