Import of Cars in Pakistan

IMPORT OF VEHICLES Brochure by Pakistan FBR

1. The Trade Policy and Customs rules allow import of vehicles into Pakistan. Both new and used vehicles can be imported.
2. New vehicles can be imported freely by any one, under the generally applicable import procedures and requirements, like any other goods, on payment of applicable duty and taxes.
3. Used vehicles can only be imported by Pakistani Nationals under any of the following three schemes (certain restrictions and conditions apply):
� Transfer of residence
� Gift
� Personal baggage
4. The terms and conditions applicable for the import of vehicles under the above mentioned three schemes are tabled below:

Table – I
S. Requirements Applicable terms and conditions
No
. Transfer of Residence
Scheme
Gift Scheme Personal Baggage
Scheme
a. Eligibility to import
Once in two years (700 days after the date of Bill of Entry / Goods
Declaration of an earlier import under any of the three schemes)

 

b.	Type of vehicle that can be imported	Cars meant for transport of passengers excluding busses, vans, trucks & pickups, 4X4 vehicles Agricultural tractors, bulldozers, laser land levelers and combined harvesters Motor cycles and scooters	Cars meant for transport of passengers, excluding busses, vans, trucks & pickups, 4X4 vehicles Agricultural tractors, bulldozers, laser land levelers and combined harvesters	Cars meant for transport of passengers excluding busses, vans, trucks & pickups, 4X~4 vehicles Agricultural tractors, bulldozers, laser land levelers and combined harvesters
c.	Model of the vehicle	Not more than five years old model (year of manufacturer)	Not more than Five years old model (year of manufacturer)	Not more than Five years old model (year of manufacturer)
d.	Importer‟s Period of stay out-side Pakistan	A minimum of 700 days stay out-side Pakistan during the immediately preceding three years from the date	A minimum of 700 days stay out-side Pakistan during the immediately preceding three years from the date	A minimum of 180 days stay out-side Pakistan during the immediately preceding seven months from the date of application

		of application	of application
e.	Donee (To whom the vehicle can be gifted)	Not applicable	A family member normally resident in Pakistan i.e.: i. By parents to children (adult) ii. By children (adult) to parents iii. By either of the spouse iv. By sister to sister or brother v. By brother to brother or sister	Not applicable

Brochure – Import of Vehicle

f.

Procedure and Documents etc.

i. Goods declaration in the prescribed form as per Annexure I ii. Purchase receipt of the vehicle iii. Bill of lading, if applicable, dated not later than 120 days from the arrival of the applicant iv. Attested photo copy of the passport or Pakistan origin card (Original will be required at the time of clearance) v. Valid driving license of the applicant vi. Acknowledged copy of the declaration given to the customs on arrival by the applicant

i. Goods declaration in the prescribed form as per Annexure I ii. Purchase receipt of the vehicle iii. Bill of lading showing name and address of the consignee iv. Attested photo copy of the passport of Pakistan origin card of the donor v. CNIC of the donee

i. Goods declaration in the prescribed form as per Annexure I ii. Purchase receipt of the vehicle iii. Bill of lading, if applicable, dated not later than 120 days from the arrival of the applicant iv. Attested photo copy of the passport or Pakistan origin card (Original will be required at the time of clearance)

5. Two different regimes are en-force for levy of the taxes payable on import of vehicles, under the above schemes. In this facilitation material, these are referred as Special Regime and Normal Regime.

� Special Regime covers:

� Certain specified used vehicles imported under the aforesaid three schemes.

� Normal Regime covers:

� New vehicles imported under the aforesaid three schemes;

� Used vehicles imported under the aforesaid three schemes but are not covered under the special regime; and

� Regular import of new vehicles

SPECIAL REGIME

6. Under the “Special Regime” the taxes are levied on the basis of engine capacity, irrespective of the value of the vehicle and the optional or additional accessories. The accumulated amount of taxes, covering Custom Duty, Sales Tax, Income Tax and Capital Value Tax based on engine capacity, on import of the used vehicles meant for transport of passengers, are tabled below:

TABLE – II

Brochure – Import of Vehicle

Upto 800 CC (Other than Asian makes)	US$ 6,600
From 801 CC to 1000 CC	US$ 5,500
From 1001 CC to 1300 CC	US$ 11,000
From 1301 CC to 1500 CC	US$ 15,400
From 1501 CC to 1600 CC	US$ 18,700
From 1601 CC to 1800 CC excluding jeeps (Asian makes only)	US$ 23,100

For enquiries about applicable duties and taxes on vehicles other than those meant for transport of passengers, please contact FBR‟s Help Line Center.

