Customs Act, 1969 (Same as on the official website of FBR dated 30-06-2025)

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GOVERNMENT OF PAKISTAN 
REVENUE DIVISION 
FEDERAL BOARD OF REVENUE 
***** 
 
 
 
 
 
THE CUSTOMS ACT, 1969 
(IV OF 1969) 
 
 
 
 
 
 
 
 
As amended up to 30th June, 2025 
 
 
 
 
 
Published by: 
Printing & Publication Customs Budget 
FBR, Islamabad. 
THE CUSTOMS ACT, 1969 
i 
 
 CONTENTS  
 
 
CHAPTER I  
 
 
PRELIMINARY 
 
Section 
 
Page 
No.    
1 Short title, extent and commencement. 1    
2 Definitions. 1    
 
CHAPTER II 
 
   
 
APPOINTMENT OF OFFICERS OF 
 
 
CUSTOMS AND THEIR POWERS 
 
   
3 Appointment of officers of customs. 10   
 
3A The Directorate General Intelligence and Risk Management, 
customs, 
10 
  
 
3AA Directorate General of Transit Trade. 10   
 
3AAA. Directorate General of China Pakistan Economic Corridor 
  
10 
3B.  Directorate General of Customs Auction 11   
 
3BB Directorate General of Reform and Automation. 11   
 
3BBB Directorate General of Communication and Public Relations, 
Customs 
11 
  
 
3C Directorate General of Customs Academy of Pakistan 11   
 
3CC Directorate General of Intellectual Property Rights 11   
 
3CCA Directorate General of Law and Prosecution 
 
11 
3CCB Directorate General of National Nuclear Detection 
Architecture 
 
11 
3CCC Directorate General of Marine 11 
 
 
THE CUSTOMS ACT, 1969 
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No. 
 
3CCD Directorate General of National Targeting Centre 
 
11 
3CCE Directorate General of Combating Trade Based Money 
Laundering 
 
12 
3D Directorate General, Valuation  12   
 
3DD Directorate General of Post Clearance Audit(PCA) 
  
12 
3DDD Directorate General of Input Output Co-efficient  
Organization 
  
12 
3E.  Powers and functioning of the Directorates, etc 
  
12 
3F Hiring of technology specialists, auditors, accountants and 
goods evaluators on short term contract 
 
 
4 Powers and duties of officers of customs. 12   
 
5 Delegation of powers. 13   
 
6  Entrustment of functions of the customs officers to  certain 
other officers. 
13 
  
 
7 Assistance to the officers of customs. 14   
 
8  Exemption from service on jury or inquest or as assessors. 14 
8A. Uniform 14   
  
CHAPTER III    
  
DECLARATION OF PORTS, AIRPORTS,   
LAND CUSTOMS-STATIONS, ETC. 
  
 
9 Declaration of customs-ports, customs-airports, etc. 16   
 
10  Power to approve landing places and specify limits of 
customs-stations. 
16 
  
 
11 Power to declare warehousing stations. 16 
THE CUSTOMS ACT, 1969 
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Section 
 
Page 
No. 
 
12 Power to appoint or licence public ware-houses. 16 
 
12A. Power to appoint or licence common warehouses 17 
 
13 Power to license private ware-houses. 17 
   
14 Stations for officers of customs to board and land. 18   
 
14A Provision of accommodation at customs ports, etc. 18 
    
PROHIBITION AND RESTRICTION OF   
IMPORTATION AND EXPORTATION    
 
15 Prohibitions. 
 
20 
16  Power to prohibit or restrict importation and exportation of 
goods. 
 
21 
17 Detention, seizure and confiscation of goods imported in 
violation of section 15 or section 16. 
21 
  
 
 
CHAPTER V   
LEVY OF, EXEMPTION FROM, AND   
REPAYMENT OF, CUSTOMS-DUTIES    
 
18 Goods dutiable. 23   
 
18A Special customs duty on imported goods. 24   
 
18B Omitted 24   
 
18C Rates of duty and taxes and determination of origin under 
trade agreements 
24 
  
 
18D Levy of fee and service charges. 25   
 
18E Pakistan Customs Tariff 25   
 
19  General power to exempt from customs-duties. 25   
   
 
THE CUSTOMS ACT, 1969 
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19A Presumption that incidence of duty has been passed on to the 
buyer 
26 
   
19C Minimal duties not to be demanded.- 27   
 
20 Board’s power to grant exemption from duty in exceptional 
circumstances. 
  
27 
21 Power to deliver certain goods without payment of duty and 
to repay duty on certain goods. 
27 
  
 
21A Power to defer collection of customs-duty. 27 
   
22  Re-importation of goods produced or manufactured in 
Pakistan. 
28 
   
22A. Temporary export of imported plant and machinery 28 
 
23 Goods, derelict, wreck, etc. 
  
29 
   
24  Provisions and stores may be exported free of duty. 29    
25  Value of imported and exported goods. 29    
25A Powers to determine the customs value. 36    
25AA Power to use data exchange information for determination of 
customs value. 
  
37 
25B Omitted 37    
25C Power to takeover the imported goods. 37    
25D Review of the value determined 38    
26 Obligation to produce documents and provide information. 38    
26A. Conducting the audit 39    
26B. Access for the purposes of audit 39 
THE CUSTOMS ACT, 1969 
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27  Abatement allowed on damaged or deteriorated goods. 40 
   
28 Power to test and denature imported spirit. 41    
29 Restriction on amendment of goods declaration. 41    
30  Date of determination of rate of import duty. 41    
30A Date of determination of rate of duty for clearance through 
the Customs Computerized System. 
42 
   
31  Date for determination of rate of duty on goods exported 43    
31A Effective rate of duty.      43  
  
 
32  False statement, error, etc.  43  
32A Fiscal fraud. 45    
32B Compounding of offence 46    
33  Refund to be claimed within one year.  46    
34  Power to give credit for, and keep account-current of duties 
and charges.  
47 
   
 
CHAPTER VI 
 
   
 
DRAWBACK 
 
   
35  Drawback of the export on imported goods. 58    
36 Drawback on goods taken into use between importation  and 
exportation. 
58 
   
37  Drawback on goods used in the manufacture of goods which 
are exported. 
58 
   
38  Power to declare what goods are identifiable and to prohibit 
drawback in case of specified foreign territory. 
59 
   
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39  When no drawback allowed. 59 
   
40 Time of payment of drawback.    
 
59 
41  Declaration by parties claiming drawback.   
  
59  
42  Arrival of conveyance. 60 
    
CHAPTER VII 
 
   
 
ARRIVAL AND DEPARTURE OF CONVEYANCE.  
 
   
43  Delivery of import manifest in respect of a vessel. 61 
44  Delivery of import manifest in respect of a conveyance other 
than a vessel. 
62 
   
45  Signature and contents of import manifest and amendment 
thereof. 
62 
   
46  Duty of person receiving import manifest. 63    
47 Bulk not to be broken until manifest, etc., delivered and 
vessel entered inwards. 
63 
   
48 Power to require production of documents and ask questions. 63    
49  Special pass for breaking bulk. 63    
50 Order for entry outwards or loading of goods to be obtained 
before export goods are loaded.  
63 
   
51  No vessel to depart without port-clearance. 64    
52  No conveyance other than vessel to leave without 
permission. 
64 
   
53 Application for port-clearance of vessels. 64    
   
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54 Conveyances other than vessels to deliver documents and 
answer questions before departure. 
65 
55 Power to refuse port-clearance to vessels or permission for 
departure to other conveyance. 
65 
 
[ 
 
56 Grant of port-clearance or permission for departure. 66    
 
CHAPTER VIII 
 
   
 
GENERAL PROVISIONS AFFECTING 
 
 
CONVEYANCES AT CUSTOMS-STATIONS 
 
   
57 Grant of port-clearance or permission for departure on 
security of agent.  
66 
58 Power to cancel port-clearance or permission for departure. 67 
 
59 Exemption of certain classes of conveyance from certain  
provisions of this Chapter.   
  
67 
60 Power to depute officer of customs to board conveyances.  69  
61 Officer to be received and accommodation to be  69    
62 Officer’s powers of access, etc. 69    
63 Sealing of conveyance. 69    
64 Goods not to be loaded or unloaded or water-borne  70    
65 Goods not to be loaded or unloaded or passed on certain  70    
66 Goods not to be loaded or unloaded except at approved  70    
67 Power to exempt from sections 64 and 66.  70    
68 Boat-note. 70    
69 Goods water-borne to be forthwith landed or shipped.         71    
70 Goods not to be transshipped without permission. 71    
71 Power to prohibit plying of unlicensed cargo-boats. 71 
THE CUSTOMS ACT, 1969 
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72 Plying of ships of less than one hundred tons. 72 
72A Responsibilities of person in charge or master of  a 
conveyance, agent and owner of the conveyance 
72 
   
 
DISCHARGE OF CARGO AND ENTRY INWARDS OF 
GOODS 
 
   
73 Discharge of cargo by vessels may commence on   73  
74 Discharge of goods by conveyances other than vessels. 73    
75 Imported goods not to be unloaded unless entered in the 
import manifest. 
  
73 
76 Procedure in respect of goods not unloaded by vessels   73    
77 Power to land small parcels and hold unclaimed parcels. 74    
78 Power to permit immediate discharge. 74    
79 Declaration and assessment for home-consumption or  76    
79A Omitted  76    
80 Checking of goods declaration by the Customs 76    
80A Omitted 77       
80B. Application of risk management system 78 
81 Provisional determination of liability 78 
   
81A Omitted. 79 
82 Procedure in case of goods not cleared or warehoused or 
transshipped or exported or removed from the port after 
unloading or filling of declaration. 
79 
   
82A. Omitted 81    
 
CHAPTER X 
 
 
CLEARANCE OF GOODS FOR HOME-
CONSUMPTION  
 
   
83 Clearance for home-consumption  82    
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83A Omitted 83    
 
WAREHOUSING 
 
   
83B. Provisional release of imported goods 
  
83  
83C Cargo Tracking System and e-Bilty Mechanism 
 
83 
84 Application to warehouse. 85    
85 Form of application. 85    
86 Submission of post-dated cheque and indemnity bond 85    
87 Forwarding of goods to warehouse. 86    
88 Receipt of goods at warehouse. 86    
89 Goods how warehoused. 86    
90 Warrant to be given when goods are warehoused. 86    
91  Access of customs officer to warehouse. 87    
92 Power to cause packages lodged in warehouse to be opened 
and examined 
87 
   
93 Access of owners to warehoused goods. 87    
94 Owner’s power to deal with warehoused goods. 87    
95 Manufacture and other operations in relation to goods in a 
warehouse. 
88 
   
96 Payment of rent and warehouse-dues. 88    
97 Goods not to be taken out of warehouse except as provided 
by this Act. 
89 
   
98 Period for which goods may remain warehoused. 89    
99 Power to remove goods from one warehouse to another in the 
same customs-station. 
90 
   
100  Power to remove goods from one warehousing station to 
another. 
90 
   
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101 Transmission of account of goods to officers at  of 
warehousing station of destination. 
90 
   
102  Remover may enter into a general bond. 91 
103  Goods on arrival at customs-station of destination to be 
subject to same laws as goods on first importation. 
91 
   
104 Clearance of bonded goods for home-consumption.  91    
105  Clearance of warehoused goods for export.  92    
106 Clearance of warehoused goods for export as provisions,  92    
107  Application for clearance of goods. 92    
108  Re-assessment of warehoused goods when damaged  92    
109  Re-assessment on alteration of duty. 92    
110  Allowance in case of volatile goods. 92    
111  Duty on goods improperly removed from  93    
112  Encashment of post-dated cheque 93    
113  Noting removal of goods. 93    
114  Register of bonds. 94    
115  Power to remit duties on warehoused goods lost 94  
  
 
116  Responsibility of warehouse-keeper. 94    
117     Locking of warehouses. 94    
118  Power to decide where goods may be deposited  in public 
warehouse, and on what terms.  
95 
   
THE CUSTOMS ACT, 1969 
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Section  Page 
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119 Expenses of carriage, packing, etc. to be borne by owners 95  
 
 
CHAPTER XII 
 
   
 
TRANSHIPMENT 
 
   
120 Chapter not to apply to postal articles.  98 
  
121  Transshipment of goods without payment of duty. 98    
122  Superintendence of transshipment. 98    
123  Entry, etc., of transshipped goods. 99    
124 Transshipment of provisions and stores from one  
conveyance to another of the same owner without payment of 
duty. 
99 
   
125  Levy of transshipment fees.   99    
 
CHAPTER XIII 
 
    
TRANSIT TRADE 
 
   
126  Chapter not to apply to baggage and postal articles.   101    
127  Transit of goods in the same conveyance.  101    
128  Transport of certain classes of goods subject to prescribed 
conditions 
101 
 
  
 
129 Transit of goods across Pakistan to a foreign territory. 101    
129A Levy of transit fee  101 
    
CHAPTER XIV 
 
    
EXPORTATION OR SHIPMENT AND RELANDING 
 
   
130  No goods to be loaded on a conveyance, till entry outwards 
or permission granted. 
  
102 
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131  Clearance for exportation. 102    
131A Omitted 103    
132  Bond required in certain cases before exportation. 103    
133  Additional charge on goods cleared for export after port-
clearance granted. 
103 
   
134  Notice of non-loading or relanding and return of duty 
thereon. 
103 
   
135  Goods relanded or transshipped from a conveyance returning 
to a customs-station or putting into another customs-station. 
103 
   
136  Conveyance returning to customs-station may enter and land 
goods.  
104 
   
137  Landing of goods during repairs. 104    
138  Frustrated cargo how dealt with.  104    
 
CHAPTER XV 
 
   
 
SPECIAL PROVISIONS REGARDING BAGGAGE  
 
 
AND GOODS IMPORTED OR EXPORTED BY POST 
 
   
139  Declaration by passenger or crew of baggage. 106    
140  Determination of rate of duty in respect of baggage. 106    
141  Bona-fide baggage exempt from duty. 106 
 
142 
 
Temporary detention of baggage. 
 
