Pakistan withdraws duty-free vehicle import facility for expats

ISLAMABAD – The government has withdrawn the facility of temporary import of duty-free vehicles for overseas Pakistanis and limiting it only to tourists who hold foreign passports. 

The Federal Board of Revenue (FBR) has made a series of amendments in the SRO533 which is related to the import of duty-free vehicles, stating that the decision has been taken to prevent the misuse of “carnet de-passage/temporary importation of vehicles by foreigners/ex-patriate Pakistanis”.

“The Federal Board of Revenue has issued SRO 533 (I)/2023 dated 08.05.2023 amending the temporary importation of vehicles’ rules covered under Chapter VI of the Customs Rules 2001,” read the FBR press release.

Under the new rules, definition of the “tourist” has been updated and new provisions have been incorporated to strictly monitor the carnet related information through Pakistan Customs Computerized System and by keeping close liaison with Federal Investigation Agency (FIA).

The passport of the tourist will be flagged with the carnet documents for proper reconciliation of vehicles imported under the carnet facility, it added.  

Reports said as many as 1,000 vehicles were imported under the tourist facility in last five years, while only 900 have left the country. The customs department is making efforts to trace the remaining 100 vehicles.

Following the amendment, only foreign passport holders are allowed to import the vehicle for temporary time period while the facility has been withdrawn for overseas Pakistanis, who hold Green passport.

FBR hints at re-imposing regulatory duty on imported cars, mobile phones

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