KARACHI: Customs Appellate Tribunal has rejected the plea of importer as mis-declaration found in filing good declaration (GD) to evade revenues and pleading for remission of redemption fine/penalty which already paid on orders of Collector (Appeals).
According to the facts, importer M/s King International had evaded legitimate revenue of Rs 568,911 however, total offending goods value is Rs 2.16 million by mis-declaring different PCT headings for fabrics to pay less duty /tax.
The order-in-original said that the import consignment contains four types of fabric from which three PCT headings were filed correctly whereas, one PCT heading was mis-declared.
The following are description of fabrics including: cotton dyed shirting suiting fabric; manmade dyed suiting/shirting fabric; manmade dyed/printed women shirting fabric and polyester dyed/printed georgette fabric.
It is mentioned that customs values for cotton dyed shirting suiting fabric is at 25 percent while rest of them is chargeable at 14 percent due to the reason importer intentionally mis-declared the only PCT heading which contains higher values.
It is ordered that the offending goods to be confiscated under Customs Act, 1969 however, the appellant request is considered and given two options including: to redeem the offending goods on payment of 50 percent fine i.e Rs 1.08 million in addition to redeem the duty and taxes leviable thereon and penalty amounting to Rs 10,000 is also imposed on the importers for the mis-declaration.
As the appellant aggrieved over the decision, in this regard, collector (Appeals) said, it has been observed that the motive behind the mis-declaration as mentioned in the show cause notice is clear and proves the malafides of the appellant beyond any shadow of doubt and the action taken against the appellant is in consonance with the gravity of the offence and accordingly established.
The plea of the appellant was not on the ground that the impugned goods were found to be cotton dyed shirting/suiting fabric instead of declared polyester textile fabric and as such the charge of mis-declaration of description stood established.
Appellate Tribunal did not find any legal infirmity in order passed by the Collectors (Appeals) therefore; the appeal is rejected with no order as to cost.