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NBR badgers MoC to allow board to clear imported cars older than 5 years

Syful Islam | November 25, 2013 00:00:00


The National Board of Revenue (NBR) is repeatedly requesting the ministry of commerce (MoC) for providing clearance permits (CPs) for cars older than five years, which will be a violation of the present import policy order, sources said.

The government banned import of vehicles older than five years considering the environmental aspect and keeping the urban area air-pollution-free, they added.

The MoC officials were of the opinion that allowing the import of cars older than five years under the 'state sponsorship' would encourage violation of the rules further.

"During the shipment stage from abroad no cars should be older than five years," the Import Policy Order 2012-15 states.

Sources said the NBR in July this year through a letter requested the MoC to provide CPs in favour of 290 reconditioned vehicles, the import of which is prohibited due to age bar.   

The letter, signed by NBR second secretary Fazlul Huq, states that over Tk 245 million is involved as revenue with these cars. The said amount can be realised as revenue by delivering the cars upon providing CPs.

Besides, additional revenue can be realised as fine through following 'contravention norm'.

He said the increased amount of revenue can be realised by delivering the cars in favour of the importers by charging duty instead of selling those on auction.

Mr Huq wrote that unless the CPs were provided, the cars would have to be destroyed, for which a significant amount of money has to be spent form the exchequer.

"Since a significant amount of revenue is involved with these cars, the NBR thinks that the CPs can be issued for delivering the cars," he said and added that the finance minister has also expressed positive indication in this connection.

Sources said the MoC did not respond positively to NBR's request earlier.

Later, on November 7, Mr Huq requested the MoC to provide CPs in favour of 25 cars older than five years. This time he requested for CPs for auction of the cars as their quality have been reducing upon being dumped in the Mongla Port area.

A senior MoC official said allowing the cars older than five years to get clearance would be a violation of the present import policy order.

He said the NBR should destroy the illegally imported cars as per law. "The environmental aspects should have been taken into consideration before making the request," he added.

"For a small volume of revenue a state body should not make a request, which goes against government policy," he added.

Contacted, the board's second secretary Fazlul Huq told the FE Sunday that the MoC has given CPs against many cars.

"We should consider the economic aspects, whether destroying the cars are profitable or using those," he said.

When contacted, NBR member (Customs and VAT) Farid Uddin did not want to comment on this issue over telephone.


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