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Karachi, Fri June 16, 2017

SIALKOT

ZAFAR MALIK

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he anti smuggling squad of customs has seized a bulk quantity of smuggled Indian things (packed into six trucks) during a special checking at various spots here the other day. The Customs ofQicials foiled this major attempt of smuggling of Indian articles and their supply to the local markets in Sialkot, Narowal, Gujrat, Mandi Bahaud Din, HaQizabad and Gu-

jranwala districts. The senior customs ofQicials told Customs Today that on directions of Collector Customs Ahmed Raza Khan, the teams of anti smuggling squad led by senior ofQicials, raided at various places and seized six big trucks load with smuggled Indian things including the Indian cloths, lemons, cumin, tea, shampoos, mobile phones, laptops, electronics and other dry spices (worth millions of rupees) during then special checking. Customs ofQicials have arrested the six accused drivers of the seized

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trucks and have sent them behind the bars after registering separate cases. Further investigations were underway, in this regard. Meanwhile, the special recovery teams of the Excise and Taxation Department have sealed as many as 400 properties of the chronic defaulters besides impounding 261 other luxury vehicles for the non-payment of their taxes, during the ongoing recovery campaign launched in Gujranwala Divisionâ&#x20AC;&#x2122;s all the six Sialkot, Narowal, Gujrat, Mandi Bahaud Din, HaQizabad and Gujranwala districts.

Hyderabad ASO confiscates 398 crates of Iranian juice valued Rs382080

Dar urges national economic agenda for coming years

Banking sector continues its steady expansion: SBP

Customs Central Region collects Rs 5,371 million

Customs Port Qasim continues inquiry into confiscated Hino trucks

ASO Hyderabad, has seized smuggled NDP 398 crates of Rani Juice worth Rs382080 | See pAge 02 |

Darurgedallpoliticalpartiestostandunited for evolving national economic agenda | See pAge 03 |

This was announced by the SBP on in the Quarterly Performance Review | See pAge 04 |

The Customs Central Region has collected Rs 5,371 million | See pAge 14 |

The Customs Collectorate PQ has continued inquiry into the confiscated trucks | See pAge 16 |

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GB customs receives duties and taxes of Rs264.708m Friday, June 16, 2017

National

GILGIT-BALTISTAN: The Model Customs Collectorate Gilgit-Baltistan earned Rs264.708million Customs Duty (CD), Sales Tax (ST), Regulatory Duty (RD) Income Tax and Federal Excise Duty on imports (FEDI) during the month of May of Financial Year 2016-17. According to Assistant Collector GB Akbar Jan, GB collected Rs92.144million CD whereas it did Rs32.855million and it received Rs1.272million Redemption ﬁne during the abovementioned period. During the same period, GB got Rs126.271million CD.

ASo confiscates 398 crates of Iranian juice Rs3.82 million

FAISALABAD

HYDERABAD

nAeeM SheIKh

ASLAM AnJuM QuReShI

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ustoms Intelligence and Investigation has confiscated the items worth Rs98million involving customs duty and taxes of Rs49million by foiling diﬀerent smuggling bids during the last week of May 2017 besides impounding a vehicle under Section (U/S 157) valued Rs600000 being used for transportation. Sources told Customs Today that Customs I&I made 12 seizures in its regions including FIUs Khushab, Sargodha and Sara-eMuhajir by conducting successful operations against the smugglers. Customs Intelligence and Investigation Assistant Director Syed Itrat Hussain said the intelligence teams are determined to curb the smuggling in the region and there is no room for smugglers. He said the customs is taking action against the smugglers in cooperation with other law enforcement agencies. He also appreciated the performance of the intelligence teams and vowed to continue such operations against the culprits. He added that Faisalabad Intelligence seized used computer systems, LCDs, Kaverta brand pills (50,000-Pills) and registered five smuggling cases worth Rs61million involving customs duty of Rs23million.

he Anti-Smuggling Organization (ASO), Customs Preventive Hyderabad, has seized smuggled non-duty-paid 398 crates of Rani Juice worth Rs382080 involving duty and taxes of Rs244339 during an action near Hyderabad Bypass. These smuggled non-duty-paid items were being smuggled from Karachi into Lahore. Following the guidelines of Hyderabad Customs Collector Akhlaq Ahmad Khattaq, the ASO team, under the supervision of Additional Collector Rehmatulah Vistro, conducted some operations in the region to curb smugglings. Sources told Customs Today that Additional Collector Rehmatulah Vistro received a tip-off regarding the smuggling of foreign origin goods. He formed a team, comprising Superintendent Ghulam Shabbir Pulpoto, Inspectors Asaduddin Mirza, Iqbal Mughal, Imdad Abro, Abid Khan, Sepoys Sarwar Ayuob, Abdul Razaq, Nenomal, Abid, Sadiq Khaskheli, Driver Sher Akbar, Ajaz, Sadam, Jaweed Maskoor, Nisar Ahemdani and other staff, which took part in the operation. The team intercepted a truck with registration No: C-9791 near Hyderabad Bypass and recovered the said items. Prior to the recovery of said items, the team asked the

Faisalabad customs impounds goods & vehicle valued Rs98.6m

driver to produce the documents regarding the legal import of the items but he could not prove the legality of the goods. The team impounded the items under Section of the Customs Act. A case was registered against

the accused. The case has been sent to the customs adjudication for further legal action. The ASO deposited the conQiscated goods into Hyderabad State Warehouse. Meanwhile, Additional Collector

Rehmatulah Vistro, talking to Customs Today, said the department is striving to increase the surveillance of suspects in the region as more check-posts have also been established to foil the smuggling bids.

Islamabad dry port earns Rs788m more cD than last year’s

ISLAMABAD

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slamabad Dry Port (IDP) surpassed its overall revenue target assigned for 11 months from July to May of Financial Year 2016-17 under the head of Customs Duty (CD) with more collection of Rs788million against the collection of corresponding Financial Year 2015-16. The IDP received Rs3170million CD during current

Financial Year 16-17 whereas IDP did Rs2382million during same period of FY15-16. According to IDP that during May FY16-17, the IDP got Rs381million whereas it generated Rs328million revenue during corresponding Financial Year 2015-16. The IDP collected Rs53.44million more against collection during the same period of corresponding FY15-16. During April FY16-17, the IDP received Rs333.874million CD whereas it did Rs221million CD dur-

ing April FY15-16. The IDP earned Rs621.97million more Customs Duty (CD) during July to March 2016-17 against the collection of corresponding year 2015-16. The dry port got Rs2246million CD during FY2016-17 while it did Rs1832.481million CD during same period of corresponding year 201516. During March FY 16-17, the dry port generated Rs302.931million CD whereas it did Rs193.958million during the same period of FY15-16. The IDP received Rs285.837million

CD during February FY16-17 while during same period of corresponding year it did Rs274.561million. During January 2016-17, IDP collected Rs326.441million CD whereas it did Rs268.00million CD during same period of FY15-16. The IDP received Rs307.965million CD during December FY16-17 while it did Rs270.00million CD during same period of FY15-16. During November 16-17, IDP generated Rs285.858million CD whereas it did Rs203.940million

during same period of corresponding year 2015-16. During October 2016-17, it collected Rs261.737million CD while IDP did Rs197.188million during 2015-16. During September 16-17, IDP generated Rs289.208million CD whereas during same correspondence period it did Rs154.234million CD. The dry port got Rs275.659million during August FY16-17 while during same period of corresponding year 2015-16 it did Rs170.956million.

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Govt proposes capital gain tax rate 15% for filers, 20% for non-filers KARACHI: The Finance Bill 2017 proposed capital gain tax rate at 15 percent irrespective of holding period for filers of income tax returns and 20 percent for non-filers. However, securities purchased before July 01, 2013 are exempt from deduction of capital gain tax. Tax analysts at Deloitte Yousuf Adil Chartered Accountants said that the Finance Bill is silent, however, it seems that tax rates for non-filers will only be applicable at collection stage and taxpayers will be entitled to claim the excess tax collected as refund while filing the return of income. Further, as a consequence of substitution of Division VII, capital gains on disposal of debt securities by the companies.

FIA arrests two human smugglers from Karachi

Friday June 16, 2017

National

Dar urges national economic agenda for coming years

KARACHI

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he Federal Investigation Agency (FIA) arrested two proclaimed offenders who were allegedly involved in human smuggling and swindling people by impersonating to be Prime Minister’s Secretariat officers. The anti-human smuggling cell of FIA made the arrest. The accused have been identified as Raja Zafar Abbas and Raja Mazhar Abbas. Zafar and Mazhar would cheat people on the pretext of sending them abroad and looted hundreds of thousands of rupees from them, said FIA officials. They added the accused would introduce themselves as officers of sensitive agencies and the PM’s Secretariat.

