Home » News » Finance » Procedure for claiming rebate on PTA revised

Procedure for claiming rebate on PTA revised

ISLAMABAD (August 27 2005): The Central Board of Revenue (CBR) has empowered the Appraisement Collectorate, Karachi to deal with all the eight multinational companies in matters pertaining to repayment of customs duty paid on the import and 15 percent tariff protection on the local procurement of pure terephathalic acid (PTA).

The Central Board of Revenue has amended Customs Rules 2001 to revise the procedure for claiming rebate on the PTA through an SRO(I)/2005 here, on Friday.

Previously, Model Customs Collectorate was dealing with these companies.

The companies entitled to claim repayment of duty on import as well as on account of 15 percent protection in case of local procurement of pure terephathalic acid are ICI Polyester Fibre, Rupali Polyester Ltd, Rupafil Ltd, Ibrahim Fibres Ltd, Dewan Salman Fibres Ltd, Pakistan Synthetic Ltd, Gatron Industries Ltd and Navotex Ltd.

According to the revised procedure for repayment of duty in case of imported pure terephathalic acid, the importer would file a repayment claim pertaining to the imports during the previous month, by the fifth of the next month with the Appraisement Collectorate.

The case would be processed by the Appraisement Collectorate, Karachi, and the actual amount paid as customs duty on PTA would be repaid under Section 21 of the Customs Act, 1969 (IV of 1969), within seven days of the receipt of application.

In case of PTA procured locally from Pakistan PTA Ltd, the purchaser would file an application for repayment on account of 15 percent tariff protection to the PTA, to the Appraisement Collectorate, Karachi, in the given form with the copies of sales tax invoices for the previous months against which the PTA has been procured locally.

These cases will be processed in the Appraisement Collectorate, Karachi and repayment would be made to the applicant within seven days of such application, after due verification of the sales tax invoices by the Collector of Customs, namely Pakistan PTA Ltd, which would indicate the amount charged on account of 15 percent tariff protection separately in each sales tax invoice issued for the sale of pure terephathalic acid.

However, for sales made by Pakistan PTA Ltd, during June 7-July 31, 2005, repayment would be made on the basis of the given formula and the amount charged on account of 15 percent tariff protection to the PTA would not be indicated on such invoices separately.

Pakistan PTA Ltd, would provide to the Appraisement Collectorate, Karachi, a comprehensive statement of sales of PTA to various customers during the month by the fifth of next month.

FOLLOWING IS THE TEXT OF THE NOTIFICATION ISSUED ON FRIDAY: “In exercise of the powers conferred by Section 219 of the Customs Act, 1969 (IV of 1969), the Central Board of Revenue (CBR) is pleased to direct that the following further amendments shall be made in the Customs Rules 2001, namely:-

“In the aforesaid rules, in Chapter XX, in Rule 421, for the words “Model Customs Collectorate”, wherever occurring the words “Appraisement Collectorate” shall be substituted.”

Leave a Reply