Amendments in Customs Rules, 2001

Covernment of Pakistan

(Revenue Division)

Federal Board of Revenre

*{.*,t

Notification

,!

L1l

Islamabad, th" August, 2023.

1r:t)

S.n.O. 0)D023.- In exercise of the po*'ers conlerred by section 2t9

ofthe Customs Act, 1969 (lV of 1969), section 50 ofthe Sales Tax Act, 1990, section

40 of the Federal Excise Act. ?005 and section 237 ofthe Income Tax Ordinance,

2001( XLIX of2001). the Federal Board ol Revenue is pleased to direct that the

following funher amendments shall be made in the Custorns Rules,200l, SRO

450(1y2001 dated 18.06.2001 namely:-

In the aforesaid Rules,-

(l)

in rule 871,-

(a)

in clause (i), after the word "company", the words "authorized

under these rules" shall be inserted;

(b) in clause (l), after the words "such exporter", the words

"authorized under these rules" shall be inserted;

(c)

after clause (s), the following new clause (sa) shall be inserted:-

"(sa)

"online market place" means an electronic interface

such as a market place, e-commerce platform. website

portal or similar means which facilitate export of goods,

( including third party export."; and

(d)

in clause (v), after the phrase "the head ofllce of the applicant"

the phrase "or principal manufacturing unit" shall be inserted;

(2)

in rule 874,-

(a)

in sub-rule ( I ), in clause (i), a&er the phrase "annual production"

the phrase "or exports with minimum value of USD 20 million,"

shall be insened; and

(b) in sub-rule (l ), in clause (ii), after the phrase "being exported"

the phrase "excluding those having exports with minimum value

of USD 20 million" shall be inserted:

(3) in rule 8?5, in sub-rule (2), for clause (vii), the follorving shall be

substituted, nameiy:-

"(vii) export performance for last two or three years whichever is

applicable, supported by a summary of foreign exchange realized

through e-forms if aPPlicable.";

(4) in rule 877.-

(a) in sub-rute (4), after the word "input" occurring. second time' the

word "outpuf' shall be substituted for the word "out"; and

(b) in sub-rule (5), for the full-stop at the end, a colon shall be

substituted and thereafler, the following provisos shall be added'

namely:-

"Provided that the Regulatory Collectorate shall issue

analysis certihcate within 3 days ol application by the user

proiisionally as per declared input output ratios and wastages

pending final determination or revision by IOCO or EDB' as the

case may be;

Provided further that the quantity equivalent to hundred

percent capacity ofthe producing or manufacturing unit may be

t appro.ued provisionally by the Regulatory Collectorate' as

uppti.A Uy it,. user. However, up to fifty percent quantiry may

be'allowed to be used by the time IOCO or EDB, as the case

may be, detcrmines output and input ratios"';

(s) in rule 881 . after sub-rule (2). the follor+'ing ne*' sub-rule shall be

added, namely: -

"(3) The Regulatory Authority, on submission of an appiication by

the EFS *"r, rnuy allow sale or transler of plant. machinery,

equipment and apparatus from one EFS user to another EFS user'

In case, both ihe units fall under jurisdictions of different

Collectorates, sale or transier may be allowed subjecl to obtaining

no nbjection certificate from the destination Collectorate' Any

stated sale or transfer shall be subject to security and indemnlty

bond lbr the remaining period as prcscribed in Appendix-Vl

deposited at the time of irnport. After sale or transfer ol plant,

machinery, equipment and apparatus, EFS user shall provide

certificate to the respective Collectorate to the effbct that such sale

or transfer has been completed as per prescribed procedure and rhis

procedure shall apply mutatis mutandis in case of merger or

acquisition of EFS users.";

(6) after rule 883, the following proviso shall be inserted:-

"Provided that the said period may be extended lor exporl ofoutput

goods only by the ChielCollector of respecrive jurisdiction for six

months' period in cases of exceptional circumstances and in case

ofexlension such fresh securities as mentioned in rule 876 covering

the extension period shall be obtained.";

(7)

in rule 885,-

(a)

for sub-rule (2), the tbllowing shall be substituted, namely:-

'12)

The user shall provide I-Form of nil remittance

value for input goods duly approved by the

authorized dealer concerned.";