FIA arrests two human smugglers from Karachi KARACHI

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he Federal Investigation Agency (FIA) arrested two proclaimed offenders who were allegedly involved in human smuggling and swindling people by impersonating to be Prime Minister’s Secretariat officers. The antihuman smuggling cell of FIA made the arrest. The accused have been identified as Raja Zafar Abbas and Raja Mazhar Abbas. Zafar and Mazhar would cheat people on the pretext of sending them abroad and looted hundreds of thousands of rupees from them, said FIA officials. They added the accused would introduce themselves as officers of sensitive agencies and the PM’s Secretariat. Cases have been registered against them and their remand has been obtained, officials added.

ISLAMABAD

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inister for Finance, Revenue, Statistics and Economic Affairs Muhammad Ishaq Dar Wednesday urged all political parties to stand united for evolving national economic agenda for years ahead. In his concluding remarks in National Assembly on passage of annual budget 2017-17, the minister said, whoever is in the government does not matter what matters is to have a common and unanimous economic agenda for the nation. He called upon the opposition parties to sit together with the government to prepare such an agenda which enjoys support of all political parties and is continuously implemented whose ever tenure is in the government. In his thanksgiving comments, Dar said it was an honor that his government had presented Qifth budget and it was due to vision, decision making and determination of Prime Minister Nawaz Sharif that the country had been put on sound economic footing. “We have achieved macro-economic stability in the country and now we are on way to achieve targets of emerging global economy as well as safer destination for investment.” He said the government remains committed to further accelerate economic development to

meet future challenges and would like to steer ahead in consultation with political stakeholders. The minister thanked cooperation by Speaker National Assembly Sardar Ayaz Sadiq and Chairman Senate Mian Raza Rabbani and members of National Assembly and the Senate for successfully completing the budget process. He also thanked the employees from both the houses and the line ministries who had performed du-

Dar said the government remains committed to further accelerate economic development to meet future challenges and would like to steer ahead in consultation with political stakeholders

‘nAB believes in eradication of corruption’

ISLAMABAD

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ational Accountability Bureau (NAB) Chairman Qamar Zaman Chaudhry has said the bureau believed in eradication of corruption with iron hands by using all its resources. He was chairing a meeting to review the performance of Operation Division of NAB at its headquarters. While addressing the meeting,

NAB Chairman Qamar Zaman Chaudhry said corruption was the root cause of all evils. He said eradication of corruption was the top priority of NAB by adopting Zero Tolerance Policy across the board. He said NAB was apex anti-corruption organization which was established to eradicate corruption and recover looted money from corrupt and deposit it in the national exchequer. He said the year 2014 was the year of reinvigoration of NAB. The present management of NAB initiated

the process of putting NAB back on rails. An objective appraisal system – Partly QuantiQied Grading System – and the Internal Accountability Mechanism (IAM) has improved quality of the output considerably. He said the tempo and momentum generated in 2014 has been sustained uptill date. During the meeting, chairman NAB reviewed performance of NAB Operation Division and status of implementation of the decisions taken and found that most of the decisions were implemented in letter and spirit.

ties during the budget session and also announced honorarium equivalent to four basic salaries for the employees of all departments who performed duties during the budget session. He also requested that the speaker and the chairman Senate to pursue the process of payment of honorarium. The speaker National Assembly clariQied that in case of non-payment of honorarium by any ministry, it would be considered breach of privilege of the house.

profiteers fined Rs 45,000 rice Control Magistrate Riaz Hussain Anjum during raids on Monday imposed fine of Rs 45,000 on 15 shopkeepers for overcharging and profiteering. The team led by the Magistrate visited diﬀerent markets in Shadab Colony, Rajbah Road, Diglaspura, Tata Bazaar, Chenab Chowk and caught 15 shopkeepers red handed while overcharging from customers.

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Virtual business included in sales tax on services regime Friday June 16, 2017

Business

KARACHI: Sindh Revenue Board (SRB) has brought virtual business in the definition of sales tax of services. As per changes introduced through provincial finance bill 2017, the scope of the expression ‘place of business’ is proposed to be broadened to include persons carrying on economic activity in Sindh through virtual presence, website, web portal or any other form of E-commerce. According to tax experts at A F Ferguson Chartered Accountants, through such amendment, responsibility to pay tax is seemingly intended to be shifted on the provider of service.

‘Banking sector continues its expansion’ KARACHI

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he banking sector has continued its steady expansion. This was announced by the State Bank of Pakistan (SBP) on Tuesday in the Quarterly Performance Review of the Banking Sector. State Bank of Pakistan released its Quarterly Performance Review (QPR) of the Banking Sector for the quarter ended March 31, 2017 (Q1CY17) on June 9, 2017. The document has highlighted that the asset base of the banking sector has expanded due to rise in both the advances and investments supported by marginal rise in de-

nAB arrests man in Rs67m fraud case LAHORE

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posits and increase in borrowings from Qinancial institutions. The proQitability of the banking sector has moderated while the asset quality has improved and the capital adequacy remains at satisfactory level. Against the usual pattern of sea-

Sindh govt not allows input adjustment at reduced, fix rate

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he National Accountability Bureau (NAB) has arrested a man for allegedly being involved in misappropriation of Rs67 million funds allocated by Punjab Highway Department. Reportedly, the detainee, Muhammad Amjad, did the crime in connivance with Land Accusation Collector (LAC), a spokesman said. The Punjab Highway Department allocated the funds for compensation of the affectees of Pattoki Chuniya Kanganpur Road.

sonal retirement of advances during Qirst quarter of a calendar year, Q1CY17 witnessed an uptick in private sector advances. Besides corporate sector’s borrowing for Qixed investments, a healthy growth in production of sugarcane led to higher

levels of borrowing by both public and private sectors under Qinancing for sugar. The corporate sector, capitalizing on the low interest rates and improved business environment, has been enhancing its longer-term exposures, thereby strengthening the capital formation, the SBP report added. Within consumer Qinance, auto and mortgage Qinance have mainly contributed towards the growth of this sub-segment. Moreover, Islamic banking industry has contributed signiQicantly in growth in overall advances. Deposits, the key funding source of the banking sector, have increased by 0.1 percent in Q1CY17 in contrast to 0.6 percent contraction in Q1CY16. Flow of funds have largely been seen in savings (PKR 54 billion), current account-remunerative (PKR 44 billion) and others categories.

KARACHI

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indh government has made part of main statute that input adjustment is not available to persons subject to provincial tax at reduced or Qixed rate. According to Rule 22A provides that input tax credit will not be allowed in respect of goods or services which are liable to sales tax, whether a federal sales tax or a provincial sales tax, at reduced rate or Qixed rate. Sindh Finance Bill

2017 has proposed this provision in Sindh Sales Tax on Services Act 2011. At present, sales tax paid on taxable goods and services in excess of 13 percent ad valorem is not allowable as input tax. It is now proposed that telecommunication service providers charging sales tax at not less than 19.5 percent ad valorem, can claim input tax paid on goods and services up to 17 percent. Adjustment of input tax paid on certain goods and services (Section 15A) input tax paid on acquisition of the capital goods, machinery and Qixed assets as are classiQied under

section XVI, Chapters 84 and 85 of the First Schedule to the Customs Act,1969 is proposed to be allowed in twelve equal monthly installments as against the allowability of input tax in the same month. Analysts at Deloitte Yousuf Adil Chartered Accountants said that the proposed amendment would have a negative cash flow impact on the businesses. Similar provision existed in the Sales Tax Act, 1990 till 2011, that was removed considering the hardship and other procedural issues faced by the taxpayer.

tDAp for eﬀective liaison with exporters LAHORE

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rade Development Authority of Pakistan (TDAP) is endeavouring to maintain an eﬀective liaison with private and public stakeholders to promote Pakistani products at the global markets for enhancing overall country’s exports. TDAP Secretary Inam Ullah Khan Dharejo expressed these views in a meeting with Pakistan Carpet Manufacturers and Exporters Association (PCMEA) and Pakistan Meat Exporters Association (PMEA) here at TDAP oﬃce on Monday. Dharejo said that being a premier trade promotion organization of the country, TDAP was working to strengthen supply base including exporters’ capabilities and capacities through seminars, workshops and regular research to enable them to float their business consignments in accordance with global trade pattern. “We, at TDAP, are focusing to help exporters improve and enhance their business weightage through proper guidance and amicable solution for execution of their business plan so that mutual coordination of TDAP with exporters can add to the country’s exports,” he added. He hoped that the joint collaboration between TDAP and exporters associations will help improve the country’s trade growth.

nAVttc, chinese association join hands on skill development ISLAMABAD

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ational Vocational and Technical Training Commission (NAVTTC) and Chinese Think Tank Association of Special Economic Zones have joined hands on skill development. The main purpose of this collaboration is to strengthening think tanks exchanges between Pakistan and

China, enhancing cooperation on vocational education and the development of the China Pakistan Economic Corridor (CPEC), approved by the Shenzhen Municipal People’s Government. A 9-member Chinese delegation under the leadership of the President of the Association, Sikang Wu called on the Executive Director NAVTTC, ZulQiqar Cheema, a press release Monday said. The delegation comprised of researches of China Special Economic

Zone Think Tank, members of intelligent manufacturing vocational education enterprises in China and chairman of global intelligent manufacturing enterprise. On this occasion, ZulQiqar Cheema briefed the delegation about the role of National Vocational and Technical Education Commission as an advisory body to the federal government on TVET and the recent initiatives of NAVTTC to introduce reforms in the current TVET

system of Pakistan. He emphasized that the CPEC would open new vistas of prosperity and development and offer enormous employment opportunities for the people of Pakistan. He said CPEC would be a living monument of Pak-China friendship and it will serve geo-strategic interests of both the countries. He urged that the two countries should enhance their collaboration to reboot the TVET system in Pakistan. The Chinese delegation assured

of their full cooperation in various areas of collaboration including establishment of centers of excellence, up-gradation of existing institutes with modern equipment, training of trainers, study tours, exchange programs and arranging Chinese language courses for the trainees of Pakistan.Other areas of collaboration include fostering intelligent manufacturing talents in the youth of Pakistan, Smart Factory construction and robots manufacturing.

