Customs evasion on the rise

[DJKeefy]

The first half of 2013 saw 915 cases of customs evasion, a 50% increase compared to the same period last year, according to a report by the Customs Authority Division.

Division head Ahmed El-Saman said in a statement the value of the fines reported are estimated to be EGP 487m, yet only EGP21m had been collected.

El-Saman explained that many times the cases reported have an unidentified owner or holder, causing the low collection rate.

“The responsibility must be placed, prior to delivery, either on an identified owner or on the transporting division,” he added.

The report detailed 57 cases of tobacco smuggling, of the EGP 62m taxes due only EGP 1.3m was collected.

Eight cases of evasion were reported for Tramadol, prescription drugs and other performance enhancing substances. Of fines totalling EGP 72m, however, nothing has yet been collected.

Fireworks cases also represented uncollected fines of EGP 81m.

“Generally the taxes on alcoholic beverages for tourism purposes are 300% of their value, however, in smuggling cases, taxes are 3000% of the value,” El-Saman said.

The report said fines collected in the cases of alcohol totalled EGP 860,000.

In the first half of 2012, there were 617 reported cases of customs evasion and violations, with total fines of EGP 249m. The amount of money collected so far from these cases is EGP18 m.

Source: http://www.dailynewsegypt.com/2013/08/0 ... -the-rise/

[Bullet Magnet]

//Cough//


“Generally the taxes on alcoholic beverages for tourism purposes are 300% of their value, however, in smuggling cases, taxes are 3000% of the value,” El-Saman said.



That cant really be true can it ? I thought the whole purpose of smuggling was that the end product was cheaper due to the avoidance of Government taxes..

[DJKeefy]

But if it's hard to get hold of, they would charge a very high price, Just like petrol was 10x the proper price when we had the fuel crisis.

[Bullet Magnet]

Ah but that was stockpiling, and presumably, people bought legitimate fuel ( tax paid at pumps) then sold it on for a profit...

[Hafiz]

So, is the point of the story that the Egyptian customs service is a joke. 5% of fines 'collected'. Zero fine recovery for drug seizures. Hundreds and possibly thousands of customs workers droning away at 'border protection". The failure to collect fines is one thing, and interestingly the only function they talk about, but stopping the imports relies, not on fines, but successful prosecutions and jail time. Sticking to non-collection of fines (which seems to be their real job) might be comfortable and undemanding but it hardly qualifies as catching the baddies and reducing the imports.

No mention of prosecutions to collect fines. No mention of revenue from the public sale of the seized goods. Where are all the seized goods held. Who makes sure it doesn't 'walk'. Do they keep it in expensive guarded storage for years? Doesn't some of it 'go off' from prolonged storage or is some of it occasionally 'liberated'.

Only in Egypt could such a story lead with the deceptive line that evasions are up 50% when the real story is of hopeless, and possibly corrupt, management.

I find it curious that no serious addictive drugs are mentioned nor any of the prestige imports (cars, computers, motor boats, high end electrical goods) so well enjoyed by the Cairo elite that have always seen themselves above the law. Nevertheless, the microscope is firmly on imports by the little man/minor crook/silly fool. Oh, I forgot the gym bunnies.

[Bullet Magnet]

All this Customs and Border protection is a complete and utter Joke.

Fact is, MOST Drugs, arms and even banned travellers come in through "Private Planes" . .

I have witnessed the TOTAL lack of any checks for myself.. I cant say too much about that, other than We do get checked by Customs and Excise for using private planes regularly, but they come to visit us in our offices.

To say that certain Government departments also use the same tactics, as well as using Military airports.



I see no reason why ANYONE does not have a god given right to travel without any hinderance, it is a basic human right, one that has never been repealed in the UK, under Blacks Law, 1688..