In a move aimed at enhancing foreign tourist mobility, the government has permitted foreign visitors to temporarily import duty-free vehicles for up to three months.
Under the proposed amendments, tourists can import vehicles either with a carnet-de-passage or a bank guarantee. The customs officer in charge will allow the vehicle entry without payment of duties, permitting it to stay in Pakistan for three months. However, the tourist must submit a declaration at the customs station or port of entry, ensuring that they will not transfer ownership of the vehicle, either materially or constructively, during their stay in Pakistan.
The facility appears to benefit Middle Eastern royal families and other elites who can afford to import their high-end hunting vehicles. However, the facility will also benefit those who visit Pakistan by road.
It was also clarified that the customs collector might extend the vehicle’s stay for an additional three months if visitors cannot export the vehicle by the deadline. However, this extension will be subject to having a valid carnet-de-passage or bank guarantee and undertaking by the carnet holder that he will not leave the country during the extended period.
To facilitate tourist travel, it was decided that recognized foreign tour agencies would be allowed to re-enter the same vehicle within one year for up to three months at a time, after it has exited Pakistan. However, if the same tourist (non-Pakistani) or another non-Pakistani tourist wishes to temporarily re-import the same vehicle after exit, they can do so for 14 days using a carnet-de-passage or a bank guarantee.
Additionally, the Federal Board of Revenue (FBR) was granted the authority to extend the vehicle’s usage for up to six months in specific cases, provided certain criteria are met. If the carnet holder fails to obtain a legal extension, the vehicle must be handed over to the relevant collector.
It was also agreed that if the importer wishes to keep the vehicle beyond the authorized period, they must obtain an import permit from the Ministry of Commerce and pay the applicable customs duties and taxes as of the date of importation.
Furthermore, if a tourist imports a vehicle for transit through Pakistan to a foreign destination, the customs officer at the entry point may, in the absence of a carnet-de-passage or bank guarantee, allow the vehicle to pass through Pakistan without payment of customs duties. This is done under the escort of Customs from the entry point to the exit point, with escort charges determined by the relevant collector.
The details of the vehicle permitted to transit through Pakistan will be recorded in the tourist importer’s passport.
Source: Dawn
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