KARACHI: Pakistan Customs lost an application against the decision by Special Customs tribunal as its officials failed in proving before the court that vehicle in dispute (Hummer) is a luxury vehicle or to be specific a “Limousine”.
According to details, a divisional bench of Sindh High Court (SHC) comprising Justice Munib Akhtar and Justice Zulfiqar Ahmad Khan dismissed a Special Customs Reference Application (SCRA) filed by the Collector of Customs against tribunal and Muhammad Shafique, an importer who imported a vehicle (Hummer) from USA. They filed a Goods Declaration under PCT Heading 8703 meant for 10-15 seat transport vehicles. The importer later filed a refund claim amounting to rupees 6, 337, 202 maintaining that PCT HS 8703. 9090 was mentioned in the GD erroneously instead of PCT HS 8702. 9090. The importer filed the refund claim maintaining that vehicle is meant for transporting ten or more persons and thus falls under PCT HS 8702 attracting custom duty at a rate of 20 per cent while PCT HS 8703 attract a 100 per cent duty.
The counsel for respondent/importer vehemently argued that disputed vehicle even if treated as as luxury vehicle can be treated under 8702.
Masooda Siraj advocate, counsel for applicant/customs rebutted and said vehicle (Hummer) with a seating capacity of five person including the driver can be classified under 8703 as per specification, internal configuration and thus no claim for refund is made out.
The bench however agreeing to the contention of the importer/respondent dismissed the application filed by Pakistan Customs maintain the order of the tribunal, which ordered refund of the extra custom duty collected.