The Customs Act, 1969, (IV of 1969) as amended up to June 30, 2010, Pakistan

(q) “person-in-charge” means –

(i)

in relation to a vessel, the master of the vessel;

(ii)

in relation to an aircraft, the commander or pilot in charge of the aircraft;

(iii) in relation to a railway train, the conductor, guard or other person having the chief direction of the train;

(iv) in relation to any other conveyance, the driver or any other person having control of the conveyance;

²⁵[(qa) "principal" means the owner of the goods or the person primarily responsible for making a declaration to Customs under this Act and includes the person in-charge of the conveyance, carrier, custodian of cargo, and the terminal operator;

(r) “rules” means the rules made under this Act;

²⁶[(rr) “seize” means to take into custody, physically or otherwise, goods in respect of which some offence has been committed or is believed to have been committed under this Act or the rules, and all cognate words and expressions shall be construed accordingly;]

(s) “smuggle” means to bring into or take out of Pakistan, in breach of any prohibition or restriction for the time being in force, or evading payment of customs-duties or taxes leviable thereon,²⁷[(i) gold bullion, silver bullion, platinum, palladium, radium, precious stones, antiques, currency, narcotics and narcotic and psychotropic substances; or

(ii) manufactures of gold or silver or platinum or palladium or radium or precious stones, and any other goods notified by the Federal Government in the official Gazette, which, in each case, exceed ³⁷[one hundred and] ²⁸[fifty thousand rupees] in value; or

(iii) any goods by any route other than a route declared under section 9 or 10 or from any place other than a customs-station.] and includes an attempt, abetment or connivance of so bringing in or taking out of such goods; and all cognate words and expressions shall be construed accordingly;]

²⁹[(ss) “Special Judge” means a Special Judge appointed under Section 185;

(sss) “Special Appellate Court” means a Special Appellate Court constituted under section 46 of the Prevention of Smuggling Act,1977;]

³⁰[(ssss) “surcharge” means an amount or charge required to be paid under sections 21A, 83,86,98 and 202A or any surcharge payable as such under this Act;]

(t)

“warehouse” means any place appointed or licensed under section 12 or section 13;

(u)

“warehousing station” means a place declared as a warehousing station under section 11;

(v)

“wharf” means any place in customs-port approved under clause (b) of section 10 for the loading and unloading of goods or any class of goods ³¹[;]

³²[(w) “³³[***]arrears” means the amount of any duty, surcharge, fine or penalty ³⁴[or any other amount] which is adjudged or demanded through an adjudication order passed by the competent authority or the amount referred to in the notice under subsection (2) of section 202 which is recoverable in full or in part and is not paid within the time prescribed;

(x)

“default” means the failure to pay the outstanding arrears as defined in clause (w); and

(y)

“defaulter” means the person and in the case of a company or firm every director or partner of the company or, as the case may be of the firm and of which he is a director or a partner of proprietor, and includes the guarantor who fails to pay outstanding arrears.]

⁷[6. Entrustment of functions of customs officers to certain other officers.-⁸(1)

The Board may, by notification in the official Gazette, entrust, either conditionally or unconditionally, any functions of any officer of customs under this Act to any officer of the Federal Government, Provincial Government, State Bank of Pakistan and Scheduled Banks:

Provided that where any officer in performance of his functions under this section commits any offence under this Act, such officer shall, in addition to any other penalty which may be imposed under any other law for the time being in force, be liable to such punishment as is specified in sub-section (1) of section 156 for the offence committed by him.]

⁹[(2) No officer entrusted with any functions of any officer of customs under sub-section (1) shall interfere in any manner in the performance or discharge of any duty by an officer of customs in places notified under section 9.]

1. Assistance to the officers of customs.-All officers of Central Excise, Police, and the Civil Armed Forces, and all officers engaged in the collection of land-revenue are hereby empowered and required to assist officers of customs in the discharge of their functions under this Act.
2. Exemption from service on jury or inquest or as assessors.-Notwithstanding anything contained in any other law, no officer of the Board or Collector of Customs and no other officer of customs whom the Board or Collector of Customs deems it necessary to exempt on grounds of public duty, shall be compelled to serve on any jury or inquest or as an assessor.

10. Power to approve landing places and specify limits of customs-stations.

The Board may, by notification in the official Gazette:

(a)

specify the limits of any customs-station; and

(b)

approve proper places in any customs-station for the loading and unloading of goods or any class of goods.

11. Power to declare warehousing stations.-The Board may, by notification in the official Gazette, declare places to be warehousing stations at which alone public warehouses may be appointed and private warehouses may be licensed.

²[12. Power to appoint or licence public warehouses.-(1) At any warehousing station, the Collector of Customs may, from time to time, appoint or licence public warehouses wherein dutiable goods may be deposited without payment of customs-duty.

(2)

Every application for a licence for a public warehouse shall be made in such form as may be prescribed by the Collector of Customs.

(3)

A licence granted under this section may be cancelled by the Collector of Customs for infringement of any condition laid down in the licence or for any violation of any of the provisions of this Act or any rules made there under, after the licensee has been given proper opportunity of showing cause against the proposed cancellation.

(4)

Pending consideration whether a licence be cancelled under sub-section (3), the Collector of Customs may suspend the licence.]

13. Power to licence private warehouses.-(1) At any warehousing station, the Collector of Customs may, from time to time, licence private warehouses wherein dutiable goods may be deposited ³[without payment of customs-duty.]

(2 ) Every application for a licence for a private warehouse shall be made in such form as may be prescribed by the Collector of Customs.

⁴[(3) A licence granted under this Section may be cancelled by the Collector of Customs for infringement of any condition laid down in the licence or for any violation of any of the provisions of this Act or any rules made there under, after the licensee has been given proper opportunity of showing cause against the proposed cancellation].

(4) Pending consideration whether a licence be cancelled under sub-section (3), the Collector of Customs may suspend the licence.

14. Stations for officers of customs to board and land.-The Collector of Customs may, from time to time, appoint, in or near any customs-port, stations or limits at or within which vessels arriving at or departing from such port shall bring to for the boarding or landing of officers of customs, and may, unless separate provisions therefore have been made under the Ports Act,1908 (XV of 1908) direct at what particular place in any such port vessels, not brought into port by pilots, shall anchor or moor.

⁵[(14-A. Provision of accommodation at Customs-ports, etc.-Any agency or person managing or owning a customs-port, a customs-airport or a land customs station shall provide at its or his own cost adequate accommodation to customs staff for offices, examination of goods, detention and storage of goods and for other departmental requirements to be determined by the Collector of Customs ⁶[and shall pay utility bills, rent and taxes in respect of such accommodation.]

¹⁴[19A. Presumption that incidence of duty has been passed on to the buyer.

Every person who has paid the customs duty and other levies on any goods under this Act shall, unless the contrary is proved by him, be deemed to have passed on the full incidence of such customs duty and other levies to the buyer as a part of the price of such goods.

19B. Rounding off of duty, etc.-The amount of duty, interest, penalty, fine or any other sum payable, and the amount of refund, drawback or any other sum due, under the provisions of this Act shall be rounded off to the nearest one hundred rupees and, for this purpose, where such amount is fifty rupees or more, it shall be increased to one hundred rupees and if such part is less than fifty rupees, it shall be ignored.]

^14a[19C. Minimal duties not to be demanded.-Where the cumulative amount of all duties and taxes on a Goods Declaration is equal to, or less than, one hundred rupees, the same shall not be demanded.]

¹⁵[20. Board’s power to grant exemption from duty in exceptional circumstances.

Under circumstances of exceptional nature, the Board may, subject to such conditions, limitations or restrictions, if any, as it thinks fit to impose, by a special order in each case recording such circumstances, exempt any goods from payment of the whole or any part of the customs-duties chargeable thereon ¹⁶[and may remit fine, penalty, charge or nay other amount recoverable under this Act.]

21. Power to deliver certain goods with-out payment of duty and to repay duty on certain goods.-Subject to such conditions, limitations or restrictions as it thinks fit to impose, the Board may, in such general cases as may be prescribed by rules or in particular cases by special order, authorize

(a) the delivery without payment of the customs-duties chargeable thereon of goods which are imported only temporarily with a view to subsequent exportation;

¹⁷[(ab) ⁸⁶[Omitted]
¹⁸[(b) Omitted.
¹⁹[(c) the repayment in whole or in part of the customs-duties paid on the

importation of any goods which have been used in the production, manufacture, processing, repair or refitting in Pakistan of goods meant for exportation, or for supply to industrial units, projects, institutions, agencies and organizations, entitled to import the same at concessionary rates ²⁰[:]

²¹[Provided that no repayment may be granted in a case in which the amount involved is less than one hundred rupees ²²[; and]

²³[(d) without prejudice to the provisions of clause (c), the Federal Government may, by notification in the Official Gazette, direct that drawback or repayment shall not be allowed in respect of any goods of specified description or may be allowed subject to such restrictions and conditions as may be specified in the notification.]

²⁴[(21A. Power to defer collection of customs-duty.-²⁵[(1)] Subject to such conditions, limitations or restrictions as it thinks fit to impose, the Board may, in such general cases as may be prescribed by rules or in particular cases by special order, defer the collection of customs-duties either in whole or in part.

²⁶[ (2) Where deferment of customs-duties is allowed by the Board under sub

26a,87

section (1), a surcharge not exceeding [KIBOR plus three] per cent per annum shall also be payable on the deferred amount from such date and in the manner as the Board may by rules prescribe.]

22. Re-importation of goods produced or manufactured in Pakistan.-If goods produced or manufactured in and exported from Pakistan are subsequently imported into Pakistan, such goods shall be liable to customs-duties and be subject to all the conditions and restrictions, if any, to which goods of the like kind and value not so produced or manufactured are liable on the importation thereof:

²⁷[Provided if such goods have been imported within one year of their exportation and have been consigned to the person in whose account they were exported and have not undergone any processing since their exportation], the appropriate officer not below the rank of ²⁸[Assistant Collector or Deputy Collector] of Customs may admit the goods

²⁹[(a) Where at the time of exportation of such goods, rebate, refund or drawback of any customs or excise duty or any other tax levied by the Federal Government or any tax, cess or duty levied by the Provincial Government was allowed on payment of customs duty equal to the amount of such rebate, refund or drawback as the case may be;]

(b)

where such goods were exported in bond, without payment of –

(i)

the customs-duty chargeable on the imported materials, if any, used in the manufacture of the goods; or

(ii ) the excise duty chargeable on the indigenous materials, if any, used in the manufacture of such goods; or

(iii) the excise duty, if any, chargeable on such goods; or

(iv)

any other tax chargeable on the material used in the manufacture of such goods; or

(v)

any other tax chargeable on such goods,

on payment of customs-duty equal to the aggregate amount of all such duties and taxes calculated at the rates prevailing at the time and place of importation of goods; or

(c) in any other case, without payment of duty.

^29a[22A. Temporary export of imported plant and machinery.-Imported plant and machinery, temporarily exported that have not undergone any alteration, renovation, addition or refurbishment, may be re-imported duty free subject to the specific or general terms and conditions the Board may by the rules prescribe.]

23. Goods, derelict, wreck, etc.-All goods, derelict, jetsam, flotsam and wreck, brought or coming into Pakistan, shall be dealt with as if they were imported into Pakistan.

24. Provisions and stores may be exported free of duty.-Goods produced or manufactured in Pakistan and required as provisions and stores on any conveyance proceeding to any foreign port, airport or station may be exported free of customs-duty,³⁰[***] in such quantities as the appropriate officer may determine having regard to the size of the conveyance, the number of passengers and crew and the length of the voyage or journey on which the conveyance is about to depart.

31 31b

[25. [Value of imported and exported goods].-(1) Transaction Value.-The customs value of imported goods, subject to the provisions of this section and the rules, shall be the transaction value, that is the price actually paid or payable for the goods when sold for export to Pakistan:

Provided that

(a)

there are no restrictions as to the disposition or use of the goods by the buyer other than the restrictions which –

(i)

are imposed or required by law;

(ii)

limit the geographical area in which the goods may be resold; or

(iii) do not affect the value of the goods;

(b)

the sale or price is not subject to some condition or consideration for which a value cannot be determined with respect to the goods being valued;

(c)

no part of the proceeds of any subsequent resale, disposal or use of the goods by the buyer will accrue directly or indirectly to the seller, unless an appropriate adjustment is made in accordance with the provisions of sub-section (2) (e); and

(d)

the buyer and seller are not related, or where the buyer and seller are related, that the transaction value is acceptable for customs purposes under the provisions of sub-section (3).

(2)

Subject to clause (b), in determining the customs value under sub-section(1),

(a)

there shall be added to the price actually paid or payable for the imported goods, if not already included in the price;

(i)

the cost of transport, excluding inland freight after importation, of the imported goods to the Port, Airport or place of importation;

(ii)

loading, unloading, and handling charges associated with the transport of the imported goods to the Port, airport or place of importation; and

(iii) the cost of insurance;

(b)

there shall also be added to such price, to the extent that they are incurred by the importer but are not included in the price actually paid or payable of the imported goods

(i)

commissions including indenting commissions and brokerage, except buying commissions;

(ii)

the cost of containers which are treated as being one for customs purposes with the goods in question; and

(iii) the cost of packing whether for labour or materials;

(c)

there shall also be added to such price the value, apportioned as appropriate, of the following goods and services where supplied directly or indirectly by the importer or his related person free of charge or at reduced cost, for use in connection with the production and sale for export of the imported goods, to the extent that such value has not been included in the price actually paid or payable:

(i)

materials, components, parts and similar items incorporated in the imported goods;

(ii)

tools, dies, moulds and similar items used in the production of the imported goods;

(iii) materials consumed in the production of the imported goods; and (iv) engineering, development, artwork, design work and plans and sketches undertaken elsewhere than in Pakistan and necessary for the production of the imported goods;

(d)

there shall also be added to such price, royalties and licence fees related to the goods being valued that the buyer must pay, either directly or indirectly, as a condition of sale of the goods being valued, to the extent that such royalties and fees are not included in the price actually paid or payable; and

(e)

there shall also be added to such price, the value of any part of the proceeds of any subsequent resale, disposal or use of the imported goods that accrues directly or indirectly to the seller;

(f)

if sufficient information is not available for any reason, with respect to any adjustments referred to above, the transaction value, of the imported goods shall be treated , for the purpose of sub-section (1), as the one that cannot be determined;

(3)

If the buyer and seller are related in terms of the rules the transaction value shall be accepted for the purposes of sub-section (1); whenever:

(a)

the examination of the circumstances surrounding the sale of the imported goods as demonstrated by the importer, indicate that the relationship did not influence the price; or

(b)

the importer demonstrates that such value closely approximates to one of the following Test Values occurring at or about the same time:

(i)

the transaction value in sales to unrelated buyers of identical or similar goods for export to Pakistan.

(ii)

the customs value of identical or similar goods as determined under the provisions of sub-section (7) (deductive value);

(iii) the customs value of identical or similar goods as determined under the provisions of sub-section (8) (computed value).

Provided that in applying the foregoing tests due account shall be taken of demonstrated differences in commercial levels, quantity levels, the elements enumerated in sub-section (2) and costs incurred by the seller in sales in which the seller and the buyer are not related that are not incurred by the seller in sales in which the seller and the buyer are related;

³²[(4) Where, in relation to the goods being valued, the appropriate officer is of the opinion that the importer has not, for the purposes of clause (a) of sub-section (3), demonstrated that the relationship did not influence the price or, for the purposes of clause (b) of sub-section (3), that the declared price at which the goods are imported does not closely approximate to one of the test values mentioned therein, the appropriate officer shall inform the importer of his reservations in writing and give the importer an opportunity to justify the price difference. If the importer fails to justify the price difference, the customs value cannot be determined under the provisions of subsection (1).]

(5) TRANSACTION VALUE OF IDENTICAL GOODS.-If the customs value of the imported goods cannot be determined under the provisions of sub-section (1), it shall, subject to rules, be the transaction value of identical goods sold for export to Pakistan and exported at or about the same time as the goods being valued.

(a)

In applying the ³³[provisions] of this sub-section, the transaction value of ³⁴[the] identical goods in a sale at the same commercial level and substantially the same quantity as the goods being valued shall be used to determine the customs value of imported goods.

(b)

Where no sale referred to in clause (a) is found, the transaction value of identical goods sold at a different commercial level and/or in different quantities, adjusted to take account of differences attributable to commercial level and/or to quantity shall be used, provided that such adjustments can be made on the basis of demonstrated evidence which clearly establishes the reasonableness and accuracy of the adjustment, whether the adjustment leads to an increase or decrease in the value.

(c)

Where the costs and charges referred to in clause (a) of subsection (2) are included in the transaction value of identical goods, an adjustment shall be made to take account of significant differences in such costs and charges between the goods being valued and the identical goods in question arising from differences in distances and modes of transport.

³⁵[(d) If, in applying the provisions of this sub-section, there are two or more transaction values of identical goods that meet all the requirements of this sub-section and clauses (b),(d),(e) and (f) of sub-section (13), the customs value of the imported goods shall be the lowest such transaction value, adjusted as necessary in accordance with clauses (b) and (c).]

³⁶[(6) TRANSACTION VALUE OF SIMILAR GOODS.-If the customs value of the imported goods cannot be determined under the provisions of sub-section (5), it shall, subject to clauses (c), (d), (e) and (f) of sub-section (13) and rules, be the transaction value of similar goods sold for export to Pakistan and exported at or about the same time as the goods being valued, and the provisions of clauses (a), (b), (c) and

(d)

of sub-section (5) shall, mutatis mutandis, also apply in respect of similar goods.]

(7)

DEDUCTIVE VALUE.-If the customs value of the imported goods cannot be determined under sub-section (6), it shall, subject to rules, be determined as follows:

(a)

if the imported goods or identical or similar imported goods are sold in Pakistan in the condition as imported, the customs value of the imported goods shall be based on the unit price at which the imported goods or identical or similar imported goods are so sold in the greatest aggregate quantity, at or about the time of the importation of the goods being valued, to persons who are not related to the persons from whom they buy such goods, subject to the deductions for the following:

(i)

either the commission usually paid or agreed to be paid or the additions usually made for profit and general expenses in connection with sales in Pakistan of imported goods of the same class or kind;

(ii)

the usual costs of transport and insurance and associated

costs incurred within Pakistan; ³⁷[and ] ³⁸[(iii) Omitted.

(iv)

the customs duties and other taxes payable in Pakistan by reason of the importation or sale of the goods.

(b)

If neither the imported goods nor identical nor similar imported goods are sold at or about the time of importation of the goods being valued, the customs value shall, subject otherwise to the provisions of clause (a) of this sub-section, be based on the unit price at which the imported goods or identical or similar imported goods are sold in Pakistan in the conditions as imported at the earliest date after the importation of the goods being valued but before the expiry of ninety days after such importation.

(c)

If neither the imported goods nor identical nor similar imported goods are sold in the country of importation in the condition as imported, then, if the importer so requests, the customs value shall be based on the unit price at which the imported goods, after further processing, are sold in the greatest aggregate quantity to persons in the country of importation who are not related to the persons from whom they buy such goods, due allowance being made for the value added by such processing and the deductions provided for in clause (a).

(8)

COMPUTED VALUE.-If the customs value of the imported goods cannot be determined under sub-section (7), it shall, subject to rules, be based on computed value which shall consist of the sum of :

(a)

the cost of value of materials and fabrication or other processing employed in producing the imported goods;

(b)

an amount for profit and general expenses equal to that usually reflected in sales of goods of the same class or kind as the goods being valued which are made by producers in the country of exportation for export to Pakistan; and

(c)

the cost or value of all other expenses as specified in clause

(a) of sub-section (2).

(9)

FALL BACK METHOD.-If the customs value of the imported goods cannot be determined under sub-sections (1),(5),(6),(7) and (8), it shall, subject to the rules, be determined on the basis of a value derived from among the methods of valuation set out in sub-sections (1),(5),(6),(7) and (8), that, when applied in a flexible manner to the extent necessary to arrive at a customs value.

valuation [may or may not] be applied in a sequential order except reversal of the

(10)		Sub-sections	(1), (5), (6), (7), (8) and				(9)	define	how the	customs
value of	imported goods is			to	be determined	38a[***].		The methods of		customs
38b

order of sub-section (7) and (8), at the importer’s request, if so agreed by Collector of the Customs.

(11)

Nothing contained in this section or the rules, shall be construed as restricting or calling into question the rights of the appropriate officer of customs to satisfy himself as to the truth or accuracy of any statement, information, document or declaration presented for customs valuation purposes.

(12)

An appropriate officer of Customs appointed by an order in writing by the Board, or Collector of Customs, on case to case basis, shall have free access to business premises, registered office, warehouses or any other place, where any stocks, business records or documents required under this Act are kept or maintained belonging to any person after serving notice to such person whose business activities are covered under this Act or who may be required for audit, inquiry or investigation in any offence committed under this Act by such person, his agent or any other person: and such officer may, at any time during the working hours, inspect the goods, stocks, records, data, documents, correspondence, accounts and statements and any other record or documents and may take into custody such records in whole or in part, in original or copies thereof against a signed receipt. The Board or Collector of Customs may also order for audit for ascertaining the correctness of declarations, documents records and value of imported goods. All searches and seizure of documents made under this subsection shall be carried out mutatis mutandis in accordance with the provisions of the Code of Criminal Procedure, 1898(Act V of 1898).

(13)

For the purposes of this section,

(a)

―customs value of imported goods‖ means the value of goods for the purposes of levying duties of customs and other taxes on imported goods;

(b)

―identical goods‖ means goods which are the same in all respects including physical characteristics, quality and reputation. Minor differences in appearance would not preclude goods otherwise conforming to the definition from being regarded as identical;

(c)

―similar goods‖ means goods which although not alike in all respects, have like characteristics and like component materials which enable them to perform the same functions and to be commercially interchangeable. The quality of the goods, their reputation and the existence of a trademark are among the factors to be considered in determining whether goods are similar;

(d)

the terms ―identical goods‖ and ―similar goods‖ do not include as the case may be, goods which incorporate or reflect engineering development, art work, design work, and plans and sketches for which no adjustment has been made under sub-section 2(c) (iv) because such elements were undertaken in Pakistan;

(e)

goods shall not be regarded as ―identical goods‖ or ―similar goods‖ unless they were produced in the same country as the

goods being valued;

(f)

goods produced by a different person shall be taken into account only when there are no identical goods or similar goods, as the case may be, produced by the same person as the goods being valued; and

(g)

―goods of the same class or kind‖ means goods which fall within a group or range of goods produced by a particular industry or industry sector, and includes identical or similar goods.

