Government takes step towards curbing imports

The Federal Board of Revenue (FBR) has increased additional customs duty from one to two percent on import of goods (7,200 customs tariff lines) from May 24, 2018. The FBR has issued SRO 630 (1)/2018 here on Thursday to double the rate of additional customs duty on imported items.
Sources said that the increase in additional customs duty from 1 to 2 percent on imports across the board would generate Rs 25-28 billion in 2018-19. The measure would have its impact on 7200 customs tariff lines. According to the SRO 630 (1)/2018, the federal government has imposed an additional customs duty on import of goods specified in the First Schedule to the Customs Act at the rate of two per cent of the customs value of such goods as determined under section 25 or 25A of the Customs Act.
The following goods would not be subjected to the 2 percent additional customs duty: Import of seeds and spores for sowing (Pakistan Customs Tariff headings 0904.2120, 1006.1010, 1209.0000); import under Chapter 31 of First Schedule of the Customs Act, 1969; import of goods classifiable under PCT codes, 5503.1100, 5503.1900, 5503.3000, 5503.4000, 5503.9000,5504.1000,5504.9000, 5506.1000, 5506.3000, 5506.4000, 5506.9000 and 5507.0000; plant and machinery used in manufacture or production of goods as is classifiable under Chapter 84 and 85 of the First Schedule to the Customs Act, 1969; import under PCTs 8517.1211 and 8517.1219; import under Chapter 99 of First Schedule of the Customs Act, 1969; import under Fifth Schedule to the Customs Act, 1969 excluding serial numbers 30, 32 and 33 of table of Part-I, serial numbers, 20 to 28, 30, 60, 96, 102, 108 to 110 of Table of Part III; and serial No. 29 to 51, 66 to 85,109 to 115, 117 to 126, 128 to 155 and 157 to 169 of Table A and Serial No.4 to 9, 11 to 14, 19 to 21 of Table B of Part VII.
The goods not to be subjected to the 2 percent additional customs duty would also include import of seeds and spores for sowing (PCT 0904.2120, 1006.1010; import under the Baggage Rules, 2006; import under sub-chapters 3 and 7 of chapter XII and chapter XV of Customs Rules, 2001; import under Notification No.SRO.577(I)/2005 dated 6th June,2005; import under Notification No.SRO.565 (I)/2006 dated 5th June, 2006;. import under Notification No.SRO.693(I)/2006 dated July 1, 2006; import under Small and Medium Enterprises and Export Oriented Units Rules, 2008 and import under temporary importation scheme vide S.R.O. 492(1)/2009, dated the 13th June, 2009.