Overview
The SRO1571(I)/2022 expired on March 31, 2023, and since those multiple rumors about the re-imposed of Regulatory Duty circulating. But there is no confirmed news that has come from the officials of FBR. At the request of our readers, we have collected some information regarding the matter from the close recourse of FBR. Meanwhile, in our previous blogs, we have posted all the aspects in detail that the RD is still removed.
The incumbent government has imposed a ban on imports in different ways. They imposed 100% RD on imported cars and other luxury items to make imports expensive for them. It still charges per the current exchange rate at the time of import.
Earlier a report come that referenced the FBR Chairman Asim Ahmed. This report claimed that the government will reimpose RD at any time. The report asserted that the “Ministry of Commerce has the right to take a decision about the imposing of taxes and resume after the approval of the Ministry”. After the news imported dealers and customers are confuse to buy these cars or not.
Is RD Re-imposed?
To declare the original view to our customers and readers we have collected some true information regarding the matter and bring fruitful material for our customers.
As per the report, the FBR official rejects the statement of re-imposing tax. “The statement is not true and Chairman’s statement is being issued out of context”. Furthermore, he said that there is no plan to re-impose RD, at least for the next Fiscal Budget. It’s pertinent to mention here, the Regulatory Duty (RD) is reverse on old terms but not abolished.
The spoke person asserted that “There is no such proposal under consideration”.
This statement of the official declaration that there are no chances Regulatory Duty will resume on cars up to 1800cc. This statement is enough to ensure the imported cars entry is open and customers and dealers are free to import cars at old RD.
Under the SRO1571(I)/2022 100% RD imposed on imported products, and this was a huge amount. Customers are unable to import cars under the SRO and this is the actual plan of the incumbent government. This plan is made to control the import into the country. Because due to the international requirement government cannot impose a ban on imported items.
Conclusion
After the removal of SRO, cars up to 1800cc will be import at the old terms. This might help you to choose the best car for yourself to import. Used car dealers and importers will get benefit from it and set back their business on routine. Imported car dealers had to wait too long for the removal of RD to continue business on good terms and earn some benefits. Meanwhile, the ongoing depressed political situation and riots have made the trouble to open business routines.
