ATT imports: govt to waive bank guarantee equal to duty

Seeks input of stakeholders on amendments in Customs Rules within two days

ISLAMABAD:

The caretaker federal government has decided to waive the new condition of bank guarantee equal to the duty imposed on imports under Afghan Transit Trade (ATT).

The government has decided to waive the new condition of bank guarantee and cashable financial guarantee equal to the value of duties and taxes imposed on goods imported under the ATT, for which the Federal Board of Revenue prepared a draft of amendments in the Customs Rules and released it for the stakeholders' input.

According to the draft, the amendments made in the Customs Rules through SRO 1402(I)/2023 issued on Oct 7, will not apply to the ATT containers that arrived at the Pakistani ports from Oct 3 to Nov 16.

The stakeholders have been asked to submit their views and suggestions on the proposed amendments in the Customs Rules within two days otherwise these amended rules will be notified through gazette notification.

The FBR amended the Customs Rules through SRO 1402(I)/2023 issued on Oct 7 to provide a bank guarantee equal to the value of duties and taxes imposed on goods imported under the ATT, imposing a new condition of cashable financial guarantee.

Apart from this, sub-rule 2 of Rule 471 of Customs Rules 2001 was amended whereby the cash financial guarantee required for goods imported under the ATT was declared as cash financial guarantee in the form of bank guarantee.

After the implementation of these rules, it was made mandatory for importers to provide cashable financial guarantees in the form of bank guarantees.