Latest news with #PakistanCustoms
Express Tribune
4 days ago
- Express Tribune
Rs20m 'smuggled' goods seized in Bolton Market raid
Pakistan Customs dismissed misleading propaganda spread by traders' groups against the raid by the Pakistan Customs Enforcement (PCE) in Bolton Market. The department mentioned that the raid was carried out under the anti-smuggling campaign, based on a tip-off, and conducted in compliance with legal requirements. During the raid, the PCE team recovered 3,761 cartons of smuggled cigarettes, prohibited Indian gutka, Shisha flavours and miscellaneous items worth Rs20 million. Spokesperson for the Pakistan Customs stated that during the operation, certain elements created chaos and harassed personnel, in response to which law enforcement agencies intervened. He said that describing the operation by certain trader groups as an 'attack' on legitimate business, is contrary to the facts and amounts to misleading the public.
Business Recorder
29-07-2025
- Business
- Business Recorder
PCA uncovers fraudulent cases worth Rs60.5bn
KARACHI: The Post Clearance Audit (PCA) has achieved unprecedented success in combating tax evasion, detecting fraudulent cases worth Rs. 60.5 billion, and having recovered over Rs. 6.7 billion during the past two years. According to the official statistics, the PCA, previously considered a lesser-known component of customs' machinery, has been transformed into a leading enforcement arm through sophisticated data-driven operations and landmark actions across multiple sectors including revenue recovery, fraud detection, anti-money laundering, and policy reform under the leadership of Dr Zulfikar Ali Chaudhary, who served as Director General of PCA throughout this transformative period and now preparing for his tenure end on August 4, 2025, which has been marked by groundbreaking achievements, institutional strengthening, and the implementation of data-driven enforcement strategies. The most significant breakthrough came from the Directorate of PCA South, under Director Sheeraz Ahmed, which uncovered the largest money laundering cartel in Pakistan Customs history. The massive fraud network, linked to the solar panel import sector, involved Rs. 120 billion in illegal transactions. This high-profile detection has prompted major reforms within the customs department, successfully plugging revenue leakages and preventing further losses to the national economy through over-invoicing schemes and money laundering operations. The PCA South directorate alone detected duty and tax evasion cases worth Rs. 48 billion and recovered Rs. 2 billion in revenue—an unprecedented achievement in the unit's history. Similarly, the Directorate of PCA Central, headed by Director Azmat Tahira, contributed significantly to the overall success with detections worth Rs. 12.5 billion and recoveries of Rs. 4.7 billion in duties and taxes. Across all regional directorates—South, Central, and North—PCA teams identified widespread misuse of the Export Facilitation Scheme (EFS), successfully reclaiming billions in evaded duties and taxes. These investigations have also led to substantial policy reforms that have strengthened checks and balances within the system. The regulatory improvements implemented as a result of these investigations are now actively preventing revenue losses worth billions of rupees, creating a long-term positive impact on Pakistan's fiscal health. PCA has evolved from a relatively obscure department into a key enforcement arm of Pakistan Customs. The unit's success in detecting large-scale fiscal fraud, curbing money laundering activities, and reclaiming billions in evaded duties and taxes has established it as a crucial component of the country's revenue protection framework. The transformation represents a significant shift toward modern, technology-driven customs enforcement, setting new standards for revenue recovery and fraud detection in Pakistan's customs operations. Copyright Business Recorder, 2025
Business Recorder
26-07-2025
- Business
- Business Recorder
Customs data purge raises red flags over audit integrity
LAHORE: The Pakistan Customs is facing criticism for purging import-export data older than five years from its central digital repository, WeBOC. The data purge, which began in March 2025, is part of the transition to the Pakistan Single Window (PSW) platform. However, this move has raised concerns about the transparency and accountability. The purge may disrupt statutory audits, particularly for oil and gas imports, where audits are conducted after five years to levy surcharges or recover duties. Furthermore, several court cases involving customs fraud and misdeclaration, some dating back over five years, may be impacted, potentially compromising justice and revenue recovery. The data purge has also resulted in limited access, with only the deputy collector RMS retaining limited access to legacy data. This centralizes control and restricts oversight, raising concerns about accountability and the potential for data manipulation. The implications of this policy shift are far-reaching. The purge may hinder revenue recovery efforts, particularly in cases where audits and investigations are pending. Trade and legal circles are urging caution, emphasizing the need for transparency and accountability in the data purge process. Stakeholders are demanding a more nuanced approach to ensure that the rights of all parties are protected. The lack of transparency and limited access to data may compromise the integrity of audits and investigations, ultimately affecting revenue recovery and justice. Copyright Business Recorder, 2025