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he Customs Collectorate Preventive has shown tremendous performance during the last three month by taking various actions against smugglers. According to the details, Collector of Customs Collectorate Preventive Dr Saifuddin Junejo and Deputy Collector Customs Preventive Headquarters Dr Ali Raza held a press conference and briefed the media person regarding the overall performance of the department. During the briefing, Collector of Customs Collectorate Preventive Dr Saifuddin Junejo shared three month performance in which several raids were conducted and smuggled goods

were seized in huge quantit millions of rupees. He said that the Customs torate of Preventive seized n paid vehicles, alcohol and pe products worth Rs328.73 mi volving evasion of duty and tax tune of Rs 149.91 million i months. He said that in 74 d Customs Preventive seized 5,4 tles of foreign origin alcohol kilogram smuggled grey clo 13,553 kilogram auto parts part. The Collector Preventive din Junejo said that 96,849 smuggled Iranian origin Hig Diesel has been seized during t period. In the same period ci and Gutka 4,475 and 297,185 as well as pouches, one cargo la

ty worth

s Collecnon-duty etroleum illion inxes to the in three days, the 400 botl, 16,000 oth and / spare e Saifudliters of gh Speed the same igarettes 5 dandas aunch 24

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conveyances, 350 Wildlife tortoises and 4,276 Merchandize goods were also apprehended during different raids and seizures, the Collector added. Sixteen nonduty paid luxury vehicles worth millions of rupees have also been busted s m o t whereas a total of 15 acs u he c zed cused persons involved i that t e s d i e a v s he enti v in the said cases have e d r n p la of been arrested and alcoho torate , c s e e l l l c o i c 8.73 veh 2 criminal proceedings d 3 i s a R p th uty against them are in ts wor e c non-d h u t d o o t pr es x m a progress, informed u t e l d o n a petr three the Collector of Cusolving n v i n i n o n i l toms Collectorate Premillio 91 mil s 149. R f o ventive Dr Saifuddin e s h t tun n mo Junejo.

Friday, June 16, 2017

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eDItoRIAL

expansion of Sco

akistan has formally joined the Shanghai Cooperation Organisation, an organization of eight Eurasian countries, crafted by Russia and China in the aftermath of the break-up of the Soviet Union. The organization deals with issues such as terrorism, separatism and extremism. Ironically, India has also been admitted into the organization despite the fact it is using state terrorism to suppress the voices of dissent in occupied Kashmir and has been involved in unprovoked firing on the line of control. At a time the regional economies are collaborating with each other to fight poverty, hunger and disease, the Indian government is busy in its mischievous agenda to destabilize Pakistan. It is good omen that China and Russia are trying to stimulate business, trade and industrial activities in the region but the pathetic foreign policy of the Indian government has not only jeopardized peace, but also the economy of South Asia. Pakistan has cordial relations with the United States, China and Russia. Experts hope the SCO membership could pave the way for the promotion of business and trade activities in the country. Pakistan has been facing terrorism for the last two decades and Indian establishment is actively involved in insurgencies in Balochistan and Federally Administrated Tribal Areas. However, the participation of Pakistan and India at single platform may help restore peace in Pakistan. On another note, Pakistan is part of the regional connectivity projects, including China’s Belt Road Initiative and it is hoped the organization will not fall prey to PakistanIndia hostilities. Prime Minister Nawaz Sharif has welcomed Pakistan’s inclusion in the Shanghai Cooperation Organisation and hoped the organization will be able to change the world into a better place to live. He also expressed his resolve to fully contribute to this collective endeavor. Pakistan shares deep cultural, historical and strong strategic linkages with the SCO countries and its inclusion in the organization will not only promote economic activities, but also peace in the region. However, it is yet to be seen how India plays a positive role in the transcontinental organization as it has rendered the South Asian Association of Regional Cooperation ineﬀective.

Agriculture sector woes P

LAHORE

DR AFtAB AFZAL

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akistan’s agriculture share to the gross domestic product is nearly 24 percent and employs about 43 percent of the country’s workforce, but performance of this vital sector has been slowing down for the last one decade, pushing the country into the list of nations threatened by food insecurity. The overall economic scenario of the country is improving. However, the state of agriculture economy is disappointing as it could not maintain average standard rate of improvement due to negligence and apathy of the official cadre. The depleting water re-

sources, obsolete methods of cultivation and lack of research are also areas of concern affecting this sector. The governments after governments not only failed to launch any research and development programme, but also could not devise proper pricing and procurement policies to change the lot of farmer community. Most of the small farmers have left the profession once for all and have started working as labourers in industrial units. Pakistan owns the best agriculture land of the world and canal system to prove itself as the food capital of the world. However, it has failed to fulfill even the nation’s food requirements as it posted minus growth in the agriculture sector in one and half

decades of this century. The economy of the country is changing and the issues faced by the agriculture sector also need out of the box solutions. The traditional ways of cultivation and handling of agriculture economy have lost their credibility. The officials associated with the sector will have to coordinate with agricultural community to devise new methods of learning and ensure cash supply wherein it is required. Pakistan is among the top 10 producers of wheat, cotton, sugarcane and citrus fruit but food insecurity is coming as challenge for the nation. The country has strong livestock sector, contributing 11 percent to the GDP and 35 million people are engaged with it.

However, the government will have to take a proactive approach to resolve its financial and administrative issues. The prime minister has already announced an agriculture package worth billions of rupees, but it is facing snags at the implementation stage. The state of agriculture can only improve if all the stakeholders join hands and work in unison. If industry needs government funding and tax relief, the agriculture sector also requires package of concessions and incentives to meet the growing demand of food in the country. The government also needs to develop infrastructure in rural areas, improve irrigation network and ensure funding through concessionary loans.

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ATO deputy resigns, charges laid over $165m fraud CANBERRA: Australian Taxation Office deputy commissioner Michael Cranston has fallen on his sword, ending what has been described as an “illustrious” public service career after his first day before court in connection with an alleged $165 million tax scam. The ATO this afternoon confirmed Mr Cranston had submitted his resignation, less than a month after he was temporarily stood down in the wake of a sting on Sydney-based payroll company, Plutus Payroll. “We can confirm Michael Cranston has chosen to resign his Deputy Commissioner role at the ATO effective 13 June 2017,” an ATO spokeswoman said. Mr Cranston and his daughter Lauren Cranston, 24, appeared before Sydney’s Downing Centre Local Court today over allegations they were connected to the scam. The pair were excused from attending coming hearings — set down for August 8 and 29 — on the proviso they were represented by their lawyers.

cFS donates land for establishment of new VtI FAISALABAD

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Chambers

Businessmen warn of protests in front of FBR oﬃces

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orporate Farming Society (CFS) has donated land measuring 6 kanals for the establishment of Vocational Training Institute (VTI), which is expected to become Functional from July this year. In this connection a special function was held in Faisalabad Chamber of Commerce and Industry (FCCI) in which Engineer Ahmed Hassan President District Management Board of the Punjab Vocational Training Council (PVTC) and Rana Nasir Manzoor President CFS inked MOU on behalf of their respective organizations. Addressing the function, Engineer Ahmed Hassan appreciated the cooperation of CFS and said that although government is making serious eﬀorts to arrest the issue of unemployment but the direct involve-

LAHORE

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ndustrialists and traders once again staged a strong protest against raids at business premises and misuse of discretionary powers by the tax ofQicials under section 30 & 40-B despite clear instructions of Senate Standing Committee on Finance and chairman Federal Board of Revenue (FBR) and announced to choose all options including closures of businesses and protests in front of FBR ofQices. The LCCI Senior Vice President Amjad Ali Jawa, Vice President Muhammad Nasir Hameed Khan, Mian Anjum Nisar, Sohail Lashari, Tahir Javed Malik and Aftab Ahmed Vohra spoke on the occasion while Mian Anjum Nisar, Zafaq Iqbal Ch, Mian Nauman Kabir, Shafqat Saeed Piracha, Syed Mahmood Ghaznavi, Kashif Anwar, Zeeshan Khalil, Mian Abdul Razzaq, Moazzam Rasheed, Adnan Khalid Butt, rizwan Akhter Shamsi, Ibrahim Qureshi, Zahid Maqsood Butt, Mian Muhammad Nawaz, Khawaja Khawar Rasheed, Tahir Manzoor, Syed Mukhtar Ali,

