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  • FBR issues fresh customs valuation for mobile phones

    FBR issues fresh customs valuation for mobile phones

    KARACHI: Federal Board of Revenue (FBR) has issued fresh customs values of mobile phone devices for the determination of duty and tax, sources said on Tuesday.

    The Directorate General of Customs Valuation has issued valuation advice dated February 18, 2021, in respect of mobile phone devices to determine assessable customs values of mobile phone devices.

    The directorate said that customs values as given in column 7 of the attached images may be considered for the purpose of assessment of duty and taxes.

    These values will also be relevant for assessment and proceedings under SRO 1455(I)/2018 and SRO 1456(I)/2018 both dated November 29, 2018 read with Customs General Order No. 06/2018 dated November 29, 2018.

    The directorate further said that the enclosed list is not exhaustive; however, mostly traded brands and models as provided by Mobile Phone Importers and Manufacturers Association (MPIMA).

    For assessment of brands and models which are imported in commercial quantity but are not included in the enclosed annexure, the clearance collectorate have been advised to assess those under Section 81 of the Customs Act, 1969 and then forward a reference to the directorate for final determination of values thereof.

    It further said that where in the enclosed annexure, type approval is not given or is under process, clearance collectorate shall fulfill the regulatory requirements pertaining for type approval/certificate of compliance from PTA first as envisaged under the law.

    It is pertinent to mention that the valuation advice will be regularly updated and issued accordingly.

    Following is the fresh customs valuation for mobile phone devices:

    mobile phone advice 01mobile phone advice 02mobile phone advice 03mobile phone advice 04mobile phone advice 05mobile phone advice 06

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  • PTBA advises FBR stop interfering judicial function of Commissioner Appeals

    PTBA advises FBR stop interfering judicial function of Commissioner Appeals

    ISLAMABAD: Pakistan Tax Bar Association (PTBA) has urged the Federal Board of Revenue (FBR) to stop interference in judicial function of Commissioner Appeals.

    In a letter to FBR Chairman Muhammad Javed Ghani on Tuesday, the PTBA while referring to the instructions by the Legal Wing of the FBR to Commissioners Appeals, expressed serious concerns in interference in the judicial independence of the Appeal forum of the Commissioner Appeals and over the language of the letter which clearly indicates the direct influence in the judicial work/power of Commissioner Appeals.

    The Legal Wing of the FBR in its letter directed the commissioner appeals that they may exercise powers under tax laws however unnecessary annulment of orders with directions may be avoided.

    “Frequent annulled with directions orders will reflect adversely on the performance of the officers,” it added.

    The PTBA said that the letter is a clear demonstration of the overt and covert pressure that is exerted on commissioner appeals by the FBR and the field officers.

    “It is prima facie a travesty of justice in eyes of a taxpayer who is an aggrieved taxpayer is to seek relief from the departmental authorities which could be susceptible to overt and covert pressure from FBR.”

    This letter of February 15, 2021 issued by the FBR Legal Wing clearly established direct interference of the FBR in judicial function of Commissioner Appeals. “This is just not acceptable to PTBA and its membership.”

    An independent and fair appeal forum of the commissioner appeals is sine qua non for a taxpayer to have confidence in the tax administration.

    The Supreme Court of Pakistan had elaborated this principle in a leading case by holding that ‘separation of judiciary from executive is the cornerstone of independence of judiciary.’

    “If the taxpayer has confidence in a fair and just appeal forum of the FBR, he will come forward and be compliant taxpayer.

    “An independent appeal forum of commissioner appeals free from influence and inference of the FBR and FBR field units will also reduce unethical practices prevalent in the field units.”

    The PTBA demanded the FBR to withdraw the letter and re-assure all the commissioner appeals to adjudicate and decide appeals in a fair and just manner according to law and facts without any fear or influence from FBR or the FBR field units.

  • FBR allows income tax exemption on sugar import

    FBR allows income tax exemption on sugar import

    ISLAMABAD: Federal Board of Revenue (FBR) on Tuesday allowed exemption from income tax on import of raw and refined sugar.

    The FBR issued SRO 235(I)/2021 in pursuance to the federal cabinet decision dated January 26, 2021.

    Through the SRO the FBR amended Second Schedule of the Income Tax Ordinance, 2001.