29. Restriction on amendment of [goods declaration].-Except as provided

56&56a

in section 88, no amendment of [goods declaration] relating to goods assessed for duty on the declared value, quantity or description thereof shall be allowed after such goods have been removed from the customs-area ⁵⁷[or assigned a Customs Reference Number electronically, as the case may be].

⁵⁸[30. Date of determination of rate of import duty.-The rate of duty applicable to any imported goods shall be the rate of duty in force;

(a) in the case of goods cleared for home consumption under section 79, on

59&59A

the date on which a [goods declaration] is manifested under that section; and

(b) in the case of goods cleared from a warehouse under section 104, on the

59&59A

date on which a [goods declaration] for clearance of such goods is manifested under that section:

59&59A

Provided that, where a [goods declaration] has been manifested in advance of the arrival of the conveyance by which the goods have been imported, the relevant date for the purposes of this section shall be the date on which the manifest of the conveyance is delivered ^59B[at the port of first entry]:

⁶⁰[Provided further that, in respect of goods for the clearance of which a

59/59A

[goods declaration] for clearance has been manifested under section 104, and the

59/59A

duty is not paid within seven days of the [goods declaration] being manifested, the rate of duty applicable shall be the rate of duty on the date on which the duty is actually paid ⁶¹[:]

⁶²[Provided further that in case of the goods illegally removed from the warehouse, the rate of duty shall be the rate prevalent either on the date of in-bonding or detection of case or date of payment of the duty and taxes, whichever is higher:

Provided further that in case of exercising option for redemption of fine in lieu of confiscation of the goods seized during anti-smuggling operations, the rate of duty shall be the rate prevalent either on the date of seizure or date of payment of duty and taxes, whichever is higher:]

Provided further that the Federal Government may, by notification in the official Gazette, for any goods or class of goods, specify any other date for the determination of rate of duty.

Explanation:-For the purpose of this section ―manifested‖ means that when a machine

59&59A

number is allocated to [goods declaration] and is registered in Customs record.]

⁶³[30A.Date of determination of rate of duty for clearance through the Customs Computerized System.-Subject to the provisions of section 155A, the rate of duty applicable to any imported or exported goods if cleared through the Customs Computerized System, shall be the rate of duty in force on;

(a)

the date of payment of duty;

(b)

in case the goods are not chargeable to duty, the date on which the goods declaration is filed with Customs ⁶⁴[.]

65[

(c) Omitted.

Provided that where a goods declaration has been filed in advance of the arrival of the conveyance by which the goods have been imported, the relevant date for the purposes of this section shall be the date on which the manifest of the conveyance is filed at the customs-station of first entry:

Provided further that the Federal Government may, by notification in the official Gazette, specify any other date for the determination of rate of duty in respect of any goods or class of goods.]

31. Date for determination of rate of ^66A[duty on goods exported].-The rate and amount of duty applicable to any goods exported shall be the rate and amount

59&59A

chargeable at the time of the delivery of the [goods declaration] under section

131:

59&59A

Provided that where the export of any goods is permitted without a [ goods

59&59A

declaration] or in anticipation of the delivery of such a [declaration], the rate and amount of duty applicable shall be the rate and amount chargeable on the date on which loading of the goods on the outgoing conveyance commences ^66B[:]

⁶⁷[Provided further that the Federal Government may, by notification in the official Gazette, for any goods or class of goods, specify any other date for determination of the rate of duty.]

⁶⁸[31A. Effective rate of duty.-(1) Notwithstanding anything contained in any other law for the time being in force or any decision of any Court, for the purposes of section 30 ⁶⁹[,30A] and 31, the rate of duty applicable to any goods shall include any amount of duty imposed under section 18 ⁸⁹[,18A and 18C]. ⁷⁰[Omitted] and the amount of duty that may have become payable in consequence of the withdrawal of the whole or any part of the exemption or concession from duty whether before or after the conclusion of a contract or agreement for the sale of such goods or opening of a letter of credit in respect thereof.

⁷¹[(2) For the purpose of determining the value of any imported or exported goods, the rate of exchange at which any foreign currency is to be converted into Pakistan currency shall be the rate of exchange in force on the date immediately preceding the relevant date referred to in sections 30, 30A or 31.]

32. ⁷²[False] statement, error, etc.-(1) If any person, in connection with any matter of customs,

(a)

makes or signs or causes to be made or signed, or delivers or causes to be delivered to an officer of customs any declaration, notice, certificate or other document whatsoever, or

(b)

makes any statement in answer to any question put to him by an officer of customs which he is required by or under this Act to answer, ⁹⁰[or]

⁹⁰[(c ) submits any false statement or document electronically through automated clearance system regarding any matter of Customs.]

⁷²[knowing or having reason to believe that such document or statement is false] in any material particular, he shall be guilty of an offence under this section.

(2)

Where, by reason of any such document or statement as aforesaid or by reason of some collusion, any duty or charge has not been levied or has been short-levied or has been erroneously refunded, the person liable to pay any amount on that account shall be served with a notice within ⁷³[five] years of the relevant date, requiring him to show cause why he should not pay the amount specified in the notice.

(3)

Where, by reason of any inadvertence, error or misconstruction, any duty or charge has not been levied or has been short-levied or has been erroneously refunded, the person liable to pay any amount on that account shall be served with a notice within ⁷⁴[three years] of the relevant date requiring him to show cause why he should not pay the amount specified in the notice ⁷⁵[:].

⁷⁶[Provided that if the recoverable amount in a case is less than one hundred rupees, the Customs authorities shall not initiate the aforesaid action.]

⁷⁷[(3A)Notwithstanding anything contained in sub-section (3), where any duty or charge has not been levied or has been short-levied or has been erroneously refunded and this is discovered as a result of an audit or examination of an importer’s accounts or by any means other than an examination of the documents provided by the importer at the time the goods were imported, the person liable to pay any amount on that account shall be served with a notice within three years of the relevant date requiring him to show cause why he should not pay the amount specified in the notice ⁷⁸[:]

⁷⁹[Provided that if the recoverable amount in a case is less than one hundred rupees, the Customs authorities shall not initiate the aforesaid action.]

(4) The appropriate officer, after considering the representation, if any, of such person as is referred to in sub-section (2) or sub-section (3) shall determine ⁸⁰[any amount payable by him under this Act,] which shall in no case exceed the amount specified in the notice, and such person shall pay the amount so determined.

(5)

For the purposes of this section, the expression ―relevant date‖ means –

(a)

in any case where duty is not levied, the date on which an order for the clearance of goods is made;

(b)

in a case where duty is provisionally assessed under section 81, the date of adjustment of duty after its final assessment;

(c)

in a case where duty has been erroneously refunded, the date of its refund;

(d)

in any other case, the date of payment of duty or charge ⁹⁶[;]

96[(e)	in case of clearance of goods through the Customs Computerized
	System, on self assessment or electronic assessment, the date of
	detection.]

⁸¹[32A.Fiscal fraud.-(1) If any person, in connection with any matter related to customs

(a)

causes to submit documents including those filed electronically, which are concocted, altered, mutilated, false, forged, tempered or counterfeit to a functionary of customs;

(b)

declares in the ⁸²[goods declaration] electronically filed customs declaration, the name and address of any exporter or importer which is physically non-existent at the given address;

(c)

declares in the ⁸²[goods declaration] electronically filed customs declaration, an untrue information regarding ⁹⁷[payment of duties and taxes through self-assessment,] description, quantity, quality, origin and value of goods;

(d)

alters, mutilates or suppresses any finding of the customs functionary on any document or in the computerized record; or

(e)

attempts, abets or connives in any action mentioned in clauses (a), (b),

(c)

and (d) above, he shall be guilty of an offence under this section.

(2)

Where, by any reason as referred to in sub-section (1) as aforesaid, any duty or tax charged or fee or fine and penalty levied under any provision of law has not been levied or has been short levied or has been refunded, the person liable to pay any amount on that account shall be served with a notice within a period of 180 days of the date of detection of such custom duty and tax fraud, requiring him to show cause as to why he should not pay the amount specified in the notice along with any other amount imposed as fine or penalty under the provisions of this Act.

(3)

The appropriate Adjudicating Officer, after considering the written or verbal representation of such person, may determine the amount of duty or tax chargeable or fee payable by such person which shall in no case exceed the amount specified in the notice and such person shall pay the amount so determined besides the fine or penalty or both.]

⁸³[32B.Compounding of offence.-Notwithstanding anything contained in section 32 and 32A or any other provision of this Act, where any person has committed a duty or tax fraud, the Collector may, with the prior approval of the Board, either before or after the institution of any proceedings for recovery of duty or tax, compound the offence if such person pays the amount of duty or tax due along with penalty as is determined under the provisions of this Act.]

33. Refund to be claimed within ⁸⁴[one year].-(1) No refund of any customs-duties or charges claimed to have been paid or over-paid through inadvertence, error or misconstruction shall be allowed, unless such claim is made within ⁸⁴[one year] of the date of payment ⁹¹[:]

⁹¹[Provided that no refund shall be allowed under this section if the sanctioning authority is satisfied that incidence of customs duty and other levies has been passed on to the buyer or consumer.]

(2) In the case of provisional payments made under section 81, the said period of ⁸⁴[one year] shall be reckoned from the date of the adjustment of duty after its final assessment.

34. Power to give credit for, and keep account-current of duties and charges.-An officer of customs, not below the rank of ⁸⁵[Assistant Collector or Deputy Collector] of customs may, in the case of any mercantile firm or public body, if he so thinks fit, instead of requiring payment of customs duties or charges as and when they become due, keep with such firm or body an account-current of such duties and charges, which account shall be settled at intervals of not exceeding one month, and such firm or body shall make a deposit or furnish a security sufficient in the opinion of that officer to cover the amount which may at any time be payable by it in respect of such duties or charges.

“20. Board’s power to grant exemption from duty in exceptional

circumstances.-Under circumstance of exceptional nature, the Board may, subject to such conditions, limitations or restrictions, if any, as it thinks fit to impose, by a special order in each case recording such circumstances, exempt any goods from payment of the whole or any part of the customs duties

chargeable there."‖

1. Added by Finance Act, 2005.
2. Inserted by the Finance Act, 2005.

18. Omitted by Customs (Amendment) Act, 1999 (II of 1999) . At the time of omission sub-clause (b) was as under:―(b) the delivery without payment of the whole or any part of the customs duties chargeable thereon of imported goods of such classes or description as it may prescribe, intended to be used in the production, manufacture, processing, repair or refining in Pakistan of goods of such classes or descriptions as it may prescribe;‖.

19 Substituted by Customs (Amendment) Act, 1999 (II of 1999). At the time of substitution clause (c) was as under:―(c) the repayment in whole or in part of the customs-duties paid on the importation of any goods of such classes or description as it may prescribed, which have been used in the production, manufacture, processing, repair or refitting in Pakistan of goods of such classes or descriptions as it may prescribe, provided such repayment shall not be made in respect of the class or description of goods for which drawback can be claimed under Section 37.‖.

1. Substituted for the full stop by the Finance Act, 2005.
2. Added by the Finance Act, 2005.
3. Substituted for the full stop by the Finance Act, 2005.
4. Added by the Finance Act, 2005.

24 Inserted by Finance Act, 1990 (VII of 1990), S.6(2), page 35. Omitted by Customs (Amendment) Act, 1999 (II of 1999) and inserted by Finance Ordinance, 2001 (XXV of 2001), S.4(3), page 305. At the time of omission this section was as under:“21-A. Deferment of collection of customs-duties.-Subject to such conditions, limitations or restrictions as it thinks fit to impose, the Board may, in such general cases as may be prescribed by rules or in particular case by special order, defer the collection of customs-duties either in whole or in part.‖.

1. Renumbered by the Finance Act, 2006.
2. Added by the Finance Act, 2006.
   26a. For the word “fifteen” the word “fourteen” was substituted vide FA, 2007.
   

40

27. Substituted by Finance Act,1975(L of 1975),S.7(2), Page 9 w.e.f.7^th June,1975.At the time of substitution the proviso was as under:―Provided if such goods have been imported within two years of their exportation ^27a[(or within such further period not exceeding three years, as the Collector may allow in any case,)] and have continued to be the property of the person by whom or on whose account they were exported and have not undergone any processing since their exportation.‖. 27a. Inserted by the Finance Act, 1973(L of 1973)

28. Substituted “Assistant Collector” by F.A,1996(IX of 1996) S.4(6).Page 476.

29. Substituted by Finance Act,1973 (L of 1973, S.9(3), Page 531. At the time of substitution it was as under:―(a) where at the time of exportation of such goods, drawback of any customs or excise duty or any other tax levied by the ^29a[Federal Government] or any excise duty levied by the Provincial Government was allowed, on payment of customs-duty equal to the amount of such drawback.‖. 29a. The words “Central Government” substituted by Finance Ordinance, 1972 (XXXI of 1972 ), S.3, and Second Schedule S.1, page 76.

29a. Inserted section 22A by the Finance Act, 2007. Omitted the comma and words “, excise duty and sales tax” by Finance Ordinance, 2002 (XXVII of 2002), S.4(3), page 223.

31. Substituted by the Finance Act, 1998 (III of 1998), S.4(II), page 39 at the time of substitution was as under:“25. Value of imported and exported goods.-(1) The value of any imported goods shall be taken to be the normal price, that is to say, the price which they would fetch, on the date referred to in section 30 on a sale in open market between a buyer and a seller independent of each other.

(2) The normal price of any imported goods shall be determined on the following

assumptions, namely:that the goods brought by sea or land are treated as having been delivered to the buyer at the port or place of importation, as the case may be, and that goods brought by air are treated as having been delivered to the buyer at the airport or place where they are unloaded in Pakistan or, if the aircraft first lands in Pakistan at some other airport or place without unloading the goods, at such other airport or place;

(b)

that the seller will bear freight, insurance, commission shall and all other costs, charges and expenses incidental to the sale and the delivery of the goods at that port, airport or place which will be included in the normal price;

(c)

that the buyer will bear any duties or taxes applicable in Pakistan which will not be included in the normal price.

(3) Where the imported goods to be valued –

(a)

are manufactured in accordance with any patented invention or are goods to which any protected design has been applied; or

(b)

are imported under a foreign trade mark or are imported for sale, other disposal or use (whether or not after further manufacture) under a foreign trade mark;

the normal price shall be determined on the assumption that it includes the value of the right to use the patent, design or trade mark in respect of the goods.

41

(4)

The value of any exported goods shall be taken to be the normal price, that is to say, the price which they would fetch, at the prescribed time, on a sale in open market for exportation to the country to which the goods are consigned between a seller and a buyer independent of each other.

Explanation.-For the purposes of this sub-section, the expression ―prescribed time‖ shall mean the time when the bill of export is delivered under section 131 or, when export of the goods is allowed without a bill of export or in anticipation of the delivery of a bill of export, the time when export of the goods commences.

(5)

The normal price of any exported goods shall be determined on the following assumptions, namely:

(a)

that the goods are treated as having been delivered to the buyer on board the conveyance in which they are to be exported; and

(b)

that the seller will bear all packing commission, transport, loading and all other costs, charges and expenses (including any export duty which may be chargeable) incidental to the sale and to the delivery of the goods on board the conveyance in which they are to be exported and which will be included in the normal price.

(6)

where the exported goods to be valued

(a)

are manufactured in accordance with any patented invention or are goods to which any protected design has been applied; or

(b)

are exported for sale, other disposal or use under a Pakistan trade mark or are exported for sale, other disposal or use (whether or not after further manufacture) under a Pakistan trade mark, the normal price shall be determined on the assumption that it includes the value of the right to use the patent, design on trade mark in respect of the goods. Explanation I.-A sale in open market between a buyer and a seller

independent of each other presupposes –

(a)

that the price is the sole consideration; and

(b)

that the price is not influenced by any commercial, financial or other relationship, whether by contract or otherwise between the seller or any person associated in business with him and buyer or any person associated in business with him other than the relationship created by the sale itself;

(c)

that no part of the proceeds of any subsequent resale, other disposal or use of the goods will accrue, either directly or indirectly, to the seller or any person associated to business with him. Explanation II.-Two persons shall be deemed to be associated in

business with one another if, whether directly or indirectly, either of them has any interest in the business or property of the other or both have a common interest in any business or property or some third person has an interest in the

business or property of both of them.‖.

31a. Substituted by the Finance Act, 1999 (IV of 1999), S.10(3), page 758. At the time of substitution section 25 was as under:“25. Value of imported and exported goods.-(1) Subject to the provisions of this section and the rules, the value of any imported goods shall be the transaction value, that is, the price actually paid or payable for the goods when sold or export to Pakistan.

(2) In determining the value under sub-section (1) –

(a) there shall be added to the price actually paid or payable for

the imported goods:42

(i)

the cost of transport of the imported goods to the port, airport or place of importation;

(ii)

loading, unloading and handling charges or any other charges associated with or incidental to the transport of the imported goods to that port, airport or place of importation; and

(iii) the cost of insurance.

(b)

to the extent that they are incurred by the buyer but are not included in the price actually paid or payable for the imported goods, there shall also be added to such price –

(i)

commission and brokerage, except buying commissions;

(ii)

the cost of containers which are treated as being one for customs purposes with the goods in question; and

(iii) the cost of packing whether for labour or materials;

(c)

the value, apportioned as appropriate, of the following goods and services where supplied directly or indirectly by the buyer free of charge or at reduced cost for use in connection with the production and sale for export of the imported goods, to the extent that such value has not been included in the price actually paid or payable, shall also be added to such price –

(i)

materials, components, parts and similar items incorporated in the imported goods;

(ii)

tools, dies, moulds, and similar items used in the production of the imported goods; and

(iii) materials consumed in the production of the imported goods;

(d)

royalties and license fees related to the imported goods being valued that the buyer must pay, either directly or indirectly, as a condition of sale of the imported goods being valued, to the extent that such royalties and fees are not included in the price actually paid or payable shall also be added to such price; and

(e)

the value of any part of the proceeds of any subsequent resale, disposal or use of the imported goods that accrues directly or indirectly to the seller shall also be added to the price actually paid or payable for such goods.

(3) The value of exported any goods shall be taken to be the normal price, that is to say, the price which they would fetch, at the prescribed time, on a sale in open market for exportation to the country to which the goods are consigned between a seller and a buyer independent of each other.

Explanation.-For the purposes of this sub-section, the

expression ―prescribed time‖ shall mean the time when the bill of

export is delivered under section 131 or; when export of the goods is allowed without a bill of export or in anticipation of the delivery a bill of export, the same when export of the goods commences;

(4)

The normal price of any exported goods shall be determined on the following assumptions; namely:

(a)

that the goods are treated as having been delivered to the buyer on board the conveyance in which they are to be exported; and

(b)

that the seller will bear all packing, commission, transport, loading and all other costs, charges and expenses (including any export duty when may be chargeable) incidental to the sale and to the delivery of the goods on board the conveyance in which they are to be exported and which will be included in the normal price.

(5)

Where the exported goods to be valued –

(a)

are manufactured in accordance with any patented invention or are goods to which any protected design has been supplied; or

(b)

are exported for sale, other disposal or use, whether or not after further manufacture, under a Pakistan trade mark; the normal price shall be determined on the assumption that it includes the value of the right to use the patent, design or trade mark in respect of the goods. Explanation I.-A sale in open market between a buyer and a seller independent of each other presupposes–

(a)

that the price is the sole consideration;

(b)

that the price is not influenced by any commercial, financial or other relationship; whether by contract or otherwise between the seller or any person associated in business with him other than the relationship created by the sale itself; and

(c)

that no part of the proceeds of any subsequent resale, other disposal or use of the goods will accrue, either directly or indirectly, to the seller or any person associated in business with him.

43

Explanation II.-Two person shall be deemed to be associated in business with one another if whether directly or indirectly, either of them has any interest in the business or property of the other or both have a common interest in any business or property or some third person has an interest in the business or

property of both of them.‖.

31b. For the words “Determination of Customs value of goods” the words Value of imported and exported goods” were substituted by the Finance Act, 2007.

32. .Substituted by the Finance Ordinance, 2000 (XXI of 2000), S.4(3)(I), page 198. At the time of substitution sub-section (4) was as under:―(4) Where, in relation to the goods being valued, the appropriate officer is of the opinion that the declared price at which the goods are imported is different from test values as mentioned above, the appropriate officer shall inform the importer his reservations in writing and require the importer to justify the price difference. If the importer fails to justify the price difference, the transaction value shall be taken to be the one that cannot be determined under sub-section (1).‖.

33. Substituted by Finance Ordinance, 2000.. Inserted for the word “the” by the Finance Ordinance, 2000 (XXI of 2000), S.4(3)(I), page 198.

1. Added by the Finance Ordinance, 2000 (XXI of 2000),S.4(3)(ii), page 199.
2. Substituted by the Finance Ordinance, 2000 (XXI of 2000), S.4(3)(I), page 198. At the time of substitution this sub-section (6) was as under:

44

1. 38a. 38b.
2. 40..

40a.

41.

36. Drawback on goods taken into use between importation and exportation.

Notwithstanding anything contained in section 35, the repayment of duty as drawback in respect of goods which have been taken into use between their importation and subsequent exportation shall be made in accordance with the provisions of the rules made in that behalf.

