Karachi, December 9, 2024 – Pakistan Customs has announced the minimum export value for Kino for the export season spanning December 1, 2024, to May 15, 2025. This initiative aims to standardize export valuations and address concerns raised by various stakeholders in the fruit export sector.
(more…)Tag: Valuation Ruling
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Pakistan Customs Implements New Valuation for Power Tools
Karachi, October 13, 2024 – In a significant regulatory update, Pakistan Customs has announced revised customs valuations for the import of power tools, a move aimed at curbing under-invoicing and ensuring more accurate duty and tax assessments.
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FBR issues New Customs Valuation for Lay’s, Pringles and Others
Karachi, April 13, 2024 – In a bid to accurately determine duty and taxes at the import stage, the Federal Board of Revenue (FBR) has introduced new customs valuations for several prominent brands of potato chips, including Lay’s and Pringles.
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Pakistan Customs Revises Valuation of Potato Chips After 7 Years
Karachi, April 10, 2024 – Pakistan Customs has initiated a significant revision in the valuation of imported potato chips to align them with international market standards. This move comes after approximately seven years since the last valuation update, reflecting the evolving dynamics of global trade.
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Pakistan Introduces New Valuation for Used LCDs and LEDs
Karachi, February 9, 2024 – In an effort to address under-invoicing concerns and streamline the determination of duties and taxes, Pakistan Customs has introduced a new valuation for old and used computer LCDs and LEDs.
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PYMA rejects customs valuation for filament yarn
KARACHI: Pakistan Yarn Merchant Association (PYMA) on Tuesday rejected customs ruling issued for determination of value of polyester filament yarn.
READ MORE: PYMA seeks duty, taxes cut on yarn in budget 2022/2023
Saqib Naseem, Chairman Pakistan Yarn Merchants Association (PYMA) and Muhammad Junaid Teli, Vice Chairman, Sind & Balochistan region, have strongly rejected Valuation Ruling No. 1655 / 2022 Dated. 30.05.2022 which was issued on 31.05.2022 for Polyester Filament Yarn.
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PYMA office-bearers said that Director Valuation, Syed Fawad Ali Shah, had not consulted all stakeholders and refused the PYMA actual raw material price determination which was submitted earlier.
They said that fresh valuation of polyester filament yarn is totally against normal practice.
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“Pakistan Yarn Merchants Association is a Major stakeholder of Polyester Filament Yarn & demanded for immediate withdrawal of VR # 1655 / 2022 and Director Valuation should call a meeting of all stakeholders & issue New / Revised Valuation Ruling of PFY as per past practice of Valuation Department,” PYMA office-bearers demanded.
READ MORE: FBR urged to issue rules for WHT on digital transactions
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Provisional valuation disallowed on existing VR
ISLAMABAD: Importers will not be allowed to avail of the facility of provision valuation for goods declaration when the valuation of such goods is already in the field.
An important amendment has been made into Customs Act, 1969 through Tax Laws (Third Amendment) Ordinance, 2021, which was promulgated through presidential order on September 15, 2021.
A proviso has been inserted to Section 81 of the Customs Act, 1969 to disallow provisional valuation.
Following is the amended text of Section 81:
81. Provisional determination of liability.- (1) Where it is not possible for an officer of Customs during the checking of the goods declaration to satisfy himself of the correctness of the assessment of the goods made under section 79 or 131, for reasons that the goods require chemical or other test or a further inquiry, an officer, not below the rank of Assistant Collector of Customs, may order that the duty, taxes and other charges payable on such goods, be determined provisionally:
Provided that the importer, save in the case of goods entered for warehousing, pays such additional amount on the basis of provisional assessment or furnishes corporate guarantee or pay order of a scheduled bank along with an indemnity bond for the payment thereof as the said officer deems sufficient to meet the likely differential between the final determination of duty, taxes and other charges over the amount determined provisionally:
Provided further that there shall be no provisional assessment under this section if no differential amount of duty and taxes and other charges is paid or secured against corporate guarantee or pay order.
