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please show proper working for each part Uwaym Chemical Limited (UCL) is engaged in manufacturing and commercial trading of various chemicals, across Pakistan. During 2020,

please show proper working for each part

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Uwaym Chemical Limited (UCL) is engaged in manufacturing and commercial trading of various chemicals, across Pakistan. During 2020, owing to massive fluctuations in PKR-USD exchange rate and unplanned disruptions in the only PVC resin manufacturing Plant of Pakistan, demand of imported PVC resin (PCT code 3904.1090) was multifold. UCL en-cashed the opportunity and derived 20% of it PBT (Total PKR 500 million) from commercial trading of imported PVC resin. It imported 2580 MT of PVC Resin and completely sold it within the month(s) of import. No closing stock was available with the Company as on December 31, 2020. Further 40% of such imports related to period from Jan-June 2020. One reason for UCL higher profits on this trade is abolishment of regulatory duty and addition custom duty on this PCT code. However, higher exchange rate (assumed avg PKR 176/USD) and higher internal prices of resin (avg USD 760/MT) and ocean freight (avg USD 70/MT) has balanced the profitability. Import cash outflow mainly included insurance charges PKR 10,000/MT, 1% landing charges, Custom duty (applicable as in Pakistan Custom Tariff) and 17% sales tax. Other than this PKR 100,000,000 was expended by UCL on promotions, discounts, salaries etc. on PVC segment. UCL follows special tax year of Jan - December 2020 and is in ATL with no exceptions. Requirement: 1. Total 'Value of goods' imported in PKR. (0.5 marks) 2. Total refundable and non-refundable taxes at import stage (with breakup). (0.5 marks) 3. Total amount of income tax withholding by Customs Department. (0.5 marks) 4. Tax liability and tax payable/ (refundable) of PVC segment for UCL. (1 mark)

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