Seychelles Cracking Down On Illegal Importers

by Lorys Charalambous, Tax-News.com, Cyprus

01 May 2003

The Seychelles Trade Tax Import Division has announced that it will be imposing tougher penalties on importers who illegally bring undeclared goods into the jurisdiction.

The Comptroller of Trades Tax Import Division, Charles Morin, told the Seychelles Nation this week that the agency planned to seize goods that have been illegally imported, in addition to levying fines amounting to between two and three times the value of the contraband goods.

Previously, the authorities eventually released the seized goods back to the importer. However it has now been recognised that this was not severe enough to deter would-be offenders, who would often go on to sell the goods at a higher price, thus cancelling out the effect of the fine.

"In this case they get their money back by inflating the prices of the items and it is the consumers who eventually bear the cost," Mr Morin explained, pointing out that the country's Price Control Unit is investigating the practice.

Consequently, the Trades Tax Import Division will now impose fines and seize goods for all imports that are not accompanied by the appropriate documentation.

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