37. Drawback on goods used in the manufacture of goods which are exported.

Where it appears to the Board that in respect of goods of any class or description manufactured in Pakistan and exported to any place outside Pakistan, a drawback of customs-duties should be allowed on any imported goods of a class or description used in the manufacture of such exported goods, the Board may, by notification in the official Gazette, direct that drawback shall be allowed in respect of such imported goods to such extent and subject to such condition as may be provided in the rules.

38. Power to declare what goods are identifiable and to prohibit draw-back in case of specified foreign territory.-(1) The Board may, from time to time, by

notification in the official Gazette, declare what goods shall, for the purposes of this Chapter, be deemed to be not capable of being easily identified.

(2) The ⁵[Federal Government ] may, from time to time, by notification in the official Gazette, prohibit the payment of drawback upon the exportation of goods or any specified goods or class of goods to any specified foreign port or territory.

39. When no drawback allowed.-Notwithstanding anything hereinbefore contained, no drawback shall be allowed

(a)

upon goods which are required to be included in the export manifest and are not so included, or

(b)

when the claim is for drawback amounting, in respect of any single shipment, to less than ⁶[or equal to] hundred rupees, or

(c)

unless the claim for drawback has been made and established at the time of export.

1. Time of payment of drawback.-No such payment of drawback shall be made until the vessel carrying the goods has put out to sea or other conveyance has left Pakistan.
2. Declaration by parties claiming drawback.-Every person, or his duly authorized agent, claiming drawback on any goods duly exported, shall make and subscribe a declaration that such goods have been actually exported and have not been relanded and are not intended to be relanded at any place in Pakistan and that such person was at the time of entry outwards and export and continues to be entitled to drawback thereon.

ARRIVAL AND DEPARTURE OF CONVEYANCE

42. Arrival of conveyance.-(1) The person-in-charge of a conveyance entering Pakistan from any place outside Pakistan shall not cause or permit the conveyance to call or to land in the first instance at any place other than a customs-station.

(2) The provisions of sub-section (1) shall not apply in relation to any conveyance which is compelled by accident, stress of weather or other unavoidable cause to call, or land at a place other than a customs-station but the person-in-charge of any such conveyance

(a)

shall immediately report its arrival to the nearest officer of customs or the officer-in-charge of the police-station and shall on demand produce before him either the cargo book or the manifest or the log-book belonging to such conveyance;

(b)

shall not, without the consent of any such officer, permit any goods carried in the conveyance to be unloaded from, or any of the crew or passengers to depart from its vicinity;

(c)

shall comply with any direction given by such officer with respect ot any such goods; and no passenger or member of the crew shall, without the consent of any such officer, leave the vicinity of the conveyance:

Provided that nothing in this section shall prohibit the departure of any passenger of member of the crew from the vicinity of, or the removal of goods from, the conveyance where such departure or removal is necessary for reasons of health, safety or the preservation of life or property ¹[ : ]

²[Provided further that the person in charge of a conveyance, that is en route to Pakistan from a point outside Pakistan shall, unless otherwise approved by the Collector,

(a)

give to the Customs, in such form and manner (for example, in an electronic form and manner) as may be approved in writing by the Collector (either generally or for a particular case or class of cases), such advance notice as may be prescribed for any or all of the following matters, namely:

(i)

the impending arrival of the conveyance;

(iii)

its voyage;

(iii)

its crew;

(iv)

its passengers;

(v)

its cargo for discharge within Pakistan whether commercial or non-commercial;

(vi)

its commercial cargo not intended for discharge wtihin Pakistan, if any;

(vii) the Customs station at which the conveyance will arrive; and

(b) or arriving within Pakistan, proceed directly to that Customs station unless directed elsewhere by an appropriate Customs officer.]

³[(3) The owner or operator of the conveyance, referred to in sub-section (1), or an agent of the owner, may provide the information referred to in paragraph (a) of that sub-section to the Customs on behalf of the person in charge of the conveyance:

Provided that the provisions of sub-section (1) and (2) shall apply to,

(a)

a conveyance that has arrived in Pakistan from a point outside Pakistan;

(b)

a conveyance departing from Pakistan for a point outside Pakistan;

(c)

a conveyance that is within Pakistan and that is carrying international cargo or international crew or any international passenger, whether or not the conveyance is also carrying domestic cargo;

(d)

any other conveyance that is within Pakistan and that a Customs officer has reasonable cause to suspect has been, or is about to be, involved in the commission of an offence under this Act or the importation or exportation of any dutiable, prohibited, restricted, notified or confiscated goods.

(4) The person in charge of, the owner of goods, any member of the crew of, any passenger on, a conveyance to which this sub-section applies, shall,

(a)

answer any question asked by a customs officer under this Act relating to the conveyance and its voyage and any persons or goods that are or have been carried by the conveyance; and

(b)

produce forthwith, at the request of any Customs officer, any documents within that person’s possession or control relating to any of those matter.]

⁴[43. Delivery of import manifest in respect of a vessel.-(1) The Board may, by notification in the official Gazette, fix a place beyond which no vessel arriving shall pass until an import manifest has been delivered to Customs or other person duly authorized to receive in such form, manner and time as the Board may prescribe.

(2)

On receipt of such import manifest the vessel may proceed to come beyond the fixed place. No pilot shall bring a vessel into customs-port without having been so authorized by Customs.

(3)

If any vessel arrives at any customs-port in which a place has not been so fixed, master of such vessel shall, within twenty-four hours after arrival of such vessel, deliver an import manifest to Customs in such form and manner as the Board may prescribe.

(4)

Notwithstanding anything contained in sub-section (3), an import manifest may be delivered in anticipation of the arrival of a vessel.]

44. Delivery of import manifest in respect of a conveyance other than a vessel.The person-in-charge of a conveyance other than a vessel shall ¹⁶[before arrival or], within twenty-four hours after arrival thereof at a land customs-station or customs-airport, as the case may be, deliver ¹⁶[or file electronically]an import manifest to the appropriate officer.

45. Signature and contents of import manifest and amendment thereof.-(1) Every manifest delivered under section 43 or section 44 shall be signed by the personin-charge of the conveyance or his duly authorized agent and shall specify all goods imported in such conveyance showing separately all goods, if any, intended to be landed, transshipped, transited or taken into another customs-station or to a destination outside Pakistan and stores intended for consumption at the customs-station or on the outward voyage or journey, and shall be made out in such form and contain such further particulars as the Board may from time to time direct⁵[:]

⁶[Provided that the Collector of Customs, through a special order, on such terms and conditions as he may deem fit to impose, may allow acceptance of digital signatures instead of manual ones, on electronically transmitted import manifest.]

(2)

The appropriate officer shall permit the person-in-charge of a conveyance or his duly authorized agent to correct any obvious error in the import manifest or to supply any omission which in the opinion of such officer results from accident or inadvertence, by furnishing an amended or supplementary import manifest ⁷[or by making an amendment electronically] and shall levy thereon such fees as the Board from time to time directs.

(3)

Except as provided in sub-section (2), no import manifest shall be amended.

46. Duty of person receiving import manifest.-The person receiving an import manifest under section 43 or section 44 shall countersign the same and enter thereon such particulars as the Collector of Customs from time to time directs ⁸[:]

⁹[Provided that no countersignatures shall be required in respect of an import manifest filed electronically.]

1. Bulk not to be broken until manifest, etc., delivered and vessel entered inwards.-No vessel arriving in any customs-port shall be allowed to break bulk, until an import manifest has been delivered as hereinbefore provided or until copy of such manifest together with an application for entry of such vessel inwards, has been presented by the master to the appropriate officer and an order has been given thereon for such entry.
2. Power to require production of documents and ask questions.-(1) When an import manifest is presented, the person-in-charge of a conveyance or his duly authorized agent, if required so to do by the appropriate officer, shall deliver to the officer the bill of lading or the bill of freight or a copy thereof for every part of cargo or goods laden on board, journey log-book and any port clearance, docket or other paper granted in respect of such conveyance at the place from which it is stated to have come, and shall answer all such questions relating to the conveyance, goods, crew and voyage or journey as are put to him by such officer.

(2) The appropriate officer may, if any requisition or question made or put by him under this section is not complied with or answered, refuse to grant permission to a vessel to break bulk and to other conveyance to land the imported goods, as the case may be.

49. Special pass for breaking bulk.-Notwithstanding anything contained in section 47 and subject to rules, the appropriate officer may grant, prior to receipt of the import manifest and the entry inwards of a vessel, a special pass permitting bulk to be broken.

50. Order for entry out-wards or loading of goods to be obtained before export goods are loaded.-(1) No goods other than passengers’ baggage and mail bags shall be loaded on a conveyance until

(a)

in the case of a vessel, a written application for entry of such vessel outwards, subscribed by the master of such vessel, has been made to the appropriate officer and an order has been given thereon for such entry; and

(b)

in the case of any other conveyance, a written application for authority to load the goods subscribed by the person-in-charge of the conveyance has been made to the appropriate officer and an order has been given thereon authorizing the loading.

(2) Every application made under this section shall specify the particulars as prescribed by the Board.

51. No vessel to depart without port clearance.-(1) No vessel, whether laden or in ballast, shall depart from any customs-port until a port-clearance has been granted by the appropriate officer.

(2) No pilot shall take charge of any vessel proceeding to sea, unless the master of such vessel produces a port-clearance.

1. No conveyance other than vessel to leave without permission.-No conveyance other than a vessel shall depart from a land customs-station or customs-airport until a written permission to that effect has been granted by the appropriate officer.
2. Application for port clearance of vessels.-(1) Every application for port-clearance shall be made by the master of a vessel at least twenty-four hours before the intended departure of the vessel:

Provided that the Collector of Customs or an officer authorized by him in this behalf may for special reasons to be recorded allow a shorter period for the delivery of the said application.

(2)

The master shall, at the time of applying for port clearance,

(a)

deliver to the appropriate officer an export manifest in duplicate in such form as may from time to time be prescribed by the Board signed by such master specifying all goods to be exported in the vessel and showing separately all goods and stores entered in the import manifest, and not landed or consumed on board or transshipped ¹⁰[:]

¹¹[Provided that the Collector of Customs, through a special or general order, on such terms and conditions as he may deem fit to impose, may allow acceptance of digital signatures, in lieu of the manual ones, on electronically transmitted export manifest.]

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(b)

deliver to the appropriate officer such [ goods declaration] or other documents as such officer acting under the general instructions of the Collector of Customs requires; and

(c)

answer such questions respecting the departure and destination of the vessel as are put to him by the appropriate officer.

(3) The provisions of section 45 relating to the amendment of import manifests shall, mutatis mutandis, apply also to export manifests delivered under this section or under section 54.

54. Conveyances other than vessels to deliver documents and answer questions before departure.-The person-in-charge of a conveyance other than a vessel or his duly authorized agent shall

(a)

deliver to the appropriate officer an export manifest in duplicate in such form as may from time to time be prescribed by the Board signed by the person-in-charge or the agent specifying all goods or stores entered in the import manifest, and not landed or transshipped or consumed on board the conveyance;

(b)

deliver to the appropriate officer such bills of export ¹⁴[or goods declaration] or other documents as such officer acting under the general instructions of the Collector of Customs requires; and

(c)

answer such questions respecting the departure and destination of the conveyance as are put to him by the appropriate officer.

55. Power to refuse port clearance to vessels or permission for departure to other conveyance.-(1) The appropriate officer may refuse to give port-clearance to a vessel or permission for departure to any other conveyance until

(a)

the provisions of section 53 or section 54, as the case may be, have been complied with;

(b)

all station or port dues and other charges and penalties payable in respect of such vessel, or by the owner or master thereof, or in respect of such other conveyance by the owner or person-in-charge thereof, and all taxes, duties and other dues payable in respect of any goods loaded therein, have been duly paid, or their payment secured by such guarantee, or by such deposit at such rate, as such officer directs;

(c)

where any export goods have been loaded without payment or securing payment as aforesaid of all taxes, duties and other dues payable in respect thereof or in contravention of any provision of this Act or the rules or of any other law for the time being in force relating to export of goods.

(i)

such goods have been unloaded, or

(ii)

where the appropriate officer is satisfied that it is not practicable to unload such goods, the person-in-charge or his duly authorized agent has given an undertaking secured by such guarantee or deposit of such amount as the appropriate officer may direct, for bringing back the goods to Pakistan;

(d)

the agent, if any, delivers to the appropriate officer a declaration in writing to the effect that he will be liable for any penalty imposed under clause 24 of the Table under sub-section (1) of section 156 and furnishes security for the discharge of the same;

(e)

the agent, if any, delivers to the appropriate officer a declaration in writing to the effect that such agent is answerable for the discharge of all claims for damage or short delivery which may be established by the owner of any goods comprised in the import cargo in respect of such goods.

(2) An agent delivering a declaration under clause (d) of sub-section (1) shall be liable to all penalties which might be imposed on the person-in-charge of such conveyance under clause 24 of the Table under sub-section (1) of section 156 and an agent delivering a declaration under clause (e) of sub-section (1) shall be bound to discharge all claims referred to in such declaration.

1. Grant of port clearance or permission for departure.-When the appropriate officer is satisfied that the provisions of this Chapter relating to the departure of conveyance have been duly complied with, he shall grant a port-clearance to the master of the vessel or a written permission for departure to the person-in-charge of any other conveyance and shall return at the same time to such master or person-in-charge one copy of the manifest duly countersigned by the appropriate officer.
2. Grant of port clearance or permission for departure on security of agent.

Notwithstanding anything contained in section 55 or section 56 and subject to rules, the appropriate officer may grant a port-clearance in respect of a vessel or permission for departure in respect of any other conveyance, if the agent furnishes such security as such officer deems sufficient for duly delivering within ten days from the date of such grant, the export manifest and other documents specified in section 53, or section 54, as the case may be.

58. Power to cancel port-clearance or permission for departure. (1) For the purpose of securing compliance with any provision of this Act or the rules or any other law, the appropriate officer may at any time, while the vessel is within the limits of any port or any other conveyance is within the limits of any station or airport or within Pakistan territory, demand the return of port-clearance or the written permission for departure, as the case may be.

(2) Any such demand may be made in writing or may be communicated to the person-in charge of the conveyance by wireless, and, if made in writing it may be served, by delivery to the person in-charge or his agent personally; or

(a)

by leaving it at the last known place of abode of such person or agent; or

(b)

by leaving it on board the conveyance with the person

appearing to be in-charge or command thereof.

(3) Where a demand for the return of a port-clearance or of a permission for departure is made as aforesaid, the port-clearance or permission shall forthwith become void.

59. Exemption of certain classes of conveyance from certain provisions of this Chapter.-(1) The provisions of section 44, 52, and 54 shall not apply to a conveyance, other than a vessel which carries no goods other than the baggage of its occupants.

(2) The ¹⁵[Federal Government] may, by notification in the official Gazette, exempt conveyances belonging to Government or any foreign Government from all or any of the provisions of this Chapter.

LEGAL REFERENCE

1. Substituted for the full stop by the Finance Act, 2005
2. Added by the Finance Act, 2005
3. Added by the Finance Act, 2005

4 .Substituted by the Finance Act, 2003 (I of 2003), S.5(8), page 23. At the time of
substitution section 43 was as under:

43. Delivery of import manifest in respect of a vessel.-(1) The Board may, by notification in the official Gazette, fix a place in any river or port beyond which no vessel arriving shall pass until an import manifest has been delivered to the pilot, officer of customs or other person duly authorised to receive the same.

(2)

If in any river or port wherein a place has been fixed by the Board under this section, the master of any vessel arriving remains outside or below the place so fixed, such master shall, nevertheless, within twenty-four hours after the vessel anchors, deliver an import manifest to the pilot, officer of customs or other person duly authorised to receive the same.

(3)

If any vessel arrives at any customs-port in which a place has not been so fixed, the master of such vessel shall, within twenty-four hours after such vessel has anchored within the limits of the port, deliver an import manifest to the pilot, officer of customs or other person authoirsed to receive the same.

(4)

Notwithstanding anything herein before contained, the appropriate officer may allow an import manifest to be delivered in anticipation of the arrival of a vessel.‖.

5. Substituted for the full stop by the Finance Ordinance, 2001 (XXV of 2001), S.4($), page

305.

6. Added by the Finance Ordinance,2001(XXV of 2001),S.4(4),p-305&306.
7 Inserted by the Finance Act, 2003 (I of 2003), S.5(10), page 23.

1. Substituted for the full stop by the Finance Act, 2003 (I of 2003), S.5(11), page 23.
2. Added by the Finance Act, 2003 (I of 2003), S.5(11), page 23.
1. Substituted for the full stop by the Finance Ordinance, 2001 (XXV of 2001), S.4(5), page
2. 306.
3. Added by the Finance Ordinance, 2001 (XXV of 2001), S.4(5), page 306.
   12 Inserted by the Finance Act, 2003 (I of 2003), S.5(12), page 23.
   

1. By the Finance Act, 2006, the words “ bills of export or” were omitted.
2. Inserted by the Finance Act, 2003 (I of 2003), S.5(13), page 23.
3. Substituted for the words “Central Government” by the Finance Ordinance, 1972, S.3, page 56 and Second Schedule S.1, page 76.
4. Inserted by Finance Act,2009..

CHAPTER VIII

GENERAL PROVISIONS AFFFECTING CONVEYANCES AT CUSTOMSSTATIONS

1. Power to depute officers of customs to board conveyances.-At any time while a conveyance is in a customs-station or is proceeding towards such station, the appropriate officer may depute one or more officers of customs to board the conveyance, and every officer so deputed shall remain on board such conveyance for such time as the appropriate officer may consider necessary.
2. Officer to be received and accommodation to be provided.-Whenever an officer of customs is so deputed to be on board any conveyance, the person-in-charge shall be bound to receive him on board and provide him with suitable accommodation and adequate quantity of fresh water.
1. Officer’s power of access, etc. -(1) Every officer deputed as aforesaid shall have free access to every part of the conveyance and may
1. cause any goods to be marked before they are unloaded from the conveyance;
2. lock up, seal, mark or otherwise secure any goods carried in the conveyance or any place or container in which they are carried; or
3. fasten down any hatchway or entrance to the hold.
4. If any box, place or closed receptacle in any such conveyance be locked, and the key be withheld, such officer shall report the same to the appropriate officer, who may thereupon issue to the officer on board the conveyance, or to any other officer under his authority, a written order for search.
5. On production of such order, the officer empowered thereunder may require that any such box, place or closed receptacle be opened in his presence; and if it be not opened upon his requisition, he may break open the same.

63. Sealing of conveyance.-Conveyances carrying transit goods for destinations outside Pakistan or goods from some foreign territory to a customs-station or from a customs-station to some foreign territory may be sealed in such cases and in such manner as may be provided in the rules.

64. Goods not to be loaded or unloaded or water-borne except in presence of officer.-Save where general permission is given under section 67 or with permission

in writing of the appropriate officer, no goods other than passengers’ baggage or ballast urgently required to be loaded for the vessel’s safety, shall be shipped or water-borne to be shipped or discharged from any vessel, in any customs-port, nor any goods except

passengers’ baggage shall be loaded in or unloaded from any conveyance other than a

vessel at any land customs-station or customs-airport except in the presence of an officer of customs.

65. Goods not to be loaded or unloaded or passed on certain days or at certain times.-Except with the permission in writing of the appropriate officer and on payment of such fees as may be prescribed by the Board no goods, other than passengers’ baggage or mail bags, shall in any customs-port be discharged, or be shipped or water-borne to be shipped or shall be loaded or unloaded or passed at any land customs-station or customs-airport

(a)

on any public holiday within the meaning of section 25 of the Negotiable Instruments Act,1881(XXVI of 1881), or on any day on which the discharge or shipping of cargo at customs-port or loading, unloading passage or delivery of cargo at any land customs-station or customs-airport, as the case may be, is prohibited by the Board by notification in the official Gazette; or

(b)

on any day except between such hours as the Board may, from time to time, by a like notification, appoint ¹[:]

²[Provided that where the Customs Computerized System is in operation, all loading and discharge may be allowed by the Collector of Customs round the clock and on all days.]

66. Goods not to be loaded or unloaded except at approved places.-Save where general permission is given under section 67 or with permission in writing of the appropriate officer, no imported goods shall be unloaded or goods for export loaded at any place other than a place duly approved under clause (b) of section 10 for the unloading or loading of such goods.

67. Power to exempt from sections 64 and 66.-Notwithstanding anything contained in section 64 or section 66, the Board may, by notification in the official Gazette, give general permission for goods to be loaded at any customs-station from any place not duly appointed for loading and without the presence or authority of an officer of customs.

68. Boat-note.-(1) When any goods are water-borne for the purposes of being landed from any vessel and warehoused or cleared for home-consumption, or of being shipped for exportation on board any vessel, there shall be sent, with each boat-load or other separate despatch, a boat-note specifying the number of packages so sent and the marks or number or other description thereof.

(2)

Each boat-note for goods to be landed shall be signed by an officer of the vessel, and likewise by the officer of customs on board, if any such officer be on board, and shall be delivered on arrival to any officer of customs authorized to receive the same.

(3)

Each boat-note for goods to be shipped shall be signed by the appropriate officer and, if an officer of customs is on board the vessel on which such goods are to be shipped, shall be delivered to such officer, and if no such officer be on board, shall be delivered to the master of the vessel or to an officer of the vessel appointed by him to receive it.

(4)

The officer of customs who receives any boat-note of goods landed, and the officer of customs, master or other officer as the case may be, who receives any boat-note of goods shipped, shall sign the same and note thereon such particulars as the Collector of Customs may from time to time direct.

(5)

The Board may from time to time, by notification in the official Gazette, suspend the operation of this section in any customs-port or part thereof.

1. Goods water-borne to be forthwith landed or shipped.-All goods waterborne for the purpose of being landed or shipped shall be landed or shipped without any unnecessary delay.
2. Goods not to be transshipped without permission.-Except in cases of imminent danger, no goods discharged into or loaded in any boat for the purpose of being landed or shipped shall be transshipped into any other boat without the permission of an officer of customs.
3. Power to prohibit plying of unlicensed cargo-boats.-(1) The Board may declare with regard to any customs-port, by notification in the official Gazette that, after a date therein specified, no boat not duly licensed and registered shall be allowed to ply as a cargo-boat for the landing and shipping of merchandise within the limits of such port.

