Over 50,000 vehicles legalised: record revenue of Rs 16.035 billion generated

The Federal Board of Revenue has legalised 50,850 non-duty paid smuggled vehicles, generating record revenue of Rs 16.035 billion. Sources told Business Recorder here on Friday that the owners of non-duty paid smuggled vehicles have deposited huge revenue of Rs 16.035 billion under amnesty scheme remained applicable from March 7-April 6, 2013.
The amount of Rs 16.035 billion is the highest revenue collected from any amnesty scheme. The last amnesty scheme has only generated Rs 1.5 billion whereas the recent scheme has collected an exceptional amount of revenue. For the first time, an amnesty scheme has been able to attract owners of 50,850 vehicles to voluntarily come for registration.
The registration of 50,850 non-duty paid smuggled vehicles with the provincial excise and taxation departments would also generate additional revenue of over Rs 1.5 billion. An amount of around Rs 1 billion would be collected under the head of 'Token Tax' per annum.
Breakup of legalised vehicles revealed that 17,950 vehicles have been regularised in Quetta; 17,330 vehicles KP; 2,885 vehicles Gwadar; 5,894 vehicles Karachi; 15,63 vehicles Hyderabad; 10,81 vehicles Islamabad; 12,47 Faisalabad; 10,55 Sialkot; 11,09 vehicles Multan and 636 vehicles have been legalised in Lahore beside Rawalpindi.
The FBR had placed foolproof checks to ensure implementation of a transparent procedure for the legalisation of the non-duty paid smuggled cars. The safeguards included physical examination of the vehicle, adjudication procedure, pictures of vehicles and other checks were placed during legalisation process. The FBR had eliminated changes of corruption by placing strict checks and monitoring of the whole exercise across the country. The adjudication under Customs Act, 1969 is a complete legal process ensuring transparency during legalisation of smuggled cars.
Sources said that the amnesty scheme has no impact on the local car industry as the non-duty paid smuggled vehicles was already plying in the country. Through documentation of these vehicles, the FBR has complete particulars of the owners, who would now annually contribute in the form of 'Token Tax' every year.
Prior to launching of the amnesty scheme, the FBR had taken enforcement action against the non-duty paid smuggled vehicles. Around 3,000 to 3,500 vehicles were seized. Moreover, FIRs were also registered against the owners of such vehicles. A deterrent has been created among the owners of smuggled vehicles and they voluntarily came forward for availing the amnesty scheme. Resultantly, 50,850 non-duty paid smuggled vehicles have been regularised by the owners. A total of only 20-25 vehicles have been legalised having age limit of less than three yeas.
Dispelling impression of legalisation of any tampered vehicle, sources quoted an example that excise and taxation office Islamabad has registered vehicles only after test reports, confirming registration of non-tampered vehicles. An affidavit has also been signed from owner of vehicle. The question arises why purchaser of non-duty paid smuggled vehicle would take risk of legalising tampered vehicle.