The Board-in-Council had approved that the reward will be restricted only to anti-smuggling activities for the seizure of arms and ammunitions, drugs and narcotics, intellectual property rights, liquor and gold. However, no reward would be given to officials engaged in conducting anti-smuggling activities to confiscate antiques, currency, silver, radium, and precious stones.
The reason for excluding these items from the reward list has not been specified yet by the CBR. There are apprehensions that the smuggling of antiques and precious stones may increase due to absence of any incentive for the custom officials.
The CBR is making half-hearted efforts to control the menace of smuggling through fiscal as well as administrative measures, but the reason for excluding important items like antiques and precious stones from the list of proposed reward rules is not clear.
The CBR Tax Policy and Reform Wing has suggested that the reward should be given on conducting of anti-smuggling activities for the confiscation of gold bullion, silver bullion, platinum, palladium, radium, precious stones, antiques, currency, narcotics and narcotic and psychotropic substances.
It has also asked the authorities concerned to allow spontaneous informers, who could claim reward on specific information, as the proposed rules only entitle registered informers to claim reward.
When Business Recorder contacted senior tax officials to give reasons for not giving rewards on carrying out anti-smuggling activities relating to certain items, they said the new rule is to give reward in cases where substantial efforts are being made to confiscate precious items like gold, etc increasing the government revenue. Therefore, it is proposed to permit reward on confiscation of specific items by the custom officials. Secondly, reward has been retained on the seizure of items like narcotics, having a negative impact on the economy of the country, and its confiscation requires efforts and information network, they added.
Responding to the Tax Policy and Reform Wing suggestions, they said that the Board-in-Council is the competent authority to approve such proposals.