The Federal Board of Revenue (FBR) on Thursday implemented the “De-minimis rules for imported goods” under which any product imported into Pakistan through postal or air courier services with a declared value up to Rs. 5,000 will be exempt from customs duty or any other types of taxes.
The FBR had issued the draft rules through an S.R.O.886(I)2020 issued on September 17, 2020. Now, the final rules have been issued by the FBR under an SRO.1109(I)/2020 issued here on Thursday.
The FBR stated that the new rules shall apply to the goods imported through postal service and air couriers only. The “de minimis value” means the value of goods up to Rs. 5,000 in terms of the provisions of section 19C of the Customs Act whereas “postal goods” means goods cleared in terms of the provisions of Landing and Clearing of Parcels Rules as mentioned in Chapter XVI of the Customs Rules, 2001.
The postal or courier authorities will not be obligated to file goods declaration or demand payment of duty and taxes for goods with a value up to Rs. 5,000.
The postal or courier authorities shall submit a consolidated monthly e-statement of all such clearances along with copies of the invoice of the imported goods cleared under these rules to the concerned Customs authorities for reconciliation of the record in the prescribed manner.
For the purpose of application of the provisions of section 19C of the Customs Act 1969, the value mentioned on the label of the postal good or the courier receipt shall be considered as the declared value.
For conversion of invoice value into Pakistani Rupees, the postal or courier authorities shall take the official exchange rate of the previous day, FBR rules added.