7. The amount of taxes stated in Table – II, above, are reduced on account of

depreciation in value of the vehicle at the rate

of 1% for each completed month subject to a maximum of 50%.

Each completed month for depreciation is calculated from the date of first registration of the vehicle abroad to the date of entry into Pakistan.

8. The amount of taxes stated in Table – II above, are payable in US Dollars or equivalent amount in Pak Rupees converted at the rates prevailing at the time of making the payment of the taxes.

9. The following example would explain how the amount of taxes payable are determined under the above mentioned Special Regime:

NORMAL REGIME

10. Under the “Normal Regime” the taxes are levied on the basis of both engine capacity and value of the vehicle.
11. Normal regime covers the import of following categories of vehicles:
� New vehicles imported under the aforesaid three schemes;
� Used vehicles imported under the aforesaid three schemes but are not covered under the special regime; and
� Regular import of new vehicles.
12. The rates of taxes under the normal regime on import of vehicles meant for transportation of passengers are tabled below:
TABLE – III

Type of vehicle (meant for transport of passengers)	Customs Duty on Value Assessed (See Para 13 below)	Sales Tax on Duty paid value	Income Tax on Sales Tax paid value	Special Federal Excise Duty on duty paid value
Used vehicles (Not covered under special regime)

Brochure – Import of Vehicle

From 1601 CC to 1800 CC (Jeeps)	75.00%	17.00 %	5.00%	1.00%
From 1801 CC and above	100.00% R.D. 50.00%	17.00 %	5.00%	1.00%
New Cars (Regular import or under aforesaid three schemes)
Upto 800 CC	50.00%	17.00 %	5.00%	1.00%
From 801 CC to 1000 CC	55.00%	17.00 %	5.00%	1.00%
From 1001 CC to 1300 CC	60.00%	17.00 %	5.00%	1.00%
From 1301 CC to 1500 CC	60.00%	17.00 %	5.00%	1.00%
From 1501 CC to 1600 CC	75.00%	17.00 %	5.00%	1.00%
From 1601 CC to 1800 CC	75.00%	17.00 %	5.00%	1.00%
From 1801 CC and above	100.00% R.D. 50.00%	17.00 %	5.00%	1.00%

13. The value of a vehicle for the purposes of levy of above taxes is determined as under:

a. Export model – FOB value at the time of its manufacture, as certified by the manufacturer or its authorized local agent.

b. Domestic model – FOB value for similar export model certified by the manufacturer or its authorized agent, plus 5% of the C&F value.

c. In addition, the followings incidental charges and costs are added:

i. Value of optional / additional accessories;

ii. Local agent‟s commission;

iii. Ocean/air freight calculated from the country where originally manufactured;

iv. Insurance in the country where manufactured or where first registered (in case of non-availability of insurance memo an amount equivalent to 1% of C&F value);

v. Landing charges at the rate of 1% of the

CIF value;

vi. Other incidental charges;

14. In case of used vehicles, the value determined as above, is reduced on account of depreciation of the vehicle at the rate of

1% for each completed month subject to a maximum of 50%.

Each completed month for depreciation is calculated from the date of first registration abroad of the vehicle to the date of entry into Pakistan.

15. The following examples based on notional values, would explain how the value of a vehicle is determined for the purpose of levy of taxes, under the above-mentioned Normal Regime.

