FBR Permits Duty-Free Temporary Import of Tourist Vehicles for Three Months

Islamabad: The Federal Board of Revenue (FBR) has introduced a facilitative policy allowing tourists to temporarily import vehicles into Pakistan without paying Customs duties, effective for three months.

The policy, implemented through an amendment to the Customs Rules of 2001 under SRO 1965, which was issued on Monday, authorizes the importation of vehicles into Pakistan utilizing either a carnet de passage or a bank guarantee. Upon arrival, Customs officials will permit the duty-free discharge of vehicles, contingent upon travelers declaring that ownership of the vehicle will not be transferred during their stay in the country.

Tourists who are unable to export their vehicles within the initial three-month period may submit a request for an extension of up to an additional three months. The pertinent Customs collector will confer the extension upon the presentation of a valid carnet de passage or a bank guarantee, in conjunction with assurances that the tourist will remain within Pakistan throughout the duration of the extension.

For vehicles re-entering Pakistan within one year, the duration of provisional release shall be restricted to 14 days, unless the vehicle is operated by an accredited foreign travel agency. In such instances, a temporary importation period of three months will be permitted.

In extraordinary circumstances, such as health-related issues, catastrophes, or other unavoidable factors, the Chief Collector of Customs may grant an extension of up to six months. This necessitates submitting a new bank guarantee or a renewed carnet de passage if the initial guarantee does not encompass the extension period. The inability to obtain an extension will lead to the seizure of the vehicle for adjudicative proceedings.

Travelers passing Pakistan on their way to other countries without a carnet de passage or a bank guarantee might still use their automobiles without paying customs costs. This is contingent upon the payment of escort fees as established by the Customs collector, with the vehicle’s particulars documented in the tourist’s passport.

The revised regulations are designed to enhance tourism and streamline processes for international travelers, all while assuring adherence to Pakistan’s Customs framework.