    According to the amendments, the tax under Section 148 on commercial import of the white sugar shall be collected at the rate of 0.25 percent from January 26, 2021 till June 30, 2021.

    Another clause added to the Second Schedule under which subject quota allotment by the commerce division, tax under section 148 shall be collected at the rate of 0.25 percent on import of raw sugar imported by sugar mills from January 26, 2021 to June 30, 2021 (both days inclusive) provided that such imports shall not exceed fifty thousand metric tons per sugar mill and three hundred thousand metric tons in aggregate by the sugar industry.

    The FBR said that a new clause 12K had been inserted to the Second Schedule under which the provisions of Section 148 and Section 153 shall not apply on import and subsequent supply of five hundred thousand metric tons of white sugar imported by the Trading Corporation of Pakistan.

  • Promotion committees formed for Customs officials

    Promotion committees formed for Customs officials

    ISLAMABAD: Federal Board of Revenue (FBR) on Monday constituted department promotion and selection committees for making recommendation for promotions and selections of Customs officials.

    A notification issued by the FBR stated that in pursuance of Establishment Division’s concurrence conveyed vide OM No. 13/16/2015-R.IV dated February 12, 2021, the following departmental promotion/selection committees in respect of posts in BS-17 to BS-18, BS-16 to BS-17 and BS-11 to BS-16 for Pakistan Customs Service / Customs field formation have been constituted for making recommendations to the appointing authority for promotions and selection:

    For post in BS-16 to BS-17 and BS-17 to BS-18:

    01. Member (Admn/HRM)(BS-21), Chairman

    02. Chief HRMC BS-20, Member

    03. Chief F&C BS-20, Member

    04. Secretary HRMC Concerned BS-18/19: Member

    05. Secretary Litigation concerned: Co-opted Member

    For post in BS-11 to BS-16

    01. Chief (HRMC) BS-20: Chairman

    02. Secretary (HRMC-1) BS-19: Member

    03. Secretary (HRMC concerned) BS-19: Member

    04. Secretary Litigation concerned: Co-opted member

    The FBR said that the instant notification would supersede all previous office orders/notification for promotions / selections in respect of BS-11 to BS-18 of Pakistan Customs Service /Customs field formations.

  • FBR chairman assures customs agents of expeditious consignment clearance

    FBR chairman assures customs agents of expeditious consignment clearance

    KARACHI: Mohammad Javed Ghani, Chairman, Federal Board of Revenue (FBR) on Monday assured the customs clearing agents of expeditious consignment clearance by deputing additional staff at the customs station.

    Karachi Customs Agents Association (KCAA) in a statement said that in order to resolve certain issues relating to exports and imports the delegation of the association  led by its President Wasiq Hussain Khan, General Secretary Mehmood ul Hasan Awan, Former President and Chief Coordinator Export Mohammad Amin Essani and Former General Secretary Arshad Khurshid held a meeting with the FBR Chairman Mohammad Javed Ghani at Large Taxpayers Office (LTO) Karachi.

    This meeting was also attended by the honorable Chief Collector South (Appraisement & Facilitation) Madam Surriya Ahmed Butt and Chief Collector South (Enforcement & Compliance) Dr. Saifuddin Junejo, wherein the agenda points submitted by the KCAA was discussed in details. 

    The FBR Chairman gave a very patient hearing to the problems being faced by the Customs Agents. The delegation of Karachi Customs Agents Association is very much appreciated of the sympathetic attitude of the Chairman FBR.

    He issued instructions with regards to the agenda points as highlighted by KCAA, which are as under: 

     Shortage of Staff. It was assured that sufficient number of staff will be deputed by the FBR at all Collectorate in order to avoid delay in the clearance of import and export consignments. 

    In order to avoid long delay in the process of contravention with regard to the export shipments. The Chairman FBR instructed to expedite the process of contravention meanwhile the adjudication of exports shipment would be finalized within the Export Collectorate instead of forwarding to Adjudication Collectorate. 

    Formation of Joint Committees: Upon request of KCAA, the Honorable Chairman approved that under the supervision of Chief Collectors joint committees should be formed comprising of Customs Officials including two representatives of Karachi Customs Agents Association respectively in each committee, in order to address issues being faced by the trade.

     It was also decided that once a month meeting of the said joint committees will be arranged by the collectorate. 