Particulars	Example-I Transfer of Residence	Example-II Gift Scheme OR Regular Import	Example-III Gift Scheme	Example-IV Personal Baggage
Engine capacity and make	1800 CC European make, Used car	1600 CC Any make, New Car.	1800 CC Any make, Used car	2200 CC Any make, Used Car.
FOB value as certified by the manufacturer at the time of its manufacturer	US $ 1,000	US $ 1,000	US $ 1,000	US $ 1,000
Optional / additional accessories	US $ 100	US $ 100	US $ 100	US $ 100
Local agent‟s commission	US $ 100	US $ 100	US $ 100	US $ 100
Freight from country originally manufactured e.g. (Osaka, Japan to Karachi- Pakistan)	US $ 100	US $ 100	US $ 100	US $ 100

Brochure – Import of Vehicle

Sub- total(C & F value)	US $ 1,300		US $ 1,300	US $ 1,300	US $ 1,300
Insurance @ 1% of C & F value	US $ 13		US $ 13	US $ 13	US $ 13
Sub- total (CI F value)	US $ 1,313		US $ 1,313	US $ 1,313	US $ 1,313
Landing charges @1% of CI F value	US $ 13		US $ 13	US $ 13	US $ 13
Other incidental charges, if any	US $ 74		US $ 74	US $ 74	US $ 74
Value assessed	US $ 1,400		US $ 1,400	US $ 1,400	US $ 1,400
Date of first Registration abroad	st 1 Feb, 2005	NA		st 1 Feb, 2006	th 20 April, 2007
Date of Entry in to Pakistan	th 20 July, 2007		NA		th 20 July, 2007		th 20 July, 2007
Period between first registration and entry into Pakistan	29 Months & 20 days	NA		17 Months & 20 days	3 months
Completed months	29 Months	NA		17 Months	3 months
Depreciation @ 1% per month		29 %		NA	17 %		3%
Admissible depreciation (Restricted to 50%)		29%		Nil		17%		3%
Reduction in value to the extent of admissible depreciation	US $ 406 (29% of US $ 1,400)		Nil	US $ 238 (17% of US $ 1,400)	US $ 42 (3% of US $ 1,400)
Depreciated value in US $ for the purpose of levy of duty	US $ 994		US $ 1,400	US $ 1,162	US $ 1,358
Prevailing exchange rate	US $ 1 =Rs. 85	US $ 1 =Rs. 85	US $ 1 =Rs. 85	US $ 1 =Rs. 85
Depreciated value in Pak Rupees for the purpose of levy of duly	Rs. 84,490		Rs. 119,000	Rs. 98,770	Rs. 115,430

16. Once the value is determined the amount of taxes payable are calculated as under:
Value determined of 1600 CC new vehicle
Under gift scheme (Example II) Rs. 119,000
Custom Duty – applicable rate 75%
(75% of Value determined Rs. 119,000 Rs. 89,250
Sales Tax – applicable rate 17%
Rs. 35,402
Income Tax – applicable rate 05%

Brochure – Import of Vehicle

Rs. 12,183
Special Federal Excise Duty – applicable rate 1.00% (1.00% of Value determined Rs. 119,000
plus Custom Duty Rs. 89,250
Total Rs. 208,250 Rs. 2,083
Total Taxes Rs. 138,918

Each tax rupee that you pay helps Pakistan improve its standing, economically and socially, in the nations of the world.

If you are not satisfied

– Tell us.

If you are satisfied

– Tell others

GOOD DECLARATION. GD-1 ORIGINAL COPY CUSTOMS FILE NO. ANNEX-I

1.EXPORTER‟S/CONSIGNOR‟S NAME AND ADDRESS	2.DECLARATION TYPE	3.VALUATION METHOD	4. PREVOUS REF
1.EXPORTER‟S/CONSIGNOR‟S NAME AND ADDRESS	5.PAGE 1 OF PAGES	6.CUSTOMS OFFICE	7. BANK CODE
1.EXPORTER‟S/CONSIGNOR‟S NAME AND ADDRESS	8.IGM/EGM REFERENCE & DATE	8a. INDEX
10. IMPORTER‟S/CONSIGNEE‟S/PASSENGER‟S NAME & ADDRESS	9.DRY PORT IGM/EGM REFERENCE & DATE	9a. INDEX
10. IMPORTER‟S/CONSIGNEE‟S/PASSENGER‟S NAME & ADDRESS	11. DECLARANT (OTHER THAN EXPORTER/IMPORTER) 12(a)TEL: 13.C.H.A.L. NO JOB NO
14.NTN	15.STR NO. / PASSPORT NO.	16.WAREHOUSE LICENCE NO.	17. TRANSACTION TYPE
18.DOCUMENTS ATTACHED E-FORM NO.& DATE � INV [ ]B/G � BL/AWB/ [ ]IT EXMP � CO [ ]	19.LC / DD NO. AND DATE	20. COUNTRY OF DESTINATION
18.DOCUMENTS ATTACHED E-FORM NO.& DATE � INV [ ]B/G � BL/AWB/ [ ]IT EXMP � CO [ ]	21.CURRENCY NAME & CODE	30. MARKS/CONTAINER NOs.
22.VESSEL/MODE OF	23.BL, AWB, CON- NO. &	24.EXCHANGE RATE	30. MARKS/CONTAINER NOs.

