'Payment of duties, taxes to be made only electronically from tomorrow'

LAHORE: Collector of Lahore Customs Appraisement, Mohsin Rafique said on Tuesday that all duties and taxes exceeding Rs. one million would be paid only through the system of e-payment from tomorrow (Wednesday).

He announced this at a seminar held here at APTMA (All Pakistan Textile Mills Association) Punjab office where APTMA Chairman Abdul Rahim Nasir, Secretary General Mohammad Raza Baqir and a large number of member millers were also present.

Mohsin Rafique informed the participants that in compliance with FATF requirements and as a measure towards digitization and automation of economy, Federal Government had now made it mandatory on all importers to make payment of duties and taxes over Rs one million through internet banking, mobile banking, ATMs, over the counter (OTC) or any other electronic method approved by the State Bank of Pakistan.

He said in continuation of FBR reforms and modernization drive, E-Payment facility for payment of all FBR taxes as well as some provincial taxes had been introduced for convenient and hassle-free payment.

On the one hand, traders could electronically pay all import duties and taxes through Customs computerized system WeBOC at ports and border stations across Pakistan.

While on the other hand, taxpayers could also electronically pay income tax, sales tax and Federal Excise duty sitting in their homes.

E-Payment system provides round the clock facility to taxpayers and traders to make online payment of customs duties and other FBR taxes as well as provincial cess and stamp duty, he maintained.

The facility was available through internet and mobile banking by using more than 15000 ATMs of 16000 Over the Counters (OTC) bank branches of commercial banks spreading across the country.

The Customs Collector added that taxpayers’ confidence and interest in E-payment was growing fast and it could be gauged from the fact that the proportion of E-payments of Income Tax, Sales Tax and Federal Excise Duty had increased from 6.26 per cent of total payments during July to December 2019 to more than 40 per cent during the same period of the year 2020.

Similarly, the proportion of amount deposited in these E-payments had jumped from 13.55 per cent of total payments to 76.5 per cent during the comparative period of the current year, he added.

According to him, E-payment facility had greatly helped the traders and other taxpayers’ during the COVID pandemic since all transactions could be completed without physical interaction.

Currently, 18.6 per cent of import duties and taxes were being collected by Pakistan Customs through E-Payment system.

More than 80,000 consignments consisting of nearly 22 per cent of total imports were cleared in WeBOC through E-Payment in the last six months.

Apart from major Customs stations including Karachi, Lahore, Islamabad and Peshawar, the facility was also being availed by importers in remote areas like Taftan and Khunjerab, he concluded.

Addressing the seminar, Rahim Nasir Chairman appreciated the role of Customs Department in fully automating the processes and facilitating the trade through out of the box solutions.

He expressed the hope that FBR would continue its drive to bring more transparency in clearance of import and export consignments.

He thanked Collector of Customs for sparing the time to educate APTMA members on the proposed e-payment system.