(2) In any port with regard to which such notification has been issued, the Collector of Customs or other officer whom the Board appoints in this behalf, may, subject to rules and on payment of such fees as the Board may, by notification in the official Gazette, prescribe, issue licences for and register cargo-boats, or cancel the same.

72. Plying of ships of less than one hundred tons.-(1) Every boat belonging to a Pakistani ship and every other vessel not exceeding one hundred tons, shall be marked in such manner as may be prescribed by rules.

(2) Plying of all or any class or description of vessels of less than one hundred tons, whether in sea or inland waters, may be prohibited or regulated or restricted as to the purposes and limits of plying by rules.

³[72A. Responsibilities of person in charge or master of a conveyance, agent and owner of the conveyance.-The person in charge of the conveyance, master, agent for conveyance and owner of the conveyance shall jointly and individually be responsible to submit the following information to the Collector of Customs, namely:

(a)

loading or unloading of any container of package, etc., which is believed to contain any other goods or has different weight or quantity or freight than declared in the bill of lading or any other document in the knowledge of such person;

(b)

the name and full address with telephone number of the person who stuffed the goods in the container if he is other than the actual owner of the goods;

(c)

the name and full address with telephone number of the person who issued a consignment note or the house bill of lading in case of a person other than licenced by the customs as Customs agent; and

(d)

full details and photo copies of corrigendum or instructions issued by the owner of the goods or by the other persons for change in the name of consignee or consignor or destination or regarding weight, value, description and quantity of the goods loaded on the conveyance arriving or leaving Pakistan;]

LEGAL REFERENCE

CHAPTER IX

DISCHARGE OF CARGO AND ENTRY INWARDS OF GOODS

73. Discharge of cargo by vessels may commence on receipt of due permission.-When an order for entry inwards of any vessel which has arrived in any customs-port or a special pass permitting such vessel to break bulk has been given, discharge of the cargo of such vessel may be proceeded with.

74. Discharge of goods by conveyances other than vessels.-When on arrival of a conveyance other than a vessel at a land customs-station or customs-airport the personin-charge of such conveyance has delivered the import manifest under section 44 and the documents required under section 48, he shall forthwith take the conveyance or cause it to be taken to the examination station at the land customs-station or customs-airport and remove or cause to be removed all goods carried in such conveyance to the custom-house in the presence of the appropriate officer or some person duly authorized by him in that behalf.

75. Imported goods not to be unloaded unless entered in the import manifest.

(1)

No imported goods required to be shown in the import manifest shall, except with the permission of the appropriate officer, be unloaded from any conveyance at any customs-station unless they are specified in the import manifest or amended or supplementary import manifest for being unloaded at that customs-station.

(2)

Nothing in this section shall apply to the unloading of baggage accompanying a passenger or a member or a crew or mail bags.

76. Procedure in respect of goods not unloaded by vessels within time allowed.

(1)

(a) If any goods imported by a vessel (except such as have been shown in the import manifest as not to be unloaded) are not unloaded within such period as is specified in the bill of lading or if no period is so specified, within such number of working days, not exceeding fifteen, after entry of the vessel as the Board may from time to time by notification in the official Gazette appoint, or

(b)

if the cargo of any vessel, excepting a small quantity of goods, has been discharged before the expiration of the period so specified or appointed, the master of such vessel or, on his application, the appropriate officer may then carry such goods to the custom-house, there to remain for entry.

(2)

The appropriate officer shall thereupon take charge of, and grant receipts for, such goods; and if notice in writing has been given by the master of such vessel that goods are to remain subject to a lien for freight, primage, general average, or other charges of a stated amount, the appropriate officer shall hold such goods until he receives notice in writing that the said charges have been paid.

77. Power to land small parcels and hold unclaimed parcels.-(1) At any time after the arrival of any vessel, the appropriate officer may, with the consent of the master of such vessel, cause any small package or parcel of goods to be carried to the custom-house there to remain for entry in charge of the officers of customs, during the remainder of the working days allowed under this Act, for the landing of such package or parcel.

(2)

If any package or parcel so carried to the custom-house remains unclaimed on the expiration of the number of working days so allowed for its unloading, or at the time of clearance outwards of the vessel from which it was unloaded, the master of such vessel may give such notice as is provided in section 76, and the officer-in-charge of the custom-house shall thereupon hold such package or parcel as provided in that section.

78. Power to permit immediate discharge.-(1) Notwithstanding anything contained in sections 74,76 and 77, the appropriate officer in any customs-station to which the Board, by notification in the official Gazette, declares this section to apply, may permit the master of any vessel immediately on receipt of an order under section 47 or a special pass under section 49, or the person-in-charge of a conveyance other than a vessel on receipt of the import manifest, to discharge the goods imported by such conveyance, or any portion thereof, into the custody of his agent, if he be willing to receive the same, for the purpose of unloading the same forthwith

(a)

at the custom-house, or at any specified landing place or wharf; or

(b)

at any landing-place or wharf belonging to the port commissioners, port trust, railways or other public body or company; or

(c)

for giving it in the custody of such person as may be approved by the Collector of Customs.

(2)

Any agent so receiving such cargo or portion shall be bound to discharge all claims for damage or short delivery which may be established in respect of the same by the owner thereof, and shall be entitled to recover from such owner his charges for service rendered, but not for commission or the like, where any agent for the unloading of such cargo or portion has been previously appointed by the owner and such appointment is unrevoked.

(3)

The appropriate officer shall take charge of all goods discharged under clause (a) of sub-section (1) and otherwise proceed in relation thereto as provided in sections 76 and 82.

(4)

A public body or company or person at whose landing place or wharf or place of storage any goods are discharged under clause (b) or clause (c) of sub-section

(1)

shall not permit the same to be removed or otherwise dealt with except in accordance with the order in writing of the appropriate officer.

79. Declaration and assessment for home consumption or warehousing.

¹[(1)The owner of any imported goods shall make entry of such goods for home consumption or warehousing or for any other approved purposes, within fifteen days of the arrival of the goods, by,

(a)

filing a true declaration of goods, giving therein complete and correct particulars of such goods, duly supported by commercial invoice, bill of lading or airway bill, packing list or any other document required for clearance of such goods in such form and manner as the Board may prescribe ; and

(b)

assessing and paying his liability of duty, taxes and other charges thereon, in case of a registered user of the Customs Computerized System:

¹¹[Provided that if, in case of used goods, before filing of goods declaration, the owner makes a request to an officer of customs not below the rank of an Additional Collector that he is unable, for want of full information, to make a correct and complete declaration of the goods, then such officer subject to such conditions as he may deem fit, may permit the owner to examine the goods and thereafter make entry of such goods by filing a goods declaration after having assessed and paid his liabilities of duties, taxes and other charges:]

Provided further that no goods declaration shall be filed prior to ten days of the expected time of arrival of the vessel.]

(2)

If an officer, not below the rank of Additional Collector of Customs, is satisfied that the rate of customs duty is not adversely affected and that there was no intention to defraud, he may, in exceptional circumstances and for reasons to be recorded in writing, permit, substitution of a goods declaration for home consumption for a goods declaration for warehousing or vice versa.

(3)

An officer of Customs, not below the rank of Assistant Collector of Customs, may in case of goods requiring immediate release allow release thereof prior to presentation of a goods declaration subject to such conditions and restrictions as may be prescribed by the Board.]

²[79A. Omitted.

³[80. Checking of goods declaration by the Customs.-(1) On the receipt of goods declaration under section 79, an officer of Customs shall satisfy himself regarding the correctness of the particulars of imports, including declaration, assessment, and in case of the Customs Computerized System, payment of duty, taxes and other charges thereon.

(2)

An officer of Customs may examine any goods that he may deem necessary at any time after the import of the goods into the country and may requisition relevant documents, as and when and in the manner deemed appropriate, during or after release of the goods by Customs;

(3)

If during the checking of goods declaration, it is found that any statement in such declaration or document or any information so furnished is not correct in respect of any matter relating to the assessment, the goods shall, without prejudice to any other action which may be taken under this Act, be reassessed to duty.

(4)

In case of the Customs Computerized System, goods may be examined only on the basis of computerized selectivity criteria.

(5)

The Collector may, however, either condone the examination or defer the examination of imported goods or class of goods and cause it to be performed at a designated place as he deems fit and proper either on the request of the importer or otherwise.]

⁴[80A. Omitted.]

⁵[81. Provisional determination of liability.-(1) Where it is not possible for an officer of Customs during the checking of the goods declaration to satisfy himself of the correctness of the assessment of the goods made under section 79, for reasons that the goods require chemical or other test or a further inquiry, an officer, not below the rank of Assistant Collector of Customs, may order that the duty, taxes and other charges payable on such gods, be determined provisionally:

Provided that the importer, save in the case of goods entered for warehousing, pays such additional amount on the basis of provisional assessment or furnishes bank guarantee ^5a[or pay order] or a post-dated cheque of a scheduled bank along with an indemnity bond for the payment thereof as the said officer deems sufficient to meet the likely differential between the final determination of duty over the amount determined provisionally:

Provided further that there shall be no provisional assessment under this section if no differential amount of duty and tax is paid or secured against bank guarantee or post-dated cheque.

^5b[(2) Where any goods are allowed to be cleared or delivered on the basis of such provisional determination, the amount of duty, taxes and charges correctly payable on those goods shall be determined within six months of the date of provisional determination:

Provided that the Collector of Customs or, as the case may be, Director of Valuation, may in circumstances of exceptional nature and after recording such circumstances, extend the period for final determination which shall in no case exceed ninety days¹²[:]

¹²[Provided further that any period, during which the proceedings are adjourned on account of a stay order or for want of clarification from the Board or the time taken through adjournment by the importer, shall be excluded for the computation of aforesaid periods.]

(3) On completion of final determination, the amount already paid or guaranteed shall be adjusted against the amount payable on the basis of final determination, and the difference between the two amounts shall be paid forthwith to or by the importer, as the case may be.

(4). If the final determination is not made with the period specified in subsection (2), the provisional determination shall, in the absence of any new evidence, be deemed to be the final determination.

¹³ [(5) On completion of final determination under sub-section (3) or (4), the appropriate officer shall issue an order for adjustment, refund or recovery of amount determined, as the case may be.]

Explanation.-Provisional assessment means the amount of duties and taxes paid or secured against bank guarantee or post-dated cheque.]

⁶[81A. Omitted].

⁷[82. Procedure in case of goods not cleared or warehoused or transshipped or exported or removed from the port within ⁸[twenty days] after unloading or filing of declaration.-If any goods are not cleared for home-consumption or warehoused or transshipped or are not loaded on the conveyance for export or removed from the port area within ⁸[twenty days] of their arrival at a customs station or within such extended period not exceeding ⁹[ten] days, an officer not below the rank of Assistant Collector may allow, and such goods may, after the due notice given to the owner if his address could be ascertained, or after due notice to the carrier, shipping or customs agent, custodian of the goods, as the case may be, if his address could not be ascertained, may be sold in auction or taken into custody by Customs and removed from the port to a Customs warehouse for auction under the order of the Assistant Collector notwithstanding the fact that adjudication of the case under section 179, or an appeal under section 193, or 196, or a proceeding in any court is pending:

Provided that

(a)

animals and perishable and hazardous goods may, with the permission of the appropriate officer, be sold or destroyed at any time;

(b)

arms, ammunition or military stores may be sold or otherwise disposed of at such time and place and in such manner as the Board may, with the approval of the Federal Government, direct;

(c)

in cases where goods are sold pending adjudication, appeal or decision of the court, the proceeds of sale shall be kept in deposit and if on such adjudication, or as the case may be, in such appeal or the decision of the court, the goods sold are found not to have been liable to confiscation, the entire sale proceeds, after necessary deduction of duties, taxes transportation and other charges or duties as provided in section 201, shall be handed over to the owner:

Provided further that where Customs removes such goods from the premises of

the custodian for disposal, the charges due to the custodian shall be paid subsequently

from the sale proceeds of the goods in the manner as provided under section 201:

Provided also that nothing in this section shall authorize removal for home consumption of any dutiable goods without payment of customs duties thereon.]

¹⁰[82A. Omitted.

LEGAL REFERENCE

1. By the Finance Act, 2006 sub-section (1) of section 79 was substituted. At the time of substitution, the section (1) of section 79 was as under:

―(1) The owner of any imported goods shall make entry of such goods for home consumption or warehousing or for any other approved purpose by filing to the Customs a goods declaration containing correct and complete particulars of the goods and after having assessed, and, in case of the Customs Computerized System, paying his liability of duty, taxes and other charges thereon in such form and manner, as the Board may prescribe:

Provided that if, before filing a goods declaration to Customs, the owner makes a written request to the Collector of Customs or an officer designated that he is unable, for want of full information, to make a correct and complete declaration of any goods, then the Collector or the officer so designated, subject to such conditions as he may deem fit, may permit the owner to examine the goods and thereafter make entry of such goods by filing a goods declaration after having assessed and paid his liabilities of duties, taxes and other charges:

4. 5a. 5b

THE CUSTOMS ACT,1969

Provided further that no goods declaration shall be filed prior to ten days of the expected time of arrival of the vessel.‖

Inserted by FA, 2003 and omitted by FA 2005.
Substituted by Finance Act, 2005.
Inserted by FA, 2003 and omitted by FA, 2005.
Substituted by the Finance Act, 2005.
Inserted by the Finance Act, 2007.
Substituted by the Finance Act, 2007. Before substitution it was as under:

―(2) Where any goods are allowed to be cleared or delivered on the basis of such provisional determination, the amount of duty, taxes and charges correctly payable on those goods shall be determined within nine months of the date of provisional determination:

Provided that the Collector of Customs may, in circumstances of exceptional nature and after recording such circumstances, extend the period for final

determination by not more than ninety days.‖

Inserted by FA, 2003 and omitted by FA, 2005.

Substituted by Finance Act,,2005.
By the Finance Act, 2006, substituted the words ―twenty days‖ with ―one months‖.

By the Finance Act, 2006, substituted the words ”ten” with “fifteen”.

Inserted by FA, 1996 and omitted by FA, 2005 At that time section 82A was as under:-.

―

82A. Procedure in case of goods not cleared or warehoused or transshipped or exported or removed from the port within one month after unloading through the Customs Computerized System.-Subject to the provisions of section 155A, at customs-stations with an operational Customs Computerized System, if any goods are not cleared for home consumption or warehoused or transshipped or are not loaded on the conveyance for export or removed from the port area within one month of their arrival at a customs-station or within such extended period as the appropriate officer may allow, such goods may, after the due notice given to the owner, if his address could be ascertained, or after due notice to the carrier, shipping agent, custodian of the goods, as the case may be, if his address could not be ascertained, may be sold in auction or taken into custody by Customs and removed from the port to a Customs auction warehouse for auction under the orders of the appropriate officer notwithstanding the fact that adjudication of the case under section 179, or an appeal under section 193, or 196, or a proceeding in any court of law in Pakistan, is pending:

Provided that

(a)

animals, perishable and hazardous goods may, with the permission of the appropriate officer, be sold at any time;

(b)

arms and ammunition or military stores may be sold or otherwise disposed of at such time and place and in such manner as the Board may, with the approval of the Federal Government, direct;

(c)

In cases where goods are sold pending any adjudication, appeal or decision of the court, the proceeds of sale shall be kept in deposit and, if on such adjudication (or, as the case may be, in such appeal or the decision of the court) the thing sold is found not to have been liable to confiscation, the entire sale proceeds, after necessary deduction of duties, taxes or dues as provided in section 201, shall be handed over to the owner:

Provided further that all auctions under this section shall be governed by the auction rules as notified by the Board and where Customs removes such goods from the premises of the custodian for disposal, the charges due to the custodian shall be paid subsequently from the sale proceeds of the goods in the manner as prescribed under section 201:

Provided further that nothing in this section shall authorize removal for home consumption of any dutiable goods without payment of customs-duties thereon;‖

11. Substituted by Finance Act,2010. At the time of substitution the proviso was as under:

―Provided that if, before filing a goods declaration, the owner makes a request to

an officer of customs not below the rank of an Assistant Collector that he is unable, for want of full information, to make a correct and complete declaration of the goods, then such officer, subject to such conditions as he may deem fit, may permit the owner to examine the goods and thereafter make entry of such goods by filing a goods declaration after having assessed and paid his liabilities of duties, taxes and other

charges‖.

1. Added by Finance Act, 2010.
2. Added by Finance Act, 2010

CHAPTER X

CLEARANCE OF GOODS FOR HOME-CONSUMPTION

¹[83. Clearance for home consumption.-(1) When the owner of any goods entered for home-consumption and assessed under section ²[****] 80 ²[****] or 81 has paid the import duty and other charges, if any, in respect of the same the appropriate officer, if he is satisfied that the import of the goods is not prohibited or in breach of any restrictions or conditions applying to the import of such goods, may make an order for the clearance of the same:

Provided that, at customs-stations where the Customs Computerized System is operational the system may clear the goods through system generated clearance documents.

(2) Where the owner fails to pay import duty and other charges within ³[ten] days from the date on which the same has been assessed under sections 80, 80A or 81, he shall be liable to pay surcharge at the rate of ⁵[KIBOR plus three per cent] on import duty and other charges payable on such goods.]

⁴[83.A Omitted]

LEGAL REFERENCE

1. Re-numbered as sub-section (1) by the Finance Act, 1993 (X of 1993), S.4(iii), page 121 and substituted by the Finance Act, 2003 (I of 2003), S.5(19), page 27. At the time of substitution section 83 was as under:

“83. Clearance for home-consumption.-^1a[(1) When the owner of any goods entered for home-consumption and assessed under section 80 has paid the import duty and other charges, if any in respect of the same, the appropriate officer, if he is satisfied that the import of the goods is not prohibited or in breach of any restrictions or conditions apply to the import of such goods, may make an order for the clearance of the same.

^1b[(2) Where the owner fails to pay import duty and other charges under sub-section (1) within thirty days from the date on which the bill of entry is returned to him for payment of duty, he shall be liable to pay surcharge at the rate of fourteen percent per annum on import duty and other charges payable on such goods:

Provided that where the bill of entry is returned for payment of duty before the commencing day of the Finance Act, 1993, and the owner has not paid such duty before such commencing day, the date of return of such bill of entry shall be such commencing day.]

1a. Re-numbered as sub-section (1) by the Finance Act, 1993 (X of 1993). 1b. Added by the Finance Act, 1993 (X of 1993), S.4(iii), page 121.

2. Figures, letters and commas “79A, 80A” omitted vide Finance Act, 2005

By the Finance Act, 2006, substituted the word “thirty”.

4. Inserted by the Finance Act, 2000 (XXI of 2000),and. By the Finance Act, 2006 section 83A was omitted At that time section 83A was as under:-.

―

83.A Levy of additional duty.-Notwithstanding anything contained in this Act and without prejudice to any other action that may be taken under this Act, if any person fails to pay the dues recoverable under this Act within the prescribed time, he shall, in addition to the dues payable, be liable to pay additional duty at the rate of one and a half percent per month.

Explanation: For the purpose of calculating additional duty, the period of default shall be reckoned from the day following the due date on which the dues were required to be paid to the day preceding the date on which the same are actually paid.‖

5. The words ―fourteen per cent‖ substituted with the words ―KIBOR plus three per cent‖ by Finance Act,2009.

CHAPTER XI

WAREHOUSING

84. Application to warehouse.-When any dutiable goods have been entered for warehousing and assessed under section ¹[*****] 80 ¹[*****] or 81] the owner of such goods may apply for leave to deposit the same in any warehouse appointed or licensed under this Act²[:]

³[Provided that the Collector of Customs, for reasons to be recorded in writing, may disallow the warehousing of goods or any class of goods or goods belonging to a particular importer⁴[:]

⁵[Provided further that, at customs-stations where the Customs Computerized System is operational the system may allow removal to warehouse through system generated clearance documents.]

85. Form of application.-Every such application shall be in writing signed by the applicant, and shall be in such form as may be prescribed by the Board.

⁶[86. Submission of post-dated cheque and indemnity bond.-(1) When any such application has been made in respect of any goods, the owner of the goods to which it relates shall furnish an indemnity bond and post-dated cheque equivalent to the duty assessed under section 80 or section 81 or reassessed under section 109 on such goods,

(a)

to observe all the provisions of this Act and the rules in respect of such goods;

(b)

to pay on or before a date specified in a notice of demand all duties, taxes, rent and charges payable in respect of such goods together with surcharge on the same from the date so specified at the rate of ³⁵[KIBOR plus three per cent per annum] or such other rate as is for the time being fixed by the Board; and

(c)

to discharge all penalties incurred for violation of the provisions of this Act and the rules in respect of such goods.

(2)

Every such post-dated cheque shall be equivalent to the duties and taxes leviable on the goods or por5tion of the goods of one conveyance only.]

87. Forwarding of goods to warehouse.-(1) When the provisions of sections 85 and 86 have been complied with in respect of any goods, such goods shall be forwarded in charge of an officer of customs to the warehouse in which they are to be deposited.

(2)

A pass shall be sent with the goods specifying the name of the bonder and the name or number of the importing conveyance, the marks, numbers and contents of each package, and the warehouse or place in the warehouse wherein they are to be deposited.

88. Receipt of goods at warehouse.-(1) On receipt of the goods, the pass shall be examined by the warehouse-keeper, and shall be returned to the appropriate officer.

(2)

No package, butt, cask or other container shall be admitted into any warehouse unless it bears the marks and numbers specified in, and otherwise corresponds with, the pass for its admission.

(3)

If the goods be found to correspond with the pass, the warehouse-keeper shall certify to that effect on the pass, and the warehousing of such goods shall be deemed to have been completed.

(4)

If the goods do not so correspond, the fact shall be reported by the warehouse-keeper for the orders of the appropriate officer, and the goods shall either be returned to the custom-house in charge of an officer of customs or kept in deposit pending such orders as the warehouse-keeper deems most convenient.

