Tag: KCAA

SBP assures no limit to e-payment for duty, taxes

KARACHI: State Bank of Pakistan (SBP) has assured that there will be no limit to electronic payment for duty and taxes.

The SBP assured this at a meeting with office bearers of Karachi Customs Agents Association (KCAA), a statement said on Monday.

The KCAA said that from January 20, 2021 the collection of custom duties and taxes of more than one million rupees will be collected through e-payment. The e-payment system shall provide round the clock facility to the taxpayers for their payments.

It said that on the request of KCAA, a comprehensive joint meeting has been conducted by the SBP through video link on Zoom Cloud headed by the Director Finance Department of State Bank of Pakistan and attended by more than 60 Regional Heads of all designated Banks and KCAA’s delegation was held on January 07, 2021 at 3:00 PM, wherein the issues pertaining to banking sectors were discussed.

In order to facilitate the trade and taxpayers the following decisions were taken by the competent authorities of SBP in the said meeting.

It was decided that for the payment of Custom Duties and Taxes, any amount can be paid through cheque in any branch of same bank alongwith PSID instead of following the process for issuance of Pay Order.

However in case any variation, the excess/additional amount of taxes will be collected through cash or in case the taxes amount is less than of the cheque amount, the excess amount will be deposited in the account of taxpayers just like PD Account.

The KCAA highlighted that few banks have different limits for account holders and they do not allow payment of duty and taxes of more than their assigned / authorized limits through the module of e-payment.

It was agreed by the State Bank of Pakistan that no capping /limit will be fixed in future, the taxpayers and stakeholders can paid their customs duties and taxes without having any limits.

KCAA also pointed out that Corporate Customers do not have ATM Cards, Mobile Apps and Internet Banking, hence they are unable to pay On-Line payment for duty and taxes. Particularly the corporate sector does not even have access for On-Line Banking and they have to make payments through conventional method of submitting pay orders or cheques.

Corporate Sector who are willing to make e-payment for duty and taxes should have 24 / 7 module for facilitation of payments. In this regard it was decided by the SBP that in near future all such facilities will be provided to the corporate sectors. Few Bank like Standard Chartered, Samba Bank etc already providing net Banking to corporate sectors

It has been observed that while custom duties and taxes paid through E-Payment the acknowledgement of payment challan are delayed for 2 to 3 days.

Now the matter has been resolved, the acknowledgment payment challan will be generated on real time basis.

January 12, 2021
FBR urged immediate measures for speedy customs clearance

KARACHI: Federal Board of Revenue (FBR) has been asked to take immediate measures for speedy cargo clearance and avoid losses to trade and industry. Karachi Customs Agents Association (KCAA) on Wednesday raised difficulties of the trade and industry due to rising dwell time of cargoes at terminals.

The association said in a statement expressed concerns over the alarming situation of delays in clearance of cargos of import and exports at all the terminals.

The terminals are taking extra time for grounding of containers and arranging the cargo for the examination that is causing an increase in the cost of doing business in the shape of heavy container detention charges and port storage/demurrage which are being charged in US Dollar and the same amount is remitting by the terminal operators and shipping companies to their principal offices.

The KCAA further informed that dwell time was also increasing due to shortage of handling equipment, skilled labor and even terminal tariffs were different.

The association said that theft, pilferage and damage cases are being reported regularly inside the premises of terminals / off-dock terminals, as there is no proper mechanism to compensate the trade in case of any loss.

All terminals are licensed to facilitate the trade under terminal rules specified in Licensing Rule, 2001 promulgated through SRO 450(I)/2001 are not being complied in its true spirit, which is causing hardship in the cargo clearance.

The association also informed the FBR that difficulties faced by the trade were discussed with terminal operators on various occasions but no fruitful results had been achieved.

December 30, 2020
Customs agents take measures for trade facilitation amid coronavirus lockdown

KARACHI: Karachi Customs Agents Association (KCAA) has taken various measures to facilitate trade during ongoing lockdown related to prevent spread of coronavirus. The managing committee of the KCAA has taken several measures for the redressal of grievances being faced by the members.
(more…)

March 26, 2020
Hapag Lloyd revises requirement of NTN for Pakistan imports

KARACHI: Hapag Lloyd has revised its announcement and now requirement of National Tax Number (NTN) of Pakistani importers is not mandatory any more, according an official memorandum of Karachi Customs Agents Association (KCAA).

According to the official memorandum, the KCAA informed its members that in the previous announcement by the Hapag Lloyd regarding mandatory requirement of NTN of importer on Import Bill of Lading.

KCAA initiated immediate action and approached the Competent Authority of MCC-Preventive and concerned Shipping Association i.e. PSAA and APSA.

“Due to efforts of KCAA, the Hapag Lloyd has revised the announcement on their website and the requirement of NTN of importer is not mandatory anymore,” it said.

Since only Container Ownership NTN field is appearing in the Pakistan Customs online system hence only Container Ownership NTN is required.

