FBR bans commercial imports, limits personal goods

ISLAMABAD: The Federal Board of Revenue (FBR) has issued a new notification imposing a complete ban on bringing commercial quantities of goods from abroad, allowing only one mobile phone for personal use, ARY News reported.

According to the notification issued on Monday, individuals can only bring back one mobile phone for personal use from abroad. Items exceeding $1,200 in value will now be considered commercial trade and cannot be cleared, even with the payment of duties, taxes, and fines. Any additional mobile phones brought back from abroad will be confiscated by FBR.

A draft of further amendments to the Baggage Rules 2006 has also been issued, allowing stakeholders to submit their suggestions within seven days. Feedback received after this period will not be considered.

These changes reflect a stricter approach by FBR to curb commercial imports disguised as personal baggage, impacting travellers returning from abroad.

Read More: FBR officers criticize tax administration, policies for low collection

Earlier on December 2, FBR officers on Monday attributed the shortfall in tax collection targets to flaws in tax administration and policies.

In a statement, the Inland Revenue Service Officers Association (IRSOA) rejected the notion that officers were underperforming in tax collection. The IRSOA criticised the FBR’s transformation plan, calling it a mere show-piece that has led to discontent among tax officials.

The association highlighted significant issues such as the low salaries of 80% of junior field tax officers, many of whom lack access to transport, fuel, and residential facilities. Moreover, the large-scale transfers of tax officers to remote areas have created logistical difficulties, exacerbated by allegations of corruption.

The frequent transfers, accompanied by harsh administrative practices, are undermining the capabilities and morale of tax officers, the IRSOA said.

The FBR officers association said that over the past five months, there has been a tax revenue shortfall of Rs356 billion.

Previously, it emerged that the Federal Board of Revenue (FBR) would fail to reach its tax target collection for November 2024.

The International Monetary Fund (IMF) could demand a mini budget from Pakistan if the tax collection authority would fail to attain its target of December, according to sources.

Despite heavy taxes imposed, the FBR failing to reach to tax targets with overall 343 billion rupees shortfall in tax collection, sources said.