Govt Cuts Duty on Imported Used Vehicles by 10%

ISLAMABAD: (News Desk) – The federal government has reduced the additional regulatory duty on commercially imported used vehicles by 10 percentage points, lowering the rate from 40 percent to 30 percent with immediate effect, 24NewsHD TV reported on Wednesday.

According to a notification issued by the Federal Board of Revenue (FBR), the revised duty came into force on Wednesday and applies to the commercial import of used vehicles.

The notification states that the 30 percent regulatory duty will be charged in addition to all other applicable customs duties, taxes and import-related charges.

Sources said the reduction is part of the government’s long-term plan to gradually ease the additional regulatory duty on imported used vehicles.

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Under the proposed roadmap, the levy will be reduced by 10 percent annually and is expected to be completely phased out by the 2029-30 fiscal year.

The measure is part of the government’s broader policy to facilitate the commercial import of used vehicles following amendments introduced to the Import Policy Order 2022.

Officials said all imported used vehicles must continue to comply with Pakistan’s environmental and safety regulations. Meeting these standards will remain mandatory for the import, clearance and registration of vehicles under the revised policy.