ISLAMABAD: Chinese goods imported for Gilgit-Baltistan through the Customs Dry Port Sost have been exempted from the payment of sales tax, income tax and federal excise duty with immediate effect.
A list of exempted goods has been issued by the Federal Board of Revenue (FBR).
According to the notification, the sales tax, income tax and federal excise duty payable on imports covered under this notification shall not be levied, provided that consignment-wise authorization is issued online in the Customs Computerized Clearance System by the duly notified authority of the Government of Gilgit-Baltistan, in the format provided in the said system.
The benefit of non-levy of sales tax, income tax, and federal excise duty shall be extended by the Collector of Customs on a first-come, first-served basis within the approved quota limit. However, goods imported for consumption within the Gilgit-Baltistan region beyond the allocated quota shall be subject to the levy of sales tax, income tax and federal excise duty.
The Gilgit-Baltistan government shall ensure that all goods imported under this notification are exclusively used within the territory of Gilgit-Baltistan.
In case customs operations are disrupted due to protests and road blockades, the Collector of Customs, Gilgit-Baltistan, upon consultation with the Government of Gilgit-Baltistan, shall have the authority to suspend the non-levy of sales tax, income tax and federal excise duty under this notification.
The Collector of Customs, Gilgit-Baltistan, shall also have the authority to disallow the non-levy of sales tax, income tax and federal excise duty in any individual case where misdeclaration is detected at a scale that warrants the institution of a contravention case under the Customs Act, 1969, or where goods cleared under this notification are taken out of Gilgit-Baltistan’s territorial jurisdiction.
The Chief Collector of Customs (Enforcement) shall take appropriate measures to ensure that goods cleared under this notification are not taken out of Gilgit-Baltistan.
The listed PCT codes in the table shall be subject to periodic review and adjustment by the Board.
A special procedure shall also be devised by the Board to effectively identify, track and clear goods imported via Sost for the rest of the country from goods cleared under this notification.
All relevant provisions of the Imports and Exports (Control) Act, 1950, the Import Policy Order and the Customs Act, 1969 shall apply to all goods imported through the Sost Dry Port, whether for consumption in Gilgit-Baltistan or the rest of the country.