Hapag Lloyd has updated the mandatory requirement for bills of lading to Pakistan.

As per our previous announcement related to Pakistan Customs advisement of the required Importer National Tax Number (NTN), we understand that only Container Ownership NTN field is appearing in the Pakistan Customs online system and there is no field added related to Importer NTN.

Therefore, only Shipper Own Container, SOC, unit NTN and Tariff for local charges, free time and detention tariff on the bill of lading will be implemented at this time.

Once we receive notification that Pakistan Customs is ready for the Importers NTN, we will keep you updated accordingly.

Presently, following two requirements of import bills of lading are implemented for Pakistan.

1) Mandatory requirement to update Container Ownership NTN # (National Tax Number) on Bill of Lading for Shipper Own Container, SOC, units effective January 15, 2020.

According to Pakistan Customs, all Carriers are bound to file Customs manifest including Container Ownership NTN# for Carrier Own Container and SOC units for each shipment.

The Consignee NTN number is to be updated on the Bill of Lading which is released by origin office for SOC unit.

All customers are requested to please provide your local importer NTN number along with the importer name and address while submitting the SI (Shipping Instructions) for SOC units.

Pakistan Customs will not accept the manifest if the NTN number is missing.

As per Customs rule, a non-manifested unit is not allowed to discharge at Pakistan and will remain on board at customer’s risk, cost and responsibility.

2) Publication of Tariff on Bill of Lading Related to Local Charges / Free Time / Detention Tariff

Effective immediately, according to Pakistan Customs Rules 2001 amended in Responsibilities of Licensee for imports into Pakistan, the Carrier is to update all local collect charges other than freight on the Bill of Lading itself. The Carrier must also state on the Bill of Lading the agreed free days and detention tariff per container.

All shipments which will be discharged in Pakistan for clearance or in transit to Afghanistan, must reflect the required charges details.”

February 5, 2020
KCAA’s new office bearers, MC members assume charge

KARACHI: The newly elected unopposed office bearers and members of Managing Committee (MC) of Karachi Customs Agents Association (KCAA) for the term 2019-2020 have assumed the charge of the association in its 12th Annual General Body Meeting held on Monday, September 30, 2019.

The list of the newly inducted Office Bearers and Members Managing Committee is as follows:

Office Bearers:

Yahya Mohammad, President

Mahmood ul Hasan Awan, Senior Vice President

Rashid Khurshid, Vice President

Mirza Ather Baig, Vice President

Akhter Ali Sherwani Vice President

Tariq Rasheed Khan, Vice President

Sheikh Waqas Anjum, Vice President

Gulzar Shah, Vice President

Mohammad Aamir, General Secretary

Zahid Bashir Choudhry, Joint Secretary

Khawaja Zeeshan lqbal, Information Secretary

Rana Zahid Farooq, Finance Secretary

Members managing committee:

Amir Butt

Faraz Ahmed Tanoli

Fida Hussain Tanoli

Junaid Mqhmood

Mirza Abdul Hannan Baig

Moez Tahir Sheikh

Mohammad Asif

Mohammad Basharat

Muhammad Bashir

Mohammad Naeem Malik

Mohammad Naveed Bashir

Mohammad Sohail

Mohammad Yousuf Akhund

Rizwan Ali

Sajid Hussain

Sohail Siddiq

Taha Hussain Khan

Tariq Mehmood

October 1, 2019
KCAA urges shipping companies to observe normal working day on Saturday

KARACHI: Karachi Customs Agents Association (KCAA) on Thursday urged the shipping companies to remain open on Saturday August 17 in order to facilitate trade after week-long holidays.

Arshad Khurshid, General Secretary, KCAA said that after week-long holidays due to Eid and weekly holidays since last Saturday many vessels had been arrived. Besides large number of containers has been accumulated at the ports, he added.

“Most of the companies observe holiday on Saturday or some of those observe half-day working,” he said, adding that it is quite difficult for traders and customs agents to get deliver order in very short time working on Friday.

He urged minister ports and shipping to issue directives that all shipping companies should remain open and observe normal working day on Saturday to facilitate the trade and to dispose off the workload accumulated during the holidays.

Related Posts

MCC Appraisement West to work on Sunday to clear pending consignments before Eid holidays

August 15, 2019
Customs agents express concerns over delay in grounding of containers

KARACHI: The Karachi Customs Agents Association (KCAA) has expressed concerns over the delay in grounding of containers at Karachi International Container Terminal Ltd. (KICTL) and said it may result in choking of the terminal.

In a letter sent to KICTL management on Tuesday, the KCAA pointed out the issue regarding delay in grounding of containers at the terminal.

The KCAA has been informed by its members that they are facing unnecessary delays in clearance of their consignments within time from KICTL due to delay in grounding of containers marked for the examination.

It has been observed that since last two to three weeks backlog of the containers is increasing day by day and still there is a backlog of 8 to 10 days.

