NBR to send letters to concerned offices
Wednesday, 29 April 2009
The National Board of Revenue (NBR) is preparing a letter for all ministries, embassies, high commissions and donor agencies trying to know the whereabouts of the duty-free imported vehicles, reports UNB.
Fearing the duty-free cars being deployed in other duties, the NBR has taken the move to identify the actual position of the luxury cars.
According to the existing law, embassies, high commissions and donor agencies, and projects taken under these institutions, enjoy the privilege of duty-free import of vehicles.
But the vehicles are strictly for the particular job, not for use for any other purpose. This is not the end -- the donor-funded projects run under any ministry will not be able to use those vehicles for the ministerial purpose.
"We have strong evidence that the duty-free imported vehicles are being used for other purposes in ministry, embassy, high commission and donor-agency offices," said an NBR official seeking anonymity.
For an example, he said that an embassy last year informed the NBR that they had a car that had to be disposed of.
"But, the project where the car was deployed ended in 1997. That means the particular embassy used the car for other purpose for more than one decade," he said.
In this connection, the NBR official said that after the particular job (for what the vehicle was imported) it has to be exported or can ply on the local road after giving proper duty and other taxes.
"Even the vehicle will not be included in the vehicle pool of government as the government cannot buy old vehicles," he said.
Replying to a question, he said that although he did not know how much money the NBR lost on this account, he said that the amount would not be negligible at this moment when the government is in trouble to generate revenues.
The NBR official said that after getting response from the ministries, embassies, high commissions and donor agencies regarding the vehicles the NBR will then examine whether the vehicle is in right position or not.
"After knowing that we will impose duty and taxes on the concerned ministries, embassies, high commissions and donor agencies if they are not using the vehicle in proper way or using the vehicles after completion of the projects," he said.
Fearing the duty-free cars being deployed in other duties, the NBR has taken the move to identify the actual position of the luxury cars.
According to the existing law, embassies, high commissions and donor agencies, and projects taken under these institutions, enjoy the privilege of duty-free import of vehicles.
But the vehicles are strictly for the particular job, not for use for any other purpose. This is not the end -- the donor-funded projects run under any ministry will not be able to use those vehicles for the ministerial purpose.
"We have strong evidence that the duty-free imported vehicles are being used for other purposes in ministry, embassy, high commission and donor-agency offices," said an NBR official seeking anonymity.
For an example, he said that an embassy last year informed the NBR that they had a car that had to be disposed of.
"But, the project where the car was deployed ended in 1997. That means the particular embassy used the car for other purpose for more than one decade," he said.
In this connection, the NBR official said that after the particular job (for what the vehicle was imported) it has to be exported or can ply on the local road after giving proper duty and other taxes.
"Even the vehicle will not be included in the vehicle pool of government as the government cannot buy old vehicles," he said.
Replying to a question, he said that although he did not know how much money the NBR lost on this account, he said that the amount would not be negligible at this moment when the government is in trouble to generate revenues.
The NBR official said that after getting response from the ministries, embassies, high commissions and donor agencies regarding the vehicles the NBR will then examine whether the vehicle is in right position or not.
"After knowing that we will impose duty and taxes on the concerned ministries, embassies, high commissions and donor agencies if they are not using the vehicle in proper way or using the vehicles after completion of the projects," he said.