KARACHI: The Customs Intelligence Unit (CIU) of MCC Port Qasim has detected revenue leakage to the tune of Rs7.0 million through misuse of SRO No. 1125(I)/2011.
According to details, a joint information was received to Collector, MCC PMBQ and Directorate of Investigation & Intelligence that M/s Dhahran Gift Centre was trying to misuse the benefits of SRO1125(I)/2011 by declaring garments accessories only.
To check the veracity of the information six consignments of M/s. Dhahran Gift Centre were intercepted at various stages of the assessment/gate out. Accordingly these consignments were jointly examined by the staff of Directorate of I&I, Karachi and CIU Port Qasim.
Based on these examination reports an additional amount of duties and taxes to the tune of Rs7.0 million approximately, mainly because of in depth study of actual description/material of garments accessories, application of appropriate PCT heading and relevant serial number of SRO1125(I)/2011, has been raised.
It is for the first time that CIU and I&I have taken action against the misuse of SRO 1125, which provides certain exemptions for manufacturer importers. But, the commercial importers in nexus with IRS, Customs officials have been taken advantage of the weaknesses in the SRO, causing huge loss to the national exchequer.
It may be mentioned here that a large number of commercial importers have managed to get them registered as manufacturer-importers to avail the benefit of SRO. 1125, which is actually meant for manufacturers only.