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Conditional Tax Relief Announced for Gilgit-Baltistan Trade as Sit-In Remains Unresolved

Key trade leaders insist the border stays shut pending a statutory order.

Overview

  • Islamabad unveiled a package ending sales tax, income tax and federal excise duty on imports through Sost that are consumed within Gilgit-Baltistan, while retaining customs and regulatory duties.
  • The scheme caps annual exemptions at Rs4 billion and allocates them on a first-come, first-served digital quota via Pakistan Customs’ WeBOC system for verified GB-resident firms and specified goods.
  • Officials said previously stuck consignments at Sost will be cleared and pledged transparency by publishing importer and product details, with penalties for misdeclaration or resale outside GB.
  • Coverage diverged on the protest’s status as some trader groups claimed an end to the sit-in, but prominent leader Javed Hussain publicly rejected the capped, conditional plan and vowed to continue.
  • Cross-border trade and passenger movement via the Khunjerab Pass remain disrupted, with travelers including students reported stranded at Sost.