Non-payment of duties & taxes: MCC intimates deadline to national flag carrier

Model Customs Collectorate (MCC) Islamabad has given deadline of June 24, 2016 to the national flag carrier for immediate deposit of Rs 1.173 billion on account of non-payment of duties and taxes on import of three leased aircraft. Sources told Business Recorder here on Monday that the decision has been taken in the meeting regarding recovery of arrears held at the MCC Islamabad Headquarters. On expiry of deadline, the customs authorities intended to block National Tax Number (NTN) of the airline and attach their movable and immovable properties across the country.
The airline was given a legal intimation for immediate deposit of Rs 1.173 billion on three wet leased Aircrafts imported at Islamabad International Airport in 2013. The airline has only paid Rs 310 million till now, in violation of the decision of ECC made in 2013, according to which airline was required to deposit the amount of Rs 1.4 billion on monthly instalment basis. However, the remaining instalments have not been deposited since the past eight months.
Customs authorities have taken a serious notice of the said violation and informed the airline that in case of non-compliance their NTN will be blocked and their properties would be attached. The airline had imported three aircrafts (Airbus A320-200) on Wet Lease Basis on 28-06-2014, 30-07-2014 and 28-10-2014, which were released by the Customs authorities as per Economic Co-ordination Committee (ECC) of Cabinet's decision No F.1/22/2013-Com dated 24.12.2013, directing the airlines to pay the duty and taxes through monthly instalments. The Islamabad Customs Collectorate is fully geared up to achieve its revenue target by 30th June.