Ch. Khadam Hussain, Muhammad Shahzad, Zafar Mahmood, Waqar Ahmed Mian and various other were present on the occasion. The participants of the meeting said that FBR staff has torn into pieces the orders of Senate Standing Committee on Finance and chairman FBR and conducing raids without taking Lahore Chamber and other trade bodies on board. They said that Section 40 & 38-B are being badly used by the FBR staff. They are visiting business prem-

ises to harass the business community. They are not taking shocking measures to raise illegal tax demands without providing any supporting document but also carry all the available records with them. The participants of the meeting were of the view that teams from tax department should visit the markets, if indispensable, but they should immediately stop harassing business community. They said that if there is an urgent need for stock taking and as-

2 member team of unIDo, gcIp visited RccI ment of NGO’s in this task will yield positive and immediate results. He said that most of the VTI’s have been established in urban areas whereas we should also take care of the swarming rural youth who are living in remote and far-flung areas. Appreciating the initiative of CFS, he told that he has directed his staﬀ to take necessary measures to make this institute functional in the month of July. He said that initially courses of computer applications and dress making will be started, however, in later phase more courses could also be introduced. Rana Nasir Manzoor President CFS told that the society will not only provide land but would also construct two class rooms, wash rooms, oﬃces and boundary wall to make it fully functional without any unnecessary delay.

Friday June 16, 2017

RAWALPINDI

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he two member team of United Nations Industrial Development Organization (UNIDO) led by National Project Coordinator Global Clean tech Innovation Programme (GCIP), Shahina Waheed called on president Rawalpindi Chamber of Commerce and Industry (RCCI) Raja Amer Iqbal here on Friday. Shahina Waheed appreciated the role of RCCI in promoting business activities and taking lead in new initiatives. While highlighting the role of UNIDO and GCIP she said the prime objective was to assist the sustainable development of industrial sector in the Pakistan. She said GCIP is supporting Pakistani entrepreneurs (SMEs and Startups) with the best ideas that

certaining the sales tax liability of any particular business unit, the FBR ofQicials should take association concerned or the Lahore Chamber on board. They said that indirect taxes are being removed gradually throughout the world here in Pakistan these are contributing around 60 percent to the revenue despite the fact that expenses on this practice are higher than the collections. All the participants said that FBR should stop harassing Qilers as nonQilers and ones outside the tax net are not accounted for at all which discourages businesses to come into the tax net. Registered businesses are required to comply with various departments involving a lot of Qinancial and time resources whereas unregistered businesses are free from all such hassles. They said that there are 3.5 million registered taxpayers out of which only around 1 million Qile their tax returns. Government should take all the measures to ensure Qiling of returns by remaining 2.5 million individuals and businesses. The government claims that it always acts as a facilitator but in this scenario it is entirely otherwise.

Swiss envoy urges ph to ratify free trade deal witzerland is urging the Philippines to ratify a free trade agreement (FTA) that will benefit both Swiss and Filipino producers and consumers. “Both Swiss and Filipino producers will profit from input goods at lower prices. Both Swiss and Filipino consumers will have access to lower priced products and a wider choice of products. The increased competition will foster productivity gains,” Ambassador Andrea Reichlin of Switzerland said in a statement Friday. The free trade deal has been ratified by the Swiss Parliament, but it cannot be enforced until the Philippine does the same. “Let me here just quickly mention that we do not have to wait for all European Free Trade Association states to ratify the agreement. –CB Report

S deal with today’s most imperative energy, environmental and economic challenges through a competition based approach. The Programme focuses on fostering emerging and commercially viable clean technology startups to fuel green industrial growth in the country, while small and medium-sized enterprises are provided with training, mentoring, and access to potential investors.

Through this cleantech ecosystem and accelerator approach, the GCIP catalyzes investment to support and accelerate startup entrepreneurs towards the development and commercialization of their innovative ideas, she added. She assured that GCIP would continue to collaborate with RCCI in initiatives aimed at industrial and entrepreneurship development.

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Assistant Private Secretary Marghoob retiring ISLAMABAD: Marghoob Alam, Assistant Private Secretary (BS-16), is going to retire from the government service on attaining the age of superannuation. The officer, posted at Federal Board of Revenue (HQ), Islamabad, will stand retired from the government service with effect from November 6, 2017.

Friday June 16, 2017

Islamabad Rashid Javaid assumes charge as Second Secretary

Inspector Mian Imtiaz granted performance allowance

ISLAMABAD

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ISLAMABAD

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ashid Javaid Rana, a BS-18 officer of Inland Revenue Service, has assumed the charge of the post of Second Secretary. On repatriation from Benazir Income Support Programme (BISP), Islamabad’s vide Notification No.1(912)/BISP/HR/16 dated 0606-2017, the officer took the charge of the post of Second Secretary at Federal Board of Revenue (HQ), Islamabad with effect from June 6, 2017. Meanwhile, Suleman Yaqub Khan, a Pakistan Customs Service of BS-18, has assumed the charge as Additional Director (OPS), Directorate of Intelligence & Investigation, Peshawar. The officer, pursuing the Board’s Notification No. 1437-C-II/2017 dated 08.05.2017, relinquished the charge of the post of Deputy Collector, Model Customs Collectorate, Peshawar with effect from May 17, 2017.

transfer/posting of Riaz Khan cancelled he transfer/posting of Riaz Khan, an officer of Inland Revenue Service of BS-18, made vide Board’s Notification No.0782IR-II/2017 dated 08-03-2017, has been held in abeyance till June 30, 2017. Meanwhile, Arshad Nawaz Chheena, a BS-19 officer of Inland Revenue Service, has assumed the charge of the post of Secretary. The officer, in pursuance of Board’s Notifications No. 1895-IR-I/2015, dated 24.08.2015 and No. 2202-IRI/2016, dated 30.08.2016, took the charge of the post of Secretary at Federal Board of Revenue (HQ), Islamabad with effect from May 27, 2017. –CB Report

ian Imtiaz Ali Shah, a Pakistan Customs Service of BS16, selected through the process of internal job posting (IJP), has been granted performance allowance. The officer, presently posted as Inspector at Model Customs Collectorate, Quetta, was granted performance allowance (equivalent to 100 per cent of basic pay) with effect from June 7, 2017. According to the notification, the grant of performance allowance will be governed through the terms and conditions laid down vide Circular No. 6(96)S(BIC)/2013-14 dated 06.03.2015 to be read with Para-10 of Finance Division’s

O.M.No.1(3)/Imp/2015-360 dated 07.07.2015. The allowance will be

discontinued in case prescribed terms and conditions are not ful-

filled within one month from the date of issuance of this notification.

ASo impounds nDp items worth Rs 370m C

LAHORE

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ustoms Anti- Smuggling Organization (ASO) has impounded goods and non-customs’ paid items worth Rs 370 million from various places in the city during the Qirst 11 months of the Qinancial year 2016-17. Sources told Customs Today, the ASO registered 307 cases of non-duty paid items and vehicles worth Rs 370 million. The ASO Lahore registered 47 cases of nonduty paid vehicles worth Rs 91 million during the period under review. As per data, the ASO registered 228 cases of non-customs paid items worth Rs 279 million and seized 47 vehicles of high values, including Toyota, Mercedes, Honda, Mark-X Land Cruisers and Parado. On the other hand, the ASO seized various contraband items from the smugglers. The items that the ASO conQiscated included plastic dana, marble, cloth, skimmed milk, autoparts, LED TVs, mobile phones,

sheets, oil, greese and other items, The sources said that the ASO seized the items and vehicles from various places in and around the city including Ravi Road, Band Road, Data Darbar, Muslim Town,

Gulberg, Defense, Icchra and other such places. Sources said that Collector of Customs Lahore ZulQiqar Ali Chaudhary has told the ASO ofQicers and ofQicials to go behind the smugglers and adopt zero toler-

ance against any type of smuggling. Sources said that as the current Qiscal year is going to expire soon, Customs Intelligence and Investigation teams expedited their efforts to curb smuggling attempts.

