Overview
- The facility took effect through an FBR notification issued under the Customs, Sales Tax, Federal Excise and Income Tax laws, applying only to consignments cleared at the Sost dry port.
- Eligibility is limited to items under specified PCT codes with online authorisation from a GB-notified authority, and importers must be firms wholly owned by Gilgit-Baltistan domicile holders.
- The exemption is capped at Rs4 billion per financial year on a first-come, first-served basis via the customs computerised system, after which normal taxes apply.
- The GB government is responsible for ensuring in-region use; Customs may withdraw benefits for misdeclaration or movement outside GB, and exemptions can be suspended during operational disruptions.
- FBR will deploy a dedicated monitoring and tracking mechanism, while the FPCCI’s Businessmen Panel argues the scheme risks smuggling and urges tighter limits such as focusing relief on raw materials and stronger safeguards.