Following is the new proviso added to Section 81:
“Provided further that no provisional determination of value shall be allowed in those cases where a valuation ruling (VR) is in the field, irrespective of the fact whether any review or revision against that VR is pending in terms of section 25D or relevant rules, as the case may be.”
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Member Customs to make orders in valuation rulings
The Tax Laws (Third Amendment) Ordinance, 2021 has granted enhanced powers to the Member Customs, allowing them to annul or modify orders previously passed by the Director-General of Customs Valuation.
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Pakistan customs assures early disposal of valuation ruling issues
KARACHI: Pakistan Customs has assured business community of early resolution of pending valuation ruling issues on priority basis.
Director General Customs Valuation Ms. Shahnaz Maqbool assured this at a meeting held with members of Pakistan Federation of Chambers of Commerce and Industry (FPCCI), a statement said on Thursday.
According to the statement the FPCCI and Pakistan Customs had agreed in principle to form an advisory committee to resolve issues pertaining to valuation through consultation.
DG Customs Valuation Ms. Shahnaz Maqbool in a meeting held at Federation House agreed with the various recommendations of Shabbir Mansha Churra – Convener, Central Standing Committee on Customs, FPCCI – and his team.
The DG also assured of expeditious disposal of cases pending for many years related to valuation rulings. Former President FPCCI Mian Anjum Nisar; VPs FPCCI Hanif Lakhany and Adeel Siddiqui; Former VP Khurram Ejaz and others were also present on the occasion.
Shabbir Mansha Churra drew the attention of DG Valuation to the growing issues related to valuation rolling; and, said that for strong liaison between FPCCI and Customs, it was necessary to form a Joint Advisory Committee.
The committee will have representatives of the concerned stakeholders/associations; and, their legal and business experts.
Mian Anjum Nisar, Former President FPCCI, pointed out that the business community was facing severe problems due to delays in valuation ruling and because of very old valuation business community have to pay extra charges; although, the valuations have come down due to the reduction in the prices of some items.
But, the business and trade community still have the old rates and it calls for a swift and comprehensive process to update valuation ruling.
FPCCI demands that businesses that are in appeals with customs valuation should be facilitated by the department on priority basis and resolutions offered.
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Customs clearance of iron, steel scrap linked with LMB value
KARACHI: Pakistan Customs has linked the import value of iron and steel scrap with the prices published in London Metal Bulletin (LMB) in order to ensure smooth customs clearance, sources said on Thursday.
The sources said that the Directorate of Customs Valuation last week issued valuation ruling for iron and steel scrap after considering fluctuation in prices in the international markets and on a solution recommended by stakeholders regarding adoption of LMB prices.
The sources said that the directorate previously amended the values of iron and steel scrap through a valuation ruling issued on July 02, 2020.
However, the directorate had received recommendations from stakeholders that the values fixed for the imported goods were causing problems to importers at the clearance stage because the international market varied with demand and supply factor.
The stakeholders also recommended that prices of scrap were also published in LMB for Pakistan imports. Therefore, to ensure transparency, fairness as well as uniformity in assessment, the value should be linked with LMB prices and freight factor should be added when published prices given as FOB (freight on board).
During the meetings to review the valuation of iron and steel scrap, the stakeholders provided copies of the LMB prices and contracts values imported to Pakistan.
Considering the facts, the directorate allowed the customs clearance of iron and steel scrap at the import value published by the LMB.
However, for compressor scrap the directorate fixed $660 per metric ton as customs value for determination of duty and taxes at the time of clearance.
The importers of compressor scraps informed the directorates that 90 percent of the scrap was imported from the USA where chances of under-invoicing were minimal. They demanded that either the scrap should be excluded from ruling or its value should be reduced from current value as per the invoices of recent import values provided by them.