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SHC issues notice to M/s Novartis Pharma Pakistan Limited KARACHI: The Sindh High Court (SHC) has issued notices to M/s Novartis Pharma Pakistan Limited on an income tax reference filed by Commissioner Inland Revenue Zone-IV, Large Taxpayers Unit. The commissioner has challenged the impugned judgment of the appellate tribunal on recovery of disputed amount from M/s Novartis Pharma Pakistan Limited. A two-member bench, headed by Justice Aqeel Ahmed Abbasi, also directed the company to file its para-wise comments on the next date of hearing. Earlier, counsel for the applicant stated that the company file its return on 11/01/2012 for the tax year 2012, declaring income of Rs 864.742 million which constituted the deemed assessment order under section 120 of the Income Tax Ordinance, 2001.

court sends suspect to customs’ custody in mobile phones smuggling case KARACHI

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ustoms Court Judge Syed Faiz Rasool Rashdi has sent accused Asif Iqbal son of Muhammad Iqbal to customs department on physical remand. He was booked for attempting to smuggle contraband 181 mobiles from Dubai to Karachi. During the hearing, the investigation officer produced him before the court and informed that during the search, staff of Customs Preventive intercepted the above mentioned accused person who was coming from Dubai by Emirates Airlines flight no EK-602. During the search of his baggage, the customs team recovered 43 Samsung mobile phones, 26 Motorolla brands, 73 LG brands, 29 HTC brands, and 10 I-

Phones having tentative value of Rs 5.6 million. He further informed the court that during the investigation, the suspect was asked to produce any documents of the said goods, however, he failed to produce any lawful documents. Investigation officer added that after the formalities, said goods were seized and accused was arrested and case was registered in violation of section 2 (s), 16 and 139 of the customs act, 1969 punishable under clauses (8) (9) ibid read with baggage rules, 2006 notified by FBR vide SRO 666(1)/2006 dated 28/06/2006. He requested the court that prosecution needs further physical remand of said accused person for concrete evidences, after his arguments, court sent him to customs department and directed investigation officer to produce him on next date of hearing along with progress report.

Karachi

Shc directs cIR to decide appeal filed by M/s highway trading co within month

Shc orders customs to re-assess and release paper consignment KARACHI

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indh High Court has directed Customs Appraisement-East to re-assess a confiscated paper consignment and release the same on payment of duty, taxes etc. A SHC single bench, comprising Justice Muhammad Ali Mazhar, issued directive while deciding a suit filed by Messers Astrontech Incorporated. The bench earlier heard Ms Dil Khurram Shaheen advocate who maintained that the consignment was being detained as the Director Valuation had made the assessment on the basis of Valuation Guideline on higher side. She termed the action illegal and said in the existence of Valuation Ruling, the officers concerned/ respondents are bound to act in accordance with the section 25 of the Customs Act 1969. The bench after hearing the counsel appearing for the Customs allowed the suit and deciding the same ordered the Customs authorities to re-assess the same as per scheme of section 25 and release it.

KARACHI

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two-member bench of the Sindh High Court (SHC), headed by Justice Aqeel Ahmed Abbasi, has directed Commissioner Inland Revenue AppealsIV to decide the appeal of M/s Highway Trading Company within four weeks. The court ordered this on a constitutional petition Qiled by Syed Nafees Ahmed, proprietor of M/s Highway Trading Company, seeking to restrain the tax authorities from taking any coercive action for recovery of the disputed amount from him. During the hearing, counsel for the petitioner submitted that tax authorities issued a notice for recovery of disputed amount and being aggrieved it moved to CIR Appeals-IV and Qiled an appeal along with stay application, however, it has apprehension of coercive action from the tax department. He further argued that a taxpayer, if aggrieved by an adverse order passed by revenue authorities, is entitled to seek remedy of appeal provided under the relevant status by approaching the forums of appeal, therefore, the recovery proceedings

Friday June 16, 2017

initiated by the respondents department, under the circumstances, are based on mala Qide. After arguments, court disposed of the petition with directions to the respondents not to enforce recovery of impugned demand, which is subject matter of appeal before commissioner appeals-IV till its Qinal disposal, whereas, in case of any adverse order, if passed by the commissioner appeals, the respondents shall not

enforce recovery of impugned demand for further period of 7 days from the date of receipt of such appellate order. SHC also mentioned in its order that “it is expected that the appeals of the petitioner, if not disposal of so far by the CIR AppealsIV shall be decided within a period of four weeks from the date of receipt of this order, which may be communicated to it in the counsel for the petitioner within one week”.

court seeks charge sheet against owner of nDp prado

KARACHI

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ustoms Court Judge Syed Faiz Rasool Rashdi has directed the investigation ofQicer to submit charge sheet against the suspect involved in non-duty paid vehicle case. According to the prosecution, Muhammad Ali Alwani, who is currently absconder, was allegedly owned non-duty paid Toyota Prado TX jeep and evaded duty and taxes to the tune of Rs 6,415,255. During the hearing, investigation ofQicer informed that a team was constituted after receiving credible information and the team found the

Toyota Prado was parked on the road near Zainab Market. The occupant of the vehicle, Muhammad Ali Alwani, introduced himself as a owner to the visiting team, who was asked to produce the documents to substantiate the legal possession/importation of the said vehicle, to which he shows a Qile containing registration and auction documents of the vehicle which revealed that documents vehicle was purchased through public auction held at MCC Port Muhammad Bin Qasim and showing the successful bidder name as Mustan Khan. He stated that vehicle was brought to ASO/HQ and detailed

examination was carried out, however, in response, the Assistant Collector of Customs (Auction) Port Muhammad Bin Qasim through a letter confirmed that the vehicle Toyota Prado Tx chassis no: NJZ120-0002890 engine no:5VZ1633048, model 2002, capacity 3400 CC, has not been auctioned by that Collectorate and the documents provided by the claimant/owner of the seized vehicle are fake and not issued by this Collectorate. He said that on further inquiry, forensic test report received from AIG police, forensic division, confirmed that no other number has been deciphered un-

der the present chassis serial (VZJ120-0002890). He added that no record was found against the import of Toyota Prado Tx jeep while the Motor Registering Authority, Karachi, informed that original Qile of the vehicle having registration number BF-9154 has been returned to his registered owner. It shows that in light of all veriQication reports, it has been established that the vehicle was brought into the country through other than speciQic route and registered by the Motor Registration Authority Karachi on the basis of fake, forged and fabricated documents produced by the owner/occupant.

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SHC orders Customs to release consignments on payment of duty, taxes Friday June 16, 2017

National Sialkot FIA unearths illegal money exchange located in Daska

KARACHI: Sindh High Court has ordered Customs authorities to release imported consignments of NIDO milk, Cerelac and Dog Meal after payment of duty and taxes. A SHC division bench, comprising Justice Munib Akhtarand and Justice Arshad Hussain Khan, heard Ghulam Hyder Shaikh advocate, counsel for petitioners who maintained that the subject consignments were being detained on ground that drug license was not obtained by the petitioners. He contended that these are dairy or food products rather food supplements and condition of obtaining drug license is not attracted.

torkham Border reopened for all trade & transit activities

SIALKOT

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PESHAWAR

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team of Federal Investigation Agency (FIA) unearthed an illegal money exchange located in village Dharam Kot, Daska tehsi here. Khalid Anees Divisional Deputy Director FIA told media persons that the FIA has also recovered big amount of cash in different national and foreign currencies from there. He said that the FIA also arrested the accused owners Kashif Suhail and Tahir Iqbal , who had been running the said illegal money exchange there. Two days ago, the FIA had also unearthed an illegal money exchange being run in their jewelry shop by accused shop owners Iftikhar Ahmed and Muhammad Nawaz in Sialkot city’s congested Phullaan Wali Gali locality here. FIA has sent the accused behind the bars after registering separate cases against them. Further investigations were underway, in this regard.

Sindh govt allows concessionary St rates to various services indh government has allowed concessionary sales tax on various services rendered within the province. Sindh Chief Minister Syed Murad Ali Shah in his budget speech for fiscal year 2017/2018 announced following concessionary measures to boast economic activity: Reduction of Sindh Sales Tax on Travel Agents & Tour Operators from 10 percent to 8 percent. Reduction of SST on services provided by specific class of Indenters and Call Centers from 13 percent to 3 percent. Reduction of SST from 8 percent to 3 percent on the services of renting of Immovable Property Services. –CB Report

he Torkham border has been reopened for every kind of trade and transit activities on Sunday after the closure of two weeks due to provoking Qiring of Afghan forces on the Chaman Border in Quetta last month. Sources said that after meeting of both countries’ ofQicials, an agreement had been reached to open the border at Torkham for every kind of trafQic. The closure caused a big loss of revenue to both countries due to blocking of trafQic. Sources added that director trade and transit at Torkham customs said in a meeting the other day that efforts will be made to enhance the trade activities. He said security on borders should

be ensured to add revenue to the national exchequer. He maintained that

Torkham Customs adds a big amount of revenue to the collection

of Pakistan Customs by impounding smuggled goods and vehicles.

customs adjudication orders release of food items with vehicle; rejects charge-sheet C

FAISALABAD

nAeeM SheIKh

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ustoms Adjudication Additional Collector Muhammad Saeed Asad ordered the release of impounded food items and a vehicle and rejected the charge-sheet of the Customs AntiSmuggling Organization (ASO) Faisalabad against the respondent. Customs ASO Faisalabad team intercepted a Nissan truck with registration No: TKJ-715 loaded with food items including Almond hard Irani (680-kg) and Kishmish Irani (11017-kg). The smuggled foreign origin (F/O) food items were being transported from Quetta to Faisalabad. The customs team asked the driver named Muhammad Shabaz, son of Zulifqar Ali, to produce the documents regarding the transportation of food items. He showed bil-

ities No: 2006 and 2007 issued by M/s United Goods Transport Company. Over Qinding it unsatisfactory, the team impounded the items along with the truck and for-

warded the case to the adjudication. Additional Collector Muhammad Saeed Asad heard the case where the seizing agency could not prove the charges established

in the show cause notice. Therefore the Collector Adjudication issued Order-In-Original (ONO) No: 23/2017 and ordered the release of food items and the vehicle unconditionally to its lawful owner. Meanwhile, Collector of Customs Adjudication Mirza Mubashir Baig heard about four different cases worth Rs34.5million scheduled for hearing. The single bench heard the cases of Sijjad Zain-ul-Abideen, Muhammad Zain-ur-Rehman, Mussadaq, and Ali Muhammad. All the cases have been decided in favour of customs while the verdicts will be announced later. Meanwhile, Collector Mirza Mubashir Baig has adjourned the four cases till next date of hearing. Three most important smuggling cases have been Qiled by Customs Intelligence and Investigation involving customs duty of Rs19million and one case referred was worth Rs16million.

