KARACHI: A number of tiles importers have stopped clearance of their consignments imported from China because of the confusion developed as WeBOC system refused to accept SRO 497(I)/2009 against the recently levied regulatory duty on over seven hundred importable goods.

A trader said there was some technical constraints due to which the system was not accepting concession under SRO 497(I)/2009 and added the fault will be removed in a day or two and the clearance would resume. However, an FBR official said applicability of the said SRO was suspended as it didn’t meant concession against regulatory duty.

SRO 497(I)/2009 restricts incidence of tax to a maximum of 37.5 percent on goofs imported from China under FTA. Tile importers are under the impression that the said SRO was still applicable against RD. With the imposition of RD total incidence of duty and taxes on tiles has come to 66 percent.

Importers are expecting to pay 37.5 percent and bearing demurrage that the misperceived technical fault would be removed in a day or two. Customs has approached the court seeking the ruling that SRO 497 was not applicable against RD and only capped the incidence of Customs duty.
Sources said court had granted Customs’ application and the detailed order would soon follow.