Pakistan Customs foils attempt to evade over Rs683 million in taxes through misdeclared imports

Profit reported that the Directorate General of Transit Trade has stopped a suspected scheme to dodge duties and taxes worth more than Rs683 million at Karachi Port. Two containers were held carrying cigarette paper, acetate tow, foreign perfumes and mineral water, all allegedly described as paper rolls and sheets to win clearance at lower rates. The shipments were first valued at around Rs1.8 million, but a detailed check lifted the assessed value above Rs106 million, pushing payable duties and taxes past Rs684 million.

The case record puts the alleged evasion at more than Rs683 million, and a criminal case has been registered over suspected false details of the goods. The operation started after the Anti-Narcotics Force passed information to customs, and a joint examination confirmed that cigarette making materials were present. Tests at the Custom House laboratory classed the seized material as uncoated cigarette paper and cellulose acetate tow. Under Pakistan's Import Policy Order 2022, cigarette paper is restricted and only eligible entities meeting set conditions can import it.

Sources said investigators are checking whether earlier shipments used the same method and are seeking people who may have helped or profited from the deals. Officials also noted that declared acetate tow imports have nearly stopped over two years despite rising cigarette output. Concern has also been raised about illicit supply routes and imports disguised by false declarations.