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Japan oil sales fall to lowest in at least 28 years for April

World Customs

TOKYO: Japan’s oil sales were 13.92 million kilolitres (2.92 million barrels per day) last month, down 2.3 percent from a year earlier, data from the Ministry of Economy, Trade and Industry showed the lowest volume for April in at least 28 years. Oil demand in the world’s third-biggest economy has been declining gradually for more than a decade, reflecting a falling population and a shift to more efficient vehicles and equipment. Japan’s crude oil imports in April rose 1.8 percent from a year earlier to 3.53 million barrels per day (16.84 million kilolitres), marking the first year-on-year gain in three months, the data showed.

Saudi customs held three introductory workshops on “selective tax” eneral Customs Department held three introductory workshops on “selective tax” system at the headquarters of the Oﬃce of interest in Riyadh and Jeddah Islamic Port Customs and Customs of King Abdul Aziz Port in Dammam, with the participation of specialists from the General Authority for Zakat and income and customs brokers. The aim of the workshops, which began its work this week axes to give Outline of the system and a list of tax selective to be applied on 1438/9/16 e overall shape of the mechanism of the application, as well as working definition of the procedures and the method of selective tax application in addition to the role and functions of the relevant authorities, goods selectivity taxable in accordance with the provisions of the rules and regulations. The workshops have seen a significant interaction of all participants and by answering inquiries and observations and to clarify all the necessary instructions to follow on the “system of tax selective.” –CB Report

uS customs seizes 150 pounds of meth inside popcorn boxes

two held for smuggling forex worth Rs 3.8m wo men have been arrested from the airport here for allegedly trying to smuggle Rs 3.8 million in foreign currency out of the country. The accused were intercepted yesterday at the departure hall when they were proceeding to board a flight to Bangkok. “A detailed personal search and baggage examination of the passengers resulted in the recovery of foreign currency which was concealed inside the packets of cookies, mobile charger and power bank kept in a false cavity made in trolley bags carried by them,” a press release issued by the customs said. The forex, USD 60,000 equivalent to Rs 3.8 million has been seized and both the passengers have been arrested, it said. –CB Report

WASHINGTON

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S Customs and Border Protection ofQicers intercepted a large amount of methamphetamine hidden inside popcorn boxes in California. The agents seized 150 pounds of meth placed inside the popcorn boxes, which were part of a massive drug haul that included a total of 388 pounds of methamphetamine, 162 pounds of cocaine, 32 pounds of heroin and 250 pounds of marijuana between

June 2 and June 4. A 25-year-old woman was referred for further inspection after a CBP ofQicer noticed an excessive amount of food inside her vehicle as she approached the San Ysidro port of entry. The port’s imaging system detected anomalies in the popcorn boxes and a canine team was called into assist before a search uncovered large packages of meth hidden inside. During the search, CBP ofQicers extracted 15 packages of meth, weighing 150 pounds, with an estimated value of more than $481,952. Pete Flores, director of Qield operations for CBP in San Diego noted ofQicers often see bizarre smuggling methods while

searching for narcotics. “Smuggling trends continuously Qluctuate and CBP ofQicers remain vigilant in combating these attempts,” he said. Meanwhile, This past October, Ed Ou, a Canadian photojournalist, was detained and had his devices seized after refusing to unlock them for United States Customs and Border Protection (CBP) ofQicials. Ou was held for several hours, and was eventually denied entry into the U.S. There was also evidence that his devices were tampered with. “Ed’s ordeal is yet another indication that the government is treating the border as an all-purpose dragnet for intelligence gathering,” wrote American.

Friday June 16, 2017

Irish Revenue rejects post-Brexit customs posts ddressing a hearing of the Irish parliament’s finance committee, Niall Cody said the Irish Revenue is ‘not planning customs posts’. He added: ‘I’m practically 100% certain that we will not be providing new trade facilitation bays in whatever parts of Donegal, Monaghan, or Cavan’. Cody did tell the committee that Revenue is advising cross-border traders and transport operators to make longterm plans, and to ‘assume that customs procedures of some form will apply post-Brexit’. He said that Revenue will provide aﬀected businesses with information ‘as soon as we have a reasonable sense of what’s needed’. A survey released this week by the National Standards Authority of Ireland (NSAI) showed that 63% of Irish organisations believe that a hard border with Northern Ireland would be bad for their business. Just over half of those who took part in NSAI’s survey said they fear Brexit will negatively impact their business. Meanwhile, A former Sinn Fein election candidate and leader of Provisional IRA prisoners in Portlaoise prison has been jailed for 16 months for smuggling a dissident IRA message out of the same jail. Brian Kenna (56), of Crumlin Park in Dublin, had been employed by the Republic’s health ministry as a drugs counsellor. He was described in Sinn Fein newspaper An Phoblacht as an “anti-drugs activist” in Dublin. –CB Report

S Korea unveils $10b stimulus to boost jobs, welfare SEOUL

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orea launched a $10 billion stimulus package to create jobs and bolster welfare programmes in the country faced with slow growth and ageing population. The 11.2-trillion won plan is the Qirst since Moon Jae-In was elected president of Asia’s fourth-largest economy last month and the Qinance ministry said it will be mostly

funded by tax revenue rather than issuing state bonds. Under the proposals, Seoul will spend 4.2 trillion won to help create 110,000 jobs including 71,000 in the public sector while 7 trillion won will be set aside for welfare for the elderly, working mothers and lowincome households. Among the new jobs being targeted are QireQighters, police, assistant teachers and social workers, while young job seekers, small businesses and tech startups will also be

helped. Financial assistance will be increased for women on maternity leave, more daycare centres and nursing homes for the elderly are to be opened, while businesses hiring more full-time workers are to be given extra funding. “We launched this extra budget as the high unemployment rate among young South Koreans will not be solved without drastic measures,” Park Chun-Sup, the ministry’s chief of budget, told reporters. “There is a concern over a potential mass unemployment… we

have nearly 1.2 million young, jobless people,” he said. Decades of rapid growth saw the South rise from the ashes of the Korean War to become a member of the OECD group of leading economies, but expansions has slowed more recently. Economic frustrations were among the factors that fuelled the mass anti-corruption protests that saw former president Park Geun-Hye impeached and arrested over corruption. Moon has described creating jobs, especially for the young, as a top policy priority.

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FIA arrests passenger at Lahore airport Friday June 16, 2017

Lahore

LAHORE: The Federal Investigation Agency (FIA) has arrested a passenger at the Allama Iqbal International Airport . According to FIA spokesman, the accused Raja Nasir Mahmood a resident of Gujrat, holding Pakistani MRP Passport No FE-0150422, arrived from South Africa by a flight number QR628 at the Lahore Airport. During immigration clearance at final gate, visa sticker of Greece affixed on Page No 13 and immigration arrival Lahore stamp dated 10-04-2013 affixed on page No 5 and immigration Denmark stamp dated 10-42013 affixed on Page No 4, were found fake.