(b)

after sub-rule (2), amended as aforesaid, the following clause

shall be inserted, namely:-

"(2A) At the time ol import, the system shall debit the

revolving insurance guarantee balance of the

importer or accept the Indemnity Bond and Post

Dated Cheque, as the case may be, for an amount

r

equivalent to the duties and taxes leviable on the

imported goods.";

(c)

for sub-rule 3, the following shall be substituted, namely:-

"(3)

After the production of the output goods, the user

shall expo* the goods on submission of E-Form

equivalent to the service charges approved by the

authorized dealer.": and

(d)

after sub-rule 3, amended as aforesaid, the lbllowing new sub-

rules shall be added, namely:-

"{4)

On realization ofthe foreign exchange equivalent to

the service charges as per contract, the authorized

dealer will certiry and report the same to the State

Bank of Pakistan on R'Form'

(5) Subsequent to the realization ol the foreign

exchange equivalent to the service charges as per

contraci, cert'ihed by the authorized dealer to the

State Bank of Pakistan on R-Form, the revolving

insurance guarantee furnished by the imponer shall

be credited or the indemnity bond and postdated

";

cheque shall be released, accordingly

(8) in rule 887, in sub-rule (1)' in clause (b), for the figure "741"' the

figure "8?2" shall be substituted;

(e) in rule 888. in sub-rule (1), in clause (a), for the figure "741"' the

figure "872" shall be substituted;

( 10) in rule 895, in clause (d), for the full-stop at t}e end, a colon shall

Ue ,uUstiuiea and thereafter the following proviso shall be added'

namely:-

in of

"Provided that remission shall not be applicable case

insurable risks.";

(11) after rule 898, the following new heading shall be added' namely:-

*SuhChaPter l-

( Common ExPort Houses"; and

after Appendix-V, the following ner'v Appendix shall be added'

( 12)

namely:-

"APPENDIX.VI

Rule B8t (3))

lSee

COVERNMENT OF PAKISTAN

COLLECTORATE OF CUSTOMS

INDtr,MNITY BOND

(ON APPROPRIATELY STAMPED NON-JU DICIAL PAPER)

This deed of indemnity is made on the day of

M/s

who have registered office at

-2}-between

(hereinafter called the licensee which means and includes their successors,

administrators, executors and assignees) of the one palt and President of Pakistan

through the Collector ol Customs) (hereinafter called "the

Colleclor") of the other part:

1. Whereas, the Regulatory Authority has allowed us to remove plant,

machinery, equipment and apparatus from one EFS user to another EFS user, we

shall pay on demand all duties, taxes, drawbacks, repayments. rebates and refunds,

not levied or paid under the rules, on the procurement of plant and machinery which

are not accounted for to the satist'action of the Regulatory Authority and to pay any

penalties imposed by the Regulatory Authority /adjudicating officer for violation of

these nrles or the Acts;

1. Now, these present witness thal in pursuance of this BOND the licensee

IvUs. hereby agrees :o indemnifl the said Regulatory Authority nr

adiudicatinp officer for loss of revenue to the extent of Rs.

(Rupees

) and also against costs and expenses which may be

incurred by the Regulatory Authority in recovery of the above amount ofrevenue.

4.

It is further agreed that the above amount may be recovered as arrears under

relevant sections of the Acts and the rules made thereunder if the licensee {eils to

abide by any condition laid down in rules.

5.

IN WIINESS WHEREOF. the parries hereto have put their respective trands

and seals on lhe day above written.

(l)M1s

(Address)

r

(2)

{Name and pennanent address)

For and on behalfofthe President

Witness No. I Witness No.2

Si Si ature

Name Name

Designation l)esignation

Full address Full address

CNIC No. CNIC No.

Note l.- 'fhe witnesses shall be government servants in BPS-16 or above, or

Oath Commissioner, Notary Public oraa Officerof a Scheduled Bank.

of

Note 2.- This bond shall be based upon proper collateral security in the shape

NIT units, National Saving Certificates, Defense Saving Certificates

and such other securities which banks generally accept for extending

credit.".

( 13) in rule 90?, in marginal heading, after the word "authorization", the

words "for common export house:" shall be inserted;

(14) in rule 904, in marginal heading, after lhe word "from"' the words

"common export" shall be inserted;

F.No.3( 1)EP/2013

( mj Arnan)

rt Policy)