The Federal Board of Revenue (FBR) has clarified that only overseas Pakistanis are eligible to import vehicles under the Gift or Transfer of Residence schemes, and that these schemes do not involve any outward remittance of foreign exchange from Pakistan.
According to the FBR, all luxury vehicles have been assessed by Customs at higher determined values under the Faceless Customs Assessment (FCA) system, ensuring no loss to revenue.
Details issued by the department said that Pakistan Customs has gradually expanded the scope and implementation of FCA to facilitate trade and reduce human intervention in cargo clearance at ports. Introduced in December 2024, the FCA has ended the vested interests of those who benefited from the old system, prompting some elements to run continuous negative campaigns against it.
One such campaign cited an audit report alleging undervaluation of luxury vehicles under FCA, claiming that a 2023 Toyota Land Cruiser had been valued at only Rs 17,635, causing heavy losses to the national exchequer.
The FBR rejected this claim, clarifying that the vehicle’s value had been set at Rs 10.5 million, with Rs 47.2 million collected in duties and taxes. It stressed that all such vehicles were cleared after being assessed at higher determined values, ensuring no revenue loss.
The FBR also denied allegations of trade-based money laundering in these imports, reiterating that only overseas Pakistanis are eligible for such imports under the Gift or Transfer of Residence schemes, which involve no foreign exchange outflow. Similar imports of used vehicles had been allowed even before the FCA’s introduction.
The department further noted that FCA’s internal reviews and audits—sometimes presented out of context—are conducted by the institution itself to identify and address system weaknesses in a timely manner.