(5)

If the quantity or value of any goods has been incorrectly stated in the ⁷[goods declaration], due to inadvertence or bona fide error, the error may be rectified at any time before the warehousing of the goods is completed, and not subsequently.

89. Goods how warehoused.-Except as provided in section 94, all goods shall be warehoused in the packages, butts, casks or other containers in which they have been imported.

90. Warrant to be given when goods are warehoused.-(1) Whenever any goods are lodged in a public warehouse or a licensed private warehouse, the warehouse-keeper shall deliver a warrant signed by him as such to the person lodging the goods.

(2)

Such warrant shall be in such form as the Board may from time to time prescribe, and shall be transferable by endorsement; and the endorsee shall be entitled to receive the goods specified in such warrant on the same terms as those on which the person who originally lodged the goods would have been entitled to receive the same.

(3)

The Board may, by notification in the official Gazette, exempt any class of goods from the operation of this section.

1. Access of customs officer to ⁸[*] warehouse.-The appropriate officer shall have access to any ⁸[*] warehouse licensed under this Act.
2. Power to cause packages lodged in warehouse to be opened and examined.

(1)

The appropriate officer may at any time by order in writing direct that any goods or packages lodged in any warehouse shall be opened, weighed or otherwise examined; and, after any goods have been so opened, weighed or examined, may cause the same to be sealed or marked in such manner as he thinks fit.

(2)

When any goods have been so sealed and marked after examination, they shall not be again opened without the permission of the appropriate officer; and, when any such goods have been opened with such permission, the packages shall, if he thinks fit, be again sealed or marked.

93. Access of owner to warehoused goods.-(1) Any owner of goods lodged in a warehouse shall, at any time within the hours of business, have access to his goods in the presence of an officer of customs, and an officer of customs shall, upon application for the purpose being made in writing to the appropriate officer, be deputed to accompany such owner.

(2) When an officer of customs is specially employed to accompany such owner, a sum sufficient to meet the expense thereby incurred shall, subject to rules, be paid by such owner to the appropriate officer, and such sum shall, if the appropriate officer so directs, be paid in advance.

94. Owner’s power to deal with warehoused goods.-(1) With the sanction of the appropriate officer and on payment of such fees as may be prescribed by rules, the owner of any goods may, either before or after warehousing the same,

(a)

separate damaged or deteriorated goods from the rest;

(b)

sort the goods or change their containers for the purpose of preservation, sale, export or disposal of the goods;

(c)

deal with the goods and their containers in such manner as may be necessary to prevent loss or deterioration or damage to the goods;

(d)

show the goods for sale; or

(e)

take such samples of goods as may be allowed by the appropriate officer with or without entry for home-consumption, and with or without payment of duty, except such as may eventually become payable on a deficiency of the original quantity.

(2) After any such goods have been so separated and repacked in proper or approved packages, the appropriate officer may, at the request of the owner of such goods, cause or permit any refuse, damaged or surplus goods remaining after such separation or repacking (or, at the like request, any goods which may not be worth the duty) to be destroyed, and may remit the duty payable thereon.

95. Manufacture and other operations in relation to goods in a warehouse.-(1) Subject to rules, the owner of any warehoused goods may, with the permission in writing of the Collector of Customs, carry on any manufacturing process or other operations in the warehouse in relation to such goods.

(2) Where in the course of any such operation or process there is any waste or refuse the following provisions shall apply, namely:

(a)

If the whole or any part of the goods produced by such operation or process are exported, no duty shall be charged on the quantity of the warehoused goods wasted or turned into refuse in the course of the operation or processing carried on in relation to the goods exported:

Provided that such waste or refuse is either destroyed or duty is paid on such waste or refuse as if it had been imported into Pakistan in that form;

(b)

If the whole or any part of the goods produced by such operation or process are cleared from the warehouse for home-consumption, duty shall be charged on the quantity of the warehoused goods wasted or turned into refuse in the course of the operation or processing carried on in relation to the goods cleared for home-consumption.

96. Payment of rent and warehouse dues.-(1) If goods be lodged in a public warehouse, the owner shall ⁹[unless exempted by an order of the Collector or an officer not below the rank of ¹⁰[Assistant Collector or Deputy Collector], authorized by him,] pay monthly rent and warehouse-dues at such rates as the Collector of Customs may fix.

(2)

A table of the rates of rent and warehouse-dues so fixed shall be placed in a conspicuous part of such warehouse.

(3)

If any demand for such rent or dues is not discharged within ten days of its presentation, the appropriate officer may, in the discharge of such demand (any transfer or assignment of the goods notwithstanding) cause to be sold, after due notice in the official Gazette, such sufficient portion of the goods as he may select.

(4) The proceeds of such sale shall be adjusted in accordance with section

201.

97. Goods not to be taken out of warehouse except as provided by this Act.-No warehoused goods shall be taken out of any warehouse, except on clearance for home-consumption or export, or for removal to another warehouse, or as otherwise provided in this Act.

¹¹[98. Period for which goods may remain warehoused.-¹²{(1) Warehoused goods, other than perishable goods notified by the ^11a[Board] , may remain in the warehouse for a period of ¹³[six months] following the date of their admission into the warehouse and perishable goods so notified may remain in the warehouse for a period of three months, following the said date:

Provided that the said period may, in case of non-perishable goods, be extended, on sufficient cause being shown by the owner of the warehoused goods and subject to the condition that he pays in advance surcharge on the duty and taxes involved at ¹⁴[one] per cent per month for the extended period

¹⁵[(a) by the Collector of Customs, for a period not exceeding ¹⁶[one] months in case of notified perishable goods and a period not exceeding ¹⁶[three] months in case of non-perishable goods; and

(b) subject to the condition that the extension in case of perishable goods shall be granted only if the goods are fit for human consumption.}

(2)

The Federal Government may, subject to such conditions, or restrictions as it may deem fit to impose, by notification in the official gazette, remit the whole or a part of the surcharge in case of any goods or category of goods and the Board, in circumstances of exceptional nature, may, subject to such conditions, limitations or restrictions, if any, as it may think fit to impose, by a special order in each case recording such circumstances remit the whole or a part of the surcharge.

(3)

Notwithstanding anything contained in sub-section (1), the Federal Government may, by notification in the official Gazette, limit the period for which ¹⁷[***] goods or class of ¹⁷[***] goods may remain in the warehouse:

Provided that such period shall not be less than one month.

(4)

When the licence of any warehouse is cancelled, the owner of any goods warehoused therein shall, within ten days of the date on which notice of such cancellation is given, or within such extended period as the appropriate officer may allow, remove the goods from that warehouse to another warehouse or clear them for home-consumption or exportation.]

99. Power to remove goods from one warehouse to another in the same customs-station.-(1) Any owner ¹⁸[or a manufacturer-cum-exporter duly authorized by such owner in respect] of goods warehoused under this Act may, within the period of their warehousing under section 98, and with the permission of the Collector of Customs, on such conditions and after giving such security, if any, as the Collector directs, remove goods from one warehouse to another warehouse in the same warehousing station.

(2) When any owner ¹⁸[or a manufacturer-cum-exporter duly authorized by such owner] desires to remove any goods, he shall apply for permission to do so in such form as the Board may prescribe.

100. Power to remove goods from one warehousing station to another.-(1) Any owner ¹⁸[or a manufacturer-cum-exporter duly authorized by such owner in respect] of goods warehoused at any warehousing station may, within the period of their warehousing under section 98, remove the same for the purpose of warehousing them at any other warehousing station.

(2) When any owner ¹⁸[or a manufacturer-cum-exporter duly authorized by such owner] desires to remove any goods for such purpose, he shall apply to the Collector of Customs in such form and manner as the Board may prescribe stating therein the particulars of the goods to be removed, and the name of the customs-station to which they are to be removed.

101. Transmission of account of goods to officers at warehousing station of destination.-(1) When permission is granted for the removal of any goods from one warehousing station to another under section 100, an account containing the particulars thereof shall be transmitted by the appropriate officer of the customs-station of removal to the appropriate officer of the customs-station of destination.

(2)

The person requiring the removal shall before such removal enter into a bond, with one sufficient surety, in a sum equal at least to the duty chargeable on such goods, for the due arrival and re-warehousing thereof at the customs-station of destination, within such time, as the Collector of Customs directs.

(3)

Such bond may be taken by the appropriate officer either at the customs-station of removal or at the customs-station of destination as best suits the convenience of the owner.

(4)

If such bond is taken at the customs-station of destination, a certificate thereof signed by the appropriate officer of such station shall at the time of the removal of such goods be produced to the appropriate officer at the customs-station of removal; and such bond shall not be discharged unless such goods are produced to the appropriate officer, and duly re-warehoused at the customs-station of destination within the time allowed for such removal or are otherwise accounted for to the satisfaction of such officer; nor until the full duty due upon any deficiency of such goods, not so accounted for, has been paid.

102. Remover may enter into a general bond.-The Collector of Customs may permit any person desirous of removing warehoused goods to enter into a general bond, with such sureties, in such amount and under such conditions as the Collector approves, for the removal, from time to time, of any goods from one warehouse to another, either in the same or in a different warehousing station and for the due arrival and re-warehousing of such goods at the destination within such time as the Collector directs.

103. Goods on arrival at customs-station of destination to be subject to same laws as goods on first importation.-Upon the arrival of warehoused goods at the customs-station of destination, they shall be entered and warehoused in like manner as goods are entered and warehoused on the first importation thereof, and under the laws and rules, in so for such laws and rules are applicable, which regulate the entry and warehousing of such last mentioned goods.

104. Clearance of bonded goods for home-consumption.-Any owner ¹⁸[or a manufacturer-cum-exporter duly authorized by such owner in respect] of warehoused goods may, at any time within the period of their warehousing under section 98, clear such goods for home-consumption by paying

(a)

the duty assessed on such goods under the provisions of this Act; and

(b)

all rent, penalties, ¹⁹[surcharge] and other charges payable in respect of such goods ²⁰[:]

²¹[Provided that in case of manufacturer-cum-exporter duly qualified for claiming exemption under any notification issued under this Act, the ex-bonding of goods under this section shall be without payment of duties and taxes.]

105. Clearance of warehoused goods for export.-Any owner of warehoused good may, at any time within the period of their warehousing under section 98, clear such goods for export out of Pakistan on payment of all rent, penalties, ²²[surcharge] and other charges payable as aforesaid but without paying any import duty thereon:

Provided that, if the ²³[Federal Government] is of the opinion that warehoused goods of any specified description are likely to be smuggled back into Pakistan, it may, by notification in the official Gazette, direct that such goods shall not be exported to any place outside Pakistan without payment of duty or allow them to be exported subject to such restrictions and conditions as may be specified in the notification.

106. Clearance of warehoused goods for export as provisions, on a conveyance proceeding to foreign destination.-Any warehoused provisions and stores may be exported within the period of their warehousing under section 98 without payment of import duty for use on board any conveyance proceeding to a foreign territory.

107. Application for clearance of goods.-(1) An application to clear goods from any warehouse for home-consumption or for export shall be made in such form as the Board may prescribe.

(2) Such application shall ordinarily be made to the appropriate officer at least twenty-four hours before it is intended to clear such goods.

1. Reassessment of warehoused goods when damaged or deteriorated.-If any goods upon which duties are levied ad valorem ²⁴[or otherwise] are damaged or deteriorated due to an unavoidable accident or cause after they have been entered for warehousing and assessed under section 80 and before they are cleared for home-consumption, their value in the damaged or deteriorated state may be appraised ²⁵[according to either of the methods provided in sub-section (2) of section 27], if the owner so desires, by an officer of customs and the duty leviable thereon shall be diminished in proportion to the diminution of their value and a new bond for twice the amount of the diminished duty may, at the option of the owner, be executed by him to replace the bond originally executed.
2. Reassessment on alteration of duty.-If any goods have been entered for warehousing and assessed under section ²⁶[*****] 80 ²⁷[*****] or 81] but the duty leviable thereon is subsequently altered, such goods shall be reassessed on the basis of the altered duty and a new bond shall be executed by the owner in accordance with the provisions of section 86 to replace the bond originally executed by him.

110. Allowance in case of volatile goods.-When any warehoused goods of such class or description as the Board having regard to the volatility of such goods and the manner of their storage may, by notification in the official Gazette, specify are, at the time of delivery from a warehouse, found to be deficient in quantity and the Collector of Customs is satisfied that such deficiency is on account of natural loss, no duty shall be charged on such deficiency.

111. Duty on goods improperly removed from warehouse or allowed to remain beyond fixed time or lost or destroyed or taken as sample.-In respect of goods specified hereunder the appropriate officer may demand and upon such demand the owner of such goods shall forthwith pay the full amount of duty chargeable on such goods together with all rent, penalties, ²⁸[surcharge] and other charges payable in respect of them, namely:

(a)

Warehoused goods which are removed in contravention of section 97.

(b)

Goods which have not been removed from the warehouse within the time allowed for such removal under section 98.

(c)

Goods in respect of which a bond has been executed under section 86 and which have not been cleared for home-consumption or export or removed in accordance with the provisions of this Act and are lost or

destroyed otherwise than as provided in sections 94 and 95 or as mentioned in section 115, or are not accounted for to the satisfaction of the appropriate officer.

(d)

Goods which have been taken under section 94 as samples without payment of duty.

²⁹[112. Encashment of post-dated cheque.-(1) Where the owner fails to clear bonded goods to the purposes specified in this Chapter within the warehousing period, the postdated cheque submitted under section 86 by the owner of goods may be got encashed after the expiry of warehousing period.

(2) In case the post-dated cheque is not enchased for any reason, the

Collector of customs or any officer designated by him may detain the owner’s goods

whether lying in any warehouse or freshly imported for public auction and adjustment of sale proceeds against the amount of duties, taxes surcharges, rents and penalties, etc., which may have become payable on goods warehoused but not cleared within the specified period and the surplus amount, if any, shall be disposed of in the manner provided in section 201.]

113. Noting removal of goods.-(1) When any warehoused goods are taken out of any warehouse, the appropriate officer shall cause the fact to be noted on the back of the bond.

(2) Every note so made shall specify the quantity and description of such goods, the purposes for which they have been removed, the date of removal, the name of the person removing them, the number and date of the ³⁰[goods declaration] under which they have been taken away, if removed for exportation, or ^30A[***] for home-consumption and the amount of duty paid, if any ³¹[:]

³²[Provided that at customs-station where the Customs Computerized System is operational, the requirement of this section shall be completed in accordance with that system.]

114. Register of bonds.-(1) A register shall be kept of all bonds entered into for customs-duties on warehoused goods, and entry shall be made in such register of all particulars required by section 113 to be specified.

(2) When such register shows that the whole of the goods covered by any bond have been cleared for home-consumption or export, or otherwise duly accounted for, and when all amounts due on account of such goods have been paid, the appropriate officer shall cancel such bond as discharged in full, and shall on demand deliver the cancelled bond to the person who executed it or who is entitled to receive it.

115. Power to remit duties on warehoused goods lost or destroyed.-If any warehoused goods in respect of which a bond has been executed under section 86 and which have not been cleared for home-consumption are lost or destroyed by unavoidable accident or cause, the Collector of Customs may in his discretion remit the duties due thereon:

Provided that, if any such goods be so lost or destroyed in a ³³[****]warehouse, notice thereof be given to the appropriate officer within forty-eight hours ³⁴[****]of such loss or destruction.

1. Responsibility of warehouse keeper.-The warehouse-keeper in respect of goods lodged in a public warehouse, and the licensee in respect of goods lodged in a private warehouse, shall be responsible for their due receipt therein and delivery therefrom, and their safe custody while deposited therein, accordance to the quantity, weight or gauge reported by the officer of customs who has assessed such goods, allowance being made, if necessary, for deficiency in quantity on account of natural loss as provided in section 110:
2. Provided that no owner of goods shall be entitled to claim from the appropriate officer or from any keeper of a public warehouse, compensation for any loss or damage occurring to such goods while they are being passed into or out of such warehouse, or while they remain therein, unless it be proved that such loss or damage was occasioned by the willful act or neglect of the warehouse-keeper or of an officer of customs.
1. Locking of warehouses.-(1) Every public warehouse shall be under the lock and key of both the warehouse-keeper appointed by the Collector of Customs, and the appropriate officer.

(2) Every private warehouse shall be under the lock and key of both the licensee and the appropriate officer.

1. Power to decide where goods may be deposited in public warehouse, and on what terms.-The Collector of Customs may from time to time determine in what division of any public warehouse ³⁴[or private warehouse], and in what manner, and on what terms, any goods may be deposited, and what sort of goods may be deposited in any such warehouse.
2. Expenses of carriage, packing, etc. to be borne by owner.-The expenses of carriage, packing and storage of goods on their receipt into or removal from a public warehouse shall, if paid by the appropriate officer or by the warehouse-keeper, be chargeable on the goods and be defrayed by, and recoverable from, the owner, in the manner provided in section 112.

LEGAL REFERENCE

1. Substituted for the figure ―80‖ by Finance Act,2003 (I of 2003), S.5(21)(a), page 28 and figures, letters and commas‖79A, 80A‖ omitted vide Finance Act, 2005.
2. Substituted for the full stop by Finance Act,1990 (VII of 1990),S.6(5), page 35.
3. Added by the Finance Act,1990(VII of 1990), A.6(5), page 35.
4. Substituted for the full stop by Finance Act,2003 (I of 2003), S.5(21)(b) page 29.
5. Added by Finance Act,2003 (I of 2003), S.5(21)(b), page 29.

6. Substituted by the Finance Act, 2005. At that time section 86 was as under:“86. Warehousing bond.-(1) When any such application has been made in respect of any goods, the owner of the goods to which it relates shall execute a bond, binding himself in a penalty of twice the amount of the duty assessed under section 80 or section 81 or reassessed under section 109 on such goods,

(a)

to observe all the provisions of this Act and the rules in respect of such goods;

(b)

to pay on or before a date specified in a notice of demand all duties, rent and charges payable in respect of such goods together with surcharge on the same from the date so specified at the rate of two per cent per month or such other rate as is for the time being fixed by the Board; and

(e)

to discharge all penalties incurred for violation of the provisions of this Act and the rules in respect of such goods.

(2)

Every such bond shall be in such form as is from time to time prescribed by the Board, and shall relate to the goods or portion of the goods of one conveyance only.

(3)

Notwithstanding anything in sub-section (2), for the purposes of sub-section (1), the Collector of Customs may permit any importer to enter into a general bond in such amount and subject to such conditions, limitations or restrictions as the Collector of Customs may determine in respect of the warehousing of goods to be imported by shall continue in force notwithstanding the transfer of the goods to any other person or the removal of the goods to another warehouse or warehousing station: Provided that, where the whole of the goods or any part thereof are transferred to another person, the appropriate officer may accept a fresh bond from the transferee in a sum equal to twice the amount of duty assessed on the goods transferred and thereupon the bond executed by the transferer shall be deemed to be discharged to the extent to which the fresh bond has been executed by the transferee.

1. By Finance Act, 2006 the words” bill of entry” was substituted,
2. By Finance Act, 2006 the words” private” was omitted.
3. Inserted by the Finance Act, 1973 (L of 1973), S.9(6), page 531.
4. Substituted for the words “Assistant Collector” by the Finance Act, 1996 (IX of 1996.,
5. Substituted by the Finance Act, 1990 (VII of 1990), S.6(7), page 36. At the time of substitution section 98 was as under:

“98. Period for which goods may remain warehoused.-(1) Warehoused goods, other than consumer goods notified by the Central Board of Revenue, may remain in the warehouses for a period of [six months following the date of their admission into the warehouse and consumer goods so notified may remain in the warehouses for a period of three months] following the said date:

Provided that –

(i)

the said period may, in case of non-perishable goods, be extended, on sufficient cause being shown by the owner of the warehoused goods and

subject to the condition that he pays in advance [surcharge] on the duty involved at two per cent per month for the extended period,

(a)

by the Collector of Customs for a period not exceeding six months; and

(b)

by the Board for such period at it may deem fit:

Provided further that in circumstances of exceptional nature, the Board, may, subject to such conditions limitations or restrictions, if any, as it may think fit to impose, by a special order in each case recording such circumstances, remit the whole or a part of the interest.

(ii)

when the licence of any private warehouse is cancelled, the owner of any goods warehoused therein shall within ten days of the date on which notice of such cancellation is given, or within such extended period as the appropriate officer may allow, remove the goods from that warehouse to another warehouse or clear them for home-consumption or exportation.‖.

(2) Notwithstanding anything contained in sub-section (1), the Federal Government may, by notification in the official Gazette, limit the period for which any consumer goods or class of consumer goods may remain in the warehouses:

Provided that such period shall not be less than one month.‖

11a Substituted the words “Central Board of Revenue” with the word “Board” by the FA,2007.

1. Substituted by the Finance Act, 1998.
2. Substituted for the words “one year” by the Finance Act, 2005.
3. Substituted the word “ two” by Finance Act, 2004.

15. Substituted by the Finance Ordinance, 2001 (XXV of 2001), S.4(6), page 306. At the time of substitution this was as under:―(a) by the Collector of Customs, for a period not exceeding six months; and

(b) by the Federal Government or the Board, for such period as it may deem fit.‖.

1. Substituted for the words “two” and “six” by Finance Act, 2005.
2. Omitted the words “consumer” by the Finance Act, 1998 (III of 1998), S.4(V)(ii,
3. Inserted by the Finance Act, 1999 (IV of 1999), S.10(6)(I), page 767
4. Substituted for the word “interest” by the Finance Act, 1985(I of 1985), S.3(1).
5. Substituted full stop by the Finance Act, 1999 (IV of 1999), S.10(8)(ii), page 767.
6. Added by the Finance Act, 1999 (IV of 1999), S.10(8)(ii), page 767.
7. Substituted for the word “interest” by the Finance Act, 1985 (I of 1985), S.3(1).
8. Substituted for the words “Central Government” by the Finance Act, 1972.
9. Inserted by the Finance Ordinance, 1986 (I of 1986), S.6(4)(a) page 11.
10. Inserted by the Finance Ordinance, 1986 (I of 1986), S.6(4) (b), page 11.
11. Substituted for the figure “80” by the Finance Act, 2003 (I of 2003), S.5(22), page 29.
12. Omitted the figure “79A, 80A” by the Finance Act,2005.
13. Substituted for the word “interest” by the Finance Act, 1985 (I of 1985), S.3(1).
14. Substituted by Finance Act, 2005.
15. By the Finance Act, 2006, the words “bill of export or” were omitted.

