Islamabad, January 30, 2026 – The Federal Tax Ombudsman (FTO) on Friday reaffirmed Pakistan Customs’ authority in handling Export Facilitation Scheme (EFS) cases, emphasizing strict adherence to legal procedures and compliance standards.
The ruling highlights the government’s commitment to ensuring accountability while maintaining a transparent export framework.
The case involved a complaint over clerical errors in export declarations, where certain consignments under EFS were mistakenly filed under the Commercial Exports category. The complainant had requested rectification under section 155R of the Customs Act, 1969, claiming the misclassification was unintentional.
During the review, the FTO found that Pakistan Customs had acted entirely within the legal framework, carrying out cancellation of EFS authorizations, audits, issuance of show-cause notices, and recovery proceedings in line with established regulations. The discrepancy involved a considerable volume of export declarations, which could have led to wrongful fiscal benefits if unaddressed.
The Ombudsman observed that such cases underscore the importance of diligence in export documentation and adherence to procedural rules. By dismissing the complaint, the FTO reinforced that customs authorities are empowered to act decisively against irregularities while protecting legitimate exporters.
A penalty was imposed under section 22(2) of the FTO Ordinance, 2000, with instructions for timely deposit. Failure to comply may trigger recovery actions under the Customs Act, 1969. The ruling is expected to serve as a reminder for exporters to ensure accurate reporting under the EFS framework.