KARACHI: The Directorate of Customs Post Clearance Audit (PCA) on Thursday detected duties and tax evasion of Rs 13.76 million by M/s Warsi Vehicles Decorators, it is learnt here.
Sources told Customs Today that M/s Warsi Vehicles Decorators imported a consignment of special quality car paints, wheel decorates steepness, and color polish and got them cleared from the Port Qasim, Karachi vide GDs on January 17, 2017 by paying customs duty very low at 12 percent after claiming the benefit of the SRO 556/2007.
However, the subject items were correctly classifiable under the PCT 6587.2504 attracting customs duty at 15 percent and income tax at 13 percent, thus, by way of mis-declaration of classification, the company evaded/short-paid Rs 13.76 million. The goods were cleared by Appraiser Sabahat Waraich.
Sources said that the importer violated the provisions of Section 85 (9,5-A) of the Customs Act-1969, Section 73 read with Section 25 of the Sales Tax Act-1990 and Section 21 of Income Tax Ordinance 2001 punishable under clauses (32) and 54 of Section 37(4) of the Customs Act-1969, Section 31 of the Sales Tax Act-1990 and Section 79 & 35 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.
