Mobile device identification, registration : Rs54bn duties, tax collected during 2019-2020

ISLAMABAD: Pakistan Customs with the help of the Pakistan Telecommunication Authority (PTA) has collected Rs54 billion in the form of duties and taxes through device identification, registration and blocking system (DIRBS) during 2019-2020 for registration of mobile devices.

According to the data released by the FBR here on Wednesday, the federal government is fully cognizant of the issue of smuggling and its negative impact on the economy. Therefore, recently, the federal government has introduced national counter smuggling measures.

Pakistan Customs in coordination with the PTA has introduced DIRBS for registration of mobile devices. Now any non-duty paid/smuggled phones cannot be used in Pakistan without payment of due taxes and registration with the PTA.

During 2019-2020, Pakistan Customs has collected Rs54 billion as revenue through DIRBS without involving any human intervention, and thus, completely eliminating the usage of smuggled devices in Pakistan.

This successful intervention has attracted huge investment in the country and now 17 companies are manufacturing mobile phones in Pakistan.

Better use of information technology and enforcement through targeted operations against smugglers, the issue of availability of smuggled items has been addressed to a large extent, which has provided space for local industry.

It is due to this reason that now people are moving towards setting up industry in Pakistan.

Despite the current pandemic and sluggish demand, the textile industry of Pakistan is operating at full capacity due to unavailability of smuggled goods.

While mentioning about counter smuggling efforts, the FBR has stated that a national steering committee on anti-smuggling headed by secretary Interior Division with members from all law enforcement agencies has been constituted, which conducts regular meetings to review and maintain liaison amongst law enforcement agencies (LEAs).

Pakistan Customs has made historic seizures amounting to Rs23 billion in coordination and support from LEAs, during the first four months of the current financial year, which is 43 percent higher than the seizures made during the corresponding period last year. Amendments have been introduced in the Customs Act 1969 to award harsh punishment including forfeiture of property, godowns used for storage of smuggled goods, penalty and imprisonment up to 10 years, the FBR added.

Copyright Business Recorder, 2020