LAHORE: Some importers are allegedly violating law by getting released goods on the basis of provisional assessment in the presence of valuation ruling which is not allowed under the Customs rules, said sources.

They said the importers dispute the assessment made on the basis of valuation ruling and also get their goods released on provisional assessment.

According to the sources, the Federal Board of Revenue has issued a clear-cut clarification that the imported goods cannot be assessed provisionally in the presence of valuation ruling.

It may be noted that the customs law enables Director General Valuation to predetermine the customs value for assessment purposes for a certain kind of goods or category of goods, possibly those which are commonly imported or exported from Pakistan.

Hence, the valuation ruling is the assessed value of the goods imported which is considered to be a notified ruling applicable and binding until revised or rescinded by the competent authority.

The said provisions of the law also provide for a dispute resolution mechanism where the valuation ruling for the purposes of assessed value is disputed.

However, some importers try to avail the facility of provisional assessment in order to get their goods released which have already been assessed under the valuation ruling provisions.

Provisional determination is only permissible where the customs officers are unable to satisfy themselves that it is not possible to assess the correctness of the value and requires further inquiry. Only then the importers can avail the facility of release of goods on provisional assessment.

In other words, said the departmental sources, importers cannot claim provisional assessment as a right unless the relevant conditions are attracted to the same.

According to the departmental sources, provisional assessment cannot be invoked where a valuation ruling has been issued which represents the declared value for the assessment of the goods or category of goods and the importer is bound to pay.

They said some importers mix up the provisions related to valuation ruling with the provisional assessment and get their goods released on the basis of the later one without applying to the Director General Valuation for a review of his valuation ruling.

No goods can be released until the valuation ruling is either rescinded or a fresh valuation is ordered, they added.

Copyright Business Recorder, 2023