Business Recorder
25-07-2025
- Business
- Business Recorder
Tax exemption misuse: Senate panel voices concern over abuse of IT sector
ISLAMABAD: The Senate Standing Committee on Finance, while voicing its reservations over the statistics of the IT export proceeds provided by the State Bank of Pakistan (SBP), expressed apprehensions that other export sectors were using it for tax evasion. In a meeting of the Senate Standing Committee on Finance held under the chairmanship of Senator Saleem Mandviwalla, the SBP official said that the total IT exports from Pakistan was $920 million. He said that this amount was compiled on the basis of data provided by the banks. Senator Anusha Rahman questioned the credibility of the data. She said that in this amount there is no bifurcation that how much amount comes through the software exports or services provided by freelancers. Rahman said because of the non-availability of authentic data of freelancers export proceeds, the government is finding it difficult to convince international payment platforms such as PayPal to start operations in Pakistan because they think that the consumer base for them is very small. Chairman Committee Saleem Mandviwala said that a lot of textile mills have opened software houses and they were remitting a portion of their export proceeds in guise of IT exports. Rahmansaid there is only one percent tax on non-registered freelancers and IT exporters and on registered freelancers the tax rate is mere 0.25percent, whereas, the tax rate on textile and other sectors is 30 percent. She said there is a strong possibility that the exporters from other sectors might be using IT platform for tax evasion. The SBP official said the banks were fully vigilant and responsible to find out that whether any exporter was misusing the IT platform for tax evasion. He said so far, the SBPhad not find out any such dubious activity. He assured the committee that from now onwards the SBP would bifurcate freelancers' exports data on its website. While discussing software exports over the last 15 years, the committee recommended the SBP to submit data with the clear categorisation of freelancers' share in software exports. The committee also recommended the non-inclusion of periodical and journal subscriptions in the IT services list. Furthermore, the committee was briefed on the AI-based customs system introduced within the Export Facilitation Scheme. Officials informed that the AI system has been introduced to upgrade the existing machine learning model in order to bring efficiency to Pakistan Customs. Senator Mandviwalla inquired about the FBR's plan to introduce AI in Pakistan Customs and its expected benefits for the business sector. The committee recommended a detailed briefing on the inclusion of AI in Pakistan Customs, following the models of developed nations, in the upcoming meeting. Copyright Business Recorder, 2025
Business Recorder
19-07-2025
- Business
- Business Recorder
Gerry's Dnata establishes help desk to accept claims from importers
LAHORE: Gerry's dnata, a leading ground handling and cargo services provider, has established a help desk and dedicated email address, [email protected], to accept claims from importers whose consignments were damaged in the recent warehouse fire at Lahore's Allama Iqbal International Airport. This move aims to provide efficient support to affected customers and facilitate the claims process. This development comes on the heels of a recent incident where a massive fire engulfed the Gerry Dnata warehouse at Allama Iqbal International Airport, resulting in significant damage to consignments. Fortunately, no casualties were reported. The fire sparked controversy, with customs clearing agents expressing frustration over delays in processing Goods Declarations (GDs) by Pakistan Customs appraisers. A devastating fire broke out at the Gerry Dnata warehouse on Wednesday, causing extensive damage to goods worth millions of rupees. Authorities have launched an investigation to determine the cause of the fire, suspected to be linked to the ongoing rainy weather conditions. Meanwhile, Customs clearing agents have expressed frustration over delays in GD processing, leading to demurrages and losses. A delegation from the All Pakistan Customs Agents Association had already met with the Collector of Customs Air Freight Unit (AFU) Exports section to register their protest and discuss issues leading to the incident. The Collector had assured that show-cause notices would be issued to responsible staff and duties would be refunded after due confirmation. Copyright Business Recorder, 2025
