Revised baggage rules to be notified shortly

[Abbas Ali]

ISLAMABAD (June 09 2006): The revised baggage rules would be shortly notified to facilitate the incoming Overseas Pakistanis minimising the interference of customs officials and also increasing the number of duty-free items.

Sources said on Thursday that the existing baggage rules provide for different categories of passengers and allowances admissible to them on the basis of their stay abroad.

To make the rules simple and understandable, it is intended to notify only three categories of passengers, ie, routine, transfer of residence and foreign nationals/tourists.

The duty-free and dutiable allowances for each category have been clearly spelt out. For the first time, one-figure of duty and taxes payable on dutiable items of baggage has been introduced. This will do away with the discretion of the officers and the passengers will know in advance the exact amount of their liability, and it will also assist them to quantify their duty-free allowances.

The allowances admissible under the rules have also been increased and certain items like jewellery, video cameras have been included in the duty-free allowances.

Some of the common baggage items like washing machine, cooking range, etc are also allowed in the duty-free allowances in case of passengers coming on transfer of residence.

Additional allowances to the foreign exchange remittance card-holders are also being retained depending upon the amount remitted by them through normal banking channels. To further facilitate the passengers arriving on transfer of residence, condonations have been liberalised and powers delegated.

Source: Business Recorder

[Abbas Ali]

Simplified baggage rules soon: list to contain over 700 items

SOHAIL SARFRAZ

ISLAMABAD (June 11 2006): The government will shortly notify a comprehensive list of 700-800 items with the new rules, including household items, personal wearing apparel and clothing accessories admissible under the new baggage rules for different categories of passengers, depending upon their duration of stay abroad.

Sources told Business Recorder on Saturday that the incoming passengers would receive the complete list of admissible items before landing at the airport and could easily figure out duty-free allowances as well as dutiable allowances without consulting the customs officials.

The rules containing the list would also bar the customs officials from applying procedures for calculation of duties and taxes. The rules would be so simple and straight that customs officials would not be required to raise any question regarding calculation of admissible allowance.

The rate of customs duty and sales tax on dutiable items would be specified in dollars which would be convertible into Pak rupees. The passengers would know in advance the exact amount of their liability and it would also assist them to quantify their duty-free allowances.

Sources said that the new baggage rules would take away all discretionary powers of customs officials to assess the allowances admissible to the overseas Pakistanis, tourists and other incoming passengers.

The Central Board of Revenue (CBR) has proposed new baggage rules to rescind the existing complicated procedure, which is creating problems for the incoming passengers.

The Board has studied the baggage provisions applicable in different countries, including New Zealand, Singapore and Thailand, to incorporate the best provisions in the new rules.

The customs officials have enough powers to extort money from passengers while calculating duties and taxes on the goods brought by overseas Pakistanis. Usually, customs ask the passengers to open the baggage for checking. As most of the passengers are not well versed with the laws, they have to pay some dollars to get rid of customs at the airports.

It is necessary that all powers of customs officials should be withdrawn so that the incoming passengers could clear their baggage by showing the 'CBR notified list' without delay. It has been decided that cumulative figure of duties/taxes payable on dutiable items of baggage would also be notified in the new rules. Except television, refrigerator and washing machine, many items would be under duty-free allowance.

The new rules would also effectively check the 'khepias' allegedly involved in smuggling of goods by frequent travel for bringing commercial quantity of goods without payment of duties and taxes. For example, no duty-free allowance would be admissible in case the visit aboard is for less than seven days. However, normal allowances would be admissible in case the visit is above seven days aboard.

All allowances would be allowed to the passengers during their first visit in one year. On second visit during the same year, they would only be allowed to bring personal goods.

In case the government accepts the new baggage rules, the customs powers to harass the passengers would be gone forever, officials said.

Source: Business Recorder