Fto postpones hearing of refund claim filed by M/s cotton web pakistan LAHORE

SAJID nAwAZ

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he Federal Tax Ombudsman (FTO) has adjourned the hearing of a case Qiled by M/s Cotton Web Pakistan Private limited against the Regional Tax OfQice-II (RTO-II) until the next date. FTO Consultant Tariq Yousaf heard the case of M/s Cotton Web Pakistan Private in which counsel for the appellant argued that the RTO has been failing to release the sales tax refunds for the last two years claimed by the company. He said the RTO-II has been collecting excessive tax from the company for the last two years. They approached the commissioner concerned many times for release of the refunds but RTO-II ofQicials

Lhc restrains FBR from auditing of naeem Industries he Lahore High Court (LHC) stopped the Federal Board of Revenue (FBR) from auditing of taxpayers of those whose audits have already been declared null and void by the Inland Revenue Appellate Tribunal. The court also sought a reply from the Federal Board of Revenue (FBR) within three weeks. Justice Shahid Jameel Khan heard the appeal filed by the Naeem Industries before the court. The counsel for appellant Muhammad Mohsin Virk contended before the court that the Inland Revenue Appellate Tribunal has declared null and void the tax audit of the company but the FBR, instead of appealing against the order of the tribunal, has started auditing the the company. The counsel prayed the court to restrain the FBR from the audit of the company. After hearing the arguments, the LHC stopped the FBR from auditing the company and sought the reply within three weeks. –CB Report

did not pay the refunds after the passage of a reasonable time. At the end, the company decided to approach the FTO seeking intervention in this case. The counsel appealed the FTO advisor to direct the RTO-II to clear the refund claims. The counsel further said the RTO should refund the excess collection in wake of taxes by the end of Qinancial year but the situation is quite otherwise. Delay in release of refunds puts the burden on the taxpayers, he said, adding the RTO should audit the cases and release the extra amount collected by it from the taxpayers. On the other hand, counsel for RTO contended that the appellant M/s Cotton Web Pakistan Private has not submitted all the record in the ofQice on which basis it is claiming for refunds. If appellant provides an accurate record, the RTO will issue the refunds, if any, after a proper assessment.

customs central Region collects Rs 5,371 million LAHORE

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he Customs Central Region has collected Rs 5,371 million in May 2017, showing a growth of 8 percent as compared to the assigned target of the same period last year. As per details, the Customs Collectorate of Appraisement collected Rs 2,952 million customs duty during period under review while Customs Collectorate Preventive collected Rs 1,016 million. On the other hand, the collectorate of Multan collected Rs 1,041 million customs duty during the month of May 2017. In the same way, the collectorate of Faisalabad collected Rs 360 million customs duty during the month of May. Overall, the Central Region collected all duty and taxes from all

court adjourns hearing of case filed against accused tax evasion

he Special Federal Court of Customs Taxation and Anti Smuggling adjourned hearing of case Qiled against accused who is involved in tax evasion. Sources told Customs Today that investigation team of Customs Intelligence presented challan against the accused person Hassan before the court after completion of investigation. Meanwhile Directors of a foam company Lahore has Qiled post arrest bail plea in the Special Federal Court of Customs Taxation and Anti

Smuggling that was approved by the court against personal guarantee and surety bonds. Earlier the Lahore Customs Intelligence arrested Hassan on the charges of sales tax evasion. The Customs Intelligence found a difference of Rs34 million in sales tax statements of M/s Joy Foam. A First Information Report was registered against him under Section 2 (37) of Sales Tax Act 1990 and a Customs team presented him before the court in February and obtained his physical remand. –CB Report

the four collectrates worth Rs 5,371 million to achieve the targets. Sources said that Chief Collector of Customs Zeba Hai Azhar has called a collectors conference in order to stress for the need to intensify efforts to achieve target for the Qinancial year 2016-17. Meanwhile, Collector of Customs Preventive ZulQikar Ali Chaudhary has

posted new deputy collector at the Customs House. Sources told Customs Today that the collector has posted with immediate effect Palwasha Syed as the Deputy Collector Headquarters. The deputy collector will be responsible all matter of headquarters while she will also be responsible to look after matters pertaining to Lahore General Post OfQice.

Lhc bars FBR from auditing of naeem co he Lahore High Court (LHC) stopped the Federal Board of Revenue (FBR) from auditing of taxpayers of those whose audits have already been declared null and void by the Inland Revenue Appellate Tribunal. The court also sought a reply from the Federal Board of Revenue (FBR) within three weeks. Justice Shahid Jameel Khan heard the appeal Qiled by the Naeem Industries before the court. The counsel for appellant Muhammad Mohsin Virk contended before the court that the Inland Revenue Appellate Tribunal has declared null and void the tax audit of

the company but the FBR, instead of appealing against the order of the tribunal, has started auditing the the company. The counsel prayed the court to restrain the FBR from the audit of the company. After hearing the arguments, the LHC stopped the FBR from auditing the company and sought the reply within three weeks. –CB Report

AnF searches 2 planes at Lahore airport to curb smuggling

LAHORE

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n bid to foil any smuggling bid, the Anti-Narcotics Force (ANF) Tuesday conducted a huge operation and searched two planes at Lahore’s Allama Iqbal International Airport. According to the ANF, they received information that narcotics were being

smuggled in two planes of the Pakistan International Airlines. The planes, including London-bound PK757 and Dubai-bound PK-203, were searched thoroughly with the help of sniffer dogs, said ofQicials. Moreover, ANF is currently searching all parts of the plane including passengers’ luggage, crew compartments, kitchens and hand baggage compartments. After the search, which lasted about 2.5

hours, the ANF cleared the two planes and they were allowed to take off. The ANF said that all PIA Qlights travelling abroad will be searched in a similar way before their take-off. A bid to smuggle heroin was foiled at the Benazir Bhutto International Airport, Islamabad, when 20 kilogrammes of the contraband was seized from a London-bound Qlight of the national carrier. The drugs were found concealed

in the catering galley of PK-785 by the Pakistan International Airlines’ vigilance team . Although the plane was cleared to Qly to London, the smuggler remained unidentiQied. A spokesperson of PIA also informed that the aviation division has issued directives calling for the checking of every international Qlight by the ANF, PIA Securities, PIA Vigilance, Customs Intelligence and other agencies.

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Gujarat Pipavav Port put up for sale by APM Terminals MUMBAI: India’s first private port, also one of its top five, is up for grabs. APM Terminals, the controlling shareholder, manager and operator of Gujarat Pipavav Ports Ltd (GPPL) is looking to exit its 12-year flagship investment as it no longer fits in with its core global business strategy. It has mandated HSBC to run a formal sale process and find a new buyer, said multiple sources aware of the development. Global and local rivals and infrastructure-focused conglomerates such as JSW Group, Adani Ports and Dubai’s DP World are believed to have been approached, and initial diligence has begun, said the sources cited above. Some long-only pension and sovereign wealth funds and infrastructure private equity funds too have been sounded out.

Six ships take berth at port Qasim ix ships C.V Maersk Detroit, C.V X-Press Kailash, C.V MSC Tomoko, M.V Nord Destiny, M.T SC Guang Zhou and M.T Beech Galaxy carrying containers, Soya Bean, Palm oil and Chemicals were arrange berthing at Qasim International Container Terminal, Grain & Fertilizer Terminal, Liquid Cargo Terminal and Engro Vopak Terminal respectively during last 24 hours, said a report issued by Port Qasim Authority (PQA) here on Wednesday. Meanwhile two more ships APL Coral and Shalamar with Containers and Furnace oil also arrived at outer anchorage of Port Qasim during last 24 hours. Berth occupancy was reported at the port at 63% on Tuesday where a total of ten ships namely, Maersk Detroit, X-Press Kailash, MSC Tomoko, Anthemis, Nord Destiny, New Era, SC Guang Zhou,

Umm Bab, Beech Galaxy and New Naxos are currently occupying berths to load/oﬄoad Containers, Soya Bean Seeds, Canola Seeds, Coal, Chemicals LNG, Palm oil and Furnace oil respectively. Cargo handling during last 24 hours stood at 147,392 tonnes, comprising 130,140 tonnes import cargo and 17,252 tonnes export cargo inclusive of containerized cargo carried in 3,032 containers TUEs) 2,124 imports TUEs and 908 TUEs exports was handled at the port. Three ships, Container Vessel X-Press Kailash, Gas Carreir Umm Bab and Chemicals carrier SC Guang Zhou sailed out to sea on Wednesday morning, while three more ships, Bulk cargo carrier New Era, Oil tanker New Naxos and Edible oil carrier Beech Galaxy are expected to sail on same day. –CB Report

Ports & Shipping

port of Muscatine study to be presented at city council MUSCATINE

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ccording to city leaders, all the right ingredients are available for the development of an intermodal container terminal and port district on the Mississippi River. “Muscatine is in a very unique position in regards to the development of a port,” Dave Gobin, Community Development Director, said. “Since there are no other ports of this kind north of St. Louis, there is a need for this type of terminal port and the infrastructure is in place here in Muscatine to develop this project.” The City of Muscatine, along with matching funds from Kent Corporation, applied to the Iowa Department of Transportation for a Linking Iowa’s Freight Transportation Systems (LIFTS) grant for the Port of Muscatine Planning and Feasibility Study in October 2015. The basis of the study was to establish whether the vision of a multi-modal con-

tainer terminal port facility located on the Mississippi River in Muscatine was feasible. The facility would allow the sending, receiving, and trans-loading of intermodal container freight and smaller bulk items utilizing the river, highway, warehousing, or rail. The grant was awarded to the City in early 2016. “When you think about it, you have ports on the west coast that unload containers and ship them east,” Gobin said. “Then you have ports on the east coast that unload

containers and ship them west. With the expansion of the Panama Canal, it makes sense to have a port in the middle of the country that allows sending containers south, using the river, and send shipments toward both coasts.” The study was prepared by HDR, Inc., out of Kansas City, Kansas. Most commodities move down river with farm and food products accounting for 16.08 million short tons in 2016 according to data gathered at Lock and Dam 17 by the US Army Corps of Engineers.

