Master Beverages & Food Limited caught evading government revenue

Master Beverages & Food Limited caught evading government revenue

KARACHI: MCC Port Qasim has detected the largest ever duty/tax evasion on just one consignment to the tune of Rs170 million by M/s Master Beverages and Food Limited, Gujranwala, a company of Master Group largely known for their Master Tiles.

The company attempted to evade legitimate government revenue through under stating the cost of an imported machinery/equipment and concealing the original invoice of higher value.

According to the details of the case, M/s. Master Beverages and Food Limited imported a consignment said to contain “Partial Shipment out of supply of a water/beverage filing line plant with standard accessories” from M/s. Krones AG, Germany and sought clearance through clearing agent M/s. S.M. Sadiq & Sons claiming exemption of Sales Tax in excess of 10 percent at declared value of Euro 1.13 million.

Scrutiny of the scanned documents revealed that declared value been grossly under invoiced by the importer as compared to the values of similar/identical goods imported by other beverages companies from the same shipper M/s. Krones AG, Germany.

On an information that importer committed under-invoicing, Collector MCC Port Qasim Moazzam Jah Ansari started an enquiry led by Additional Collector Mohammad Tahir. Deputy Collector Tahir Abbas and Principal Appraiser Ahmed Nawaz conducted the investigation

The investigation and verification from Al-Baraka Bank and shipper M/s Krones confirmed that the company had grossly under0invoiced the shipment. M/s Krones confirmed that the value of said plant cost 7.38 million euros, while imported mentioned the cost to Euro 1.13 million.

Sources said Collector Moazzam Jah has sought permission from Chief Collector Abdul Rasheed Shaikh for lodging FIR against Section 32(A) against M/s Master Beverages and Food Limited.

What is your view on this ? Let us know in the comments section