KARACHI: The MCC Port Mohammad Bin Qasim has suggested that the recovery created through post-release verification (PRV) should be revocable at least from the level of Deputy/Assistant Collector because at present the recovery once created cannot be revoked which is causing problems when wrong recovery is generated by any error.

MCC Port Qasim in the 2nd draft of Import Manual has suggested that before generating recovery option should be available with the internal auditor to seek clarification/explanation from the importer or a notice should be generated prior to creation of recovery in WeBOC system.

Post Release Verification with respect to Tariff Classification, Valuation, and Origin programs uses two processes based on random verifications and verification priorities. Random verifications are designed to measure compliance rate and revenue loss and the results may be used for many purposes, including risk assessment, revenue assessment and promoting voluntary compliance.

Targeted verification priorities are determined through a risk-based, evergreen process, meaning that new targets are added throughout the year. Verification priorities may also be carried over from previous years.

PRV is a reassessment of wrongly assessed, misdeclared or under-assessed Goods Declarations (GDs). In WeBOC, PRV role has been termed as ‘Internal Auditor’.

After release of a GD, irrespective of its mode of clearance whether Red, Yellow or Green, Internal Auditor shall open the GD using GD Report(s)’ option and look into exemption(s), where availed; HS Code applied; value as per serial number of valuation ruling, where applicable, applied and 90-data consulted as evident from assessment note; application of relevant clause(s) of SRO, application of serial numbers of FTA/PTA; assessment as per Examination Report; cross matching of packing list and uploaded images with ER; Assessment as per documents i.e. invoice, packing list, certifications as required under relevant rules; status of importer whether manufacturer, commercial or wholesaler, status of importer whether manufacturer, commercial or wholesaler and trader profile.

Having checked above aspects and having reason to believe that GD is wrongly assessed, misdeclared or under-assessed, Internal Auditor shall open the GD using `Recoveries Management’ option and create recovery.

According to the draft manual, Internal Auditor during monitoring shall have excess to all aspects of a GD meant for reassessment under PRV. The Internal Auditor shall have the excess to choose the mode of clearance of GD whether yellow, green or red using ‘gate out GD report‘ available on his WeBOC screen. All those re-assessed cases where recovery has been created by the internal auditor, contravention established, cases adjudged by Adjudication Collectorates concerned and payments still not made by defaulter importer as reflected in ‘recovery GD in process’ folder, shall be referred to Deputy/Assistant Collector for initiation of recovery proceedings.

The Internal Auditor will go through the profile of the importer using ‘trader profile‘ option. During monitoring, Internal Auditor will regularly download a list of GDs for which Valuation Rulings were not applied besides being applicable.

Principal Appraiser shall check recoveries management folder and enlist assigned for payment GDs using ‘recovery GDs in process’ folder and report to Deputy / Assistant Collector. Principal Appraiser shall conduct PRV in respect of GDs completed by Appraising Officer the previous day and especially the GD cleared through Green Channel)

All those re-assessed cases where recovery has been created by the Internal Auditor, contravention established, cases adjudged by Adjudication Collectorates concerned and payments still not made by defaulter importer shall be referred to Deputy/Assistant Collector for initiation of recovery proceedings.

 

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