106    
143 Treatment of baggage of passengers or crew in transit. 107  
 
 
  
 
  
THE CUSTOMS ACT, 1969 
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144  Label or declaration in respect of goods imported or 107    
145  Rate of duty in respect of goods imported or exported by 
post.  
107 
   
 
CHAPTER XVI 
 
   
 
PROVISIONS RELATING TO COASTAL  
 
 
GOODS AND VESSELS 
 
   
146 Chapter not to apply to baggage. 108    
147  Entry of coastal goods. 108    
148 Coastal goods not to be loaded until bill relating thereto is 
passed. 
108 
   
149 Clearance of coastal goods at destination. 108    
150 Declaration concerning coasting vessel which has  touched 
foreign port. 
108 
   
151 Cargo book. 108    
152 Coastal goods not to be loaded or unloaded except at  
customs-port or coastal port. 
109 
   
153 Coasting vessel to obtain written orders before departure. 109    
154 Application of certain provisions of this Act to coastal goods. 109    
155 Prohibition of the coastal trade of certain goods. 110    
 
 
 
 
 
THE CUSTOMS ACT, 1969 
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CHAPTER XVI-A    
Section 
 
Page 
No. 
  
155A Application of the Customs Computerized System. 111    
155B Access to the Customs Computerized System. 111    
155C Registered users. 111    
155D Registered users to be allocated unique user identifier. 111    
155E Use of unique user identifier. 111    
155F Cancellation of registration of registered user. 112    
155G Customs to keep records of transmissions. 112    
155H Confidentiality of information. 113    
155I Unauthorized access to or improper use of the Customs 
Computerized System. 
113 
   
155J Interference with the Customs Computerized System. 113    
155K Offences in relation to the security of or unauthorized use of 
unique user identifiers. 
114 
   
155L Audit or examination of records. 114    
155M Requisition of documents. 114    
155N Documents in foreign language. 115    
155O Authorized officer may take possession of and retain  
documents and records. 
115 
   
155P Obstructing access, altering, concealing, destruction of 
record. 
115 
 
  
 
THE CUSTOMS ACT, 1969 
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155Q Electronic exchange of information and authentication 
through the Customs Computerized System 
116 
   
155R Correction of clerical errors 116    
 
CHAPTER XVII 
 
   
 
OFFENCES AND PENALTIES 
 
   
156 Punishment for offences. 117    
156A Proceeding against authority and persons 176 
 
157 Extent of confiscation. 177    
 
CHAPTER XVIII 
 
    
PREVENTION OF SMUGGLING – POWERS OF 
SEARCH, SEIZURE AND ARREST – ADJUDICATION 
OF OFFENCES 
 
   
158  Power to search on reasonable ground. 181    
159  Person to be searched may desire to be taken before gazetted 
officer of customs or Magistrate. 
181 
   
160  Power to screen or X-Ray bodies of suspected persons for 
detecting secreted goods. 
182 
   
161 Power to arrest. 182    
162 Power to issue search warrant. 185    
163 Power to search and arrest without warrant. 185    
164 Power to stop and search conveyances. 187    
165 Power to examine persons. 187    
166 Power to summon persons to give evidence and produce 
documents or things.  
188 
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167 Person escaping may be afterwards arrested. 188    
168 Seizure of things liable to confiscation. 188    
169 Things seized how dealt with. 189    
170 Procedure in respect of things seized on suspicion 190    
170A. Procedure in case of seizure of essential commodities. 
 
190 
171 When seizure or arrest is made, reason in writing to be given. 191    
172 Power to detain packages containing certain publications 
imported into Pakistan. 
191 
   
173 Procedure for disposal by High Court of applications for 
release of packages so detained. 
192 
   
174 Power to require production of order permitting clearance of 
goods imported or exported by land. 
192 
   
175 Power to prevent making or transmission of certain signals or 
messages. 
192 
   
176 Power to station officers in certain factories. 192    
177 Restriction on the possession of goods in certain areas. 193    
178 Punishment of persons accompanying a person possessing 
goods liable to confiscation. 
193 
   
179 Power of adjudication. 193    
179A Omitted. 195    
   
 
 
  
 
THE CUSTOMS ACT, 1969 
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180 Issue of show-cause notice before confiscation of goods or 
imposition of penalty. 
 
195 
181 Option to pay fine in lieu of confiscated goods. 195    
182 Vesting of confiscated property in the Federal Government. 195    
183 Levy of penalty for departure without authority or ailure to 
bring-to. 
196 
   
184 Power to try summarily. 196    
185 Special Judges. 195    
185A Cognizance of offences by Special Judges. 197    
185B Special Judge, etc. to have exclusive jurisdiction. 198    
185C Provisions of Code of Criminal Procedure, 1898,  197    
185D Transfer of cases. 199    
185E Place of sittings. 199    
185F Appeal to Special Appellate Court. 199    
185G Persons who may conduct prosecution, etc. 200    
186 Detention of goods pending payment of fine or penalty. 200    
187 Burden of proof as to lawful authority, etc. 200    
187A. Presumption of legal character of vehicle 
 
200 
188 Presumption as to documents in certain cases. 201    
189 Notice of conviction to be displayed. 201    
190 Power to publish conviction. 202 
THE CUSTOMS ACT, 1969 
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191 Imprisonment may be of either description. 
 
202 
192 Duty of certain persons to give information.     202    
 
CHAPTER XIX 
 
   
 
APPEALS AND REVISIONS 
 
   
193 Appeals to Collector (Appeals). 209    
193A Procedure in Appeal 209    
194 Appellate Tribunal. 210    
194A Appeals to the Appellate Tribunal. 211    
194-B Orders of Appellate Tribunal. 213    
194-C Procedure of Appellate Tribunal. 214    
195 Powers of Board or Collector to pass certain orders. 215    
195A Omitted. 215    
195-B Deposit, pending appeal, of duty demanded or  penalty 
levied. 
215 
   
195-C Alternative Dispute Resolution. 216    
196 Reference  to High Court. 219    
196-H Exclusion of time taken for copy. 220    
196-I Transfer of certain pending proceedings. 221    
196J Definitions. 222 
 
  
THE CUSTOMS ACT, 1969 
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Section  Page 
No.  
CHAPTER XIX-A 
 
   
 
SETTLEMENT OF CASES 
  
 
196K to  
196u 
Omitted 234 
 
CHAPTER XX 
 
   
 
MISCELLANEOUS 
 
   
197 Customs control over conveyances and goods. 238    
198 Power to open packages and examine, weigh or measure 
goods. 
238 
   
199 Power to take samples of goods. 238    
200 Owner to make all arrangements and bear all expenses. 238    
201 Procedure for sale of goods and application of sales proceeds. 239    
202 Recovery of Government dues. 239    
202A.  Levy of surcharge 241    
202B Reward to Customs Officers and Officials 241    
203 Wharfage or storage fees. 242    
203A Power to authorize expenditure 242    
204 Issue of certificate and duplicates of customs’ document. 242    
205 Amendment of documents. 242    
206 Correction of clerical errors, etc. 242 
  
207 Custom-house agents to be licensed. 
 
  
242 
  
THE CUSTOMS ACT, 1969 
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209 Liability of principal and agent. 243 
 
210 Liability of agent appointed by the person-in-charge of a 
conveyance. 
 
244 
211 Maintenance of record. 244    
211A Access to the premises and records by the officers of 
Customs 
244 
   
212 Regulation of business in gold, etc. 244    
212A Authorized economic operator programme  245 
  
212B Advance Ruling 245 
   
213 Recovery of money upon certain documents. 246    
214 Remission of duty and payment of compensation to the 
owner in certain cases.  
246 
215 Service of order, decision, etc. 246    
216 No compensation for loss or injury except on proof  of 
neglect or wilful act. 
247 
   
217 Protection of action taken under the Act. 247 
   
218 Notice of proceedings. 247    
219 Power to make rules. 247    
219A. Power to enter into mutual legal assistance agreements on 
customs matters 
  
248 
220 Omitted  248 
 
221 Savings. 248 
 
221A Validation  
 
  
249 
  
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222  Removal of difficulties.  249 
  
223  Officers of customs to follow Board’s orders, etc.  250 
  
224 Extension of time limit. 
  
250 
225. Establishment of Customs Command Fund (CCF) 
 
250 
226. Digital Enforcement Station 250    
 
THE FIRST SCHEDULE   254 
 
THE SECOND SHCEUDLE 254 
 
THE THIRD SCHEDULE 255 
 
THE FOURTH SCHEDULE  255   
THE FIFTH SCHEDULE 255 
 
 THE CUSTOMS ACT,1969 
 
1 
 
  
1[Act No. IV of 1969] 
[3rd March, 1969] 
 
An Act to consolidate and amend the law relating to Customs 
 
Whereas it is expedient to consolidate and amend the law relating to the levy 
and collection of customs -duties 1a[, fee and service charges]  and to provide for other 
allied matters: 
 It is hereby enacted as follows:- 
 
CHAPTER 1 
 
PRELIMINARY 
 
1. Short title, extent and commencement.- 
 
(1) This Act may be called the Customs Act, 1969. 
(2) It 2[extends] to the whole of Pakistan. 
(3) It shall come into force on such date as the 3[Federal Government] may, 
by notification in the official Gazette, appoint. 4[ ] 
 
2. Definitions. - In this Act, unless there is anything repugnant in the subject or 
context:- 
 
5[(a) “adjudicating authority ” means any authority competent to 
pass any order or decision under this Act, but does not include 
the Board, 6[the Collector (Appeals)] or the Appellate Tribunal;] 
7,45[(ai) “advance ruling” means a written decision by the Board or any 
officer or a committee authorized by  the Board, on the request of 
an applicant for determination of classification, origin or 
applicability of a particular relief or exemption on goods prior to 
their importation or exportation, valid for a specified period of 
time;] 
8[(aa) “agent” means a person licensed under section 207 or permitted 
to transact any business under section 208;” 
 (aaa) “appellate tribunal”   means the Customs 36[…..] Appellate 
Tribunal constituted under section 194;] 
(b) 8a[“appropriate officer”, means the officer of customs to whom 
such functions have been assigned by or under this Act or the 
rules made there under;]   
 THE CUSTOMS ACT,1969 
 
