To facilitate diplomatic community, the Federal Board of Revenue (FBR) will allow diplomats to locally sale second vehicle on payment of duties and taxes in cases where the vehicle is imported for their spouses in Pakistan. Sources told Business Recorder that the amendment has been proposed in relevant SRO 577 in budget (2017-18). The SRO.577 deals with the payment of duties and taxes on the import of old and used vehicles. The benefit of SRO.577 to the diplomats would be allowed on the import of second vehicle for their spouse.

Details of the proposed measure revealed that diplomats who have spouses in Pakistan are allowed to import second vehicles; however, they are required to re-export the second vehicle subsequently on their transfer to another country. Taking into account factors and situation like age restriction or issue of left/right hand drive, sometimes diplomats are unable to re-export to the country of their next posting M/O Foreign Affairs has changed the policy and has requested for amendment in the relevant SRO 577(l)/2006 to allow sale of second vehicle by diplomats on payment on duty and taxes with the prior approval of Ministry of Foreign Affairs (MOFA) and FBR. The said measure would facilitate diplomats working in Pakistan.

Copyright Business Recorder, 2017