| Case ID |
42e23f10-6af6-4090-8859-5244c851147e |
| Body |
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| Case Number |
Custom Appeal No. K-67 of 2017 |
| Decision Date |
Nov 27, 2018 |
| Hearing Date |
Oct 08, 2018 |
| Decision |
The Appellate Tribunal set aside the orders passed by Customs Authorities and allowed the appeal. The decision highlighted that the imported goods, classified as 'Belt strips/Composition Leather', were mis-declared but were not in a finished state as alleged by the authorities. The Tribunal emphasized that the goods underwent further processing, validating the appellant's claim for tax benefits under the relevant SRO. The judgment underscored the importance of jurisdiction and the proper legal framework regarding sales tax and customs duties. |
| Summary |
This case revolves around the appeal filed by MESSRS SHAIKH & CO. against the Additional Collector of Customs regarding the classification and taxation of imported goods under the Customs Act, Income Tax Ordinance, and Sales Tax Act. The tribunal examined the allegations of mis-declaration and the subsequent issuance of a show-cause notice for evasion of sales tax and income tax. The ruling clarified the definitions of manufacture and the legal framework applicable to imported goods, emphasizing that the imported items were not finished products but rather semi-finished goods requiring further processing. The decision reinforced the legal principles surrounding jurisdiction and the authority of customs officials, ultimately ruling in favor of the appellant and allowing the appeal. This case is significant for stakeholders in customs and taxation, providing clarity on the interpretation of laws governing imports and tax liabilities. |
| Court |
Customs Appellate Tribunal
|
| Entities Involved |
Not available
|
| Judges |
MUHAMMAD SAJID ABBASI
|
| Lawyers |
Saeed Masood Anwar
|
| Petitioners |
MESSRS SHAIKH & CO.
|
| Respondents |
THE ADDITIONAL COLLECTOR OF CUSTOMS, (ADJUDICATIONI), KARACHI AND 2 OTHERS
|
| Citations |
2019 SLD 1450,
2019 PTD 1242
|
| Other Citations |
2006 PTD 2627,
Asst. Collector v. Khyber Elec. Lamps 2003 PTD 1275,
D.G. Khan Cement v. Collector of Customs 2005 PTD 480,
Caltex v. Collector 2003 PTD 1593,
Union Playing Card Company v. Collector of Customs 2002 MLD 130,
Atlas Tyres v. Addl. Collector 2002 MLD 180,
State Cement v. Collector PTCL 2001 CL 558,
Kashmir Sugar v. Collector 1992 SCMR 1898,
Rose Color v. Chairman, CBR and 2013 PTD 813,
Ali Muhammad v. Chief Settlement Commissioner 2001 SCMR 1822,
All Pakistan Newspaper Society and others v. FOP and others PLD 2004 SC 600,
Khyber Tractor (Pvt.) Ltd. v. Pakistan Through Ministry of Finance, Revenue and Economic Affairs PLD 2005 SC 842
|
| Laws Involved |
Customs Act, 1969,
Income Tax Ordinance, 2001,
Customs Rules, 2001,
Sales Tax Act, 1990
|
| Sections |
3,
3(2)(b),
3(6),
193,
32,
6,
7,
32(2),
156(1)(14),
34,
26A,
80,
11(4),
25,
148,
71,
180,
177,
202,
33(5),
162,
83,
2(16),
195,
4(c),
162(2),
228,
R.432,
R.442
|