Pakistan has introduced a customs duty exemption for specified bulletproof vehicles under the Finance Act, 2026. The measure applies to vehicles imported for specific government security requirements, including logistics for the Shanghai Cooperation Organisation (SCO) Summit and counter-terrorism operations.
Who Can Benefit from the Exemption?
The exemption is targeted rather than a general facility for all importers. It covers bulletproof vehicles imported by:
- The Federal Government for SCO Summit logistics arrangements
- Federal or Provincial Government departments responding to terrorism-related threats
- Government entities meeting the prescribed approval and recommendation requirements
The Federal Government’s budget documents confirm the customs-duty exemption for these specified imports.
Approval Requirements
The exemption is subject to prescribed government approvals.
For SCO Summit-related imports, the applicable framework requires a recommendation from the Ministry of Foreign Affairs and a No Objection Certificate from the Ministry of Interior and Narcotics Control.
For vehicles required because of terrorism-related threats, the relevant recommendation and Federal Government approval requirements apply.
Which Vehicles Are Covered?
The relevant tariff provisions identify several categories of protected vehicles, including bulletproof buses, Hiace vans, Coasters, double cabins and SUVs, subject to the applicable PCT classifications and conditions.
Is the Import Completely Tax-Free?
Not necessarily.
The Finance Act 2026 specifically provides exemption from Customs Duty (CD) for the qualifying imports. This should not automatically be interpreted as a blanket exemption from every duty or tax.
FBR has also clarified that, despite media reports, it has not issued an SRO providing a general duty-and-tax-free import facility for bulletproof vehicles.
Key Takeaway
The new provision provides targeted customs-duty relief for qualifying government imports of bulletproof vehicles connected with SCO Summit logistics and counter-terrorism requirements. The exemption remains subject to the prescribed government approvals, conditions and applicable legal procedures.
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Disclaimer
This article is provided for general informational purposes only and does not constitute legal, tax, customs or professional advice. Laws, regulations, notifications and FBR policies may change from time to time. Readers should obtain professional advice based on their specific circumstances before taking any action. Xact Legal does not accept liability for actions taken solely on the basis of this information.