2 
 
 9[(bb)  “assessment”  includes provisional assessment, reassessment 
and any order or assessment in which the duty assessed is nil; 
10[(bba) “audit” means examination of books, records, documents, 
correspondence, stocks and inventory of goods relating to import, 
export and other business activities of the persons referred to in 
section 211, in order to ascertain their liability of duties and taxes 
and compliance with relevant laws and rules;] 
 (bbb) “baggage”  includes unaccompanied baggage but does not 
include motor vehicles;] 
 47[(bbc) “bordering and coastal areas ” means areas along international 
borders as notified by the Board; 
 11[(c)  omitted. 
 12(d)  omitted]. 
  (e) 12a[“Board” means the Central Board of Revenue  established 
under the Central Board of Revenue Act, 1924 (IV of 1924) , and 
on the commencement of Federal Board of Revenue Act, 2007, 
the Federal Board of Revenue established under section 3 
thereof;] 
13[(ea) "carrier" means the person actually transporting goods or 
incharge of, or responsible for, the operations of the means of 
transport or the owner thereof;]  
50[(eb) “Cargo Tracking System ” means a digital system, as may be 
notified by the Board, for the prevention of smuggling and for the 
electronic monitoring of the import, export, transit, and 
transshipment of goods transported within or into or out of 
territory of Pakistan;]        
(f) “coastal goods”  means the goods transported in a vessel from 
one port in Pakistan to another, but does not include imported 
goods on which customs duty has not been paid;    
14[(fa) “Collector” means Collector of Customs appointed under 
section 3 and includes any other officers equivalent in rank with 
any other designation appointed under this Act to perform 
specified functions in own jurisdiction;] 
15[(ff) “Collector (Appeals)”  means a person appointed to be a 
Collector of Customs (Appeals) under section 3;] 
42[fff "controlled delivery ” means supervised and coordinated 
operational activities that allow suspected consignments of 
prohibited and restricted goods, including items mentioned in 
section 2(s), to pass out of, through or into the territory of 
Pakistan, with a view to identifying persons involved in the 
commission of an offence cognizable under this Act;] 
(g) “conveyance” means any means of transport used for carrying 
goods or passengers such as a vessel, aircraft, vehicle or animal; 
 THE CUSTOMS ACT,1969 
 
3 
 
(h) “customs-airport”  means any airport declared under section 9 
to be a customs- airport; 
(i) “customs-area”  means the limits of the customs -station 
specified under section   10 and includes any area in which 
imported goods or goods for export are ordinarily kept before 
clearance by the customs authorities;  
16[(ia) "Customs Computerized System"  means a comprehensive 
Customs information technology system specified in Chapter 
XVI-A; 
17[(ib)  omitted]. 
44[(ic) “Customs controls” means measures applied by the officers of 
customs or through Customs Computerized System to manage 
risks and ensure compliance.] 
(j) “customs-port”  means any place declared under section 9 to be 
a 18[customs-port]; 
19[(jj)   omitted]. 
 40(k)   “customs-station”  means any customs -station, customs-airport, 
an inland river port, land customs-station or any place declared as 
such under section 9]; 
  20[(kk) “detain”,  in relation to goods, means to prohibit the disposal or 
use of the goods, pending the finalization of any proceedings 
under this Act in relation to the goods or the owner thereof;] 
21[(kka)  “documents” means a goods declaration, application for claim 
of refund, duty drawback or repayment of duty, import or export 
general manifest, passenger manifest, 46[master bill of lading, bill 
of lading, airway bill,  certificate of origin]  commercial invoice 
and packing list or similar other forms or documents used for 
customs clearance or making a declaration to Customs, whether 
or not signed or initialed or otherwise authenticated  47[or 
standardized information and documents lodged with a single 
entry point through Pakistan Single Window] , and  also 
includes,- 
 (i) any form of writing on material, data or information 
recorded, transmitted, or stored by means of a tape 
recorder, computer or any other device, and material 
subsequently derived from information so recorded, 
transmitted or stored; 
 (ii)  a label, marking or other form of writing that  identifies 
anything of which it forms part or to which it is attached by 
any means; 
 (iii)   a book, map, plan, graph, or drawing; and  
 (iv) a photograph, film, negative, tape, or other device in which 
one or more visual images are embodied so as to be capable 
 THE CUSTOMS ACT,1969 
 
4 
 
(with or without the aid of some other equipment) of being 
reproduced.  
50[kkaa) “e-bilty” means a digital document generated through the Cargo 
Tracking System, electronically linked with the transport vehicle 
engaged in the import, export, transit, or transshipment of goods 
transported within or into o r out of the territory of Pakistan in the 
manner prescribed under the rules by the Board;] 
(kkb) “electronic duty drawback filing and  payment system” means 
Electronic Duty  Drawback Filing and Payment System as  
specified by the rules;] 
46[kkc) “electronic assessment” means assessment of a goods declaration 
in Customs Computerized System by an officer of Customs or by 
the computerized system according to the selectivity criteria;] 
47[(kkd) “essential commodities” means those items availability of which 
is considered vital for domestic use or consumption, as notified 
by the Board, from time to time, in consultation with the 
ministries concerned;] 
22[(kkk) “export manifest”  means export manifest delivered under sub -
section (2) of section 53 and includes electronically filed export 
manifest;]  
(l) “goods”  means all movable goods and includes- 
(i) conveyance, 
(ii) stores and materials, 
(iii) baggage, and 
(iv) currency and negotiable instruments; 
23[(la) “goods declaration” means a goods declaration filed under 
sections 79, 104 39[,121], 131, 139 42[,] 144 42[ or 147] and 
includes a goods declaration electronically filed;] 
(lb) “import manifest”   means import manifest delivered under 
section 43 or 44 as the case may be and includes electronically 
filed import manifest;] 
35[(Ic) “KIBOR” means Karachi Inter Bank Offered Rate prevalent 
on the first day of each quarter of the financial year.] 
46[ld “Vessel Intimation Report” or VIR ” means an intimation 
regarding impending arrival of a vessel at a customs sea port, 
where the customs computerized system is operational, to the 
customs authorities in the form and manner by the carrier or his 
agent, as may be prescribed by rules;] 
41(m) Omitted; 
(n) “master”  when used in relation to any vessel, means any 
person, except a pilot or harbour master, having command or 
charge of such vessel; 
 THE CUSTOMS ACT,1969 
 
5 
 
49[(na) “nuclear material” means the nuclear material as defined in the 
Pakistan Nuclear Regulatory Authority Ordinance, 2001 (III of 
2001);]  
(o) “officer of customs” means an officer appointed under section 3; 
47[(oa)  “other government agencies" means other government agencies 
as defined under clause (n) of sub -section (1) of section 2 of the 
Pakistan Single Window Act, 2021 (III of 2021);] 
(p) “Pakistan customs -waters”  means the waters extending into 
the sea to a distance of 43[twenty-four] nautical miles measured 
from the appropriate base line on the coast of Pakistan; 
 24[(pa) ”person” includes 43[a local manufacturer ,] a company, an 
association, a body of individuals whether incorporated or not; 
47[(pb)  "Pakistan Single Window " means Pakistan Single Window as 
defined under clause (m) of sub -section (1) of section 2 of the 
Pakistan Single Window Act, 2021 (III of 2021);] 
(q) “person-in-charge”  means – 
 
(i) in relation to a vessel, the master of the vessel; 
(ii) in relation to an aircraft, the commander or pilot in charge 
of the aircraft; 
(iii) in relation to a railway train, the conductor, guard or other 
person having the chief direction of the train; 
(iv)  in relation to any other conveyance, the driver or any 
other person having control of the conveyance; 
25[(qa) "principal" means the owner of the goods or the person 
primarily responsible for making a declaration to Customs under 
this Act and includes the person in -charge of the conveyance, 
carrier, custodian of cargo, and the terminal operator; 
49(qaa)   “radioactive material” means the radioactive material as defined 
in The Pakistan Nuclear Regulatory Authority Ordinance 2001 
(III of 2001); 
44[“(qb) “Risk Management System ” means the systematic application 
of Customs Controls 47[,Trade Controls] and Management 
Procedures on pre -arrival, Customs clearance processes and post 
clearance of goods and passengers, for identifying, analyzing, 
evaluating, monitoring, reviewing and treating the risk associated 
with them;  
(qc)  “Risk Management Committee” means a committee headed by 
a BS-21 officer of Customs, constituted under the rules, to review 
functioning and supervise implementation of the Risk 
Management System and shall comprise as many BS -19 and BS-
20 officers of Customs as may be notified by the Board;] 
    (r)     “rules”  means the rules made under this Act; 
 THE CUSTOMS ACT,1969 
 
6 
 
26[(rr) “seize”  means to take into custody, physically or otherwise, 
goods in respect of which some offence has been committed or is 
believed to have been committed under this Act or the rules, and 
all cognate words and expressions shall be construed 
accordingly;] 
44[(rrr) “Selectivity Criteria” means the risk parameters determined by 
the Risk Management Committee constituted under the rules for 
the application of Risk Management System;] 
(s) “smuggle”  means to bring into or take out of Pakistan, in breach 
of any prohibition or restriction for the time being in force , 45[, or 
in any way being concerned in carrying, transporting, removing, 
depositing, harbouring, keeping, concealing 46[,retailing] 38[ or en 
route pilferage of transit goods]  48[, anywhere within the 
territorial jurisdiction of Pakistan] or evading payment of 
customs-duties or taxes leviable thereon,- 
 27[(i) gold bullion, silver bullion, platinum, palladium, radium, 
 precious stones, antiques, currency, narcotics and narcotic 
and psychotropic substances; or  
(ii)      manufactures of gold or silver or platinum or palladium or  
radium or precious stones, and any other goods notified 
by the Federal Government in the official Gazette, which, 
in each case, exceed  37,45[five hundred thousand] rupees 
in value; or  
(iii) any goods by any route other than a route declared under 
 section 9 or 10 or from any place other than a customs -
station.] and includes an attempt, abetment or connivance 
of so bringing in or taking out of such goods; and all 
cognate words and expressions shall be construed 
accordingly; or] 
47(iv) essential commodities, as notified by the Board;] 
 29[(ss) “Special Judge”   means a Special Judge appointed under 
Section 185; 
   (sss) “Special Appellate Court”   means a Special Appellate Court 
constituted under section 46 of the Prevention of Smuggling 
Act,1977;] 
   30[(ssss) “surcharge” means an amount or charge required to be paid 
under sections 21A, 83,86,98 and 202A or any surcharge payable 
as such under this Act;] 
47[(sa)  "trade controls" means trade controls as defined under clause (x) 
of sub -section (1) of section 2 of the Pakistan Single Window 
Act, 2021 (III of 2021);”; 
 THE CUSTOMS ACT,1969 
 
7 
 
(sb)  "un-authorized access " means un-authorized access as defined 
under clause (y) of sub -section (1) of section 2 of the Pakistan 
Single Window Act, 2021 (III of 2021);] 
(t)  “warehouse”  means any place appointed or licensed under 
section 12 or section 13; 
(u) “warehousing station”   means a place declared as a 
warehousing  station  under section 11; 
(v) “wharf”  means any place in customs -port approved under 
clause (b) of section 10 for the loading and unloading of goods or 
any class of goods  31[;] 
32[(w) “33[***]arrears”  means the amount of any duty, surcharge, fine 
or penalty  34[or any other amount ] which is adjudged or 
demanded through an adjudication order passed by the competent 
authority or the amount referred to in the notice under sub -
section (2) of section 202 which is recoverable in full or in part 
and is not paid within the time prescribed; 
(x) “default”  means the failure to pay the outstanding arrears as 
defined in clause (w); and  
(y)  “defaulter”  means the person and in the case of a company or 
firm every director or partner of the company or, as the case may 
be of the firm and of which he is a director or a partner of 
proprietor, and includes the guarantor who fails to pay 
outstanding arrears.] 
 
