KARACHI: The High Court of Sindh has suspended a ruling by the Classification Committee of the Federal Board of Revenue (FBR) that would have allowed importers of glass tubing for the manufacture of ampoules to classify their imports under a general PCT heading of “other glass tubing” (PCT Heading 7002.3200). This ruling would have allowed importers to evade a regulatory duty of 20% that is imposed on imports under PCT Heading 7002.3910, which is the most appropriate and description-specific PCT heading for glass tubing for the manufacture of ampoules.
The ruling was challenged by Franklin Law Associates on behalf of its client, a local manufacturer of neutral glass used for the purposes of manufacturing ampoules. The court found that the ruling was clearly contrary to the applicable law, rules, and tariff, especially when the tariff specifically provided a description-specific PCT heading for glass tubing for the manufacture of ampoules.
The court’s ad-interim order dated October 13, 2023 has reinstated the status quo ante, whereby all importers of glass tubing for the manufacture of ampoules must import and declare the same under PCT Heading 7002.3910.
Faisal Ghani of Franklin Law Associates has requested the Chief Collector Appraisement South to kindly direct the circulation of the High Court order for its compliance by all subordinate field formations.