30A. By the Finance Act, 2006, the words “of the bill of entry or goods declaration, if removed” were omitted.

1. Substituted full stop by the Finance Act, 2003 (I of 2003), S.5(23)(c), page
2. Added by the Finance Act, 2003 (I of 2003), S.5(23)(c), page 29.
3. The word “private” omitted by the Finance Act, 1990 (VII of 1990), S.6(8), page 37.
4. By the Finance Act, 2006 the words “after the discovery” were omitted.
5. The words “one per cent per month” substituted with the words “KIBOR plus three per cent per annum”, by Finance Act,2009.

84

CHAPTER XII

TRANSHIPMENT

¹[120. Chapter not to apply to postal articles.-The provisions of this chapter shall not apply to goods imported by post.]

²[121. Transhipment of goods without payment of duty.-(1) Subject to the provisions of section 15 and the rules, the appropriate officer may, on application by the owner of any goods imported at any customs-station and specially and distinctly manifested at the time of importation as for transhipment to some other customs-station or foreign destination, grant leave to transship the same without payment of duty, if any, chargeable on such goods with or without any security or bond for the due arrival and entry of the goods at the customs-station of destination.

(2)

The Board may, subject to rules and such conditions as it may deem fit to impose, authorize certain carriers to transport goods under the multimodal, scheme. Goods transported under the multimodal scheme shall be specially and distinctly manifested at the time of importation as for transhipment to some other customs-station or foreign destination and shall not

(a)

require distinct permission for transhipment from the customs-station of first entry into the country to be transported to the customs-station of destination. The principal carrier issuing the multimodal bill of lading or air way bill will be responsible for the sanctity of the cargo during transportation between the customs-station of first entry into the country to the customs-station of destination; and

(b)

be subject to the risk management system at the customs station of first entry.

(3)

The Board may, subject to such conditions as it may deem fit, grant licence to any carrier to carry goods under the multimodal scheme.]

122. Superintendence of transhipment.-An officer of customs ³[may] be deputed free of charge to superintend the removal of transshipped goods from one conveyance to another ⁴[:]

⁵[Provided that nothing in this section shall apply to the goods transported under the multimodal scheme.]

⁶[123. Entry, etc., of transshipped goods.-(1) All goods transshipped under subsection (2) of section 121 to any customs-station shall, on their arrival at such customs-station, be entered in the same manner as goods on their first importation and shall be dealt with likewise.

(2) All goods being transshipped under sub-section (1) of section 121 from a customs-station of first entry into the country, where the Customs Computerized System is operational and the goods are determined to be high risk by the risk management system shall be dealt with under rules on the subject.]

1. Transhipment of provisions and stores from one conveyance to another of the same owner without payment of duty.-Any provisions and stores in use or being carried for use on board a conveyance may, at the discretion of the appropriate officers be transshipped to another conveyance belonging wholly or partly to the same owner and present simultaneously at the same customs-station, without payment of duty.
2. Levy of transhipment fees.-Subject to the rules, a transhipment fee on any goods or class of goods transshipped under this Act may be levied at such rates, according to weight, measurement, quantity, number, bale, package or container, as the Board may, by notification in the official Gazette, prescribe for any customs-station or class of customs-stations.

LEGAL REFERENCE

1. Section 120 substituted by the Finance Act, 1979 (XXX of 1979), S.6(7), page 188. At the time of substitution this was as under:

“120. Chapter not to apply to baggage or postal articles.-The provision of this

Chapter shall not apply to (a) baggage or (b) goods imported by post.‖.

2. Substituted by the Finance Act, 2003 (I of 2003), by the Finance Act, 2003 (I of 2003), S.5(25)(a), page 30. At the time of substitution section 121 was as under:

“121. Transhipment of goods without payment of duty.-Subject to the provisions of section 15 and the rules, the appropriate officer may, on application by the owner of any goods imported at any customs-station and specially and distincity manifested at the time of importation as for transhipment to some other customs-station or foreign destination, grant leave to tranship the same without payment of duty, if any, chargeable on such goods at the customs-station of transhipment and, in the case of goods to be transhipped to some other customs-station, with or without any security or

bond for the due arrival and entry of the goods thereat.‖.

1. Substituted for the words and commas “shall, in every case,”by the Finance Act, 2003 (I of 2003), by the Finance Act, 2003 (I of 2003), S.5(25),(a) page 30.
2. Substituted full stop by the Finance Act, 2003 (I of 2003), S.5(25)(b), page 30.
3. Added by the Finance Act, 2003 ((I of 2003), S.5(25)(b), page 30.
4. Substituted by the Finance Act, 2003 (I of 2003), S.5(26), page 30. At the time of substitution section 123 was as under:

“123, Entry, etc., of transhipped goods.-All goods transhipped under section 121 to any customs-station shall, on their arrival at such customs-station, be entered in the

same manner as goods on their first importation and shall be dealt with likewise.‖.

CHAPTER XIII

TRANSIT TRADE

126. Chapter not to apply to baggage and postal articles.-The provisions of this Chapter shall not apply to (a) baggage, and (b) goods imported by post.

127. Transit of goods in the same conveyance.-(1) Subject to the provisions of section 15 and the rules any goods imported in a conveyance and mentioned in the import manifest as for transit in the same conveyance to customs-station in Pakistan or to any destination outside Pakistan may be allowed to be so transited without payment of duty, if any, leviable on such goods at the customs-station of transit.

(2) Any stores and provisions imported on board a conveyance which is in transit through Pakistan to a destination outside Pakistan may, subject to rules, be allowed to be consumed on board that conveyance without payment of the duties which would otherwise be chargeable on them.

128. Transport of certain classes of goods subject to prescribed conditions.-Any goods may be transported from one part of Pakistan to another through any foreign territory, subject to such conditions as to their due arrival at the destination as may be prescribed by rules.

129. Transit of goods across Pakistan to a foreign territory.-Where any goods are entered for transit across Pakistan to a destination outside Pakistan, the appropriate officer may, subject to the provisions of the rules, allow the goods to be so transited without payment of the duties which would otherwise by chargeable on such goods¹[:]

²[Provided that the Federal Government may, by notification in the official Gazette, prohibit the bringing into Pakistan by sea, land or air in transit to a foreign territory any goods or class of goods.]

LEGAL REFERENCE

1. Substituted full stop by the Finance Act, 1996 (IX of 1996), S.4(4), page 480.

CHAPTER XIV

EXPORTATION OR SHIPMENT AND RELANDING

130. No goods to be loaded on a conveyance, till entry outwards or permission granted.-No goods other than passengers’ baggage or mail bags or ballast urgently required for a vessel’s safety shall be loaded or water-borne to be loaded on a conveyance at a place in a customs-station approved for the purpose under clause (b) of section 10, until an order under section 50 in respect of the conveyance has been given or permission in this behalf in writing has been granted by the appropriate officer.

¹[131. Clearance for exportation.-(1) No goods shall be loaded for exportation until

(a)

the owner any goods to be exported has made a declaration in such form and manner as prescribed by the Board, by filing a goods declaration to Customs containing correct and complete particulars of his goods, and assessed and paid his liability of duty, taxes and other charges, if any;

(b)

the claim of duty drawback, if any, has been calculated and reflected in the declaration filed for export through Customs Computerized System;

(c)

Customs has, on the receipt of goods declaration under clause (a), satisfied itself regarding the correctness of the particulars of export, including declaration, assessment, and payment of duty, taxes and other charges and verified the admissibility of the duty drawback claimed as specified in clause (b); and

(d)

the appropriate officer has permitted passenger’s baggage or mail bags, to be exported notwithstanding clauses (a), (b) and (c).

(2) If any goods or class of goods imported and lying within the port area, are intended to be exported by its owner, the Collector may allow the export subject to the conditions as the Board may, from time to time, notify:

Provided that the Board may in the case of any customs station or wharf, by notification in the official Gazette, and subject to such restrictions and conditions, if any, as it thinks fit, exempt any specified goods or class of goods or any specified person or class of persons, from all or any of the provisions of this section.

Provided further that the Collector, where Customs Computerized System has not been introduced for reasons to be recorded in writing, may cause the examination of goods or any class of goods or goods belonging to a particular exporter or class of exporters at a designated place as he deems fit and proper.]

²[131A. Omitted.

1. Bond required in certain cases before exportation.-Before any warehoused goods subject to excise duties, or goods entitled to drawback or repayment of customs-duties on exportations or goods exportable only under particular rules or restrictions, are permitted to be exported, the owner shall, if required so to do, give security by bond in such sum not exceeding twice the duty leviable on such goods as the appropriate officer directs, with one sufficient surety, that such goods shall be exported and landed at the place for which they are entered outwards or shall be otherwise accounted for to the satisfaction of such officer.
2. Additional charge on goods cleared for export after port-clearance granted.-Where the goods are cleared for shipment on a ³[goods declaration] presented after port-clearance or permission to depart has been granted, the appropriate officer may, if he thinks fit, levy, in addition to any duty to which such goods are ordinarily liable, a charge not exceeding one per cent of the value of the goods determined in accordance with the provisions of section 25.
3. Notice of non-loading or relanding and return of duty thereon.-(1) If any goods mentioned in a ^4&5[goods declaration] or manifest be not loaded or be loaded and afterwards relanded, the owner shall before the expiration of fifteen clear working days after the conveyance on which such goods were intended to be loaded or from which they were relanded has left the customs-station, give information of such short-loading or relanding to the appropriate officer save where the latter has occasioned the short-loading or relanding.

(2) Upon an application being made to the appropriate officer within one year of such short-loading or relanding, any duty levied upon goods not loaded or upon goods loaded and afterwards relanded shall be refunded to the person on whose behalf such duty was paid:

Provided that, where the required information of short-loading or relanding is not given within the aforesaid period of fifteen days, the appropriate officer may make refund of duty contingent upon payment of such penalty, if any, as he may see fit to impose.

135. Goods relanded or transshipped from a conveyance returning to a customs-station or putting into another customs-station.-(1) If, after having cleared from any customs-station any conveyance without having discharged her cargo returns to such customs-station or ports into any other customs station, any owner of goods in such conveyance, if he desired to land or transship the same or any portion thereof for re-export, may, with the consent of the person-in-charge of the conveyance, apply to the appropriate officer in that behalf.

(2)

The appropriate officer, if he grants the application, shall thereupon send an officer of customs to watch the conveyance and to take charge of such goods during such relanding or transhipment.

(4)

Such goods shall not be allowed to be transshipped or re-exported free of duty by reason of the previous settlement of duty at the time of first export unless they are lodged and remain, until the time of re-export under the custody of an officer of customs, in a place appointed by the appropriate officer, or are transshipped under such custody.

(4) All expenses attending such custody shall be borne by the owner.

136. Conveyance returning to customs-station may enter and land goods.-(1) In either of the cases mentioned in section 135, the person-in-charge of the conveyance may enter such conveyance inwards and any owner of goods thereon may, with the consent of the person-in-charge of the conveyance, land the same under the provisions of this Act and the rules.

(2)

In every such case, any export duty paid shall be refunded on an application made by the owner of such goods within one year of their landing and any amount paid to the owner as drawback or repayment of duty(whether of customs, excise or any other tax) shall be recovered from him or adjusted against the amount refundable.

137. Landing of goods during repairs.-(1) The appropriate officer may, on application by the person-in-charge of a conveyance which is obliged before completing her journey or voyage to put into any customs-station for repairs, permit him to land the goods or any portion thereof, and to place it in the custody of an officer of customs during such repairs, and to load and export the same free of duty.

(2)

All expenses attending such custody shall be borne by the person-incharge of the conveyance.

138. Frustrated cargo how dealt with.-(1) Where any goods are brought into a customs-station by reason of inadvertence, misdirection or untraceability of the consignee, ⁶[an officer of Customs not below the rank of Additional Collector of Customs] may, on application by the person-in-charge of the conveyance which brought such goods or of the consignor of such goods and subject to rules, allow export of such goods without payment of any duties (whether of import or export) chargeable thereon, provided that such goods have remained and are exported under the custody of an officer of customs.

(2) All expenses attending to such custody shall be borne by the applicant.

1.

2. 4. 5.. 6.

THE CUSTOMS ACT,1969

LEGAL REFERENCE

Substituted by Finance Act,2005. At that time section 131 was as under:

―

131. Clearance for exportation.-No goods shall be loaded for exportation until

(a)

in the case of goods other than passenger’s baggage and mail bag

(i)

the owner has delivered to the appropriate officer a bill of export ¹[or goods declaration] for such goods, in such form and manner and containing such particulars as may be prescribed by rules;

(ii)

such owner has paid the duties payable on such goods; such bill ²[or declaration] has been passed by the appropriate officer; and

(b)

in the case of passenger’s baggage or mail bags, the appropriate officer has permitted them to be exported:

Provided that the Board may in the case of any customs-station or wharf, by notification in the official Gazette, and subject to such restrictions and conditions, if any, as it thinks fit, exempt any specified goods or class of goods or any specified person or class of persons, from all or any of the provisions of this section.

Provided further that the Collector for reasons to be recorded in writing may cause the examination of goods or any class of goods or good belonging to a particular exporter or class of exporters at a designated place as he deems fit and proper.‖

Inserted by the Finance Act, 2003 and omitted by the Finance Act, 2005. At that time section 131A was as under:

―

131A. Clearance for exportation through the Customs Computerized System.

Subject to the provisions of section 155A, for the purposes of the Customs Computerized System, no goods shall be loaded for exportation until

(a)

the owner of any goods to be exported has made a declaration in such form and manner as prescribed by the Board, by filing a goods declaration to Customs containing correct and complete particulars of his goods, and assessed and paid his liability of duty, taxes and other charges and having reflected his claim of duty draw back if any;

(b)

Customs has, on the receipt of goods declaration under clause (a) through the Customs Computerized System, satisfied itself regarding the correctness of the particulars of export, including declaration, assessment, and payment of duty, taxes and other charges and verified the admissibility of the duty draw back claimed; and

(c)

Goods have been cleared for export through the Customs Computerized System:

Provided that the Board may in the case of any customs-station or wharf, by notification in the official Gazette and subject to such restrictions and conditions, if any, as it thinks fit, exempt any specified goods or class of goods or any specified person or class of persons, from all or any of the provisions of this section.‖

By the Finance Act, 2006, the words “bill of export” were substituted. Inserted by the Finance Act, 2003 (I of 2003), S.5(27), page 31

By the Finance Act, 2006, the words” bill of export or” were omitted. Substituted for the words “the Collector of Customs” by Finance Act, 2005..

CHAPTER XV

SPECIAL PROVISIONS REGARDING BAGGAGE AND GOODS IMPORTED OR EXPORTED BY POST

139. Declaration by passenger or crew of baggage.-The owner of any baggage whether a passenger or a member of the crew shall, for the purposes of clearing it, make a verbal or written declaration of its contents in such manner as may be prescribed by rules to the appropriate officer and shall answer such questions as the said officer may put to him with respect to his baggage and any article contained therein or carried with him and shall produce such baggage and any such articles for examination ¹[:]

²[Provided that where the Customs Computerized System is operational, all declarations and communications shall be electronic.]

140. Determination of rate of duty in respect of baggage.-The rate of duty if any, applicable to baggage shall be the rate in force on the date on which a declaration is made in respect of such baggage under section 139 ³[:]

⁴[Provided that in the case of goods cleared as mis-handled baggage or unaccompanied baggage, the rate of duty shall be the rate in force on the date on which a declaration for clearance of such goods is presented before the appropriate officer after landing of the goods.]

141. Bona fide baggage exempt from duty.-The appropriate officer may, subject to the limitations, conditions and restrictions specified in the rules, pass free of duty any article in the baggage of a passenger or a member of the crew in respect of which the said officer is satisfied that it is bona fide meant for the use of such passenger or for making gift.

142. Temporary detention of baggage.-Where the baggage of a passenger contains any article which is dutiable or the import of which is prohibited or restricted and in respect of which a true declaration has been made under section 139, ⁵[and about which the appropriate officer is satisfied that these were not imported with the intention of consumption in Pakistan, he] may, at the request of the passenger, detain such article for the purpose of being returned to him on his leaving Pakistan.

1. Treatment of baggage of passengers or crew in transit.-Baggage of passengers and members of the crew in transit in respect of which a declaration has been made under section 139, may be permitted by the appropriate officer, subject to such limitations, conditions and restrictions as may be specified in the rules, to be so transited without payment of duty.
2. Label or declaration in respect of goods imported or exported by post to be treated as entry.-In the case of goods imported or exported by post, any label or

declaration which contains the description, quantity and value thereof shall be deemed to be an entry for import or export, as the case may be, for the purposes of this Act.

145. Rate of duty in respect of goods imported or exported by post.-(1) The rate of duty, if any, applicable to any goods imported by post shall be the rate in force on the date on which the postal authorities present to the appropriate officer the declaration or label referred to in section 144 for the purpose of assessing the duty thereon.

(2) The rate of duty, if any, applicable to any goods exported by post shall be the rate in force on the date on which the exporter delivers such goods to the postal authorities for exportation.

LEGAL REFERENCS

1. Substituted for the full stop by the Finance Act, 2004 (II of 2004), S.3(13), page 16.
2. Added by the Finance Act, 2004 (II of 20040, S.3(13), page 16.
3. Substituted full stop by the Finance Ordinance, 1982 (XII of 1982), S.6(7), page 60.
4. Added by the Finance Ordinance, 1982 (XII of 1982), S.6(7), page 60.
5. Substituted for the comma and words “,the appropriate officer” by the Finance Ordinance, 1982 (XII of 1982), S.6(8), page 60.

CHAPTER XVI

PROVISIONS RELATING TO COASTAL GOODS AND VESSELS

146. Chapter not to apply to baggage.-The provisions of this Chapter shall not apply to baggage.

147. Entry of coastal goods.-(1) The consignor of any coastal goods shall present to the appropriate officer a bill of coastal goods in the form prescribed by the Board.

(2) Every such consignor shall make a declaration on the bill of coastal goods presented by him as to the truth of the contents thereof.

148. Coastal goods not to be loaded, until bill relating thereto is passed.-No vessel shall take on board any coastal goods until the bill relating to such goods has been passed by the appropriate officer and delivered to the master of the vessel by the consignor:

Provided that the appropriate officer may, in circumstances of exceptional nature, on a written application by the master of the vessel, permit loading of coastal goods pending the presentation and passing of bills relating to such goods.

149. Clearance of coastal goods at destination.-(1) The master of a vessel carrying any coastal goods shall carry on board the vessel all bills delivered to him under section 148 and shall, within twenty-four hours of arrival of the vessel at any customs-port or coastal port, deliver to the appropriate officer all bills relating to the goods which are to be unloaded at that port.

(2) Where any coastal goods are unloaded at any port, the appropriate officer shall permit their clearance if he is satisfied that they are entered in a bill delivered to him under sub-section (1).

150. Declaration concerning coasting vessel which has touched foreign port.

The master of a vessel carrying coastal goods which has touched at any foreign port immediately before its arrival at a port of Pakistan shall deliver, alongwith the bills referred to in section 149, a declaration stating that fact and indicating the particulars and specifications of the cargo, if any, discharged or taken on board at such foreign port.

151. Cargo book.-(1) There shall be kept on board every coasting vessel a cargo book stating the name of the vessel, the port at which she is registered and the name of the master.

(2)

It shall be the duty of the master of every coasting vessel to enter or cause to be entered in the cargo book

(a)

the port to which and each voyage on which the vessel is bound;

(b)

the respective times of departure from every port of lading and of arrival at every port of discharge;

(c)

the name of every port of lading and an account of all goods taken on board at that port with a description of the packages and the quantities and description of the goods contained therein or stowed loose and the names of the respective shippers and the consignees in so far as such particulars be ascertainable;

(d)

the name of every port of discharge and the respective days on which such goods or any of them are delivered out of such vessel.

(3)

The entries relating to the loading and discharge of goods shall be made respectively at the ports of lading and discharge.

(4)

Every such master shall on demand produce the cargo book for the inspection of the appropriate officer and such officer may make such note or remark therein as he considers necessary.

152. Coastal goods not to be loaded or unloaded except at customs-port or coastal port.-No coastal goods shall be loaded on, or unloaded from, any vessel at any port other than a customs-port or a coastal port declared under section 9.

153. Coasting vessel to obtain written orders before departure.-(1) No coasting vessel which has brought or loaded any coastal goods at a customs-port or coastal port shall depart from such port until a written order to that effect has been given by the appropriate officer.

(2)

No such order shall be given until

(a)

the master of the vessel has answered the questions, if any, put to him;

(b)

all charges and penalties, if any, payable in respect of that vessel or by its master have been paid or the payment secured by such guarantee as the appropriate officer may direct.

154. Application of certain provisions of this Act to coastal goods.-(1) Sections 64,65 and 66 shall, so far as may be, apply to coastal goods as they apply to imported goods or goods for export.

(2)

Sections 48 and 60 shall, so far as may be, apply to vessels carrying coastal goods as they apply to vessels carrying imported goods or goods for export.

(3)

The ¹[Federal Government] may, by notification in the official Gazette, direct that all or any of the other provisions of Chapter VII and the provisions of section 78 shall apply to coastal goods or vessels carrying coastal goods with such exceptions and modifications, if any, as may be specified in the notification.

155. -Prohibition of the coastal trade of certain goods.-No goods shall be carried coast-wise or shipped as stores in a coasting vessel contrary to any prohibition or restriction imposed by or under any law, nor shall such goods or stores be brought to any place in Pakistan for the purpose of being so carried or shipped.

