KARACHI: MCC Appraisement East has detected an attempt of large-scale revenue avoidance, which M/s Fawwad Steel Corporation made through mis-declaring the classification of the imported goods.
The company imported certain consignments from United Kingdom declared to be iron & steel re-meltable scrap of mattress scrap in shape of bales and bundles and sought clearance under PCT 7204.4100 attracting 3.0 percent customs duty, 5.6 percent sales tax, 1.0 percent income tax, 5.0 percent regulatory duty.
On the directives of Collector Appraisement East Ashad Jawwad, Deputy Collector Mohammad Ali Malik, PA Tawfiq Shaikh, Appraising Officer Babar Gulzar conducted assessment. The goods were found to be used mattresses in shape of press bundles in bad condition, which consists of fabric polyester fiber filling foam and remeltable iron & steel rods and spring assessable under PCT 9404.2900 attracting CD 20 percent, ST 17 percent, Additional ST 3.0 percent, Additional CD 1.0 percent and Income Tax 6.0 percent.
the dispute regarding the PCT was referred to Chairman Classification committee Haris Ansari, who after detailed deliberation confirmed 9404.2900 to be the appropriate PCT for the imported goods.
M/s Fawwad Steel corporation had filed Goods Declarations seeking clearance of 80 containers while GDs for some 300 containers are yet to be filed.