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NBR steps to stop evasion of duties by car importers

By Shehab Ahmed
The National Board of Revenue (NBR) has directed customs officials to verify the production serial and year of manufacture of all reconditioned vehicles on the chassis to stop evasion of duties by a section of importers of used vehicles, according to sources in the NBR.
The order came in the wake of widespread malpractices by some unscrupulous Importers of reconditioned cars who used doctored documents to change the vehicle's manufacture date, cheating the customs department and the buyers, to evade taxes and duties.
The Dally Star recently pub-
NBR later conducted a pfobe which found gross Irregularities in import of used vehicles, the sources said.
The NBR found evidence suggesting involvement of certain importers, clearing and forwarding agents and a section of customs and port officials in the irregularities.
The vehicles are taken to Dubai from Japan. The cancel
lation of registration papers in Japan provides them eligibility for export as used cars. These documents in Dubai are replaced with cancellation certificates. written in Arabic language describing both the old and comparatively new vehicles as four to five years old.
Recent rises in taxes and duties have raised the prices of reconditioned vehicles, prompting the unscrupulous traders resorting to malpratices.
In recent times, buses and cars used for more than five years were brought in shiploads and cleared at an ainaziiig pace to meet the demands for cheapei- cars- . Buyers
" tnougnt they were "buy ing lau^T model vehicles at reasonable prices.
The demand grew so high that some vehicles were airfreighted from Dubai
From now on, all the vehi cles entering the ports would undergo checks on the basis of production code, serial number and year of manufacture in the silver book.' which enlists de-
tails for all vehicles produced in Japan, the principal source of reconditioned cars imported in Bangladesh.
The details are stenciled on the chassis, difficult to be temper with or erased. The levies would l>e assessed on the basis of that and it would prevent the tendency to import more than five-year old vehicles or to declare one or two year old vehicles as five-year old ones.
In a circular sent to the Customs House In Chittagong on October 16. the NBR said that henceforth no vehicle would be released through the customs until the year and serial.num-
on cbiMMi»,w
The Chittagong Customs House has been asked to furnish a report by November 16. detailing its findings on the papers of cleared vehicles for the past one year.
Measures would be taken against the unscrupulous importers who had evaded duties and violated rules, a NBR soune told the Star.