The Federal Board of Revenue (FBR) is in the process of finalising an action against national flag carrier on account of non-payment of duties and taxes of around Rs 1.1 billion on import of three leased aircraft. Sources told Business Recorder here on Thursday that the FBR is mulling blocking NTN of airline; and if NTN is blocked, the clearance of all its imports would be stopped across the country.
The FBR is also considering attaching airline's moveable and immovable properties. The airline is required to pay the dues of around Rs 1.1 billion to the FBR, but it has paid an amount of Rs 310.631 million only till date. The last instalment was made on October 14, 2015. The tax department is seriously considering the recovery action against the airline under Customs Act 1969 and Recovery Rules following approval of the competent authority to fulfil legal formalities and requirements, sources said.
Details of the issue revealed that the corporation 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 corporation was required to pay a total amount of Rs 1484.213 million as duty and taxes on the said aircraft whereas it has paid a meager amount of Rs 310.631/- million only till to date. In light of the ongoing facts and in consonance with the referred decision of the ECC of the Cabinet, the airline has again been approached by the FBR to deposit the dues of Rs 1173.582/- million within current month. In case of non-compliance, the tax department is seriously thinking on the lines of initiating recovery proceedings as per directives of FBR dated 29-05-2015 in accordance with the provisions of Section 202 of Customs Act 1969 and Recovery Rules issued vide SRO 450(l)2001 dated.18.06.2001.