ISLAMABAD: The Federal Board of Revenue (FBR) has called on field formations and the business community to submit their customs-related budget proposals for the fiscal year 2025-26. This initiative seeks to align customs policies with national economic objectives, improve revenue collection, and address trade and industrial challenges.
The Federal Board of Revenue (FBR) has officially invited budget proposals from stakeholders for the fiscal year 2025-26, focusing on customs-related measures. These proposals aim to streamline customs operations, boost revenue collection, and promote trade facilitation in alignment with the government’s economic goals.
Objectives of the Proposals:
The FBR has outlined key areas where stakeholders are encouraged to share their input:
- Tariff Rationalization:
Suggestions for revising customs duties on raw materials, machinery, and intermediate goods to boost industrial output and promote exports.
Recommendations to shield domestic industries from unfair competition while attracting foreign investments.
Trade Facilitation:
Proposals to simplify customs clearance processes, reduce documentation, and lower the cost of doing business.
Adoption of technology-driven and digital solutions to enhance efficiency and transparency.
Alignment of customs procedures with global best practices to support international trade.
Revenue Mobilization:
Ideas to address revenue leakages and increase tax compliance.
Measures to broaden the tax base through customs-related initiatives.
Anti-Smuggling Strategies:
Recommendations to enhance border security and surveillance to effectively combat smuggling.
Proposals for introducing stricter penalties and incentivizing whistleblowers to report illegal activities.
Environment-Friendly Measures:
Initiatives to encourage the import of eco-friendly and sustainable products by providing duty exemptions or concessions.
Promotion of green technologies and renewable energy equipment by lowering import costs.
Special Economic Zones (SEZs):
Specific suggestions to improve the competitiveness of SEZs by offering targeted incentives.
Policies designed to attract global investors and foster industrialization in these zones.
Submission Details:
According to an official letter issued by the FBR to stakeholders on Wednesday, the “Customs Budget exercise for FY 2025-26 has been initiated.” The Customs Budget Section has requested field formations and stakeholders to submit their budget proposals no later than February 15, 2025. To facilitate stakeholders, relevant instructions and formats for submissions (annexures) have been made available on the FBR’s website. Soft copies of these documents have also been provided to the Web Master. This directive was issued with the approval of Chief (Tariff & Trade), Customs Wing, FBR.
Why This Matters:
The customs budget for FY 2025-26 will play a pivotal role in shaping Pakistan’s trade and industrial landscape. By inviting input from diverse sectors, the FBR aims to develop a balanced policy framework that promotes economic growth, improves revenue collection, and facilitates trade.
