KARACHI: The Model Customs Collectorate (MCC) PaCCS has asked the Triple Tree Associates to make payment of Rs47.99 million into the exchequer after the company voluntarily surrendered benefit of Sr.8 of SRO 575(I)/2006 and made a part payment of Rs26.635 million.
While appreciating the voluntary payment of duty and taxes after removing the benefit of the said SRO, MCC PaCCS informed the Triple Tree Associates that total payment due after re-assessment came to Rs90.913 million out of which Rs16.286 million were paid at self assessment stage.
After the voluntary payment of Rs26.635 million, the balance of Rs47.99 million was still outstanding towards the importer.
The Triple Tree Associates had offered to the Collectorate of Customs PaCCS to conditionally surrender the benefits in form of taxes/duty concessions availed under serial No. 8 of SRO 575(I)/2006, as their plan to setup a 5-star hotel in Karachi has been delayed.
The company had offered a payment of Rs26.635 million which as per their calculation were in excess of 5.0 percent duty taxes paid and had there been no exemption, Triple Tree had to pay this amount additionally on 17 Goods Declarations (GDs).
It may be mentioned here that Triple Tree Associates proposed to set up a 5-star hotel in Karachi and availed concessions under the above mentioned SRO on import of machinery, equipment and other items.
However, on account of law and order situation in Karachi and the load shedding, the hotel operators, Sofitel Chain of Hotels refused to continue their support.
Triple Tree is presently in a process of finding a hotel operator. Therefore, in response to demand created by the customs authorities as the building is not being used as hotel within the meaning of said SRO, Triple Tree offered to pay the normal duties.
In case if the building is used for hotel or recreational services, the company would file refund from the Collectorate of Customs.
Triple Tree Associates asked to pay Rs47.99 million after it voluntary surrendered concessions
