Rs5,000 declared value: FBR grants relief on products imported thru courier services

ISLAMABAD: The Federal Board of Revenue (FBR) Thursday implemented a facilitative measure for importers under which any product imported into Pakistan through postal or air courier services with a declared value up to Rs5,000 will be exempted from customs duty or any other types of taxes.

The FBR has issued an SRO 1109(I)/2020 here on Thursday.

Under the new rules, the FBR stated that the new rules shall apply to the goods imported through postal service and air couriers only.

The “de minimis value” means the value of goods up to Rs5,000 in terms of the provisions of Section 19C of the Customs Act whereas “postal goods” means goods cleared in terms of the provisions of Landing and Clearing of Parcels Rules as mentioned in Chapter XVI of the Customs Rules, 2001.

The postal or courier authorities will not be obligated to file goods declaration or demand payment of duty and taxes for goods with a value up to Rs5,000.

The postal or courier authorities shall submit a consolidated monthly e-statement of all such clearances along with copies of the invoice of the imported goods cleared under these rules to the concerned Customs authorities for reconciliation of the record in the prescribed manner.

For the purpose of application of the provisions of Section 19C of the Customs Act 1969, the value mentioned on the label of the postal good or the courier receipt shall be considered as the declared value.

For conversion of invoice value into Pakistani rupees, the postal or courier authorities shall take the official exchange rate of the previous day, the FBR rules added.

Copyright Business Recorder, 2020