The Federal Board of Revenue (FBR) has released a draft amendment to Pakistan’s Customs Rules 2001, proposing substantial changes to the temporary import regulations for vehicles brought into the country by tourists.
Under the amendment, tourists can keep their vehicles in Pakistan duty-free for a period of up to three months, provided they meet certain conditions.
According to the FBR’s notification, tourists intending to bring their vehicles into Pakistan must submit a declaration confirming that they will not transfer ownership of the vehicle while in the country.
If a vehicle is not re-exported after the three-month period, its owner must provide an advance bank guarantee to the customs authorities. The customs collector has the authority to extend the vehicle’s stay by an additional three months upon receiving this guarantee.
For vehicles re-entering Pakistan, only a limited temporary stay of 14 days will be allowed, except for those operated by foreign tour agencies, which can benefit from a second three-month entry within a year.
The FBR has also introduced provisions for unforeseen circumstances. In cases of illness of the importer or if the vehicle is involved in an accident, the vehicle may remain in the country for up to six months. In such instances, the tourist will be required to submit a new bank guarantee to the customs collector.
Failure to submit the necessary bank guarantee will require the tourist to surrender the vehicle to the Customs department. Furthermore, importers will have the option to secure a permit from the Ministry of Commerce by paying the applicable customs duty for an extended stay.
The FBR has also called for recommendations and feedback from stakeholders regarding the proposed amendments, which aim to offer flexibility for tourists while maintaining appropriate regulatory oversight.