LEGAL REFERENCE 
 
1. For Statement of Objects and Reasons, see Gazette of Pakistan, 1969 Extraordinary 
(Rawalpindi), Page626, and for the report of the Select Committee see ibid, 1969 
Extraordinary(Dacca), Page 199. 
1a The comma and words “,fee and service charges” inserted vide FA, 2007. 
2. This Act has been extended to the Federally Administered Tribal Areas, (subject to the 
modification that section 185 thereof shall have effect as if in sub -section (2), after the word 
“he” words “is a  Political Agent or” were inserted by the Regulation No.1 of 1984.s.2. 
3. Substituted for the words “Central Government” by the Finance Ordinance,1972(XXI of 1972), 
section 3, page 56 and Second Schedule S.1, page 76  with effect from 17th June,1972. 
4 .i.e. the 1 st day of January,1970, vide Notification published in Gazette of Pakistan, 
Extraordinary, January,1970 Extraordinary, Page,1035. 
5 Substituted by Finance Act, 1989 (V of 1989), S.5(1)(a), page 106. 
6. Omitted vide Finance  Ordinance, 2000(XXI of 2000), S.4(1)(a), page 198 and inserted by 
Finance Ordinance, 2002 (XXVII of 2002), S.4(1)(a), page 222. 
7. Inserted by Finance Ordinance, 2002 (XXVII of 2002), S.4(1)(b), page 222. 
8. Inserted by Finance Act, 1989(V of 1989), S.5(1)(b), page 106. 
8a. Substituted by the FA, 2007. Before substitution definition was as under:-  
“appropriate officer ” in relation to any functions to be performed  under this Act, means the 
officer of customs to whom such functions have been assigned by or under this Act; 
9. Inserted by Finance Act, 1989(V of 1989), S.5(1)(c), pages 106-107. 
10. Inserted by Finance Act, 2006. 
11. Omitted by Finance Act, 2006. At the time of omitting the clause (c) was as under:- 
 THE CUSTOMS ACT,1969 
 
8 
 
 “(c)“bill of entry”   means bill of entry delivered under section 79 11a[and includes electronic 
filing of  bill of entry]; 
 11a Added by Finance Ordinance, 2001 (XXV of 2001) S.4(1), page 304.” 
12. Omitted by Finance Act, 2006. At the time of omitting the clause (d) was as under:- 
 “(d)“bill of export”  means bill of export delivered under section 131 **[and includes electronic 
filing of bill of export]; .**Added by Finance Ordinance, 2001 (XXV of 2001), S.4(1)(ii), page 
305. 
12a. Substituted by the FA, 2007. Before substitution definition was as under:- 
“Board” means the Central Board of Revenue, constituted under the Central Board of Revenue 
Act, 1924;” 
13. Inserted by Finance Act, 2003 (I of 2003), S.5(1)(a), page 20. 
14. Inserted by Finance Act, 2005 
15. Inserted by Finance Act, 1989 (V of 1989), S.5(1)(a), page 107, Omitted by Finance Ordinance, 
2000 (XI of 2000), S.4(1)(b), page 198 and inserted by Finance Ordinance 2002 (XXVII of 
20020, S.4(1)(c).  At the time of omission, clause  (ff) was as under:- 
 “[(ff) ”Collector (Appeals)” means a person appointed to be a Collector of Customs 
(Appeals) under section 3;]” 
16. Inserted by the Finance Act, 1994 (XII of 1994), S.6(1), page 253 and substituted by Finance 
Ordinance, 2001 (XXV of 2001), S.4(1)(iii), page 305, substituted by Finance Ordinance, 2002 
(XXVII of 2002), S.4(1)(d), page 223 and substituted by Finance Act, 2003 (I of 2003), S.5(1)(b), 
page 20.  At the time of substitution clause (ia) was as under:- 
 “[(ia) “customs documents” includes bill of entry, bill of export, application for claim for 
refund, duty drawback and repayment of duty, baggage declaration form or similar other forms 
used  for customs clearance and such documents electronically filed;]”. 
 “[(ia) “customs documents” include bill of entry, bill of export, application for claim for 
refund, duty drawback and repayment of duty, baggage declaration form or similar other forms 
used for customs clearance;]”. 
17 Substituted for clause (ia) as clauses (ia) and (ib) by FA, 2003 and  o mitted by Finance Act, 
2006. At the time of omitting the clause (ib) was as under:- 
   (ib) “customs documents”   includes bill of entry, bill of export or goods declaration, 
applications for claim for refund, duty drawback and repayment of duty, baggage declaration 
form and documents such as bill of lading, commercial invoice and packing list or similar other 
forms or documents used for customs clearance and includes such documents electronically filed 
and system generated documents that are not required to be manually signed by the departmental 
officials; 
18. Substituted for the words “port for the shipment and landing of goods” by Finance Act, 1973 (L 
of 1973), S.9(1)(a), page 530. 
19. Inserted by the Finance Act, 1977 (XXX of 1977), S.9(1), page 301 and  o mitted by Finance Act, 
2006. At the time of omitting the clause (jj) was as under:- 
 “[(jj) “customs-practitioner” means a person registered as a customs practitioner in 
accordance with the rules made by the  Central Board of Revenue in this behalf]; 
 17a.  
20. Inserted by the Finance Act, 1987 (VI of 1987), S.8(1)(a), page 33. 
21. Inserted by the Finance Act, 2006. 
22. Inserted by the Finance Ordinance, 2001 (XXV of 2001), S.4(1)(iv), page 305. 
23. Inserted by the Finance Ordinance, 2001 (XXV of 2001), S.4(1)(v), page 305  and substituted by 
the Finance Act, 2003 and Finance Act, 2006.  At the time of substitution was as under:- 
 23a. “(la) import manifest means import manifest delivered under section 43 or 44 as the 
case may be and includes electronically filed import manifest;]”. 
 23b Substituted by the Finance Act, 2006. At the time of substitution the clause (la) was as 
under:- 
  “23b[(la)"goods declaration"  means a goods declaration filed under sections 79, 23c[or] 131 
23d[***] and includes goods declaration filed electronically; 
 23c. Substituted for the commas, figure and letter“79A”by the Finance Act, 2005 
23d. Omitted the word, figure and letter “or 131A” by the Finance Act, 2005 
 
24. Inserted by Finance Act, 2005 (VII of 2005),S.3(1)(c)page 130.. 
 THE CUSTOMS ACT,1969 
 
9 
 
25. Inserted by the Finance Act, 2003 (I of 2003), S.5(1)(d), page 21. 
26 Inserted by the Finance Act, 1987 (XI of 1987), S.8(1)(b), page 34. 
27. Substituted by the Finance Ordinance, 1982 (XII of 1982), S.6(1), page 59.  At the time of 
substitution was as under:- 
. “[(a) gold bullion, silver bullion, precious stones, currency, manufactures of gold or silver or 
precious stones or any other goods notified by the 27a[Federal Government] in the official 
Gazette, in each case exceeding one thousand rupees in value; or 
(b) any 27b[****] goods by any route other than a route declared under section 9 or 10 or 
from any place other than a customs station;]”. 
 27a. Substituted for the words “Central Government” by the Finance, 1972 (XXI of 1972), 
S.3, page 56 and Second Schedule S.1, page 76. 
 27b. The word “other” omitted by the Finance Act, 1973 (L of 1973). 
28 Substituted for the words “five thousand rupees” by the Finance Act, 1998 (III of 1998), S.4(1), 
page 39. 
29. Inserted by the Prevention of Smuggling Act, 1977 (XII of 1977), S.51(1)(a), page 223 (w.e.f. 16 th 
May, 1977) 
30. Inserted by the Finance Act, 2006.. 
31. Replaced “full stop” by the Finance Act,1999(IV of 1999), S.10(1)(a), page 757. 
32. Added by the Finance Act, 1999 (IV of 1999), S.10(1)(a), page 757. 
33. Omitted the word “outstanding” by the Finance Act, 2006. 
34. Inserted by the Finance Act, 2006. 
35. Inserted by Finance Act,2009. 
36. The words “Excise and Sales Tax” omitted by the Finance Act,2010. 
37. Inserted by Finance Act,2010. 
38. Inserted by Finance Act, 2012 
39. Inserted by Finance Act, 2013 
40. Substituted by the Finance Act, 2014 At the time of substitution was as under:-  
(k) “customs-station”  means any customs-port, customs-airport or any land customs-station; 
 41 Omitted by Finance Act, 2014, At the time of omission was as under:-  
   (m) “land customs-station”  means any place including an inland river port declared under 
section 9 to be a land customs-station; 
 42. Inserted by Finance Act, 2017 
 43. Inserted by Finance Act, 2018 
 44. Inserted by Finance Act, 2019 
 45. Substituted by Finance Act, 2020(June) 
 46. Substituted/inserted by Finance Act, 2021(June) 
 47. Inserted/substituted by Finance Act, 2022(June) 
 48. Inserted by Finance Act, 2023(June) 
 49. Inserted by Finance Act, 2024(June) 
 50. Inserted by Finance Act, 2025 (June) 
 
 
 
 THE CUSTOMS ACT,1969 
 
10 
 
CHAPTER II 
 
APPOINTMENT OF OFFICERS OF CUSTOMS AND THEIR POWERS  
 
1[3. Appointment of officers of customs. -  For the purposes of this Act, the Board 
may, by  notification in the official Gazette, appoint, in relation to any area specified in 
the notification, any person to be — 
(a) a Chief Collector of Customs; 
(b) a Collector of Customs; 
(c) a Collector of Customs (Appeals); 
(d) an Additional Collector  of Customs; 
(e) a Deputy Collector of Customs; 
(f) an Assistant Collector of Customs; 
(g) an officer of Customs with any other designation.] 
 
1a,25[3A. Directorate General of Intelligence and Risk Management, Customs ,.- (1) 
The Directorate General of Intelligence and Risk Management , Customs  shall consist 
of a Director General and as many Directors, Additional Directors, Deputy Directors, 
Assistant Directors and such other officers of customs as the Board may, by notification 
in the official Gazette, appoint. 
 (2)  The Directorate General of Intelligence and Risk Management -Customs 
shall also have powers assigned under the Anti -Money Laundering Act, 2010 (VII of 
2010) and rules or regulations made thereunder to the defunct Directorate General of 
Intelligence and Investigation, Customs.] 
11[3AA. Directorate General of Transit Trade. - The Directorate General of Transit 
Trade shall consist of a Director General and as many Directors, Additional Directors, 
Deputy Directors, Assistant Directors and such other officers as the Board may, by 
notification in the official Gazette, appoint.]  
15[3AAA. Directorate General of China Pakistan Economic Corridor. - The 
Directorate General of China Pakistan Economic Corridor shall consist of a Director 
General and as many Directors, Additional Directors, Deputy Directors, Assistant 
Directors and such other officers as the Board may, by notification in the official 
Gazette, appoint.] 
25[3B. Directorate General of Customs Auction .-  The Directorate General of 
Customs Auction shall consist of a Director General and as many Directors, Additional 
Directors, Deputy Directors, Assistant Directors and such other officers of customs as 
the Board may, by notification in the official Gazette, appoint.] 
 THE CUSTOMS ACT,1969 
 
11 
 
11[3BB.  Directorate General of Reform and Automation .- The Directorate General 
of Reform and Automation shall consist of a Director General and as many Directors, 
Additional Directors, Deputy Directors, Assistant Directors and such officers as the 
Board may, by notification in the official Gazette, appoint.] 
25[3BBB. Directorate General of Communication and Public Relations, Customs .- 
The Directorate General of Communication and Public Relations shall consist of a 
Director General and as many Directors, Additional Directors, Deputy Directors, 
Assistant Directors and such other officers of customs as the Board may, by notification 
in the official Gazette, appoint.]    
3C. 22,23[Directorate General of Customs Academy of Pakistan (CA P).- The 
23[Customs Academy of Pakistan ] shall consist of a Director General and as many 
Directors, Additional Directors, Deputy Directors and Assistant Directors and such 
other officers as the Board may, by notification in the official Gazette, appoint. 
 
11[3CC. Directorate General of Intellectual Property Rights  Enforcement.- The 
Directorate General of Intellectual Property Rights Enforcement shall consist of a 
Director General and as many Directors, Additional Directors, Deputy Directo rs, 
Assistant Directors and such other officers as the Board may, by notification in the 
official Gazette, appoint] 
 
19[3CCA.  Directorate General of Law and Prosecution. - The Directorate General of 
Law and Prosecution shall consist of a Director General and as many Directors, 
Additional Directors, Deputy Directors, Assistant Directors, Special Public Prosecutors , 
22[Special Prosecutors] and such other officers as the Board may, by notification in the 
official Gazette, appoint. 
 
21[3CCB. Directorate General of National Nuclear Detection Architecture. - The 
Directorate General of Nuclear Detection Architecture shall consist of a Director 
General and as many Deputy Director Generals, Directors, Additional Directors, 
Deputy Directors, Assistant Directors and such other officers as the Board may, by 
notification in the official  Gazette, appoint. 
 
3CCC.     Directorate Generals of Marine. - The Directorate Generals of Marine shall 
consist of a Director General as many Directors, Additional Directors, Deputy 
Directors, Assistant Directors and such other officers as the Board may, by notification 
in the official Gazette, appoint.] 
 
24[3CCD. Directorate General of National Targeting Centre. - The Directorate 
General of National Targeting Centre (NTC)  shall consist of a Director General and as 
many Directors, Additional Directors, Deputy Directors, Assistant Directors and such 
other officers as the Board may, by notification in the official Gazette, appoint.] 
 THE CUSTOMS ACT,1969 
 
12 
 
 
24[3CCE. Directorate General of Combating Trade Based Money 
Laundering.- The Directorate General of Combating Trade Based Money Laundering 
(TBML) shall consist of a Director General and as many Directors, Additional 
Directors, Deputy Directors, Assistant Directors and such other officers as the Board 
may, by notification in the official Gazette, appoint.] 
 
