![The Bangkok Mass Transit Authority (BMTA) initially outfitted some buses for use, but then reversed and rejected all NGV-driven vehicles imported by Super Zara and Bestlin Group. (Bangkok Post file photo)](https://static.bangkokpost.com/media/content/20170223/c1_1203069_170223043104.jpg)
The Customs Department has started the indictment of Super Zara, the importer of 489 natural gas vehicle (NGV)-fuelled buses, for falsely claiming the vehicles were manufactured in Malaysia allegedly to avoid paying taxes.
It stands firm on its move to act against the company, based on evidence the vehicles were shipped from China to Malaysia then Thailand, through bus supplier Bestlin. Super Zara, which handled the import, earlier complained to the National Legislative Assembly, alleging malpractice by some customs officials.
"We've already issued an indictment for the first lot of imported buses," said Customs Department spokesman Chaiyut Kumkun, adding officials had also sent a letter to inform the firm of the action.
Super Zara imported the buses in five lots, so officials will gradually make indictments for each lot, he said.
Super Zara backed its argument with "Form D", a document issued by Malaysian authorities saying the vehicles originally came from a country in the Association of South East Asian Nations.
The document allowed the company not to pay 40% in taxes under the Asean Free Trade Agreement (AFTA).
However, Mr Chaiyut said, under AFTA rules, an importing country has the right to reject Form D issued by an exporting country if there are doubts over goods being shipped.
The Customs Department has sent a letter to Malaysia, advising it had rejected its Form D.
If Malaysian authorities disagree with the department's decision, it can counter the move with evidence they have, Mr Chaiyut said.
"We have never said the Form D is fake. We agree the documents are authentic, but the vehicles are not of Malaysian origin," he said.
The AFTA says tax exemptions will be granted for products on a condition that at least 40% of materials and labour comes from Asean countries.
Super Zara claimed earlier that 90.1% of the manufacturing process to make the NGV buses took place in Malaysia.
However, an investigation by the department found all buses are "finished products from China", Mr Chaiyut said.
One piece of evidence is the buses were produced under the brand Sung Long and shipped from China, customs officials said.
If Super Zara admits to the alleged wrongdoing during the investigation stage, it is subject to pay taxes, plus fines worth two times the tax rate, Mr Chaiyut said.
According to the department, a bus is taxed at 1.2 million baht each.
However, if the firm still disagrees with the department's finding, the case will be brought to a tax court and it may need to pay four times the price of taxed buses if it is found guilty of evading tax, Mr Chaiyut said.
The bus imports were earlier intercepted by customs officials at Laem Chabang port in Chon Buri. However, Super Zara earlier this month paid 40% in taxes for 390 buses and had a right to reclaim them.
The tax problem "gravely worried" Bestlin Group because it cannot supply the buses in time under a contract made with the Bangkok Mass Transit Authority which wants to scrap the deal.