KARACHI: The Customs Appellate Tribunal Karachi, bench I comprising Muhammad Yahya, Member Technical (I) deciding an appeal filed by Madni Impex Karachi held that imposition of redemption fine in lieu of confiscation on the entire value of the consignment was unjust, harsh and irrational.
The tribunal also directed the respondent-Model Collectorate of Customs Appraisement (West) to calculate the amount of redemption fine on the differential value of the consignment-declared by the appellant while filing the Goods Declaration (GD) and the one shown in the invoice recovered with the consignment.
Madni Impex imported single sequin plus cording device embroidery machine (6 colour, 24 heads) with standard attachment and accessories from China.
The Appraisement reported invoice found of the consignment was $26,000 as against declared invoice value of $20,000 by the importer.
The tribunal said appellant was however agreed to pay taxes on the remaining amount $6,000 which was the differential amount of value.
The bench earlier heard advocate representing the appellant. The counsel maintained that the appellant was ready to pay the differential value on import of the said machine.
The bench declared extent of redemption fine has to be worked out with reference to duties and taxes attempted to be evaded and not the duties and taxes on the whole consignment. The tribunal allowed the appeal was disposed of accordingly with no order as to cost.