KARACHI: The Customs Appellate Tribunal, bench III comprising Ghulam Murtaza Bhatti, Chairman/Member Judicial (I) Islamabad and Muhammad Yahya, Member Technical (I) Karachi deciding an appeal filed by Milestone Textile Karachi declared the show cause notice issued by Collectorate of Customs Adjudication-I remained unmatched with the allegations of mis-declaration of description and unlawfully availing of facility of temporary imports under SRO 492(I)/2009.
The tribunal held that impugned order-in-original of June 15, 2015 suffers infirmity as duties and taxes have been imposed on the temporary importation of goods which are exempt from such levies.
The bench heard advocate representing the appellant. The counsel maintained that the appellant Milestone Textile is an exporter and importer of Polyester knitted stretchable printed fabrics.
The Milestone Textile did not violate the said SRO and the consignment/container imported by Milestone-importer cum exporter was detained by the Customs Authority unlawfully.
The appellant filed an appeal before the tribunal, which framed a number of issues for determination that included issue of jurisdiction, status of the importer appellant at the time of filing of Goods Declaration and the inspection/clearing of goods.
The bench finds that levy of taxes/duties on temporary importation as held by the impugned order was not synchronous with the provision of Customs Act 1969 and Customs Rules, which are aligned with revised Kyoto Convention.
Accordingly the show cause notice of June 10, 2015 is vacated and the impugned Order-in-Original is set-aside and fine penalties are remitted.
The tribunal disposed of the appeal without imposing any cost upon the Milestone Textile, Karachi.