The Federal Board of Revenue (FBR) has detailed the procedure for importing vehicles into Pakistan under various government schemes aimed at assisting overseas Pakistanis.
These schemes—Personal Baggage, Transfer of Residence, and Gift—are designed to facilitate the import of vehicles for eligible individuals. The FBR outlines specific regulations and eligibility requirements for each category, ensuring compliance and transparency in the import process.
According to the official FBR procedure, the term ‘vehicle’ is broadly defined to include passenger cars, buses, vans, trucks, pick-ups, and 4×4 vehicles. For the purposes of these schemes, “family” includes parents, spouses, and children, but excludes minors under eighteen years of age. The document also defines a ‘Pakistan National’ as a citizen of Pakistan living abroad, including those with dual nationality or foreign nationals of Indo-Pakistani origin who hold a Pakistani origin card. However, students receiving remittance from Pakistan and non-earning family members are excluded from eligibility for vehicle importation.
The import of vehicles can be done under three different schemes:
1. Personal Baggage Scheme: Under this scheme, individuals who have stayed abroad for at least 180 days in the last seven months are eligible to import a vehicle. Importation under personal baggage is also subject to restrictions based on the age of the vehicle—vehicles older than five years are not allowed under this scheme. The condition does not apply to second-hand or used bulletproof vehicles, which can be imported under the same scheme. Additionally, vehicles with engine capacities of 1800 cc or above, or 4×4 vehicles, require payment of duties and taxes using foreign exchange.
2. Transfer of Residence Scheme: This scheme allows Pakistanis returning to their homeland to bring vehicles after a stay abroad of at least 700 days in the past three years. Similar to the personal baggage scheme, vehicles older than five years are prohibited, but used bulletproof vehicles are exempt from this restriction. If importing a motorcycle or scooter, the same conditions for vehicles apply.
3. Gift Scheme: Vehicles can be gifted to a family member residing in Pakistan under this scheme. The vehicle’s age must comply with the same regulations as the personal baggage and transfer of residence schemes, with cars older than three years being prohibited. The gifting process requires the submission of necessary documents, including the National Identity Card (NIC) of the recipient, the purchase receipt, and the bill of lading.
Eligibility and Conditions
For all three schemes, certain conditions must be met. Vehicles over five years old cannot be imported under the gift, personal baggage, or transfer of residence schemes, with the exception of second-hand bulletproof vehicles. Pakistanis must ensure that they have met the minimum stay requirements abroad and adhere to the specific guidelines outlined for importing vehicles under these schemes.
Another important rule is that a vehicle imported under these schemes must be released to the legal heirs in case of the importer’s death. Additionally, the importation process includes filing a Goods Declaration under Section 79 of the Customs Act, along with several required documents such as the purchase receipt, bill of lading, and attested photocopy of the passport or Pakistan Origin Card (POC).
Import Restrictions for Non-Privileged Foreign Nationals
Foreign nationals who are not considered “privileged” but are in Pakistan under a contract of service with any local or foreign firm, or government authority, may also import vehicles under personal baggage provisions. However, certain restrictions apply to the sale of these vehicles once they have been brought into Pakistan.
Re-export of Vehicles
In cases where a vehicle is brought into Pakistan in contravention of the import policies, the FBR may permit re-export, but this is only allowed when there are no violations of the Import Policy Order. If the vehicle was imported unlawfully—such as with forged documents or if it is stolen—the FBR will confiscate the vehicle, and the importer will face penalties. Re-export options will not be available for such vehicles.
Importing vehicles into Pakistan under these schemes can provide a convenient way for overseas Pakistanis to bring their vehicles back to their home country, but the process requires careful adherence to the regulations. Understanding the eligibility, restrictions, and procedures can help ensure that the importation process runs smoothly.