BR100 Decreased By (-0.73%)
BR30 Decreased By (-0.77%)
KSE100 Decreased By (-0.49%)
KSE30 Decreased By (-0.47%)
BECO 5.77 Increased By ▲ 0.46 (8.66%)
BML 53.00 Increased By ▲ 1.42 (2.75%)
BOP 33.99 Increased By ▲ 0.03 (0.09%)
CNERGY 8.11 Decreased By ▼ -0.20 (-2.41%)
DCL 12.20 Increased By ▲ 0.40 (3.39%)
FCCL 52.83 Decreased By ▼ -0.17 (-0.32%)
FCSC 5.07 Increased By ▲ 0.12 (2.42%)
FFL 17.95 Decreased By ▼ -0.20 (-1.1%)
FNEL 1.29 Decreased By ▼ -0.03 (-2.27%)
HUMNL 10.88 Decreased By ▼ -0.12 (-1.09%)
KEL 8.02 Decreased By ▼ -0.12 (-1.47%)
KOSM 5.52 Decreased By ▼ -0.06 (-1.08%)
MLCF 86.51 Decreased By ▼ -1.37 (-1.56%)
NBP 185.16 Decreased By ▼ -2.53 (-1.35%)
PACE 10.58 Decreased By ▼ -0.23 (-2.13%)
PAEL 39.42 Decreased By ▼ -0.65 (-1.62%)
PIAHCLA 26.22 Decreased By ▼ -0.27 (-1.02%)
PIBTL 16.67 Decreased By ▼ -0.09 (-0.54%)
PPL 228.18 Decreased By ▼ -2.19 (-0.95%)
PRL 34.68 Decreased By ▼ -0.36 (-1.03%)
PTC 65.33 Increased By ▲ 0.82 (1.27%)
SEARL 90.13 Increased By ▲ 0.25 (0.28%)
SSGC 26.60 Decreased By ▼ -0.37 (-1.37%)
TELE 8.28 Decreased By ▼ -0.09 (-1.08%)
THCCL 58.50 Decreased By ▼ -0.58 (-0.98%)
TPLP 8.22 Increased By ▲ 0.04 (0.49%)
TREET 24.53 Decreased By ▼ -0.47 (-1.88%)
TRG 69.71 Decreased By ▼ -0.92 (-1.3%)
WAVES 9.94 Decreased By ▼ -0.07 (-0.7%)
WTL 1.28 Decreased By ▼ -0.01 (-0.78%)

LAHORE: Importers are no more at liberty to escape the liability of proceedings for recovery of duty, taxes or charge after release of goods on provisional assessment, said sources from the Customs department.

Earlier, it was understood in general that once the provisional assessment attains finality the proceedings for recovery of duty, taxes or charge after release of goods are barred and cannot be resorted to the purposes of recovery of the escaped duty and taxes.

They said the provisions of the Act of 1969 empower an officer of Customs to provisionally determine the liability where it is not possible for the latter during the checking of the goods declaration to satisfy himself/herself as to the correctness of the assessment of goods made by the importer for reasons that the goods require chemical or other test or a further inquiry.

The differential amount is secured by security furnished by the importer of the goods. If the final determination is not made within the time specified then the provisional assessment becomes final. The finality is relatable to the assessment and does not affect or bar the subsequent proceedings in connection with recovery of duty, taxes or charge not levied or short levied.

Sources said the appellate forums were not correctly appreciating the scheme of the Customs Act of 1969 and a distinction between an assessment and the offence as well as the mechanism described for the recovery of duties and taxes. They have been reading in the fiscal statute something not intended nor provided by the legislature, adding that it is a settled principle of a fiscal statute that tax and equity are strangers.

According to the sources, the finality of assessment under the relevant provisions of the law makes the provisional assessment final and not the declaration made by the importer as per the requirements of the law. Any such assessment made under the prescribed provisions of the law does not bar subsequent proceedings in connection with the offence of hiding duty in the form of goods declaration, they added.

Copyright Business Recorder, 2023

Comments

Comments are closed for this article.