If the situation remains unresolved, there is no doubt that the terminal will be choked, due to this reason the trade will be affected very badly and will also bear heavy financial losses in shape of container detention and port demurrage charges, consequently the cost of doing business will increase.

Furthermore, in view of the forthcoming Eid-ul-Azha holidays the impact of container backlog will increase significantly.

It is pertinent to mention here that shortage of cargo handling equipments / machinery at KICTL is observed. While any new vessel is berthed all equipments / machinery are shifted towards for unloading of cargo from that vessel, thus the containers grounding process is delayed.

The KCAA suggested that in order to facilitate the trade the grounding of containers should be on first priority and thereafter the process of unloading the cargo from vessel be carried out after completion of grounding work.

Further, it is also observed that while the members are approaching to KICTL for deliveries of their consignments within the free days period but unfortunately, KICT staff informed that the container still remain on vessel so that they are unable to give the delivery, which is one the cause for delay and unnecessary demurrage being accumulated on the goods without fault of our members.

“In this context, we have come to know through our reliable members that Free Days period is being calculated by the KICTL from the date of vessel berth whereas the free days must be started when the container is unloaded from the vessel,” the KCAA said.

August 6, 2019
Chief collector directs simplifying refund payment system

KARACHI: Mrs. Surriya Ahmed Butt, Chief Collector of Appraisement (South) has issued directives to customs authorities to simplify refund payment system.

The chief collector issued the directives in a meeting with members of Karachi Customs Agents Association (KCAA), a statement issued on Tuesday.

At the meeting the customs agents pointed out that the traders were facing immense problems in obtaining refunds as authorities were processing their claims through manual system.

They said that almost all the system of the customs clearance had been automated and urged the collector to make the refund payment through online system.

The chief collector assured the customs agents for simplifying the refund payment system.

The managing committee of KCAA headed by the President Mohammad Amin Essani and General Secretary Arshad Khurshid participated in the meeting.

This high-level meeting was also attended by the Collector of Customs MCC-Appraisement (West) Wajid Ali, Collector of Customs MCC-Appraisement (East), Dr. Nadeem Memon, Collector of Customs MCC-(Port Qasim), Mumtaz Ali Khoso alongwith the Additional Collectors of Customs of MCC-Appraisement (East) & (West).

While addressing the participants by the worthy Chief Collector South stated that collection of legitimate taxes in a friendly environment and Trade Facilitation is the main focus and top priority agenda of Pakistan Customs.

She assured their cooperation in order to resolve the issues being faced by the trade on the spot by adopting Open Door Policy at Custom House.

In the said meeting the following decisions were taken:

Refund Process: It has been decided that refund process will be simplified.

Dis-continuation of practice for manual hold by the terminal operators on auction goods released by the customs after payment of legitimate duty and taxes.

Call Documents: In order to reduce dwell time the process for call documents will also be simplified.

Review Submission Option: The Customs Authorities agreed that an option will be given to traders to opt for personal hearing directly before the concerned Deputy Collector instead of routed through PA. This will reduced the dwell time and allow timely clearance of goods.

CRF procedure. As proposed by KCAA the On-Line CRF request will be introduced in the system with the consultation of Directorate of Reforms & Automation.

Regarding Auto De-Blocking of IGM. De-blocking of IGM of late GDs filing should be done electronically.

On-Line Verification of Pak China FTA. The authenticity of Pak-China FTA Certificate should be verified through Electronic Data Exchange (EDE).

All the proposals / agenda were appreciated by the department and assure the implementation of the same for the betterment of trade facilitation.

The meeting was concluded with a vote of thanks as the decisions taken were definitely reduce the cost of doing business.

In the end of meeting Mohammad Amin Essani (President) and Arshad Khurshid (General Secretary) thanked and appreciated the prompt decisions taken by the Honorable Chief Collector South (Appraisement) and other Collectors for giving them their precious time for meeting and assure their full cooperation at any stage.

April 23, 2019
World Bank surveys customs clearance in Pakistan

KARACHI: World Bank Group is conducting a survey regarding traders’ and customs agents’ views about the customs clearance process in Pakistan.

Karachi Customs Agents Association (KCAA) is facilitating the World Bank in this survey, said a circular issued by the association.

This survey will be used to understand the relations between companies and Pakistan customs and will be one of the tools used to ultimately improve the business climate and facilitation of trade in Pakistan.

The KCAA said that it would contact its members for the survey in order to take feedback on Pakistan’s trade network.

The association said that the feedback would be important for enabling further improvement in the trade and customs experience in the country.

The KCAA further said that in order to ensure anonymity and confidentiality, the World Bank had commissioned Gallup Pakistan, an independent market research organization, to carry out the study.

“Gallup will be contacting you (members) in the next few weeks to arrange an in-person interview,” it said.

“As per undertaking submitted by the World Bank Group all the information provided will be kept confidential and will only be used in aggregate form,” the KCAA assured the members.

February 28, 2019