Karachi, October 25, 2024 – The Federal Board of Revenue (FBR) has announced significant amendments to regulations governing the temporary import of vehicles by tourists, aimed at enhancing compliance and ensuring that imported vehicles are utilized solely for travel purposes. These draft amendments, outlined in SRO 1650(I)/2024, were released today to address the evolving challenges associated with cross-border vehicle movement and to prevent misuse of the current import facilities. The proposed regulations permit tourists to import vehicles temporarily under a “carnet de passage” or a valid bank guarantee, without incurring customs duties, for a maximum period of three months. However, the importers must declare at the customs entry point that they will neither transfer nor sell the vehicle during their stay in Pakistan. This measure underscores the FBR’s commitment to limiting the misuse of temporary imports for commercial or local usage. If circumstances prevent the vehicle from being exported within the specified three-month timeframe, tourists can apply for an extension, subject to approval by the local customs collector. However, extensions are capped at an additional three months, contingent upon the submission of a renewed carnet de passage or bank guarantee, ensuring the FBR maintains strict control over the vehicle’s temporary status. In a bid to counteract repeated short-term imports, the FBR has stipulated that vehicles re-entering Pakistan within a year after their exit will not be granted an extended temporary release. Such vehicles, whether brought in by the same tourist or another non-Pakistani visitor, will only be eligible for a maximum of 14 days. Exceptions exist only for vehicles operated by registered foreign tour agencies, which are allowed to re-enter for a duration of up to three months within a year, ensuring that recognized tourism facilitators retain operational flexibility without compromising regulatory oversight. The amendments also…