Government permits car importers to pay partial duties in local currency to release stuck vehicles
Stuck vehicles to be released after complying with explicit requirements.
The government of Pakistan has permitted car importers to pay partial duties in local currency to release those vehicles stuck at the Karachi port. According to the available details, a large number of vehicles are stuck there, due to which the owners have incurred heavy losses.
The Ministry of Commerce (MoC) issued an order earlier this week, making an amendment to the Import Policy Order 2016. The new amendment will allow the owners of stuck vehicles to obtain clearance from the government. It will be applicable from 15th January under the duty shortfall condition.
Previously, the government placed the condition of paying duties and taxes by the Pakistani nationals themselves or local recipients supported by a bank encashment certificate that proves the foreign remittance is converted to the local currency.
There is a fluctuation in the value of rupees against the US Dollar, which results in variation in the payable taxes or duties. Due to the constant change in the value, the imports stay stuck at the port.
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