LEGAL REFERENCE

1. Substituted for the words “Central Government” by the Finance Act, 1972 (XXI of 1972), S.3, page 56 and Second Schedule S.1, page 76.

¹[CHAPTER XVI-A

PROVISIONS RELATING TO THE CUSTOMS COMPUTERIZED SYSTEM
AND AUDIT AND ACCESS TO DOCUMENTS

155A. Application of the Customs Computerized System.-Notwithstanding anything hereinbefore contained, provisions of this Chapter shall apply to any customs-station equipped with the Customs Computerized System on such date as the Federal Government may, by notification in official Gazette, specify and different dates may be specified for different provisions and for different areas so as to bring the provisions relating to the Customs Computerized System in force throughout Pakistan progressively.

155B. Access to the Customs Computerized System.-No person shall transmit to, or receive information from, the Customs Computerized System unless that person is registered by the Collector as a user of the Customs Computerized System.

155C. Registered users.-(1) Any person who wishes to be registered as a user of the Customs Computerized System may apply ²[***] to the Collector in the prescribed form and shall provide such information in relation to the application as is prescribed.

(2)

The Collector may require an applicant for registration to give such additional information as he considers necessary for the purpose of the application.

(3)

The Collector may grant the application subject to such conditions, as he deems fit or refuse the application:

Provided that no order shall be passed for refusal of application unless the applicant has been given a reasonable opportunity of being heard.

155D. Registered users to be allocated unique user identifier.-(1) Any person registered as a user of the Customs Computerized System shall be allocated a unique user identifier for use in relation to the Customs Computerized System by the Collector in such form or of such nature as the Collector may determine.

(2)

The unique user identifier allocated pursuant to sub-section (1) of this section shall be used by the registered user for the purpose of transmitting information to or receiving information from the Customs Computerized System.

(3)

The Collector may impose conditions on a particular registered user or on registered users generally, relating to the use and security of unique user identifiers.

155E. Use of unique user identifier.-(1) Where information is transmitted to the Customs Computerized System using a unique user identifier issued to a registered user by the Collector for that purpose, the transmission of that information shall, in the absence of proof to the contrary, be sufficient evidence that the registered user to whom the unique user identifier has been issued has transmitted that information.

(2)

Where a unique user identifier is used by a person who is not entitled to use it, sub-section (1) of this section shall not apply if the registered user to whom the unique user identifier was issued has, prior to the unauthorized use of that unique user identifier, notified the Customs that the unique user identifier is no longer secure.

155F. Cancellation of registration of registered user.-(1) Where at any time the Collector is satisfied that any person who is a registered user of the Customs Computerized System, has :

(a)

failed to comply with a condition of registration imposed by the Collector under sub-section (3) of section 155C of this Act; or

(b)

failed to comply with, or acted in contravention of any conditions imposed by the Collector under sub-section (3) of section 155D of this act in relation to the use and security of the registered user's unique identifier; or

(c)

has been convicted of an offence under this Act, the Collector may cancel the registration of that person as a registered user by giving notice in writing to that person stating that the registration of that person is cancelled and setting out the reasons for that cancellation:

⁶[Provided that the Collector of Customs may, in exceptional circumstances , after recording reasons in writing suspend the use of unique user identifier of any person forthwith on receipt of any complaint or information about violation of any provisions of this Act:]

Provided further that the Collector of Customs shall, after giving opportunity of hearing, pass and order confirming suspension or otherwise the use of Unique User Identifier.]

155G. Customs to keep records of transmissions.-(1) The Customs shall keep a record of every transmission sent to or received from a registered user using the Customs Computerized System.

(2) The record described in sub-section (1) of this section shall be kept for a period of five years from the date of the sending of or the receipt of the transmission, or for such other period as may be prescribed by the Board.

155H. Confidentiality of information.--All trade information gathered by Customs during clearance of goods shall be confidential and shall not be used except for

(a)

statistical purposes by the department and other Government organizations; or

(b)

purposes of comparison and evidence ³[by the appropriate officer of customs] as against other imports and exports; or

(c)

production as evidence before a legal forum or an organization explicitly so authorized by the Federal Government;

and any disclosure, publishing or dissemination of trade information of any person except as provided above without his explicit permission to any other person shall be an offence.

155-I. Unauthorized access to or improper use of the Customs Computerized System.-(1) Every person commits an offence who.

(a)

knowingly and without lawful authority by any means gains access to or attempts to gain access to the Customs Computerized System; or

(b)

having lawful access to the Customs Computerized System, knowingly uses or discloses information obtained from such a computer system for a purpose that is not authorized; or

(c)

knowing that he is not authorized to do so, receives information obtained from the Customs Computerized System, and uses, discloses, publishes, or otherwise disseminates such information.

155J. Interference with the Customs Computerized System.-Every person commits an offence who–

(a)

by any means knowingly falsifies any record or information stored in the Customs Computerized System; or

(b)

knowingly damages or impairs the Customs Computerized System; or

(c)

knowingly damages or impairs any duplicate tape or disc or other medium on which any information obtained from the Customs Computerized System is held or stored otherwise than with the permission of the Collector.

155K. Offences in relation to the security of or unauthorized use of unique user identifiers.-(1) A registered user of the Customs Computerized System who fails to comply with or acts in contravention of any condition imposed by the Collector relating to the security of that registered user's unique user identifier commits an offence.

(2)

A person who

(a)

not being a registered user, uses a unique user identifier; or

(b)

being a registered user, uses the unique user identifier of any other registered user; to authenticate a transmission of information to the Customs Computerized System, commits an offence.

155L. Audit or examination of records.-(1) The appropriate officer of Customs may at any reasonable time enter a premises or place where records are kept and audit or examine those records either in relation to specific transactions or to the adequacy and integrity of the manual or electronic system or systems by which such records are created and stored and shall have free access to all books, records, documents, data and computers in the custody or control of the principals or agents and may if so necessary take custody of, or make extracts from or copies of such books, records, documents, data or computers.

(2) In all cases, except where it would defeat the purposes of the audit or examination, a reasonable advance notice regarding a visit shall be given to the principals or the agents concerned.

155M. Requisition of documents.-(1) The appropriate officer may, by notice in writing, require a person, as and when specified in the notice,-

(a)

to produce for inspection by a specified Customs Officer, documents or records that the appropriate officer considers necessary or relevant to -

(i)

an investigation under this Act; or

(ii)

an audit under this Act; or

(iii) the recovery of dues payable under this Act;

(b)

to allow the specified Customs officer to take extracts from or make copies of, documents or records of the kind referred to in paragraph (a);

(c)

to appear before a specified Customs officer and answer all questions put to the person concerning -

(i)

goods, or transactions relating to those goods, that are the subject of the investigation or audit, or that are relevant to the recovery of dues referred to in clause (a); or

(ii)

documents or records of the kind referred to in clause (a).

(2) in this section, person includes an officer employed in a government department, corporation, local authority or an officer employed in a bank.

155N. Documents in foreign language.-Where a document in a foreign language except English is presented to a Customs officer in relation to the carrying out of any duty or the exercise of any power of the Customs under this Act or any other Act, the officer may require the person who presented the document to supply to the officer an authentic English translation of the document at the expense of the person who presented it.

155O. Authorised officer may take possession of and retain documents and records.-(1) An officer authorised in this behalf may take possession of and retain any document or record presented in connection with any entry or required to be produced under this Act.

(2)

Where the authorised officer takes possession of a document or record under sub-section (1) of this section, the authorised officer shall, at the request of the person otherwise entitled to the document or record, provide that person with a copy of the document certified by or on behalf of the authorised officer under the seal of the Customs as a true copy.

(3)

Every copy so certified shall be admissible as evidence in all courts and other legal forums as if it were the original.

155P. Obstructing access, altering, concealing, destruction of record.-Any person commits an offence who,

(a)

fails to operate any mechanical or electronic device, when requested by a Customs officer, on which any records are, or information is, stored for the purpose of enabling the Customs officer to obtain those records or that information.

(b)

with intent to defeat the purposes of this Act, destroys, alters, or conceals any book, document, or record required to be kept under this Act, or sends or attempts to send out of Pakistan any such book, document, or record.]

⁴[155Q. Electronic exchange of information and authentication through the Customs Computerized System.-Any declaration, documents or record, accounts, notice, order, payment, authentication, authorization or information required, delivered or provided by the Customs or any registered user shall be deemed to have been required, delivered, provided or done under this Act when communicated electronically through the Customs Computerized System.

155R. Correction of clerical errors.-Where the Customs Computerized System is in operation and the Collector of Customs is satisfied that incorrect data has been electronically communicated to Customs due to any clerical error, he may, for reasons to be recorded in writing, direct the correction of the said error. Except as provided herein, no person shall alter any data in the Customs Computerized System.]

LEGAL REFERENCE

1. Inserted by the Finance Act, 2003 (I of 2003), S.5(29), page 32
2. By the Finance Act, 2006, the words “in writing” were omitted.
3. Inserted by the Finance Act, 2006.
4. Inserted by the Finance Act, 2006.
5. Added by Finance Act,2008( I of 2008) (Page-46)

6. The proviso ―Provided that the Collector of Customs may, in exceptional circumstances, after recording reasons in writing and after hearing the aggrieved person, suspend the use of unique user identifier of any person forthwith on receipt of any complaint or information about violation of the Customs Act,1969 (IV of 1969)‖ substituted by Finance Act, 2009.

CHAPTER XVII

OFFENCES AND PENALTIES

156. Punishment for offences.-(1) Whoever commits any offence described in column 1 of the Table below shall, in addition to and not in derogation of any punishment to which he may be liable under any other law, be liable to the punishment mentioned against that offence in column 2 thereof:

TABLE

	Offences	Penalties	Section of this Act to which offence has reference.
	(1)	(2)	(3)

1.	If any person contravenes	such person shall be	General
	any provision of this Act or any rule made	liable to a penalty not exceeding 1[69.[fifty]
	thereunder, or abets any	thousand] rupees.
	such contravention or fails
	to comply with any
	provision of this Act or
	any such rule with which
	it was his duty to comply
	where no express penalty
	has been provided
	elsewhere for such
	contravention or failure,
2.(i)	If any goods imported by	such person shall be	9 & 10
	sea or air be unloaded or attempted to be unloaded	liable to a penalty not exceeding 2[ten
	at any place other than a	thousand] rupees; and
	customs-port or customs-	such goods shall be
	airport declared under	liable to confiscation.
	section 9 for unloading of
	such goods; or
		103

(ii) If any goods be imported by land or inland water through any route other than a route declared under clause (c) of section 9 for the import of such goods; or

(iii) If any goods be attempted to be exported by sea or air from any place other than a customs-port or customs airport appointed for the loading of such goods; or

(iv)

If any goods be attempted to be exported by land or inland water through any route other than a route declared under clause (c) of section 9 for the export of such goods; or

(v)

If any imported goods be brought into any bay, gulf, creek or river for the purpose of being landed at a place other than a customs-port; or

(vi)

If any goods be brought near the land frontier or the coast of Pakistan or near any bay, gulf, creek or river for the purpose of being exported from a place other than a customs-station or where any place has been approved under clause (b) of section 10 for the loading of such goods

9 & 10

	from any place other than
	the place so approved,
3.(i)	If any person exports or	such person shall be
	lands goods, or aids in the export of landing of	liable to a penalty not exceeding 1[twenty
	goods, or knowingly	five thousand]
	keeps or conceals or	rupees.
	knowingly permits or
	procures to be kept or
	concealed, any goods
	exported or landed or
	intended to be exported or
	landed contrary to the
	provisions of this Act; or
(ii)	If any person be found to
	have been on board any
	conveyance liable to
	confiscation on account of
	the commission of the
	offence under clause 4 of
	this Table, while such
	conveyance is within any
	place which is not a
	customs-station for the
	export and landing of
	goods,
4.	If any conveyance which	the duty in respect of
	has been within the limits	goods so lost or
	of any customs-station in	deficient shall be
	Pakistan with goods on	payable by the
	board, be afterwards	person-in-charge of
	found anywhere in	the conveyance; and
	Pakistan with the whole or	such conveyance
	any portion of such goods	shall also be liable to
	missing unless the person-	confiscation.
	in-charge of the
	conveyance be able to
	account for the loss of, or
	deficiency in the goods,
5.(i)	If any goods are unloaded	the person-in-charge

General

9 & 10

9 & 10

9 & 10

from any conveyance inward bound, without the authority of the appropriate officer into any other conveyance at any place other than a place declared under section 9 for the unloading of goods; or if any goods are loaded into any conveyance outward bound from any other conveyance, without such authority, from or at any place other than a place declared under section 9 for the loading of goods; or

(ii) If any goods on which drawback has been granted are put, without such authority, on board any conveyance for the purpose of being relanded,

6. If any vessel arriving at, or departing from, any customs-port fails, when so required under section 14 to bring to at any such station as has been appointed by the Collector of Customs for the boarding or landing of an officer of customs,

7(i) If any vessel arriving at any customs-port, after having come to its proper place of mooring or unloading, removes from such place, except with the authority of the of every such conveyance used for irregular import or export of goods, shall be liable to a penalty not exceeding ¹[twenty-five thousand] rupees; and the goods and the conveyance shall also be liable to confiscation.

the master of such vessel shall be liable to a penalty not exceeding ²[ten thousand] rupees.

the master of such 14 vessel shall be liable to a penalty not exceeding ²[ten thousand] rupees; and the vessel, if not entered, shall not be

	Conservator, obtained in	allowed to enter until
	accordance with the	the penalty is paid.
	provisions of the Ports
	Act,1908 (XV of 1908) or
	other lawful authority, to
	some other place of
	mooring or unloading; or
(ii)	If any vessel not brought
	into port by a pilot be not
	anchored or moored in
	accordance with any
	direction of the Collector
	of Customs under section
	14,
3[8.(i)	If any goods be smuggled	Such goods shall be
	into or out of Pakistan,	liable to confiscation
		and any person
		concerned in the
		offence shall be liable
		to a penalty not
		exceeding ten times
		the value of the
		goods; and upon
		conviction by a 4[Special Judge] he
		shall further be liable
		to imprisonment for a
		term not exceeding 5[fourteen years] and
		to fine not exceeding
		ten times the value of
		such goods, and, if the 4[Special Judge]
		in his discretion so
		orders, also to whipping 6[:]
		7[Provided that, in the
		case of such goods 8[*****] as may be
		notified by the
		Federal Government
		107

General

⁹[(ii) If the smuggled goods are narcotics drugs, psychotropic substances or controlled substances,

(a)

if the quantity of the narcotic drug, psychotropic substance of controlled substance is one hundred grams or less;

(b)

if the quantity of the narcotic drug, psychotropic substance or controlled substance exceeds one hundred grams but does not exceed one kilogram;

(c)

if the quantity of the narcotic drug,

in the official Gazette, the sentence of imprisonment shall not be less than five years and the person convicted shall also be awarded sentence of whipping, and the whole or any part of his property shall also be liable to confiscation in accordance with the provisions of the Prevention of Smuggling Act,1977.]

such goods shall be liable to confiscation and any person concerned in the offence shall be liable to –

imprisonment which may extend to two years, or with fine, or with both;

imprisonment which may extend to seven years and shall also be liable to fine;

death or imprisonment for life,

psychotropic substance or controlled substance exceeds the limit specified in clause (b);

9. (i) If any goods, not being goods referred to in clause 8, are imported into or exported from Pakistan evading payment of leviable customs-duties or in violation of any prohibition or restriction on the importation or exportation of such goods imposed by or under this Act or any other law; or

(ii) If any attempt be made so to import or export any such goods; or

(iii) If any such goods be found in any package produced before any officer of customs as containing no such goods; or

(iv) If any such goods be found either before or after landing or shipment or imprisonment for a term which may extend to fourteen years and shall also be liable to fine which may be upto one million rupees;

Provided that, if the quantity exceeds ten kilograms the punishment shall not be less than imprisonment for life.

Such goods shall be liable to confiscation; and any person concerned in the offence shall also be liable to a penalty not exceeding two times the value of the goods.

15 & 16

to have been concealed in any manner on board any conveyance within the limits of any seaport, airport, railway station or other place where conveyances are ordinarily loaded or unloaded; or

(v) If any such goods, the exportation of which is prohibited or restricted as aforesaid be brought within a customs area or to a wharf, with the intention of loading them on a conveyance for exportation in violation of such prohibition or restriction,

10. If, upon an application to pass any goods through the custom-house, any person not being the owner of such goods, and not having proper and sufficient authority from the owner, subscribes or attests any document relating to any goods on behalf of such owner,

¹⁰[10 If any condition,

(A) limitation or restriction imposed by Federal Government or by the Board for grant of partial or total exemption from customs duties is violated in respect of the goods on which exemption has been granted,

such person shall be liable to a penalty not exceeding ¹[twentyfive thousand] rupees.

such goods shall be liable to confiscation and the person to whom the exemption was granted shall be liable to a penalty not exceeding ten times the value of goods; and upon conviction by a Special Judge he

General

19 & 20

11. If any goods which have been allowed temporary admission under section 21 without payment of duty subject to the condition of subsequent export be not exported, or any goods duty on which has not been paid or having been paid has been refunded be sold or transferred or otherwise disposed of in contravention of the rules or a special order made under that section,

¹¹[12 If a person contravenes the provisions of section 26 and does not furnish any information as required by the rules,

¹²[12A If any person contravenes the provisions of section 26A and does not furnish any information as required by the rules,

shall further be liable to imprisonment for a term not exceeding two years]. any person who sells, transfers or otherwise disposes of such goods or aids or abets the sale, transfer or disposal of such goods, and any person in whose possession such goods are found shall be liable to a penalty not exceeding five times the duty chargeable on such goods; and such goods shall also be liable to confiscation.

such person shall be liable to a penalty not exceeding one million rupees and on conviction by a Special Judge shall be liable to imprisonment for a term not exceeding one year or with both. such person shall be liable to a penalty not exceeding one million rupees and on conviction by a Special Judge shall be liable to imprisonment for a term not exceeding one year or with both.

111

21

26(1) and 26(4)

26A

If any person contravenes

12B the provisions of section 26B and does not furnish any record, documents or information as required by the rules,

1. If any person willfully contravenes any rule relatable to section 28 with respect to any spirits,
2. If any person commits an offence under section 32,

14[14A.	If any person commits an
	offence
	Under section 32A.

such person shall be liable to a penalty not exceeding one million rupees and on conviction by a Special Judge shall be liable to imprisonment for a term not exceeding one year or with both.

such person shall be liable to a penalty not exceeding ²[ten thousand rupees;] and all such spirit shall be liable to confiscation.

such person shall be liable to a penalty not exceeding ¹[twenty five thousand] rupees or three times the value of the goods in respect of which such offence is committed, whichever be greater; and such goods shall also be liable to confiscation ¹³[;] ¹⁴[and upon conviction by a ¹⁵[Special Judge] he shall further be liable to imprisonment for a term not exceeding three years, or to fine, or to both].

such person shall be liable to a penalty not exceeding three times the value of the goods in respect of which

112

26B]

28

32

32A.]

1. If any goods in respect of which drawback has been paid or any warehoused goods cleared for exportation are not duly exported or after being exported are unloaded or relanded at any other place in Pakistan otherwise than in accordance with the provisions of this Act and the rules.
2. If any provisions or stores on which drawback has been paid or on which duty has not been paid for reason of their being

such offence is committed and such goods shall also be liable to confiscation and upon conviction by a Special Judge he shall further be liable to imprisonment for a term which may extend to ten years but shall not be less than five years or to fine, or to both.

any person who fails to export such goods or who unloads or relands the goods or any person who aids or abets the evasion of export of such unloading or relanding shall be liable to a penalty not exceeding three times the value of such goods or ¹[twenty five thousand rupees,] whichever be higher; and the goods which are not so exported or which are so unloaded or relanded together with the conveyance from which they are unloaded or relanded shall also be liable to confiscation. such provisions or stores shall be liable to confiscation.

113

35 & 105

24 & 35

provisions or stores meant, to be exported for use on board are not loaded on board or after being loaded are subsequently unloaded without the permission of the appropriate officer.

1. If any person fraudulently claims drawback on any goods on which drawback is disallowed under section 39 or includes any such goods in his claim for drawback,
2. If, in any river or port wherein a place has been fixed under section 43 by the Board, any vessel arriving passes beyond such place, before delivery of a manifest to the pilot, officer of customs, or other person duly authorized to receive the same,
3. If the master of any vessel arriving, which remains outside or below any place fixed, under section 43, wilfully omits, for twenty-four hours after anchoring, to deliver a manifest as required by this Act,

20.	If, after any vessel has	such master shall be	43
	entered any customs-port	liable to a penalty not
	in which a place has not	exceeding 1[twenty

¹⁶[such person shall 39 be liable to penalty not exceeding twenty-five thousand rupees, and such goods shall also be liable to confiscation].

the master of such 43 vessels ¹⁷[and master of the pilot] shall be liable to a penalty not exceeding ¹[twentyfive thousand rupees].

such master shall be 43

liable to exceeding five rupees].

penalty not ¹[twenty thousand

been fixed under section 43, the master of such vessel willfully omits, for twenty-four hours after anchoring, to deliver a manifest as required by this Act,

1. If, after any conveyance other than a vessel has entered any land customs-station or customs-airport, the person-in-charge of such conveyance willfully omits, for twenty-four hours after arrival, to deliver a manifest as required by this Act,
2. If any person required by this Act to receive an import manifest from the person-in-charge of a conveyance refuses to do so, or fails to countersign the same or to enter thereon the particulars referred to in section 46,
3. (i) If, any import or export manifest delivered under any provision of this Act is not signed by the person delivering the same or is not in the form prescribed under this Act or does not contain the particulars of the conveyance, goods and journey required to be stated in such manifest by or under this Act, or

five thousand rupees].

such person shall be liable to a penalty not exceeding ¹[twenty five thousand rupees].

such person shall be liable to a penalty not exceeding ²[ten thousand]rupees.

the person delivering such manifest shall be liable to a penalty not exceeding ¹[twenty-five thousand rupees].

