New FBR system to ensure appraisers don’t come into contact with importers

ISLAMABAD/ KARACHI: Under the Transformation Plan, the Federal Board of Revenue (FBR) is going to implement Faceless Customs Assessment (FCA) System from Dec 15, 2024 in Karachi. The FCA is one of the key components of FBR Transformation Plan approved by the prime minister. All the import goods declarations filed after 12.00am in the Appraisement Collectorates of Karachi shall be allocated to the Central Appraising Unit (CAU) for assessment, which has been established at the South Asia Pakistan Terminal, Karachi, in terms of CGO No 6 of 2024 issued by the FBR a few days ago.

The introduction of FCA is expected to bring a significant change in the overall culture and working of the Customs Department. It would facilitate trade by reducing the clearance time and would also induce efficiency and transparency in assessments. After successful completion of the first phase in Karachi, the system would soon be rolled out at the upcountry ports and border stations across the country and appraisement function of Customs would be relocated outside the Customs Collectorates. All the arrangements have been finalised for the housing of appraisers and principal appraisers in a sanitised environment and 55 officers have already been posted to the CAU.

For enhancing productivity and ensuring accountability of the Customs appraising officers posted in CAU, an incentive-based performance management mechanism has been introduced in the system. This mechanism would reward the appraising officers who perform their duties with diligence and integrity.

The eligibility criteria and licensing regime of Customs Clearing Agents have also been revamped and a points scoring system is being introduced to make them responsible for correct and quality declarations. Under the point scoring system, the Customs agents who give true and honest declarations of description, value and origin, etc., shall score more points and their profile would improve. On the contrary, the Customs agents who fail to show improvements in the declarations would lose points and eventually their licence may be cancelled.

Meanwhile, the Customs House, Karachi, arranged a press briefing on Saturday on the reforms in the Customs Department which introduced under the Transformational plan of Federal Board of Revenue (FBR) by implementing Faceless Customs Assessment (FCA).

Chief Collector of Customs Appraisement, Karachi, Jamil Nasir, during a media briefing, elaborated on the rationale and intended outcomes of the said system. Nasir said that FCA is in a sense continuation of the reforms process in the Customs aimed at trade facilitation and reduction in interaction between the tax collector and taxpayer.

Introduction of FCA is expected to bring about a paradigm shift in the overall culture and working of the Customs Department.

He added the appraisement function would be relocated outside the Customs Collectorate in a corporate environment where assistant and deputy collectors would also be relocated to conduct e-hearing of reviews and in this way, interaction between the tax collectors and taxpayers would almost be eliminated.

As a result, time of traders and businessmen, which they spend in visiting public offices, would be saved and Customs Department would also be able to optimise the productivity of its scarce human resource. It would be a win-win situation for the Customs as well as traders.

All the arrangements have already been finalised as postings of 55 officers including DC (MIS) have already been ordered. The officers posted in the CAU shall report at SAPT on Monday morning at 9:00am.

The data of performance and productivity of the appraising officers developed in the system over time may be used for their promotion and career progression. This is beginning of a new phase of reforms in the Customs and several other reforms shall follow soon, the Chief Collector emphasized.