FBR relaxes temporary import rules for vehicles

ISLAMABAD: The Federal Board of Revenue (FBR) has introduced significant changes to Pakistan’s Customs Rules 2001, making it easier for tourists to bring their vehicles into the country.

Under the new draft amendment, tourists can keep their vehicles in Pakistan duty-free for up to three months, provided they submit a declaration stating they won’t transfer ownership of the vehicle during their stay.

To qualify for this exemption, tourists must meet specific conditions. If they fail to re-export their vehicle within three months, they’ll need to provide an advance bank guarantee to customs authorities. The customs collector can then extend the vehicle’s stay by another three months upon receiving the guarantee.

However, there are restrictions on re-entering Pakistan with the same vehicle. Tourists will only be allowed a 14-day temporary stay, except for vehicles operated by foreign tour agencies, which can enjoy a second three-month entry within a year.

The FBR has also considered unforeseen circumstances, allowing vehicles to remain in the country for up to six months if the importer falls ill or the vehicle meets an accident. In such cases, tourists must furnish a fresh bank guarantee to the Customs collector. Failure to do so will result in surrendering the vehicle to the Customs Department.

Additionally, importers can opt to obtain a permit from the Ministry of Commerce by paying applicable customs duty for an extended stay. The FBR invites recommendations and feedback from stakeholders on these proposed amendments, aiming to balance flexibility for tourists with regulatory oversight.