Temporary Waiver of Customs Duty for Tourists Importing Vehicles to Pakistan

Islamabad: The Federal Board of Revenue (FBR) has granted approval for the temporary import of vehicles by tourists into Pakistan without the payment of customs duties for a period of three months. According to the amended Customs Rules of 2001, as outlined in SRO 1965, tourists can now bring vehicles into Pakistan based on a bank guarantee, with delivery being made without any customs duty, provided they ensure that the ownership of the vehicle is not transferred to anyone else during their stay in Pakistan.
If tourists are unable to export the vehicle within the three-month period, they can apply for an extension, which will not exceed an additional three months. However, if the same vehicle re-enters Pakistan within one year, only a 14-day temporary permit will be granted, unless the vehicle is being operated by a recognized foreign tour agency. In such cases, re-entry can be allowed for up to three months at a time.
In cases where health issues, accidents, or other uncontrollable circumstances prevent the export of the vehicle, the Chief Collector of Customs may grant an extension of up to six months. Extensions are conditional on the original bank guarantee, and failure to comply may result in the vehicle being confiscated, with decisions made by the relevant authorities.
Furthermore, if a tourist imports a vehicle to Pakistan with the intention of traveling to a foreign destination but does not possess a bank guarantee, customs officers may allow the vehicle to transit through Pakistan without customs duty, subject to escort charges, which will be determined by the relevant collector. The vehicle details will be recorded in the tourist’s passport.