    Regarding blocking of Customs Agents Licenses, the worthy Chairman directed to the concerned quarter that matter should be reviewed in the meeting of joint committee on merit, in order to avoid unnecessary blocking of customs agent’s license until and unless the customs agents proved guilty after final decision by the concerned authorities.  

    KCAA grateful for the positive attitude and certainly appreciate for the prompt decisions taken by the worthy Chairman FBR for the betterment of our beloved country’s economy.

  • Pakistan Customs impounds non-duty paid vehicles worth Rs11.3 billion

    Pakistan Customs impounds non-duty paid vehicles worth Rs11.3 billion

    ISLAMABAD: Pakistan Customs has impounded non-duty paid motor vehicles worth Rs11.3 billion during first seven months (July – January) of the current fiscal year, said a spokesman of the Federal Board of Revenue (FBR) on Sunday.

    The seizure of non-duty paid motor vehicles registered growth around 66 percent as the customs authorities seized motor vehicles worth Rs6.8 billion in the same period of the last fiscal year.

    The customs authorities confiscated smuggled goods worth Rs35 billion during the first seven months of the current fiscal year, showing an increase of 59 percent when compared with Rs22 billion in the corresponding months of the last fiscal year. It is pertinent to mention that the total seizures during the last fiscal year was Rs36 billion.

    Giving the details of the seizure, the spokesman said that the customs authorities seized smuggled betel nuts amounting Rs3.4 billion during July – January 2020/2021, which was 105 percent higher than the seizer of in the same period of the last fiscal year.

    A growth of 28 percent has been recorded in seizure of smuggled clothes and 70 percent rise recorded in illicit cigarettes.

    The customs authorities confiscated auto parts worth Rs492 million, recording 113 percent growth than the last fiscal year.

    Pakistan Customs seized high speed diesel worth Rs899 million and jewellery worth Rs271 million during the period under review.

    The spokesman added that in its ongoing crackdown against sales of smuggled petroleum products through illegal fuel stations, the customs authorities sealed around 2000 petrol pumps.

  • Procedure issued for intimating retirement, submission of pension papers

    Procedure issued for intimating retirement, submission of pension papers

    ISLAMABAD: Federal Board of Revenue (FBR) has issued procedure for officers and staff of tax machinery regarding intimation about their superannuation retirement and submission of pension papers.

    In supersession to Board’s earlier SOPs No. 25(20)MIR-IV/2016 dated 10.12.2020, the FBR said that while submitting the cases of retirement, pension papers and encashment of LPR for officers of field formations, the following documents must be attached with the application:-

    I. RETIREMENT NOTIFICATION:

    i. Application of the officer along with attested copies of CNIC and payslip

    ii. Service Book & Matriculation Certificate (in original)

    iii. Prescribed certificate regarding disciplinary and criminal proceedings (in original) format enclosed.

    iv. Even if an officer does not submit application to the head of field formation for issuance of his/her retirement notification, it shall be incumbent upon the respective head to submit documents to the Board for issuance of retirement notification at least 3 months prior to his/her superannuation.

    II. PREMATURE/ VOLUNTARY RETIREMENT:

    The option for pre-mature/voluntary retirement after rendering 25 years of qualifying service shall be submitted along with all requisite documents mentioned above at least 06 months before the date of voluntary retirement with specific recommendations of the concerned Head of the field formation.

    III. PENSION CASES:

    i. Each page of pension papers must be signed and stamped (by name) by the DDO/Account Officer concerned and countersigned by the respective Head of office i.e. Chief Commissioner/ Chief Collector/ Director General/ Commissioner/ Collector/ Director.

    ii. Pension application along with three attested Photographs.

    iii. LPC (in original) issued by concerned AGPR/sub-offices of AGPR or District Accounts Officer (as the case may be).

    iv. CNIC of the pensioner.

    v. Prescribed certificate regarding disciplinary and criminal proceedings (format enclosed).

    vi. No column of the pension papers should be left blank. Even if it is NIL, the same may be incorporated. Any irrelevant or inapplicable columns should be struck down.

    (vii) While forwarding the pension papers, the respective Chief Commissioner/ Chief Collector/ Director General/ Commissioner/ Collector/ Director shall invariably submit recommendations about the release of full pension on the basis of satisfactory service of the pensioner or to withhold any portion of pension recording reasons thereof with evidences, in the relevant column, for decision by the Sanctioning Authority.