2[3D.     Directorate General of Valuation. -  The Directorate General of Valuation 
shall consist of a Director General and as many Directors, Additional Directors, Deputy 
Directors, Assistant Directors and such other officers as the Board may, by notification 
in the official Gazette, appoint.] 
 
10[3DD .  Directorate General of Post Clearance audit  25[and Internal Audit 
(PCA&IA)].- The Directorate -General of Post Clearance Audit  25[and Internal Audit 
(PCA&IA)] shall consist of a Directors -General and as many Directors, Additional 
Directors, Deputy Directors, Assistant Directors and such other officers as the Board 
may, by notification in the official Gazette, appoint.] 
 
12[3DDD. Directorate General of Input Output Co -efficient Organization. – The 
Directorate General of Input Output Co-efficient Organization (IOCO) shall consist of a 
Director General and as many Directors, Additional Directors, Deputy Directors, 
Assistant Directors and such other officers as the Board may, by notification in the 
official Gazette, appoint.]   
 
3E. Powers and functioning of the 18[Directorates General and Directorates] , 
etc.- The Board may specify the functions, jurisdiction and powers of the 
18[Directorates General and Directorates]  specified in the preceding sections and 
their officers by notification in the official Gazette.] 
 
25[3F.  Hiring of technology specialists, auditors, accountants and goods evaluators 
on short term contract. - (1) The Board may hire services of technology specialists, 
auditors, accountants and goods evaluators on short term contracts not exceeding two 
years on such terms and conditions as may be prescribed by the Board. 
  
 (2) The re-hiring of persons hired under sub -section (1), shall be subject to 
the performance review by the Board.]  
 
4. Powers and duties of officers of customs. -  An officer of customs appointed 
under section 3 shall exercise such powers and discharge such duties as are conferred or 
imposed on him by or under this Act  3[or the rules made thereunder ]; and he shall also 
be competent to exercise all powers and discharge all duties conferred or imposed upon 
any officer subordinate to him: 
 
 THE CUSTOMS ACT,1969 
 
13 
 
 Provided that, notwithstanding anything contained in this Act or the rules, the 
Board may, by general or special order, impose such limitations or conditions on the 
exercise of such powers and discharge of such duties as it thinks fit. 
 
4[5 “Delegation of powers. - 5,24(1) The Board may, by notification in the official 
Gazette and subject to such limitations or conditions as may be specified therein, 
delegate any of its functions and powers to the Chairman, or empower by name or 
designation-  
 
(a) any Member or Director General to exercise the powers of the Board or 
Chairman; 
(b) any Collector of Customs to exercise any of the powers of a Chief 
Collector of Customs under this Act; 
(c) any Additional Collector of Customs or Deputy Collector of Customs to 
exercise any of the powers of a Collector of Customs under this Act; 
(d) any Deputy Collector of Customs or Assistant Collector of Customs to 
exercise any of the powers of an Additional  Collector of Customs under 
this Act; 
(e) any Assistant Collector of Customs to exercise any of the powers of a 
Deputy Collector of Customs under this Act; and 
(f) any other officer of customs with any other designation.] 
 
6[(2) Unless the Board in any case otherwise directs, the Director General,  
Director, and Collector may authorize any officer to exercise within any specified area 
any of the powers of the Director General, Director, Collector or any other officer of 
Customs under this Act.] 
 
7[6. Entrustment of functions of customs officers to certain other officers. - 8(1) 
 The  Board  may, by  notification  in  the  official  Gazette,  entrust,  either  
conditionally or unconditionally, any functions of any officer of customs under this Act 
to any officer of the Federal Government, Provincial Government 24[,National 
Command Authority, Pakistan Nuclear Regulatory Authority ], State Bank of Pakistan 
and Scheduled Banks  24[for implementation and enforcement of this Act]  19[in 
accordance with the legal framework notified by the Board]: 
 
 Provided  that where any officer in performance of his functions under this 
section commits any offence under this Act, such officer shall, in addition to any other 
penalty which may be imposed under any other law for the time being in force, be liable 
to such punishment as is specified in sub -section (1) of section 156 for the offence 
committed by him.] 
 THE CUSTOMS ACT,1969 
 
14 
 
 
 9[(2) No officer entrusted with any functions of any officer of customs under 
sub-section (1) shall interfere in any manner in the performance or discharge of any 
duty by an officer of customs in places notified under section 9.]  
 
16[7. Assistance to the officers of customs. - All officers of Federal and Provincial 
Governments, including Inland Revenue, Police 24[,Intelligence Bureau], National 
Highways and Pakistan Motorway Police, Civil Armed Forces,20[Border Military Police 
(BMP)] 23[,Provincial Levies, Khasadar Force] and officers engaged in the collection 
of land-revenue are hereby empowered and required to assist the officers of customs in 
the discharge of their functions under this Act.  19[The provision of assistance so 
requested shall be binding.] 
 
8.  Exemption from service on jury or inquest or as  assessors.- Notwithstanding  
anything contained in any other law, no officer of the Board or Collector of Customs 
and no other officer of customs whom the Board or Collector of Customs deems it 
necessary to exempt on grounds of public duty, shall be compelled to serve on any jury 
or inquest or as an assessor.  
 
17[8A. Uniform.- The Board may, with approval of the Federal Minister -in-
charge and by notification in the official Gazette, prescribe rules for wearing of uniform 
by officers and staff of Customs Service of Pakistan.] 
 
LEGAL REFERENCE 
 
 
1. Substituted by the Finance Act, 1996 (IX of 1996), S.4(1), page 469.  Section 3 at the time of 
substitution was as under:- 
 “3. Appointment of officers of Customs.- For the purposes of this Act, the Board may, by 
notification in the official Gazette,  appoint, in relation to any area specified in the 
notification, any person to be- 
(a) a Collector of Customs; 
 **[(aa) a Collector of Customs (Appeals);] 
(b) a Deputy Collector of Customs; 
(c) an Assistant Collector of Customs; or 
(d) an officer of customs with any other designation.” 
   **.    Inserted by the Finance Act, 1989 (V of 1989), S.5(2)(a), page 107. 
1a. Substituted by the FA, 2007, Before substitution sections 3A and 3B was as under:- 
 
  “1b[3A. The Directorate General (Intelligence and Investigation), Customs and Federal. - 
The Directorate General (Intelligence and Investigation), Customs and Federal Excise, shall 
consist of a Director General and as many Directors, Additional Directors, Deputy Directors and 
Assistant Directors and such other officers as the Board may, by notification in the official 
Gazette, appoint. 
  3B. Directorate General of Inspection and Internal Audit. - The Directorate General of 
Inspection and Internal Audit shall consist of a Director General and as many Directors, 
Additional Directors, Deputy Directors and Assistant Directors and such other officers as the 
Board may, by notification in the official Gazette, appoint.” 
1b. Inserted by Finance Act, 2005 
2. Substituted by the FA, 2007, Before substitution sections 3D was as under:- 
 THE CUSTOMS ACT,1969 
 
15 
 
  “3D. Directorate General, Valuation and Post -Clearance Audit. - The Directorate 
General Valuation and Post -Clearance Audit shall consist of a Director General and as many 
Directors, Additional Directors, Deputy Directors, Assistant Directors and such other officers as 
the Board may, by notification in the official Gazette, appoint.” 
3. Inserted by Finance Act, 2006 
 4. Substituted by the Finance Ordinance, 2000 (XXI of 2000), S.4(2), page 198.  At the time of 
substitution section 5 was as under:- 
  “5. Delegation of powers. -  The Board, may by notification in the official Gazette, and 
subject to such limitation or conditions, if any, as may be specified therein, empower by name or 
designation – 
(a) any 4a[Additional Collector] of Customs to exercise any of the powers of a Collector of 
Collector of Customs under this Act; 
(b) any 4b[Assistant Collector or Deputy Collector] of Customs to exercise any of the 
powers of a 4c[Additional Collector] of Customs under this Act; 
(c) any other officer of Customs to exercise any of the powers of an 4a[Assistant Collector 
or Deputy Collector] of Customs under this Act.”.  
  4a. Substituted for the words “Deputy Collector” by the Finance Act, 1996 (IX of 1996). 
  4b. Substituted for the words “Assistant Collector” by the Finance Act, 1996 (IX of 1996). 
  4c. The brackets and figure “(1)” omitted by  Customs (Amendment) Ordinance, 2000 
(XLVI of 2000), S.2, page 651. 
5. Renumbered by Finance Act, 2005 (VII of 2005),S.3(3), page 131. 
6. Added by Finance Act, 2005 (VII of 2005), S.3(3),page 131. 
7. Substituted by Customs (Amendment) Ordinance,1996 and Finance Act,1996(IX of 
1996)S.4(2),Page 469. Earlier same amendment was made to the Customs (Amendment) 
Ordinance, 1995 (CXIV of 1995) and Customs (Amendment) Ordinance, 1996 (XVI of 1996),  At 
the time of substitution section 6 was as under:- 
 “6. Entrustment of functions of the customs officers to certain other officers. - The 
Board may, by notification in the official Gazette, entrust, either conditionally or unconditionally, 
any functions of any officer of customs under this Act to any officer of the 7a[Federal] or 
Provincial 7a[Government].”. 
  7a. Substituted  for the words “Central Government” by Finance Ordinance, 1972 (XXI of 
1972), S.3, page 56 and Second Schedule S.1, page 76. 
8. Renumbered by Finance Act, 2004 (II  of 2004), S.3(1), page 13. 
9. Added by Finance Act, 2004 (V of 2004), S.3(1), page. 
10. Inserted by Finance Act,2008 (I of 2008) Page 45) 
11. Inserted by Finance Act, 2012. 
12. Inserted by Finance Act, 2013 
13. Substituted for the word ‘Central” by F.A,2014 
14. Substituted for the words "Federal Board of Revenue by  Finance Act, 2017 
15. Inserted by  Finance Act, 2017 
16.       Substituted by Finance Act, 2017, At the time of substitution section76 was as under:- 
  7. Assistance to the officers of customs.-  All officers of  13[Federal] Excise, Police, and the Civil 
Armed Forces, and all officers engaged in the collection of land-revenue are hereby empowered and required 
to assist officers of customs in the discharge of their functions under this Act. 
 17. Inserted by Finance Act, 2017 
 18. Substituted by Finance Act, 2019 (At the time of substitution , the word was “Directorates”)   
 19. As amended by Tax Laws( Amendment) Act, 2020 (March) 
 20. Inserted by Finance Act, 2020 (June)  
 21. Inserted by Finance Act, 2021 (June) 
 22. Substituted/inserted by Finance Act, 2022(June) 
 23. Substituted/inserted by Finance Act, 2023(June) 
 24. Inserted by Finance Act, 2024(June) 
 25. Substituted by Finance Act, 2025 (June) 
 
 THE CUSTOMS ACT,1969 
 
16 
 
CHAPTER III 
 
DECLARATION OF PORTS, AIRPORTS,  
LAND CUSTOMS STATIONS, ETC. 
 
9. Declaration of customs–ports, customs airports, etc.-  The Board may, by 
notification in the official Gazette, declare: 
 1[(a) the places which alone shall be customs-ports or customs-airports for the 
clearance of goods or any class of goods imported or to be exported;] 
(b) the places which alone shall be land customs-stations for the clearance of 
goods or any class of goods imported or to be exported by land or inland 
waterways; 
 (c) the routes by which alone goods or any class of goods specified in the 
notification may pass by land or inland waterways into or out of 
Pakistan, or to or from any land customs -station or to or from any land 
frontier; 
(d) the places which alone shall be ports for the carrying on of coastal 
 trade with any specified customs-ports in Pakistan; and  
(e) what shall for the purposes of this Act be deemed to be a custom 
 house and the limits thereof. 
 
10. Power to approve landing places and specify limits of customs -stations.-  
The Board may, by notification in the official Gazette:-  
 (a) specify the limits of any customs-station; and  
 (b) approve proper places in any customs -station for the loading and 
unloading of goods or any class of goods.  
 
11. Power to declare warehousing stations.-  The Board may, by notification in 
the official Gazette, declare places to be warehousing stations at which alone public 
warehouses may be appointed and private warehouses may be licensed. 
 
2,7[12.power to appoint or license public warehouses.-(1) At any warehousing station, 
the respective Collector of Customs in his own jurisdiction may, from time to time, 
appoint or license public warehouse s wherein dutiable goods may be deposited without 
payment of customs-duty. 
 
