close
Advertisement

add The News to homescreen

tap to bring up your browser menu and select 'Add to homescreen' to pin the The News web app

Got it!

add The News to homescreen

tap to bring up your browser menu and select 'Add to homescreen' to pin the The News web app

Got it!
June 13, 2021

FBR to penalise retailers selling smuggled goods

ISLAMABAD: In a strict move to curb smuggling, the Federal Board of Revenue (FBR) will be able to penalise those retailers who will sell smuggled goods in the markets of the country.

Now the retailers are required to show receipts to taxmen that they bought goods from the formal sector. It is a major step towards effective enforcement as the FBR is eyeing to collect Rs242 billion with the help of all such administrative measures in the coming fiscal year.

The finance bill 2021-22 tabled before the National Assembly says that the FBR took some major anti- smuggling steps in order to curb the menace in a big way.

Thus, the FBR inserted “retailing’’ in the definition of smuggling to restrain retailers from selling smuggled goods.

Under the proposed penalty regime for retailers, if any person without lawful excuse, the proof of which shall be on such person, acquires possession of, or is in any way concerned in carrying, removing, depositing, harbouring, keeping or retailing, or in any manner dealing with smuggled goods or any goods in respect to which there may be reasonable suspicion that they are smuggled goods, such goods shall be liable to confiscation and any person concerned in the offence shall be liable to a penalty not exceeding ten times the value of the goods; and, where the value of such goods exceeds Rs300,000, he shall further be liable, upon conviction by a special judge, to imprisonment for a term not exceeding six years and to a fine not exceeding ten times the value of such goods.

Other anti-smuggling measures included making shipping lines responsible for re-export of banned items imported in commercial quantities, increasing the pitch of fine in case of non-placement of invoice and packing list in container to inculcate compliance and discouraging smuggling by denying release of vehicles used repeatedly for smuggling against redemption fine.

The finance bill also proposed reward for officers of Customs and other law-enforcing agencies.

Under clause 202B, reward to officers and officials of Customs and law-enforcement agencies.-(1) In cases involving evasion of Customs-Duty and other taxes and confiscation of goods, cash reward shall be sanctioned to the officers of Customs Service of Pakistan, as defined under the Occupational Groups and Services (Probation, Training and Seniority) Rules, 1990 and officials including officers and officials of other law-enforcement agencies, who assist Customs officers and officials or are actually instrumental in seizure of smuggled goods and vehicles as confirmed by the respective Collectorate of Customs, for their meritorious conduct in such cases, and to the informer providing credible information leading to such confiscation or detection, as may be prescribed by rules by the Board, only after realisation of part or whole of the duty and taxes involved in such cases.”.