ISLAMABAD: The Federal Board of Revenue (FBR) on Friday released the 2021 Export Facilitation Program for all categories of exporters, including manufacturer-exporters and commercial exporters, merging all programs into one unified procedure.
The FBR issued SRO 902 (I) / 2021, here Friday, to publish a draft of some other amendments to the 2001 customs rules.
The user of the Export Facilitation Program-2021 will be allowed to sell up to 20 percent of products made from inputs in the domestic market against payment of the duties and taxes due when filing a goods declaration. , which will be assessed as if the goods are imported into Pakistan in that state, subject to the regulatory collector’s satisfaction regarding the reasons for the domestic sale. The new regime will be available to the following persons subject to authorization to import, store and purchase entry goods under these rules and registration in WeBOC or PSW: Persons registered in under the Sales Tax Act, 1990, as a manufacturer and exporter, value added in the manufacture and export of goods, which must not be less than ten percent; manufacturers who act or intend to act as foreign principal contract sellers as contract manufacturers; Commercial exporters; persons registered under the Sales Tax Act, 1990, as a manufacturer and operating as an indirect exporter; manufacturers, including manufacturers of engineered products who intend to supply under international tenders; and Joint Export House.
Under the new regime, the acquisition of inputs without payment of duties and taxes will be granted on the basis of: the export performance of the last two years; and firm export contract.
The RBF has been divided into different categories: (i) Category A: Manufacturers and exporters have exported 60 percent or more of their total annual production in the past two years. (ii) Category B: Manufacturers / exporters of which less than 60 percent of the total annual production is exported. (iii) Category C: indirect exporter, commercial exporters and international contract manufacturers.
Categories B and C have also been divided into subcategories.
All existing users of any of the export regimes issued under SRO 4500) 2001 of 18.06.2001 Chapter XV, DTRE, SRO 327 (1) 2008 of 29.03.2008, before the issuance of these rules can be classified in categories A and Cl as appropriate, provided they have a good record of compliance.
The request for authorization to operate under this regime is filed online with the Regulatory Collector.
The online application, accompanied by the approved certificate of analysis, of all existing users of the export promotion programs under SRO 450 (I) 2001 of 06.18.2001 Chapter XV, DTRE, SRO 327 (1) 2008 of 03.29 .2008, shall be processed by the Collector by uploading the approved value of the inputs along with the details of the applicable safety instrument into the WeBOC / PSW system and IOCO database after ascertaining the applicant’s compliance profile and the value of the inputs in relation to the performance and production capacity of the applicant, within seven days of receipt.
The post-clearance audit department carries out an audit of users according to category A; once every five years; Category B ; once every four years; Category C; once every three years; and contract-based: once every three years, the RBF added.
Copyright Business Recorder, 2021