              (2) Every application for a license for a public warehouse shall be made in 
such form as may be prescribed by the respective Collector of Customs in his own 
jurisdiction: 
           Provided that where the Customs Computerized System is operational, the 
application shall be filed to the respective Collector of Customs through the system in 
the manner as may be prescribed by rules. 
 THE CUSTOMS ACT,1969 
 
17 
 
              (3) A license granted under this section may be cancelled by the respective 
Collector of Customs in his own jurisdiction for infringement of any condition laid 
down in the license or for any violation of any of the provisions of this Act or any rules 
made thereunder, after the licensee has been given proper opportunity of showing cause 
against the proposed cancellation. 
 
             (4) Pending consideration whether a license be cancelled under sub -section 
(3), the respective Collector of Customs in his own jurisdiction may suspend the 
licence. 
 
12A. Power to appoint or license common warehouses. - (1) At any warehousing 
station, the respective Collector of Customs in his own jurisdiction may, from time to 
time, appoint or license common warehouse s wherein dutiable goods may be deposited 
without payment of customs-duty on owner or licensee own account. 
 
            (2)  Every application for a license for a common warehouse shall be made in 
such form as may be prescribed by the respective Collector of Customs in his own 
jurisdiction: 
 
  Provided that where the Customs Computerized System is operational, the 
application shall be filed to the respective Collector of Customs through the system in 
the manner as may be prescribed by rules. 
 
            (3) A license granted under this section may be cancelled by the respective 
Collector of Customs in his own jurisdiction for infringement of any condition laid 
down in the license or for any violation of any of the provisions of this Act or any rules 
made thereunder, after the licensee has been given proper opportunity of showing cause 
against the proposed cancellation. 
 
(4) Pending consideration whether a license be cancelled under sub -section 
(3), the respective Collector of Customs in his own jurisdic tion may suspend the 
license. 
 
13. Power to licence private warehouse s.-(1) At any warehousing station, the 
respective Collector of Customs in his own jurisdiction may, from time to time, licence 
private warehouse s wherein dutiable goods may be deposited without payment of 
customs-duty. 
(2) Every application for a licence for a private warehouse shall be made in 
such form as may be prescribed by the respective Collector of Customs in his own 
jurisdiction: 
 Provided that where the Customs Computerized System is operational, the 
application shall be filed to the respective Collector of Customs through the system in 
the manner as may be prescribed by rules. 
 THE CUSTOMS ACT,1969 
 
18 
 
 (3) A licence granted under this section may be cancelled by the Collector of 
Customs in his own jurisdiction for infringement of any condition laid down in the 
license or for any violation of any of the provisions of this Act or any rules made 
thereunder, after the licens ee has been given proper opportunity of showing cause 
against the proposed cancellation. 
 
 (4)  Pending consideration whether a licence may be cancelled under sub -
section (3), the respective Collector of Customs in his own jurisdiction may suspend 
that licence.] 
  
 
14. Stations for officers of customs to board  and land. -  The Collector of 
Customs may, from time to time, appoint, in or near any customs -port, stations or limits 
at or within which vessels arriving at or departing from such port shall bring to for the 
boarding or landing of officers of customs, and may, unless separate provisions 
therefore have been made under the Ports Act,1908 (XV of 1908) direct at what 
particular place in any such port vessels, not brought into port by pilots, shall anchor or 
moor.       
 
5&7[(14A. Provision of security and accommodation at Customs-ports, etc.-  (1) Any 
agency or person  including port authorities managing or owning a customs -port, a 
customs-airport or a land customs station or a container freight station shall provide at 
its or his own cost adequate security and accommodation  to customs staff for 
residential purposes, offices, examination of goods, detention and storage of goods and 
for other departmental requirements to be determined by the Collector of Customs and 
shall pay utility bills, rent and taxes in respect of such accommodation. 
 
 (2)  Any agency or person including, but not limited to port authorities managing or 
owning a customs port, a customs airport or a land customs station or a container freight 
station, shall entertain delay and detention certificate issued by an officer not below the 
rank of Assistant Collector of Customs and also refund demurrage charge s which the 
agency or person has received on account of delay because of no fault of importers or 
exporters.] 
 
LEGAL REFERENCE 
1. Substituted by the Finance Act, 1973 (L of 1973), S.9(2), page 531, At the time of substitution 
clause (a) was as under:- 
 “(a) the ports and airports which alone shall be customs ports or customs airports for the 
unloading of imported goods and loading of goods for export or any class of such goods.”. 
2. Substituted by the Finance Act, 1990 (VII of 1990), S.6(1), page 34.  At the time of substitution 
section 12 was as under:- 
 “12. Power to appoint public warehouse. - At any warehousing station, the Collector of 
Customs may, from time to  time, appoint, public warehouses wherein dutiable goods may be 
deposited without payment of customs duty.”. 
3. Added by the Finance Ordinance, 2002 (XXVII of 2002), S.4(2), page 223. 
4. Substituted by the Finance Act, 1986 (I of 1986), page 10.  At the time of substitution  sub -section 
(3) was as under:- 
 THE CUSTOMS ACT,1969 
 
19 
 
 “(3) Every license granted under this section may be cancelled on conviction of the licensee 
of any offence under this Act relating to warehouse, or for infringement of any condition 
provided in the license, or on the expiration of one month’s notice in writing given to the license 
by the Collector of Customs.”. 
5. Added by the Finance Ordinance, 1984 (XXVIII of 1984). 
               6.            Added by the Finance Ordinance, 2001 (XXV of 2001), S.4(2), page 305. 
7. Substituted by Finance Act, 2013. At the time of substitution section 14A was as under: 
 (14A. Provision of accommodation at Customs -ports, etc.-  Any agency or person managing 
or owning a customs -port, a customs-airport or a land customs  station shall provide at its or his 
own cost adequate accommodation to customs staff for offices, examination of goods, detention 
and storage of  goods and for other departmental requirements to be determined by the Collector 
of Customs 6[and shall pay utility bills, rent and taxes in respect of such accommodation.]  
                8. Inserted by Finance Act, 20201 (June) 
   
 
 THE CUSTOMS ACT,1969 
 
20 
 
CHAPTER IV 
 
PROHIBITION AND RESTRICTION OF  
IMPORTATION AND EXPORTATION 
 
1[15. Prohibitions.- No goods specified in the following clauses shall be brought into 
or taken out of Pakistan, namely:-  
 
(a) counterfeit coins, forged or counterfeit currency notes, and any other 
 counterfeit product; 
(b) any obscene book, pamphlet, paper, drawing, painting, representation, 
figure, photograph, film, or, article, video or audio recording, CDs or 
recording on any other media; 
(c) goods having applied thereto a counterfeit trade mark within the 
meaning of the Pakistan Penal Code, 1860 (Act XLV of 1860), or a false 
trade description within the meaning of the Copyright Ordinance, 1962 
(XXXIV of 1962), the Registered Layout -Designs of Integrated Circuits 
Ordinance, 2000 (XLIX of 2000), the Registered Designs Ordinance, 
2000 (XLV of 2000), the Patents Ordinance, 2000 (LXI of 2000), and 
the Trade Marks Ordinance, 2001 (XIX of 2001) 5[Omitted]; 
 (d) goods made or produced outside Pakistan and having applied thereto any 
name or trade mark, being or purporting to be the name or trade mark of 
any manufacturer, dealer or trader in Pakistan, unless,-  
 
(i) the name or trade mark is, as to every application thereof, 
accompanied by a definite indication of the goods having been 
made or produced in a place outside Pakistan; and 
(ii) the country in which that place is situated is in that indication 
shown in letters as large and conspicuous as any letter in the 
name or trade mark, and in the same language and character as 
the name or trade mark; 
 
 (e) goods involving infringement of copyright, layout -design of integrated 
circuits, industrial designs, patents within the meaning of the Copyright 
Ordinance, 1962 (XXXIV of 1962), the Registered Designs Ordinance, 
2000 (XLV of 2000), and the Patents Ordinance, 2000 (LXI of 2000), 
respectively; and 
 (f) goods made or produced outside Pakistan and intended for sale, and 
having applied thereto, a design in which copyright exists under the 
Copyright Ordinance, 1962 (XXXIV of 1962), the Registered Layout –
Designs of Integrated Circuits Ordinance, 2000 (XLV of 2000), the 
Patents Ordinance, 2000 (LXI of 2000), and the Trade Marks Ordinance, 
2001 (XIX of 2001), in respect of the class to which the goods belong or 
 THE CUSTOMS ACT,1969 
 
21 
 
any fraudulent or obvious imitation of such design, patent, copyright 
except when the application of such design has been made with the 
license or written consent of the registered proprietor, right holder of the 
design, patent or copyright, as the case may be: 
 
  4[Provided that offences relating to goods imported or exported in 
violation of Intellectual Property Rights shall, notwithstanding any  thing contained in 
any other law for the time being in force, be adjudicated under section 179 by the 
appropriate officer of customs.] 
   
16. Power to prohibit or restrict importation and exportation of goods. -  The 
2[Federal Government] may, from time to time, by notification in the official  Gazette, 
prohibit or restrict the bringing into or taking out of Pakistan of any goods of specified 
description by air, sea or land.   
 
3[17.  Detention, seizure and confiscation of goods imported in violation of section 
15 or section 16.-  Where any goods are imported into, or attempted to be exported out 
of, Pakistan in violation of the provisions of section 15 or of a notification under section 
16, such goods shall, without prejudice to any other penalty to which the offender may 
be liable under this Act or the rules made there  under or any other law, be liable to 
detention, for seizure or confiscation subject to approval of an officer not below the 
rank of an Assistant Collector of Customs, and seizure for confiscation through 
adjudication, if required : 
 
 6[Provided that the period of detention shall not exceed fifteen days which may 
be extended by the 7[Additional Collector of Customs or Additional Director] for a 
period not exceeding fifteen days.] 
LEGAL REFERENCE 
 
1. Substituted by the Finance Act, 2004 (II of 2004)S.3(2), page 13.  At the time of substitution 
section 15 was as under:- 
 
  “15. Prohibition.-   No goods specified in the following clauses shall be brought, 
whether by air or land or sea, into Pakistan:-  
 (a) counterfeit coin; 
(b) forged or counterfeit currency notes; 
(c) any obscene book, pamphlet, paper, drawing, painting, representation , figure,  
photograph, film or article; 
(d) goods having applied thereto a counter feit trade mark within the meaning of the 
Pakistan Penal Code  (Act XLV of 1860), or a false trade description within 
the meaning of the Merchandise Marks Act,1889(IV of 1889); 
(e) goods made or produced outside Pakistan and having applied thereto any name or trade  
mark, being or purporting to be the name or trade mark of any manufacturer, dealer or 
trader in Pakistan unless-  
 (i) the name or trade mark is, as to every application thereof, accompanied by a 
definite indication of the goods having been made or produced in a place 
outside Pakistan; and  
 THE CUSTOMS ACT,1969 
 
22 
 
(ii) the country in which that place is situated is in that indication shown in 
letters as large and conspicuous as any letter in the name or trade mark, and 
in the same language and character as the name or trade mark; 
(f) piece-goods manufactured outside Pakistan (such as are ordinarily sold by length or by 
the piece), unless the real length thereof in standard yards or other measurement for the 
time being applying in Pakistan has been conspicuously stamped on each piece in 
Arabic numerals; and  
(g) goods made or produced outside Pakistan and intended for sale, and having applied 
thereto, a design in which copyright exists under the Patents and Designs Act of 
1911(II of 1911), in respect of the class to which the goods belong or any fraudulent or 
obvious imitation of such design except when the application of such design has been 
made with the license or written consent of the registered proprietor of the design; 
 
 Provided that the 1a[Federal Government] may, by an order in writing, exempt from the 
provisions of this section any goods or any class or description of goods in transit to a 
foreign territory.” 
 
 1a.           The words “Central Government” substituted by the Finance Ordinance, 
1972 (XXI of 1972), Section 3, page     56 and Second Schedule S.1, page 76 w.e.f. 17 th 
June, 1972. 
 
2. The words “Central Government” substituted by the Finance Ordinance, 1972 (XXI of 1972), 
Section 3, page 56 and Second Schedule S.1, page 76 w.e.f. 17th June, 1972. 
3. Substituted  by the Finance Act, 2005. At the time of substitution section 17 was as under:- 
 “17. 3a[Seizure] and confiscation of goods imported in breach of Section 15 or Section 
16.- Where any goods ae imported into or attempted to be exported out of Pakistan in 
violation of the provisions of section 15 or of a notification under section 16, such 
goods shall, without prejudice to any other penalty to which the offender may be liable 
under this Act, or any other law, but subject to rules, be liable to 3a[seizure] and 
confiscation.”. 
   