Friday June 16, 2017

georgia ports sets container record for May he Georgia Ports Authority announced Tuesday that it handled more than 350,000 twenty-foot equivalent units, or TEUs, last month, setting another record for containers handled in a single month. The number is nearly 12 percent higher than the same month in 2016, when the port moved 313,485 containers. “Our record-breaking performance in May with no congestion or operational issues has given our customers increased confidence in Georgia’s ports,” said GPA executive director Griﬀ Lynch. “This proves the GPA can simultaneously serve larger vessels and greater volumes while providing the excellent logistic solutions our customers have come to expect.” In May, GPA’s Garden City Terminal welcomed the 13,000-TEU COSCO Development, the largest containership ever to call on the East Coast. That record was short-lived. It was broken June 1, when the slightly larger OOCL France arrived in port. And that, said GPA board chairman Jiimmy Allgood, is just the beginning. –CB Report

Jnpt volume pickup key to major ports’ growth WASHINGTON

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ontainer volumes at India’s major, or public, ports increased 8.2 percent year over year in the first two months of fiscal 2017 and 2018, but steady growth at top port Jawaharlal Nehru Port Trust (JNPT) is key to maintaining that momentum. The country’s 12 major ports together handled 1.5 million TEU during April and May, compared with 1.4 million TEU in the corresponding months last year, according to port statistics analyzed by JOC.com. Of that, JNPT accounted for 821,000 TEU, an 8.4 percent increase from 757,000 TEU previously, commanding about 55 percent of Indian containerized cargo shipped via major ports. An analysis of JNPT data shows APM Terminals-

operated Gateway Terminals India was the main driver of that increase, with volume up 22.2 percent to 344,229 TEU from 281,739 TEU in the same two months of 2016. April and May figures at JNPT’s other terminals were as follows: port-owned Jawaharlal Nehru Container Terminal, up 2.2 percent to 272,261 TEU from 266,388 TEU; DP World-operated Nhava Sheva International Container Terminal, down 16.6 percent to 111,711 TEU from 133,909 TEU; and at DP World’s new facility Nhava Sheva (India) Gateway Terminal, up 23.4 percent to 92,584 TEU from 75,003 TEU. To position itself to handle expected growth from a fourth container terminal scheduled to open at the end of this year as well as an under-construction Special Economic Zone, JNPT has stepped up investments in railroad connectivity infrastruc-

ture. Those upgrades could accelerate the productivity improvements that have come from gate automation and other ease-ofdoing-business measures, especially the direct port delivery (DPD) push by Customs, introduced at the top port. Chennai Port’s two-month volume increased 5 percent year over year to 257,000 TEU from 245,000 TEU, giving hope of a turnaround to the East Coast public harbor struggling to regain trafQic lost to private rivals. However, a new Adani Group terminal scheduled to begin operations in the coming days at the Ennore port, just 15 miles away, could further pressure Chennai’s turnaround efforts. The Rs. 724-crore (about $110 million) Qirst phase of the Adani Ennore Container Terminal includes a 400-meter (1,312 feet) quay, four rail-mounted quay cranes, 12 rubber-tire gantry cranes,

and a capacity to handle 800,000 TEU per year. When completed, the project will have a 730-meter quay line and an annual capacity of 1.4 million TEU. Notably, Ennore has easy access to the interstate highway system, which remains an issue for truckers at Chennai. April to May volumes at smaller container ports were as follows: Kolkata, Qlat at 127,000 TEU; Tuticorin, or V.O. Chidambaranar, up 3 percent from 107,000 TEU to 110,000 TEUs; Cochin (Vallarpadam), up 12 percent from 80,000 TEU to 90,000 TEU; and Visakhapatnam, up 7 percent from 55,000 TEU to 59,000 TEUs, according to the latest data. Roughly 70 percent of India’s total container trade is handled through major ports, which are in the midst of a major infrastructure overhaul to shore up productivity and efQiciency in the wake of growing competition from private rivals.

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Faisalabad Appraisement collects Rs 1406.10m FAISALABAD: The Customs Appraisement has exceeded revenue collection target by 122 percent during the month of May of ﬁscal year 2017. Sources told Customs Today, that under the leadership of Deputy Collector Muhammad Rizwan, the Appraisement branch surpassed the revenue target for May by 122 percent, as it collected Rs1406.10 million against the assigned target of Rs1152.87 million. Sources said that Customs Appraisement was assigned customs duty collection target of Rs 211.20 million but it surpassed the target by 177 percent.

Friday, June 16, 2017

CUSTOMS BULLETIN

customs port Qasim continues inquiry into confiscated hino trucks KARACHI wAQAR AhMeD AnSARI www.customsbulletin.com

he Customs Collectorate Port Qasim has continued inquiry into the conQiscated Hino trucks which were cleared at the end of May through clearing agent M/s J.L Enterprises by misdeclaring the year of manufacture to circumvent the provisions of import policy order. Sources told Customs Today that Collector Port Qasim Saeed Akram and Additional Collector Khalil Yousafani are keeping strict vigilance on clearance of goods prone to mis-declaration and under-invoicing. Additional Collector Yasin Murtaza detected the fraud wherein the accused inQlicted a loss of Rs 9 million to the exchequer through presenting fake and forged documents. Sources said that M/s J.L Enterprises, clearing agent, got cleared eight Hino trucks in favor of various importers declaring the year of manufacture as 2012 by presenting the forged pre-shipment inspection reports and Vehicle Registration Document (VRD) issued by the Government of Hong Kong to substantiate the year of manufacturing. As per the undertaking of the importer

that all the particulars declared are true, the vehicles were released. However, the post clearance scrutiny was initiated to conQirm the year of manufacture of the vehicle. Accordingly, Commercial Attaché,

Consulate General of Pakistan, Hong Kong was requested for veriQication of the particulars of vehicles. Initially, a letter purportedly issued by Consulate General of Pakistan, Hong Kong was received in the Collectorate,

which conQirmed the particulars, the year of manufacture and registration certiQicate of the vehicle. However, the Consulate General intimated the Collectorate that the earlier letter conQirming the particulars was faked.

Sources said the vehicles have been seized before 12 days and contravention reports have been served for further adjudication. The Inquiry of M/s J.L Enterprises is inter in last moment Shall be Qined this month.

customs court grants bail to suspects in tax evasion case KARACHI

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ustoms Taxation and AntiSmuggling Court Judge Syed Faiz Rasool Rashdi has granted interim pre-arrest bail to suspects namely Muhammad Wajid Khan and Muhammad Pervaiz, who were booked in a case of mis-declaration and tax evasion to the tune of Rs 2,605,716.

During the hearing, the suspects appeared before the court along with their counsel who submitted that his clients were falsely implicated in this case and are ready to face trail, therefore, the court may grant them bail till the Qinal judgment of this case. After his arguments, the court granted them bail against the surety of Rs 200,000 each. The court also issued notices to the investigation ofQicer and the special prosecutor of the Customs Department to Qile their replies on the next date of hearing. The court also directed the suspects to ap-

pear before the court on the next date of hearing. According to the prosecution, a case was registered against them under section 2 (s), 16, 32, (1) (2) and 192 of the Customs Act 1969 punishable under clauses 8, 14, 63, 86 and 89 ibid read with SRO 566 (I) 2005 dated 06/06/2005 and section 3 (3) of the import and export control act, 1950 read with serial no 23 & 24 of appendix-A of import policy in vogue and further read with section 148 of in the Income Tax Ordinance 2001. Meanwhile, The Customs Appellate Tribunal has upheld the Or-

der-in-Original (ONO) and rejected the appeal Qiled by M/S Hadi Energy Solution, Multan, challenging impugned Order-in-Original over Qiling mis-declaration and evasion of duty and taxes to the tune of Rs 2,352,540. A single bench of the tribunal comprising Syed Tanvir Ahmed, Member Technical-III Karachi, announced the judgment. The tribunal in its order said: “The Customs Department has rightly classiQied the emanated aluminum wire under heading 8544.1900 which is accessible @US$2.5/kg attracting 25 percent duty. The documents shows that all

Published by M S Raza Oﬀ# 42, 3rd Flr Gull Plaza M.A Road Karachi, Printed by (Ibne Hassan Oﬀset Printing Press, Shop No. 33 to 36 , Hockey Stadium, Karachi).

others importers have paid duty under this heading and at higher value of US$2.5/kg. Since the declaration under section 79 (1) in WeBOC system is voluntary and on self assessment basis, therefore, the importer has been found indulged in mis-declaration of description and tried to evade duty of Rs 2,352,540. I do not see any merit in the appeal. The Customs Department’s ONO is upheld and the appeal is rejected on the merit of the case”. Earlier, the counsel for the applicant stated in its customs appeal that it has imported contain wire and Qiled good declaration at the rate.