44

43 & 46

45 & 53

(ii) If any manifest so delivered does not contain a specification true to the

best of such person’s

knowledge of all goods imported or to be exported in such conveyance,

24(i) If any goods entered in the import manifest of a conveyance are not found in that conveyance; or

(ii) If the quantity found in the conveyance ¹⁸[,container or any other

package] is short, and the shortage is not accounted for to the satisfaction of the officer-in-charge of the custom-house,

25. If any bulk is broken on a vessel in contravention of section 47 or without a special pass granted under section 49,

the person-in-charge of such conveyance shall be liable to a penalty not exceeding twice the amount of duty chargeable on the goods not found on the conveyance or, if such goods are not dutiable or the duty thereon cannot be ascertained, to a penalty not exceeding ¹⁹[fifteen thousand rupees] for every missing or deficient package or separate article, and in the case of bulk goods to a penalty not exceeding the value of the goods, or ¹[twenty-five thousand rupees], whichever be higher.

the master of such vessel shall be liable to a penalty not exceeding ¹[twentyfive thousand] rupees.

45,53 & 55

47 & 49

26. (i) If any bill of lading or the person-in-charge 48 copy required under of such conveyance

section 48, is false and the person-in-charge of the conveyance is unable to satisfy the appropriate officer that he was not aware of the fact; or if any such bill or copy has been altered with fraudulent intent; or

(ii) If the goods mentioned in any such bill or copy have not been bona fide shipped or loaded as shown therein; or if any such bill of landing or any bill of lading of which a copy is delivered has not been made previously to the departure of the conveyance from the place where the goods referred to in such bill of lading were shipped or loaded; or,

(iii) If any part of the cargo or goods has been stayed, destroyed or thrown over board, or if any package has been opened and any part of the cargo or goods be not accounted for to the satisfaction of the appropriate officer,

27. If the person-in-charge of a conveyance attempts to depart from the customs-station without a port-clearance or written permission of the appropriate officer, granted under section 51 shall be liable to penalty not exceeding ¹[twenty-five thousand rupees].

such person shall be 51 & 52 liable to a penalty not exceeding ¹[twentyfive thousand rupees].

117

or section 52, as the case may be,

1. If any conveyance actually departs from a customs-station without obtaining the port-clearance or the written permission of the appropriate officer, as the case may be,
2. If any pilot takes charge of any vessel proceeding out of Pakistan notwithstanding that the master of the vessel does not produce a port-clearance,
3. If the person-in-charge of a conveyance refuses to receive on board any officer of customs deputed under section 60,
4. If the master of a vessel or the person-in-charge of a conveyance other than a vessel or an aircraft refuses to provide such officer with suitable accommodation and adequate quantity of fresh water,
5. (i) If the person-in-charge of

the person-in-charge of such conveyance shall be liable to a penalty not exceeding ¹[twenty-five thousand rupees].

such pilot shall be liable to a penalty not exceeding ¹[twentyfive thousand rupees].

such person shall be 61 liable to a penalty not exceeding ²[ten thousand rupees] for each day during which such officer is not received on board the conveyance, and the conveyance if not entered shall not be allowed to enter until such penalty is paid.

such master or person 61 shall, in each such case, be liable to a penalty not exceeding ²[ten thousand rupees].

such person shall be 62 any conveyance refuses to allow such conveyance or any box, place or close receptacle therein to be searched when so required by an officer of customs bearing a written order to search; or

(ii) If an officer of customs places any lock, mark or seal upon any goods in any conveyance, and such lock, mark or seal is willfully opened, altered or broken before due delivery of such goods; or

(iii) If any such goods are secretly conveyed away; or

(iv) If any such hatchway or entrance to the hold of a conveyance after having been fastened down by an officer of customs is opened without his permission,

33. If the person-in-charge of a conveyance laid up by the withdrawal of the officer of customs shall, before application is made by him for an officer of customs to superintend the receipt of goods, causes or suffers to be put on board such conveyance and goods what ever in contravention of section 64,

liable to a penalty not exceeding ¹[twenty five thousand rupees].

such person shall be 64. liable to a penalty not exceeding ¹[twentyfive thousand rupees] and the goods if protected by a pass or written order shall be liable to be relanded for examination at the expense of the person-in-charge and, if not protected by a pass or written order, shall be liable to

119

34. If the person-in-charge of a conveyance, in any case other than that provided for in clause 33 of this Table, causes or suffers any goods to be discharged, put on board the conveyance or waterborne contrary to the provisions of section 64 or section 65 or any rules relating to baggage,

35(i) If, when a boat-note is required by section 68, any goods water-borne for the purpose of being landed from any vessel and warehoused or passed for importation, or of being shipped for exportation, be found without such note; or

(ii) If any goods are found on board any boat in excess of such boat-note, whether such goods are intended to be landed, from, or to be shipped on board any vessel,

36. If any person refuses to receive, or fails to sign, or to note the prescribed confiscation.

such person shall be liable to a penalty not exceeding ¹[twentyfive thousand] rupees; and all goods so discharged, put on board the conveyance or water-borne shall be liable to confiscation.

the person by whose authority the goods are being landed or shipped, and the person-in-charge of the boat, shall each be liable to a penalty not exceeding twice the amount of duty leviable on the goods, or, if such goods be non-dutiable to a penalty not exceeding ²⁰[two thousand] rupees; and such goods shall also be liable to confiscation.

such person, master or officer shall be liable to a penalty not

64,65 & 141

68

68

particulars upon, any boat-note, as required by section 68, or if any master or officer of a vessel receiving the same fails to deliver it when required so to do by any officer of customs authorized to make such requisitions,

37(i) If any goods are, without permission, shipped or loaded on board a conveyance proceeding out of Pakistan or are water-borne to be so shipped or loaded or are landed except from or at a wharf or other place duly appointed for the purpose; or

(ii) if any goods water-borne for the purpose of being landed or shipped or loaded are not landed, shipped or loaded without unnecessary delay; or

(iii) if the boat containing such goods be found out of the proper track between the vessel and the wharf or other proper place of landing or shipping or loading and such deviation be not accounted for to the exceeding ²[ten thousand ] rupees.

the person by whose authority the goods are shipped, loaded, landed, water-borne or transshipped and the person-in-charge of the conveyance employed in conveying them shall each be liable to a penalty not exceeding five times the value of the goods; and such goods shall also be liable to confiscation.

66,69 & 70

satisfaction of the appropriate officer; or

(iv) if any goods are transshipped contrary to the provisions of section 70,

1. If, after the issue of a notification under section 71 with regard to any port, any goods are found within the limits of such port on board any boat not duly licensed and registered,
2. If any boat or vessel not exceeding one hundred tons does not comply with the rules relatable to section 72,

²¹[39A. The person incharge of a conveyance or master or agent or owner of the conveyance who fails to supply the information or documents suo moto

the	owner	or	the
person-in-ch		arge	of
the	boat	shall	be

liable to a penalty not exceeding ²⁰[two thousand] rupees; and such goods shall also be liable to confiscation, unless they are covered by a special permit of the Collector of Customs.

such boat or such vessel shall be liable to confiscation.

such person, master, agent or owner shall be liable to penalty not exceeding two hundred thousand rupees and on conviction by a Special Judge, he shall further be liable to imprisonment for a term which may extend to three years on with fine, or with both.

71

72

72A]

40. If any person-in-charge of such person shall be 45 & 75 any conveyance unloads liable to a penalty not

	or suffers to be unloaded	exceeding 1[twenty
	any goods not duly	five thousand]
	entered in the manifest of	rupees.
	such conveyance,
41.	If any goods are found	such goods shall be
	concealed in any place, box	liable to confiscation.
	or close receptacle in any
	conveyance and are not duly
	accounted for to the
	satisfaction of the officer-in
	charge of the custom-house,
42.	If any goods are found on	such goods shall be
	board any conveyance in	liable to confiscation.
	excess of those entered in
	the manifest, or not
	corresponding with the
	specification therein
	contained,
22[43.	If any goods, after having landed and before they have been processed and cleared	if the goods cannot be recovered, the owner 68[or any other person
	by the Customs, are by the	having custody of the
	or any other person,	aforesaid goods]shall
	fraudulently concealed in, or	be liable, in addition to
	attempted to remove from	full duty, to a penalty
	the bonded area of any Port.	not exceeding five
	Airport and Dry port, or	times the amount of
	abstracted from any package	such duty, or if such
	or transferred from one	goods are not dutiable
	package to another, or	or duty thereon cannot
	otherwise, for the purpose of	be ascertained, to a
	illegal removal or concealment, with the	penalty not exceeding 23[one hundred]
	intention of defrauding the	thousand rupees, for
	revenue,	every missing or
		deficient package or
		separate article, and in
		the case of bulk goods
		to a penalty not exceeding 23[one
		hundred] thousand
		rupees or three times of
		the value of the goods,
		whichever be higher.
		123

General

45 & 75

²⁵[79, ²⁶[***] 80 ²⁶[***]

44. If, in relation to any goods in respect of which a declaration is required on

36/36A

[a goods declaration], as the case may be, it be found that the goods have apparently been packed so as to deceive the officer of customs,

45. If any goods have been

27/27A

declared on [ a goods declaration], as the case may be, and it is found that goods not so declared have been concealed in, or mixed within the goods so declared,

And the owner or any person guilty of such removal, concealment, abstraction or transferment and every person aiding or abetting him shall ²⁴[including the custodian], upon conviction by a special judge, be liable to imprisonment for a term not exceeding five years. ]

the owner of the goods and every person who aids or abets such packing shall be liable to a penalty not exceeding ¹[twenty five thousand] rupees ²⁸[or five times the duty and taxes involved whichever is higher]; and such goods shall also be liable to confiscation.

the owner of such goods and every person who aids or abets such concealment or mixing of goods shall be liable to a penalty not exceeding ¹[twenty five thousand] rupees ²⁸[or five times the duty and taxes involved whichever is higher]; and both the

124

²⁹[79, ³⁰[***] 131 ³⁰[***]

³¹[79, 79A, 131 and 131A]

46. If, when goods are passed by bale or by package, any omission or misdescription thereof tending to injure the revenue be discovered,

goods so declared and the goods not so declared shall be liable to confiscation.

the person guilty of such omission or misdescription shall be liable to a penalty not exceeding ten times the amount of duty which might have been lost to Government by such omission or misdescription, unless it be proved to the satisfaction of the officer-in-charge of the custom-house that the variance was accidental.

79 & 88

47.	If, without entry duly	the person so taking
	made, any goods are taken or passed out of any	or passing such goods 32[along with the
	customs-station,	custodian of the
		goods] shall, in
		every such case, be
		liable to a penalty not
		exceeding five times
		the value of goods;
		and such goods shall
		also be liable to
		confiscation 33[and
		upon conviction by a
		Special Judge be
		further liable to
		imprisonment for a
		term not exceeding
		five years].

79³⁴[***]

[47A	If the goods declaration is	the owner of such	79]
	not filed within the	goods shall be liable
	prescribed period of	to a penalty which
	fifteen days,	may extend to fifteen
		thousand rupees.
48.	If any prohibited	the passenger shall be	General
	36[,restricted] or dutiable	liable to a penalty not
	goods are found, either	exceeding five times
	before or after landing,	the value of the
	concealed in any	goods; and such
	passenger’s baggage,	goods shall also be
		liable to confiscation.
49.	If any goods entered to be	any person so	87
	warehoused are carried	carrying them shall
	into the warehouse unless	be liable to a penalty
	with the authority, or under the care, of the	not exceeding 1[twenty five
	appropriate officer, and in	thousand rupees]; and
	such manner, by such	such goods shall also
	persons, within such time,	be liable to
	and by such roads or ways, as such officer	confiscation.
50.	directs, If any goods entered to be	such goods shall be	88
	warehoused are not duly	deemed not to have
	warehoused in pursuance	been duly
	of such entry, or are	warehoused, and
	withheld, or removed	shall be liable to
	from any proper place of	confiscation [and
	examination before they	any person guilty of
	have been examined and	such offence, aiding
	certified by the	or abetting shall be
	appropriate officer,	liable to a penalty not
		exceeding five
		hundred thousand
		rupees] .
51.	If any warehoused goods	such goods shall be	Chapter XI
	be not warehoused in	liable to confiscation
	accordance with the
	provisions of Chapter XI,
		126

52.	If the licensee of any	such licensee shall be
	private warehouse licensed under this Act	liable to a penalty not exceeding 1[twenty
	does not open the same	five thousand
	when required so to do by	rupees], and shall
	any officer entitled to	further be liable to
	have access thereto, or,	have his licence
	upon demand made by	forthwith cancelled.
	any such officer, refuses
	access to any such officer,
53.	If the 37[licensee] of any	such 38[***] licensee
	public warehouse, or the	shall, for every such
	licensee of any private	neglect, be liable to a
	warehouse, neglects to show the goods	penalty not exceeding 39[one thousand
	warehoused therein, so	rupees].
	that easy access may be
	had to every package and
	parcel thereof,
54.	If the owner of any	such owner or person
	warehoused goods, or any	shall in every such
	person in the employment	case, be liable to
	of such owner, clandestinely opens any	penalty not exceeding 1[twenty five
	warehouse, or, except in	thousand rupees].
	the presence of the
	appropriate officer, gains
	access to his goods,
55(i)	If any warehoused goods	such goods shall be
	are opened in	liable to confiscation.
	contravention of the
	provisions of section 92;
	or
(ii)	if any alteration be made
	in such goods or in the
	packing thereof, except as
	provided in section 94,

91

Chapter XI

93

92 & 94

1. If any warehoused goods that have been delivered as stores and provisions for use on board a conveyance under the authority of this Act are relanded, sold or disposed of in Pakistan without due entry and payment of duty,
2. If any goods, lodged in a private warehouse are found at the time of delivery therefrom to be deficient, and such deficiency is not due solely to natural loss, as allowed under section 110,
3. If the ³⁷[licensee] of any public warehouse, or the licensee of any private warehouse, fails, on the requisition of any officer of customs, to produce any goods which have been deposited in such warehouse, and which have not been duly cleared and delivered therefrom, and is unable to account for such failure to the satisfaction of the appropriate officer,
4. If any goods, after being duly warehoused, are fraudulently concealed in, or removed from the

the person-in-charge of the conveyance shall be liable to a penalty not exceeding ¹[twenty five thousand rupees;] and such goods shall also be liable to confiscation.

the licensee of such warehouse shall, unless the deficiency be accounted for to the satisfaction of the appropriate officer, be liable to a penalty equal to five times the duty chargeable on the goods so deficient.

such ³⁸[***] licensee shall for every such failure, be liable to pay the duties due on such goods, and also a penalty not exceeding ³⁹[one thousand rupees] in respect of every package or parcel so missing or deficient.

any person guilty of such removal, concealment, abstraction or

106

116

116

Chapter XI

warehouse, or abstracted from any package, or transferred from one package to another, or otherwise, for the purpose of illegal removal or concealment,

1. If any goods lodged in a private warehouse are found to exceed the registered quantity,
2. If any goods be removed from the warehouse in which they were originally deposited, except in the presence, or with the sanction, of the appropriate officer or under the proper authority for their delivery,
3. If any person illegally takes any goods out of any warehouse without payment of duty [or replaces with other goods], or aids, assists or is otherwise concerned therein,

transferment and every person aiding or abetting him shall be liable to a penalty not exceeding ¹[twenty five thousand rupees] ⁴⁰[; and upon conviction by a Special Judge, he shall further be liable to imprisonment for a term not exceeding five years, or to fine, or to both].

such excess, unless accounted for to the satisfaction of the officer-in-charge of the custom-house, shall be charged with five times the duty leviable thereon.

any person so removing them shall be liable to a penalty not exceeding ¹[⁴¹[one hundred thousand rupees]; and such goods shall also be liable to confiscation.

such person shall be liable to a penalty not exceeding ⁴²[five hundred thousand] rupees ⁴⁰[;and upon conviction by a Special Judge, he shall be further liable to imprisonment for a

129

Chapter XI

Chapter XI

Chapter XI

1. If any person contravenes any rule relating to transhipment or tranships goods not allowed to be transhipped,
2. If any person contravenes any rule or condition relatable to section 128 or section 129,

term not exceeding five years or to fine or to both.]

such person ⁴³[including the custodian and the inland carrier] shall be liable to penalty not exceeding ⁴²[five hundred thousand] rupees ⁴⁴[or five times the amount of duties and taxes involved whichever is higher and upon conviction by a Special Judge be further liable to imprisonment for a term not exceeding two years]; and any goods in respect of which such offence has been committed ⁴⁵[and the conveyance illegally carrying such goods] shall also be liable to confiscation.

such person shall be liable to a penalty ⁷⁰[up to twice the value of the goods and the goods] in respect of which such offence has been committed shall also be liable to confiscation.

121

128 & 129

1. If any goods be taken on the person-in-charge 130 board any conveyance at of such conveyance
2. any customs-station in contravention of section 130,
1. If any goods not specified

27/27A

in a duly-passed [ goods declaration] or not permitted to be exported are taken on board any conveyance, contrary to the provisions of ⁴⁶[sections 131 ⁴⁷[***],

67. If any goods specified in the manifest of any conveyance or in any

27/27A

[goods declaration] are not duly put on board before the departure of such conveyance, or are relanded and notice of such short loading or relanding be not given as required by section 134,

68. If any goods duly put on board any conveyance be landed, except under sections 135,136 or 137, at any place other than that for which they have been cleared,

shall be liable to a penalty not exceeding ¹[twenty five thousand] rupees.

the person-in-charge of such conveyance ⁴⁸[along with the custodian] shall be liable to a penalty not exceeding ⁴⁹[one hundred thousand rupees and upon

conviction by		a
Special	Judge	be
further	liable	to

imprisonment for a term not exceeding two years and the conveyance involved shall be liable to confiscation].

the owner of such goods shall be liable to a penalty not exceeding ²⁰[two thousand] rupees; and such goods shall also be liable to confiscation.

the person-in-charge of such conveyance shall, unless the landing be accounted for to the satisfaction of the appropriate officer, be liable to a penalty not exceeding three times the value

131

131 ⁴⁷[***]

134

135,136 &137

1. If any goods on account of which drawback has been paid be not found on board any conveyance referred to in section 136,
2. If the owner of any baggage fails to make correct declaration of its contents or refuses to answer any questions put to him by the appropriate officer with respect to his baggage or any of its contents including articles carried with him or fails to produce the baggage or any such article for examination,
3. If any consignor in

relation fails to thereof bill as section

to coastal goods make an entry in the prescribed required under 147, or while

presenting such bill fails to make and subscribe to a declaration as to the truth of the contents of such bill,

72. If in the case of any of the goods so landed.

the person-in-charge of such conveyance shall, unless the fact be accounted for to the satisfaction of the appropriate officer, be liable to a penalty not exceeding the value of such goods.

such owner shall be liable to a penalty not exceeding three times the value of the goods, in respect of which no declaration or incorrect declaration has been made or in respect of which he refuses or fails to answer any question, or which he fails to produce for examination; and such goods shall also be liable to confiscation.

such consignor shall be liable to a penalty not exceeding ¹[twenty-five thousand] rupees.

the master of the

136

139

147

148 to 153

coasting vessel the provisions of sections 148, 149, 150,151, 152 and 153 are not compiled with,

73(i) If the master of any coasting vessel fails correctly to keep, or to cause to be kept the cargo book, or to produce the same on demand; or

if at any time there be(ii) found on board any such vessel any goods not entered in such book as laden, or any goods noted as delivered; or

(iii) if any goods entered as laden, and not noted as delivered, be not on board,

1. If any person contravenes the provisions of section 155 or aids in or abets such contravention,
2. If any rule which prevents or regulates the taking of any coastal goods out of

vessel shall in each case be liable to a penalty not exceeding ¹⁹[fifteen thousand] rupees.

the master shall be liable to a penalty not exceeding ²[ten thousand]rupees.

such person shall, except where any fine has been expressly provided for the violation of the prohibition or restriction in the law that imposes it, be liable to a penalty not exceeding ²[ten thousand]rupees; and the goods in respect of which such contravention is committed shall also be liable to confiscation.

the master of the vessel carrying such goods shall be liable

151

155

155 Pakistan is contravened,

76(i). If, contrary to the provisions of this Act or any other law for the time being in force, any goods are laden on board any vessel in any customs-port or carried coast-wise, or

(ii) If any goods which have been brought coast-wise are so unladen in any such port; or

(iii) If any goods are found on board any coasting vessel without being entered in the manifest or cargo book, as the case may be, of such vessel,

77 ⁵⁰[(i) If any person counterfeits, falsifies or fraudulently alters or destroys any declaration, statement or document in the to a penalty not exceeding ¹[twentyfive thousand] rupees, and where such contravention results in the loss of any customs-duty he shall further be liable to a penalty not exceeding three times such duty; and the goods in respect of which such contravention is committed shall also be liable to confiscation.

the master of such vessel shall be liable to a penalty not exceeding ²[ten thousand] rupees; and such goods shall also be liable to confiscation.

such person shall, on conviction of any such offence before a ⁴[Special Judge] be liable to

Chapter XVI

General

transaction of any business relating to the customs or any seal, signature, initials or other mark made or impressed by any officer of customs in the transaction of any business relating to customs; or]

(ii) being required under this Act to produce any document, refuses or neglects to produce such document; or

(iii) Being required under this Act to answer any question put to him by an officer of customs, does not correctly answer such question,

78. If any person on board any conveyance in any customs-station or who has landed from any such conveyance, upon being asked by an officer of customs whether he has dutiable or prohibited goods about his person or in his possession, declares that he has not, and if any such goods are, after such denial, found about his person or in his possession,

79(i) If any officer of customs required any person to be searched for dutiable or prohibited goods, or any documents connected with imprisonment for a term not exceeding three years, or to fine, or to both.

such person shall be liable to a penalty not exceeding three times the value of such goods; and such goods shall also be liable to confiscation.

such officer shall, on conviction before a ⁴[Special Judge], be liable to a fine not exceeding ¹[twenty

General

158