3a. Substituted for the word “Detention” by the Finance Act, 1987 (VI of 1987), S.8(2), page 34. 
4. Inserted by Finance Act, 2009 
5. The words and figure” , or goods imported or exported in contravention of the provisions of 
section 32” omitted by the Finance Act, 2011 
6. Inserted by Finance Act,2020 (June) 
7. Substituted/ by Finance Act,2024 (June) 
 
 
  
 
 
 
 
 
 
 
 
 
 THE CUSTOMS ACT,1969 
 
23 
 
CHAPTER V 
 
LEVY OF, EXEMPTION FROM, AND REPAYMENT OF, CUSTOMS-DUTIES 
 
  1[18.  Goods dutiable. - (1) Except as hereinafter provided, customs duties shall be 
levied at such rates as are prescribed in the First Schedule or under any other law for the 
time being in force on,-      
 
(a) goods imported into Pakistan; 
(b) goods brought from any foreign country to any customs station, 
and without payment of duty there, transshipped or transported 
for, or thence carried to, and imported at any other customs -
station; and  
(c) goods brought in bond from one customs station to another.     
 105(1A) Notwithstanding anything contained in sub -section (1), customs duties 
shall be levied at such rates on import of goods or class of goods as are prescribed in the 
Fifth Schedule, subject to such conditions, limitations and restrictions as prescribed 
therein. 
 (2) No export duty shall be levied on the goods exported from Pakistan. 
  
 (3) The 115&120[Federal Government ] may,  by notification in the official 
Gazette, levy, subject to such conditions, limitations or restrictions as it may deem fit to 
impose, a regulatory duty on all or any of the goods imported or exported, as specified 
in the First Schedule at a rate not exceeding one hundred per cent of the value of such 
goods as determined under section 25 1b[ or, as the case may be, section 25A].   
 
 (4) The regulatory duty levied under sub-section (3) shall –  
(a) be in addition to any duty imposed under sub-section (1) or under 
any other law for the time being in force; and   
(b) be leviable on and from the day specified in the notification 
issued under that sub -section, notwithstanding the fact that the 
issue of the official Gazette in which such notification appears is 
published at any time after that day.]  
  
 2[(5) The Federal Government may, by notification in the official Gazette, 
levy an additional customs -duty on such imported goods as are specified in the First 
Schedule, at a rate not exceeding thirty -five per cent  of value of such goods as 
determined under section 25  2a[ or, as the case may be, section 25A:] 
  
  2b[Provided that the cumulative incidence of customs -duties leviable 
under sub-sections (1) 120[Omitted] and (5) shall not exceed the rates agreed to by the 
Government of Pakistan under multilateral trade agreements.] 
 
 THE CUSTOMS ACT,1969 
 
24 
 
(6) The additional customs-duty levied under sub-section (5) shall be,-  
(a) in addition to any duty imposed under sub -sections (1) and (3) or 
under any other law for the time being in force; and 
 (b) leviable on and from the day specified in the notification issued 
under that sub -section, notwithstanding the fact that the official 
Gazette in which such notification appears is published at any 
time after that day.] 
 
3[18A. Special customs duty on imported goods. -  The Federal Government may, by 
notification in the official Gazette, levy a special customs duty on the importation of 
such of the goods specified in the First Schedule as are of the same kind as goods 
produced or manufactured in Pakistan, at a rate not exceeding the rate of duty of excise 
leviable under  106[the Federal Excise Act, 2005] , on the goods produced   or 
manufactured in Pakistan:  
 
 Provided that the exemption of any goods from the whole or any part of the duty 
of excise for the time being in force shall not prevent the Federal Government from 
levying a special customs duty on the importation of goods of the same kind: 
 
 Provided further that, for the purposes of  the Sales Tax 4[***] Act 1990 (VII of 
1990), the special customs duty shall not constitute a part of the value of supply.]  
 
5[18B.    OMITTED.] 
 
6[18C. Rates of duty and taxes and determination of origin under trade 
agreements.- (1) Where under a trade agreement between the Government of Pakistan 
and the Government of a foreign country or territory, duty at a rate lower than that 
specified in the First Schedule is to be charged on articles which are the produce or 
manufacture of such foreign country or territory, the Federal Government may, by 
notification in the official Gazette, make rules for determining if any article is the 
produce or manufacture of such foreign country or territory and for requiring the owner 
to make a claim at the time of importation, supported by such evidence as may be  
prescribed in the said rules, for assessment at the appropriate lower rate under such 
agreement. 
 
 (2) Where in respect of any article, a preferential rate of duty is specified in 
the First Schedule, or is admissible by virtue of a notification under sub -section (1), the 
duty to be levied and collected shall be at the standard rate unless the owner of the 
article claims at the time of importation that it is chargeable with a preferential rate of 
duty, being the produce or manufacture of such preferential or free trade area, as is 
notified under sub-section (3) and the article is determined, in accordance with the rules 
made under sub-section (1) to be such produce or manufacture. 
 
 THE CUSTOMS ACT,1969 
 
25 
 
 (3) For the purposes of this section and the First Schedule “preferential area 
or free trade area” means any country or territory which the Federal Government may, 
by notification in the official Gazette, declare to be such area. 
 
 (4) Notwithstanding anything conta ined in sub -sections (1) and (2) , where 
the Federal  Government is satisfied that, in the interests of trade including promotion 
of exports, it is necessary to take immediate action for discontinuing the preferential 
rate or increasing the preferential rate to a rate not exceeding the standard rate, or 
decreasing the preferential rate, in respect of an article specified in the First Schedule, 
the Federal Government may, by notification in the official Gazette, direct 
discontinuation of, or increase or decrease, as the case may be, the preferential rate.] 
 
6a[18D.    Levy of fee and service charges.- The 121[Board, with approval of the Federal 
Minister-in-charge] may, by notification in the official Gazette, subject to such 
conditions, limitations or restrictions as it may deem fit to impose, levy fee and service 
charges for examination, scanning, inspections, sealing and desealing, valuation check 
or in respect of any other service or control mechanism provided by any formation 
under the control of the Board, including ventures of public -private partnership, at such 
rates as may be specified in the notification.] 
 
103[18E.  Pakistan Customs Tariff .- The Board may, by notification in the official 
Gazette, subject to such conditions, limitations or restrictions as it may deem fit to 
impose, make such changes in the Pakistan Customs Tariff, specified in the First 
Schedule to this Act, required only for the purposes of statistical suffi x of the Pakistan 
Customs Tariff (PCT) Code 130[: 
 
“Provided further that the Board may constitute a committee or a centre for the 
purpose of settlement of disputes regarding classification of goods and may prescribe 
rules or procedure for carrying out the purpose of this section.] 
 
19. General power to exempt from customs -duties.-  7&110[(1) The 115&120[Federal 
Government], whenever circumstances exist to take immediate action for the purposes 
of national security, natural disaster, national food security in emergency situations, 
protection of national economic interests in situations arising out of abnormal 
fluctuation in international commodity prices, 122[omitted] 114[,] implementation of 
bilateral and multilateral agreements , 114 [ and to any international financial institution 
or foreign government -owned financial institution operating under a memorandum of 
understanding an agreement or any other arrangement with the Government of 
Pakistan] 135[or to implement an agreement of the Government of Pakistan with any 
entity], subject to such conditions, limitations or restrictions, if any, a s it deems fit to 
impose, may, by notification in the official Gazette, exempt any goods imported into, or 
exported from, Pakistan or into or from any specified port or station or area therein, 
 THE CUSTOMS ACT,1969 
 
26 
 
from the whole or any part of the cust oms-duties chargeable thereon and may remit 
fine, penalty, charge or any other amount recoverable under this Act.] 
 
 11[   OMITTED  ] 
 
 12[(2) A notification issued under sub -section (1) shall be effective from the 
day specified therein, notwithstanding the fact that the issue of the official Gazette in 
which such notification appears is published at any time after that day.] 
 
 13[(3) Notwithstanding anything contained in any other law for the time being 
in force, including but not limited to the Protection of Economic Reforms 1992  (XII of 
1992), and notwithstanding any decision or judgment of any forum, authority or court, 
no person shall, in the absence of a notification by the Federal Government published in 
the official Gazette expressly granting and affirming exemption from customs duty, be 
entitled to or have any right to any such exemption from or refund of customs duty on 
the basis of the doctrine of promissory estoppel or on account of any correspondence or 
admission or promise or commitment or concessionary order made or understanding 
given whether in writing or otherwise, by any government department or authority.] 
 
11[(4)  The Federal Government shall place before the National Assembly all 
notifications issued under this section in a financial year. 
 
(5)  Any notification issued under sub -section (1) after the commencement of the 
Finance Act, 2015 shall, if not earlier rescinded, stand rescinded on the expiry of the 
financial year in which it was issued 115[:] 
 
115[Provided that all such notifications, except those earlier rescinded, shall be 
deemed to have been in force with effect from first day of July, 2016 and shall 
continue to be in force till thirtieth day of June, 2018, if not earlier rescinded: 
 
Provided further that all notifications issued on or after the first day of July, 
2016, and placed before the National Assembly as required under sub -section 
(4) shall continue to be in force till thirtieth day of June, 120,122,129,130,133, 
135,136,137[2026], if not earlier rescinded by the Federal Government or the 
National Assembly.] 
 
14[19A.  Presumption that incidence of duty has been passed on to the buyer.- Every 
person who has paid the customs duty and other levies on any goods under this Act 
shall, unless the contrary is proved by him, be deemed to have passed  on the full 
incidence of such customs duty and other levies to the buyer as a part of the price of 
such goods. 
 
 THE CUSTOMS ACT,1969 
 
27 
 
19B. Rounding off of duty, etc. - The amount of duty, interest, penalty, fine or any 
other sum payable, and the amount of refund, drawback or any other sum due, under the 
provisions of this Act shall be rounded off to the nearest one hundred rupees and, for 
this purpose, where such  amount is fifty rupees or more, it shall be increased to one 
hundred rupees and if such part is less than fifty rupees, it shall be ignored.] 
 
14a,129[19C. Minimal duties not to be demanded. - Where the value of imported goods 
137[ through post or courier does not exceed one thousand]   rupees, no duties and taxes 
shall be demanded, subject to conditions and restrictions as may be prescribed by the 
Board under the rules.] 
 
15[20. 112 [Omitted] 
  
21. Power to deliver certain goods with -out payment of duty and to repay duty 
on certain goods.-   Subject to such conditions, limitations or restrictions as it thinks fit 
to impose, the Board may, in such general cases as may be prescribed by rules or in 
particular cases by special order, authorize- 
 
(a) the delivery without payment of the customs -duties chargeable thereon 
of goods which are imported only temporarily with a view to subsequent 
exportation; 
17[(ab) 86[Omitted] 
18[(b) Omitted. 
19[(c) the repayment in whole or in part of the 129[duties as levied under section 
18 or 18A  and] paid on the importation of any goods which have been 
used in the production, manufacture, processing, repair or refitting in 
Pakistan of goods meant for exportation, 98,134[omitted]or for supply to 
industrial units, projects, institutions, agencies and organizations, 
entitled to import the same at concessionary rates 20[:]  
 
  21[Provided that no repayment may be granted in a case in which 
the amount involved is less than one hundred rupees 22[; and] 
 
23[(d) without prejudice to the provisions of clause (c), the Federal 
Government may, by notification in the Official Gazette, direct that 
drawback or repayment shall not be allowed in respect of any goods of 
specified description or may be allowed subject to such restrictions and 
conditions as may be specified in the notification.] 
  
24[(21A. Power to defer collection of customs -duty.-  25[(1)] Subject to such 
conditions, limitations or restrictions as it thinks fit to impose, the Board may, in such 
general cases as may be prescribed by rules or in particular cases by special order, defer 
the collection of customs-duties either in whole or in part.  
 THE CUSTOMS ACT,1969 
 
28 
 
  
26[ (2)  Where deferment of customs -duties is allowed by the Board under sub -
section (1), a surcharge not exceeding 26a,87[KIBOR plus three] per cent per annum shall 
also be payable on the deferred amount from such date and in the manner as the Board 
may by rules prescribe.] 
 
