ISLAMABAD: The Federal Board of Revenue (FBR) has introduced new baggage regulations aimed at curbing the misuse of the duty-free baggage facility by commercial entities, often referred to as “khapias,” in a move to protect local markets and prevent smuggling.
Under the newly announced rules, any goods, including mobile phones, valued over $1,200 brought into Pakistan by a single passenger will be confiscated by customs authorities. The rule comes as part of the proposed amendments to the Baggage Rules, 2006, issued through S.R.O. 214(1)2024. The FBR has provided a seven-day period for stakeholders to give their feedback before finalizing the notification.
As part of the new guidelines, only one used mobile phone will be allowed per passenger for personal use, subject to applicable duties and taxes. However, passengers cannot bring in additional mobile phones beyond the one for personal use. Any excess phones, or those intended for commercial purposes, will be seized by customs authorities.
The FBR has now defined a “commercial quantity” of goods, setting a specific value threshold of $1,200 to distinguish between personal and commercial imports. This threshold aims to provide clarity on what constitutes goods imported for trading rather than personal use.
Read More: FBR to Ban Import of Commercial Quantities of Goods for Personal Use
The FBR’s crackdown is part of a broader effort to tighten customs enforcement and prevent the abuse of baggage facilities for smuggling activities, especially through commercial channels. The measure is expected to protect local businesses and safeguard government revenues by ensuring that imported goods are properly taxed.
This move reflects the government’s growing commitment to addressing the misuse of duty-free allowances and controlling the influx of goods that bypass legal channels, which has been a concern for the country’s economy.
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