PCA recovers mere Rs 21.50 million in July-December

The Directorate General of Post-Clearance Audit (PCA), Federal Board of Revenue (FBR), has made recovery of only Rs 21.50 million during July-December (2017-18) against detection of Rs 2.2 billion during this period, reflecting poor recovery performance of the directorate.
The Directorate General of Post-Clearance Audit (PCA), FBR, has made detections of Rs 2.2 billion against importers during July-December (2017-18) against Rs 2 billion in the same period of 2016-17, showing a growth of 9 percent. According to the data of the PCA released by the FBR here on Friday, the Directorate General PCA has recovered an amount of Rs 21.50 million during July-December (2017-18) against Rs 5.80 million in corresponding period of 2016-17, showing an increase of 268 percent.
The directorate has framed contravention reports of Rs 1.19 billion during the same period of 2016-17, reflecting a decrease of 11.5 percent. There is a huge difference between the percentage of growth in detections and actual recovery made from the importers during the aforementioned period. The data further revealed that the PCA Karachi has made detections to the tune of Rs 1.67 billion during the period under review against Rs 1.25 billion in 2016-17, showing a growth of 33.45 percent. On the other hand, regional directorate of Karachi has made recovery of Rs 6.5 million during this period against Rs 2.8 million, reflecting a growth of 131 percent.
The regional directorate of PCA Lahore made detection of Rs 355.71 million during July-December (2017-18) against Rs 721.82 million in same period last fiscal, showing a negative growth of 50 percent. The recovery made by the Lahore directorate amounted to Rs 14 million against Rs 2.99 million, depicting a growth of 370 percent.
The PCA Islamabad has made detection of Rs 189.92 million during the said period against Rs 51.44 million, reflecting an increase of 269.2 percent. The PCA Islamabad has made recovery of Rs 0.92 million during this period against Rs 0.03 million. The detection of such a large number of cases of under-invoicing, misdeclaration and evasion of huge duties/taxes through PCA reflects importance of such a key department of the FBR.