    IV. LEAVE ENCASHMENT/LPR:

    i. Leave admissibility certificate duly signed and stamped by the concerned officer of AGPR/ Sub-Offices of AGPR/District Account Officer

    ii. In case of leave encashment, a certificate stating that the officer has not availed any kind of leave (except casual leave) during the last year of his/her service. In case leave is availed during last year, the details of leave availed, its nature and period with dates are to be specifically mentioned.

    iii. Attested copy of retirement notification issued by the Board.

    The FBR said that in case an application is not received with complete documentation, it will be returned with a copy of SOP indicating missing documents.

  • FBR evolves strategy to combat fake invoices

    FBR evolves strategy to combat fake invoices

    ISLAMABAD: Federal Board of Revenue (FBR) to review performance of tax offices regarding action taken against fake and flying invoices which caused huge monetary losses to the exchequer in the shape of issuance of bogus sales tax refunds.

    Sources on Saturday said that FBR chairman Muhammad Javed Ghani would chair an important meeting during his visit to Karachi scheduled for February 22, 2021.

    There is one-point agenda of the meeting i.e. “Fake invoices – Action taken so far and future strategy to combat it.”

    All chief commissioners of the tax office in Karachi have been asked to attend the important meeting.

    The sources said that the chief commissioners would make presentations on issues of fake invoices and strategy to combat the same.

  • Customs intelligence announces auction of vehicles, goods on Feb 26

    Customs intelligence announces auction of vehicles, goods on Feb 26

    KARACHI: Directorate General of Intelligence and Investigation – Customs has announced auction of motor vehicles and general goods to be held on February 26, 2021 at DG I&I Customs, PECHS, Karachi.

    Following are vehicles and goods that will be presented for the auction:

    S.No.Description of Vehicles/GoodsQuantityLocation
    1Mercedes Benz Car, Reg. No. AAJ-106, Model-2001 Chassis No. WDB2100372A189414 Color GreyOneSITE
    2BMW 760Li Car, Reg. No. BCP-523, Model-2002 Chassis No. WBAGN62000DE55455, H.P. 4400cc Color WhiteOneSITE
    3BMW 530i Car Reg. No. LZG-105, Model-2004 Chassis No. WBANA72034B789793, H.P 1995cc Color WhiteOneSITE
    4Toyota Premio Car, Reg.No.GP-0595, Model 2004 Chassis No. ZZT240-5029478 H.P 1800cc Color Pearl WhiteOneSITE
    5Toyota Surf Jeep, Reg.No.BG-3400, Model-1997 Chassis No.VZN185-9000421, H.P.3400ccOneSITE
    6Toyota Mark X Car, Reg.No.AMQ-020, Model-2006 Chassis No.GRX121-3001124, H.P.3000CC, Color Pearl WhiteOneSITE
    7Toyota Land Cruiser Jeep, Reg: No.BF-7787, Model-1998 Chassis No.UZJ100-0002349 H.P. 4663cc Color Pearl WhiteOneSITE
    8Toyota Estima Van, Reg.No.EA-5321, Model-2002 Chassis No.ACR40-0033291, Horse Power 2400cc Color SilverOneSITE
    9Toyota Marks-X Car Reg No.ASP-663 Model 2005 Chassis No.GRX121-1005188 color pearl white H.P 2994 CCOneOffice
    10Honda Civic Car Reg No.AKY-342 Model 2003 Chassis No.JHMES56804S201499 color Black H.P 1500 CCOneOffice
    11Toyota Marks-X Car Reg No.AKE-250 Model 2010 Chassis No.GRX133-6000941 color pearl white H.P 3500 CCOneOffice
    12Toyota Marks-X Car Reg No.BBF-001 Model 2005 Chassis No.GRX120-0045540 color pearl white H.P 2499 CCOneOffice
    13Honda Civic Car Hybrid Reg No.BED-504 Model 2008 Chassis No.JHMFD46208S202135 color Black H.P 1330 CCOneOffice
    14Toyota Marks-X Car Reg No.ARN-690 Model 2005 Chassis No.GRX120-0021588 color Silver H.P 2500 CCOneOffice
    15Toyota Surf Jeep Reg. No. BG-0235 Model 2001 Chassis No.VZN185-9047191 color White H.P 3378 CCOneOffice
    16Toyota Surf Jeep Reg. No. ABC-600 Model 2000 Chassis No.KZN185-9022690 color Silver H.P 2982 CCOneOffice
    17Toyota Prado Jeep, Reg No. WAA-225, Model 1996 Chassis No.Vzj95-0001689 Color Blue H.P 3378 CCOneSITE
    18Honda Civic (Reborn) Hybrid Car Reg No. AQD-617, Model 2006, Chassis No.FD3-1101013 Color Silver H.P 1300 CCOneSITE
    19Toyota Mark-X Car Reg No. LED-14-7246, Model 2005, Chassis No.GRX121-1005846 color Pearl White H.P 3000 CCOneSITE
    20Toyota Prado Jeep (without number plate) Model 2002 Chassis No.RZJ95-0056190 Color Pearl White H.P 2700 CCOneSITE
    21Toyota Mark-X Car Reg No. ASP-663, Model 2005, Chassis No.GRX121-1001181 Color Pearl White H.P 3000 CCOneSITE
    22Suzuki Swift Car Reg No. AYH-707, Model 2005, Chassis No.ZC11S-152546 Color Pearl White H.P 1240 CCOneSITE
    23Mercedes Benz (E-300), Reg No.AZC-955 Model 2009 Chassis No. WDD2120542A078371 Color Black H.P 3000 CCOneSITE
    24Toyota Corolla X Reg No. AGS-666, Model 2001, Chassis No. NZE124-3003485 Color White H.P 1500 CCOneSITE
    25Suzuki Swift Reg No. BFP-330, Model 2005 Chassis No. ZC11S-153137 Color Pearl White, H.P 1300 CCOneSITE
    26Mercedes Benz, bearing Reg No. ATL-999 Model 2006 Chassis No. WDB2110772B024601 Color White H.P 2000 CCOneSITE
    27Suzuki Swift Car Reg No. BCF-996, Chassis No.ZC11S-166252, 1300CC , Model 2006, Color SilverOneSITE
    28i. Plastic Zips ii. Bicycle China Origin (20 Bags) iii. File Cover iv. Trunnion Bush (Spare Parts) 12.7×12.7×8.5 cm v. Envelop vi. Bus Tyres vii. Car Tyres viii. Bicycle Tyres ix. HMD Motorcycle Wheel Chain Taiwan Origin x. DTO Bicycle Chain China Origin249 Kgs 40 Pcs 200 Pcs 480 Pcs 20 Packets 05 Nos. 25 Nos. 1000 Nos. 400 Pcs 300 PcsSITE
    29Tyres Reconditioned (Different Brands and Assorted Size)144 Nos.SITE
    30Old and Used Window AC (F/O)14 PcsSITE
    31i. AC (Window) F/O York Brand (75 Units) ii. AC (Standing) F/O York Brand (10 Units)85 UnitsSITE
  • Rules implemented for electronic issuance of income tax refunds

    Rules implemented for electronic issuance of income tax refunds

    ISLAMABAD: Federal Board of Revenue (FBR) on Friday implemented the rules for electronic issuance of income tax refunds.

    The FBR issued SRO 214(I)/2021 to make amendments in Income Tax Rules, 2002. Previously, the FBR issued SRO 175(I)/2021 on February 10, 2021 inviting suggestions on the draft rules.

    According to the rules, a Centralized Income Tax Refund Office (CITRO) would be established for centralized payment of refunds.

    After completing all codal formalities the Commissioner Inland Revenue shall pass an order under Section 170(4) and transmit the order to CITRO. The same shall be reflected in CITRO in real time.

    The CITRO shall generate an electronic advice of approve amount for onwards submission to the State Bank of Pakistan (SBP) through dedicated VPN tunnel established between FBR and SBP. The SBP shall credit amount directly to the account of taxpayer.

    The SBP shall confirm the transfer of amount to the taxpayers account or vice versa electronically to CITRO.

    The CITRO shall reconcile the payments issued as per instructions during the month with the electronic scrolls received from the SBP and record the outcome of such reconciliation in the system.

    Where any payment instruction is returned back by the SBP due to any reason, the CITRO shall transmit the same to concerned commissioner for correction in payment instructions.

    The FBR shall ensure that complete data of refunds issued is made available to the concerned commissioner electronically.