Brochure – Import of Vehicle

TRANSPORT	DATE
TRANSPORT	25.PORT OF SHIPMENT	26.PAYMENT TERMS
27.PORT OF DISCHARGE	28. PLACE OF DELIVERY	29.DELIVERY TERMS
31.NUMBER OF PACKAGES	32.TYPE OF PACKAGES	33 (a)GROSS WT (KG) (b) NET WT (KG)	34.VOLUME M3
35.GENERAL DESCRIPTION OF GOODS 36. IN THE CASE OF DANGEROUS GOODS, INDICATE HAZARD CLASS/DIV; FLASHPOINT (IN C0)	33 (a)GROSS WT (KG) (b) NET WT (KG)	34.VOLUME M3
37.ITEM NO. 01	38. QUANTITY (a) Unit type	38(b) No of units	39. CO CODE	40.SRO NO.	41. HS CODE
42.ITEM DESCRIPTION OF GOODS	46.LEVY	47.RATE	48. SUM PAYABLE (PKR)
42(a.)	46.LEVY	47.RATE	48. SUM PAYABLE (PKR)
43. UNIT VALUE	44. TOTAL VALUE	45.CUSTOMS VALUES (PKR)	46.LEVY	47.RATE	48. SUM PAYABLE (PKR)
DECLARED	ASSESSED	DECLARED	ASSESSED	DECLARED	ASSESSED	46.LEVY	47.RATE	48. SUM PAYABLE (PKR)
						46.LEVY	47.RATE	48. SUM PAYABLE (PKR)
37.ITEM NO. 02	38. QUANTITY 38(b) No of units (a) Unit type	39. CO CODE	40.SRO NO.		41. HS CODE
42.ITEM DESCRIPTION OF GOODS 42(a.)	46.LEVY	47.RATE	48. SUM PAYABLE (PKR)
43. UNIT VALUE	44. TOTAL VALUE	45.CUSTOMS VALUES (PKR)	46.LEVY	47.RATE	48. SUM PAYABLE (PKR)
DECLARED	ASSESSED	DECLARED	ASSESSED	DECLARED	ASSESSED	46.LEVY	47.RATE	48. SUM PAYABLE (PKR)
	ASSESSED	DECLARED	ASSESSED	DECLARED	ASSESSED	46.LEVY	47.RATE	48. SUM PAYABLE (PKR)
49.SRO/TEST REPORT NO & DT	50. FOB VALUE	54. LANDING CHARGES @%
49.SRO/TEST REPORT NO & DT	51. FREIGHT	55. OTHER CHARGES
49.SRO/TEST REPORT NO & DT	52. CFR VALUE	56. ASSESSED VALUE
49.SRO/TEST REPORT NO & DT	53. INSURANCE %	57. TOTAL REBATE CLAIM/ASSMNT U/S 81
58. MACHINE NO. & DATE	59. REVENUE RECOVERED CODE | LEVY TOTAL:	60.AMOUNT (PKR)	61. A.O‟S SIG. & STAMP 62. P.A. SIG. & STAMP 63. OUT OF CHARGE SIG. & STAMP	64. I/We declare that the above particulars are true & correct DECLARANT‟S NAME & DESIGNATION SIG & DATE
58. MACHINE NO. & DATE	59. REVENUE RECOVERED CODE | LEVY TOTAL:	60.AMOUNT (PKR)	61. A.O‟S SIG. & STAMP 62. P.A. SIG. & STAMP 63. OUT OF CHARGE SIG. & STAMP	65. C/F/D NO. & DATE 66. BANK STAMP

Continued.

