📌 Overview: Why Section 26 Matters in 2026
The Customs Act, 1969, as updated for tax year 2026, significantly strengthens the authority of Pakistan Customs to access foreign trade declaration information.
Under Section 26, customs officials are legally empowered to obtain documents, records, and explanations from individuals and organizations involved in import and export activities.
This provision plays a key role in ensuring transparency, preventing misuse of trade channels, and strengthening enforcement during consignment clearance and post-clearance audits.
🔍 Section 26 Explained: Powers of Customs Authorities
Under Section 26, any person involved directly or indirectly in foreign trade may be legally required to cooperate with customs authorities.
1️⃣ Obligation to Provide Trade Information
When required in writing by a customs officer not below the rank of Assistant Collector, a person must:
• 📦 Furnish information related to import, export, purchase, sale, transport, storage, or handling of goods
• 📄 Produce relevant documents or records for audit, inquiry, or investigation
• 📑 Allow customs officers to copy or extract records
• 👤 Appear before customs officials and answer questions regarding goods and transactions
2️⃣ End Use Verification – Program Global Shield
Under subsection (1A), customs authorities may require any person to provide information for End Use Verification of goods specified under Program Global Shield, subject to prescribed rules.
This provision is especially relevant for controlled, sensitive, or high-risk goods.
3️⃣ Information from Any Person or Organization
During an audit, inquiry, or investigation, the appropriate customs officer may demand information from:
• Individuals
• Government departments
• Companies
• Organizations
if such information is considered necessary to complete proceedings under the Act.
4️⃣ Policy & Tax Administration Powers of the Board
The Federal Board of Revenue (FBR) may also require information for:
• 📊 Policy formulation
• ⚖️ Administration of Customs, Sales Tax, Federal Excise, or Income Tax laws
This broad authority allows data sharing across tax regimes for enhanced compliance and enforcement.
⏳ Mandatory Time Compliance
Every person or entity receiving a notice under Section 26 must:
Furnish the required information within the time specified in the notice
Failure to comply may expose the person or organization to legal consequences under customs laws.
💡 Key Takeaways for Importers & Exporters
• Customs powers extend beyond clearance into audits and investigations
• Trade data must be accurate, traceable, and well-documented
• Non-compliance can trigger penalties, delays, or enforcement actions
• Section 26 supports inter-tax coordination in 2026
❓ Frequently Asked Questions (FAQs)
Q: Can Pakistan Customs demand information after goods are cleared?
✔ Yes. Section 26 applies during post-clearance audits and investigations.
Q: Who can issue a notice under Section 26?
✔ A customs officer not below Assistant Collector rank or the FBR.
Q: Does this apply to companies only?
❌ No. It applies to any person, department, company, or organization holding relevant information.
⚠️ Disclaimer
This article is intended for informational and educational purposes only. It does not constitute legal or tax advice. The interpretation of customs laws may vary based on specific facts, notifications, and amendments. Readers are advised to consult the Customs Act, 1969, relevant rules, or seek professional advice before making compliance decisions.