KARACHI: Directorate of Post Clearance Audit has served an Audit Observation on M/s Reckitt Bankiser Pakistan for payment of Rs4.057 million as was short-paid.

During scrutiny / audit of import data of M/s Reckitt Benckiser Pakistan Limited, Karachi, revealed that they imported 2200 Units LED T8 Tube Lights 10 watts, 1000 Units LED Bulb 7 watts, classifiable under PCT heading 9405.1090 and cleared the same from MCC Appraisement (West), Custom House, Karachi without payment of duty and taxes by claiming inadmissible benefits of Sr.No.24 of Fifth Schedule to the Customs Act, 1969, Sr. No.15.2 of Table-3 of Sixth Schedule to the Sales Tax Act, 1990 and clause 77 Part-IV Second Schedule of Income Tax Ordinance, 2001, which were otherwise leviable to Customs Duty of 25%, RD 10%, Sales Tax 17% , Additional Sales Tax 3% and Income Tax 6%.

In terms of aforesaid schedules the exemptions are only available to SMD, LEDs with or without ballast with fittings and fixtures for promotion of the renewable energy technologies.

Accordingly, Audit Observation is issued to M/s. Reckitt Benckiser Pakistan Limited Karachi for payment of inadmissibly availed duties/taxes.