GOODS DECLARATION. GD-I

INQUIRY

ADVICE/AMENDMENT /REJECTION (WITH GROUNDS)

REGISTRATION BY CUSTOMS SHED STAFF A) DATE OF RECEIPT

B) TIME OF RECEIPT C) REGN. NO

FOR BOND SECTION’S USE

REGISTRATION BY PORT AUTHORITIES

BOOK & PAGE NO DATE WHARFAGE CHARGES

STORAGE CHARGES GATE PASS

EXAMINATION REPORT BY CUSTOMS SHED STAFF

A) LOCATION———————————-

B) INSPECTED THE WHOLE COMPRISING ——–CASES C) EXAMINED ———-% SELECTED CAES BEARING

PHYSICAL EXAMINATION

DISCREPANCIES

SPECIFICATION QUANTITY

OBJECTIVE VERIFICATION

DECLARATIONS AS PER PACKING LIST

HAS THE VALUE BEEN APPRAISED

YES NO

NOS——————————————————————— D) CONTAINER NOS

————————————————————————— E) MARKS AND NUMBERS

————————————————————————— F) IGM/EGM ———————————————————- INDEX——————————————————————

ORIGIN

PCT HEADING WEIGHT (GROSS/NET)

DATE OF MFG/EXPIRY——- OTHERS

IF YES, MENTION THE VALUE_ IS SAMPLE FORWARDED TO GROUP/LAB

ANY ADDITIOANL EXAM REPORT SHEET (ATTACHED)

CERTIFICATE

(To be issued by the Pakistan Diplomatic Mission)
1. This is to certify that from the documents and evidence produced by Mr/Mrs/Miss……………………..………………………….. his/her/total income by legitimate earnings during his/her stay in………… ……………………………………………………….. From………………………. To …………………………… has been calculated as under:-
(i) Gross income……………………..(in words)………………..……
………………………………………….…………………………….
(ii) Net savings after deduction of taxes, board and lodging expenses @ $ 10/5 per
day for ……….……days…….……
(in words)…………………………………………………..
……………………………………………………………..
2. The documents on which this certificate is based are annexed herewith for presentation to the Authority alongwith the certificate at the time of applying for issue of import permission.
3. Also certified that it has been made clear to the applicant that the issue of the certificate does not in any way imply any commitment on the part of the Authority to issue the import permission, which shall be governed by the rules and Regulations in force at the time of filling of complete application with them.
4. The certificate is valid for six months for presentation to the Authority along with applications on Annex-III and other documents prescribed therein.
Signature………………………. Date………………………… (Name of the official in block letters)
Designation ………………………………..
Place………………………………….Seal of the Mission. ……………

Brochure – Import of Vehicle

GIFT UNDERTAKING

Annex-III
[See paragraph 1(d) Appendix-„E‟]

(To be executed by a Pakistani national for the purpose of gift of motor car to a member of his family in

Pakistan)

I……………………….Son/daughter of………..……………….. resident…………………………of……………………declare as under:-
(i) that I proceeded abroad on …………………………………
and I have completed two years stay abroad on…………… …………………………
(ii) that I propose to send a car as gift to my……………………
(state relationship) who is living permanently in Pakistan at the following address:-
(Name)……………………………………………………… (Full address)………………………………………………. (Age) ………………………………………………………. (in case of son/daughter).
(iii) that I have not imported a car for myself or for any member of my family during the past two years.
(iv) that I shall not import another car within a period of two years even if I return within this period on retirement or transfer;
(v) that the car is not being gifted to a minor; (vi) Details of my Passport are as under;
No. ………………………………Date of issue……………………………………… Place of issue……………….issued by……………………
(vii) that the car will be/has been purchased out of my own earning outside Pakistan.
Signature ………………….. Name ……………………… (in block letters)
(Full Address(abroad)……..
………………………………
Dated…………………….
Certified that the above declaration/undertaking has been executed and signed by Mr./Mrs./Miss. …………………………………………….. who is residing at the following address, before me:- ………………………………………………………………………………..……………………
2. The statement at (i), (iii), (vi) and (vii) have been verified by me. The undersigned has further verified that the applicant did not visit Pakistan for a period of more than 60 days at a time during the last two years. This certificate which is being issued in quadruplicate under the instructions of the Ministry of Commerce is valid for six months for presentation to the Authority along with application on Annex-III and other documents prescribed therein.
Place………………. Signature…………………… Date …………………………. Name
Enclosures …………………. Seal of Pakistan Mission…………………………….