Show Cause Notice served on Amreli Steels Limited for revenue evasion
KARACHI: MCC Port Qasim has served a Show Cause Notice on M/s Amreli Steels Limited for mis-declaring actual quantity of imported goods to evade government revenue to the tune of Rs10.746 million.
According to the details of the case, a consignment of M/s Amreli Steel comprising 47 containers declared to be 1140 tons of iron and steel remeltable scrap and 4.7 tons of auto parts scrap was assigned to gate-out through green channel through clearing agent M/s Mohammad Hussain Qureshi.
However, during the regular scrutiny by CIU Section of MCC Port Qasim, the declaration was found doubtful as only 100 kgs of auto parts scrap per container was declared.
The examination of the consignment found the quantity of auto parts scrap to be 364 tons, which is chargeable to 35% Customs Duty, 7.0% additional Customs duty, 17% sales tax, 3.0% additional sales tax and 1.0% income tax. The remeltable iron and steel scrap, which is chargeable to 3.0% customs duty, 2.0% additional customs duty, 17% sales tax, 5.0% regulatory duty and 1.0% income tax was found to be 764 tons.
Moreover, undeclared item i.e. Iron & Steel nails weighing 5 tons was also found, which is chargeable to 20% Customs Duty, 7.0% additional Customs duty, 17% sales tax, 3.0% additional sales tax and 5.5% income tax. The incidence of evaded duty and taxes is worked out to Rs10.746 million.
Collector MCC Port Qasim Mumtaz Khoso has made it mandatory that all consignments of scrap and used clothing would be fully examined to thwart attempts of revenue evasion.
It may be recalled that in the previous government, examination of used clothing and scrap consignments was strictly prohibited which resulted in gross misuse of green channel facility and huge revenue loss to the government.