22. Re-importation of goods produced or manufactured in Pakistan. -  If goods 
produced or manufactured in and exported from Pakistan are subsequently imported 
into Pakistan, such goods shall be liable to customs -duties and be subject to all the 
conditions and restrictions, if any, to which goods of the like kind and value not so 
produced or manufactured are liable on the importation thereof: 
 
 27[Provided if such goods have been imported within one year of their 
exportation and have been consigned to the person in whose account they were 
exported and have not undergone any processing since their exportation], the 
appropriate officer not below the rank of 28[Assistant Collector 99[Omitted] of Customs 
may admit the goods- 
 
 29[(a) Where at the time of exportation of such goods, rebate, refund or 
drawback of any customs or Federal Excise duty or any other tax levied 
by the Federal Government or any tax, cess or duty levied by the 
Provincial Government was allowed on payment of customs duty equal 
to the amount of such rebate, refund or drawback as the case may be;]  
(b) where such goods were exported in bond, without payment of – 
 
(i) the customs -duty chargeable on the imported materials, if any, 
used in the  manufacture of the goods; or 
(ii ) the Federal Excise duty  chargeable on the indigenous materials, 
if any, used in the manufacture of such goods; or  
 (iii) the Federal Excise duty , if any, chargeable on  such goods; or   
  
 (iv) any other tax chargeable on the material used in the manufacture 
of such goods; or  
(v) any other tax chargeable on such goods,  
 
on payment of customs -duty equal to the aggregate amount of all such 
duties and taxes calculated at the rates prevailing at the time and place of 
importation of goods; or  
(c) in any other case, without payment of duty. 
 
29a[22A.  Temporary export of imported plant and machinery. - Imported plant 
and machinery, temporarily exported that have not undergone any alteration, 
renovation, addition or refurbishment, may be re -imported duty free subject to the 
specific or general terms and conditions the Board may by the rules prescribe.] 
 THE CUSTOMS ACT,1969 
 
29 
 
 
23.  Goods, derelict, wreck, etc.-  All goods, derelict, jetsam, flotsam and 
wreck, brought or coming into Pakistan, shall be dealt with as if they were imported 
into Pakistan. 
 
24. Provisions and stores may be exported free of duty.- Goods produced or 
manufactured in Pakistan and required as provisions and stores on any conveyance 
proceeding to any foreign port, airport or station may be exported free of customs -
duty,30[***] in such quantities as the appropriate officer may determine having regard 
to the size of the conveyance, the number of passengers and crew and the length of the 
voyage or journey on which the conveyance is about to depart. 
 
31[25. 31b[Value of imported and exported goods] .-  (1) Transaction Value. - The 
customs value of imported goods, subject to the provisions of this section and the rules, 
shall be the transaction value, that is the price actually paid or payable for the goods 
when sold for export to Pakistan: 
 Provided that- 
 (a) there are no restrictions as to the disposition or use of the goods 
by the buyer other than the restrictions which – 
   (i) are imposed  or required by law; 
(ii) limit the geographical area in which the goods may be 
resold; or     
   (iii) do not affect the value of the goods;       
            
(b) the sale or price is not subject to some condition or consideration 
for which a value cannot be determined with respect to the goods 
being valued; 
(c) no part of the proceeds of any subsequent resale, disposal or use 
of the goods by the buyer will accrue directly or indirectly to the 
seller, unless an appropriate adjustment is made in accordance 
with the provisions of sub-section (2) (e); and         
(d) the buyer and seller are not related, or where the buyer and seller 
are related, that the transaction value is acceptable for customs 
purposes under the provisions of sub-section (3).                                                                                                                
 
(2) Subject to clause (b), in determining the customs value under sub-section(1),- 
 
(a) there shall be added to the price actually paid or payable for the 
imported goods, if not already included in the price; 
 
(i) the cost of transport, excluding inland freight after 
importation, of the imported goods to the Port, Airport or 
place of importation; 
 THE CUSTOMS ACT,1969 
 
30 
 
(ii) loading, unloading, and handling charges associated with 
the transport of the imported goods to the Port, airport or 
place of importation; and  
(iii) the cost of insurance; 
 
 (b) there shall also be added to such price, to the extent that they are 
incurred by the importer but are not included in the price actually 
paid or payable of the imported goods- 
 
 (i) commissions including indenting commissions and  
 brokerage, except buying commissions; 
(ii) the cost of containers which are treated as being one 
for customs purposes with the goods in question; and  
(iii) the cost of packing whether for labour or materials;       
 
(c)  there shall also be added to such price the value, apportioned as 
appropriate, of the following goods and services where supplied 
directly or indirectly by the importer or his related person free of 
charge or at reduced cost, for use in connection with the 
production and sale for export of the imported goods, to the 
extent that such value has not been included in the price actually 
paid or payable:  
 
(i) materials, components, parts and similar items 
incorporated in the imported goods; 
(ii) tools, dies, moulds and similar items used in the 
production of the imported goods;    
(iii) materials consumed in the production of the imported 
 goods; and      
(iv) engineering, development, artwork, design work and 
plans and sketches undertaken elsewhere than in Pakistan 
and necessary for the production of the imported goods;      
 
(d) there shall also be added to such price, royalties and license fees 
related to the  goods being valued that the buyer must  
pay, either directly or indirectly, as a condition of sale of the 
goods being valued, to the extent that such royalties and fees are 
not included in the price actually paid or  payable; and     
 (e)  there shall also be added to such price, the value of any part of 
the proceeds of any subsequent resale, disposal or use of the 
imported goods that accrues directly or indirectly  to the seller;   
 (f)  if sufficient information is not available for any reason, with 
respect to any adjustments referred to above, the transaction 
 THE CUSTOMS ACT,1969 
 
31 
 
value, of the imported goods shall be treated , for the purpose of 
sub-section (1), as the one that cannot be determined;   
 
(3)  If the buyer and seller are related in terms of the rules the transaction 
value shall be accepted for the purposes of sub-section (1); whenever: 
(a) the examination of the circumstances surrounding the sale of the 
imported goods as demonstrated by the importer, indicate that the 
relationship did not influence the price; or  
(b) the importer demonstrates that such value closely approximates 
to one of the following Test Values occurring at or about the 
same time:  
(i) the transaction value in sales to unrelated buyers of 
identical or similar goods for export to Pakistan.  
  (ii) the customs value of identical or similar goods as 
determined under the provisions of sub -section (7) 
(deductive value); 
 (iii) the customs value of identical or similar goods as 
determined  under the provisions of sub -section (8) 
(computed value).  
 
 Provided that in applying the foregoing tests due account shall be taken of 
demonstrated differences in commercial levels, quantity levels, the elements 
enumerated in sub -section (2) and costs incurred by the seller in sales in which the 
seller and the buyer are not related that are not incurred by the seller in sales in which 
the seller and the buyer are related; 
 
 32[(4) Where, in relation to the goods being valued, the appropriate officer is of 
the opinion that the importer has not, for the purposes of clause (a) of sub -section (3), 
demonstrated that the relationship did not influence the price or, for the purposes of 
clause (b) of sub -section (3), that the declared price at which the goods are imported 
does not closely approximate to one of the test values mentioned therein, the 
appropriate officer shall inform the importer of his reservations in writing and give the 
importer an opportunity to justify the price difference. If the importer fails to justify the 
price difference, the customs value cannot be determined under the provisions of sub -
section (1).]    
 
(5) TRANSACTION VALUE OF IDENTICAL GOODS.-  If the customs 
value of the imported goods cannot be  determined under the provisions of sub -section 
(1), it shall, subject to rules, be the transaction value of identical goods sold for export 
to Pakistan and exported at or about the same time as the goods being valued.  
 
(a) In applying the 33[provisions] of this sub-section, the transaction value of 
34[the] identical goods in a sale at the same commercial level and 
 THE CUSTOMS ACT,1969 
 
32 
 
substantially the same quantity as the goods being valued shall be used 
to determine the customs value of imported goods.  
(b) Where no sale referred to in clause (a) is found, the transaction value of 
identical goods sold at a different commercial level and/or in different 
quantities, adjusted to take account of differences attributable to 
commercial level and/or to quanti ty shall be used, provided that such 
adjustments can be made on  the basis of demonstrated evidence which 
clearly establishes  the reasonableness and accuracy of the adjustment, 
whether the adjustment leads to an increase or decrease in the value. 
(c) Where the costs and charges referred to in clause (a) of sub -section (2) 
are included in the transaction value of identical goods, an adjustment 
shall be made to take account of significant differences in such costs and 
charges between the goods being valued and the identical goods in 
question arising from differences in distances and modes of transport.   
35,106[(d)  Omitted] 
  
36[(6) TRANSACTION VALUE OF SIMILAR GOODS. - If the customs 
value of the imported goods cannot be determined under the provisions of sub -section 
(5), it shall, subject to clauses (c), (d), (e) and (f) of sub -section (13) and rules, be the 
transaction value of similar goods sold for export to Pakistan and exported at or about 
the same time as the goods being valued, and the provisions of clauses (a), (b)  107[and] 
(c)108[omitted] of sub -section (5) shall,  mutatis mutandis, also apply in respect of 
similar goods.]       
 
(7) DEDUCTIVE VALUE.-  If  the customs value of the imported goods 
cannot be determined under sub -section (6), it shall, subject to rules, be determined as 
follows:  
(a) if the imported goods or identical or similar imported goods are 
sold in Pakistan in the condition as imported, the customs value 
of the imported goods shall be based on the unit price at which 
the imported goods or identical or similar imported goods are so 
sold in the greatest aggregate quantity, at or about the time of the 
importation of the goods being valued, to  persons who are not 
related to the persons from whom they buy such goods, subject to 
the deductions for the following:-  
 
(i) either the commission usually paid or agreed to be paid or 
the additions usually made for profit and general expenses 
in connection with sales in Pakistan of imported goods of 
the same class or kind; 
(ii) the usual costs of transport and insurance and associated 
costs incurred within Pakistan; 37[and ] 
 38[(iii) Omitted. 
 THE CUSTOMS ACT,1969 
 
33 
 
  (iv) the customs duties and other taxes payable in Pakistan by 
reason of the importation or sale of the goods. 
 
(b) If neither the imported goods nor identical nor similar imported 
goods are sold at or about the time of importation of the goods 
being valued, the customs value shall, subject otherwise to the 
provisions of clause (a) of this sub -section, be based on the unit 
price at which the imported goods or identical or similar 
imported goods are sold in Pakistan in the conditions as imported 
at the earliest date after the importation of the goods being valued 
but before the expiry of ninety days after such importation.  
 
(c) If neither the imported goods nor identical nor similar imported 
goods are sold in the country of importation in the condition as 
imported, then, if the importer so requests, the customs value 
shall be based on the unit price at which the imported goods, 
after further processing, are sold in the greatest aggregate 
quantity to persons in the country of importation who are not 
related to the persons from whom they buy such goods, due 
allowance being made for the value added by such processing 
and the deductions provided for in clause (a).  
 
(8) COMPUTED VALUE. -  If the customs value of the imported goods 
cannot be determined under sub -section (7), it shall, subject to rules, be based on 
computed value which shall consist of the sum of :-     
 
(a) the cost of value of materials and fabrication or other 
processing employed in producing the imported goods; 
(b) an amount for profit and general expenses equal to that 
usually reflected in sales of goods of the same class or kind as 
the goods being valued which are made by producers in the 
country of exportation for export to Pakistan; and   
(c) the cost or value of all other expenses as specified in clause 
(a) of sub-section (2).    
 
 (9) FALL BACK METHOD.-    If the customs value of the imported goods 
cannot be determined under sub -sections (1),(5),(6),(7) and (8), it shall, subject to the 
rules, be determined 130[using reasonable means] on the basis of a value derived from 
among the methods of valuation set out in sub -sections (1),(5),(6),(7) and (8), that, 
when applied in a flexible manner to the extent necessary to arrive at a customs value.  
 
 (10) Sub-sections  (1), (5), (6), (7), (8) and  (9)  define  how the  customs  
value of  imported goods is to be determined  38a[***].  The methods of customs 
 THE CUSTOMS ACT,1969 
 
34 
 
valuation 38b[may or may not]  be applied in a sequential order except reversal of the 
order of sub -section (7) and (8), at the importer’s request, if so agreed by Collector of 
the Customs.  
 
 (11) Nothing contained in this section or the rules, shall be construed as 
restricting or calling into question the rights of the appropriate officer of customs to 
satisfy himself as to the truth or accuracy of any statement, information, document or 
declaration presented for customs valuation purposes.  
 
(12) An appropriate officer of Customs appointed by an order in writing by  
the Board, or Collector of Customs, on case to case basis, shall have free access to 
business premises, registered office, warehouses or any other place, where any stocks, 
business records or documents required under this Act are kept or maintained belonging 
to any person after serving notice to such person whose business activities are covered 
under this Act or who may be required for audit, inquiry or investigation in any offence 
committed under this Act by such person, his agent or any other person: and such 
officer may, at any time during the working hours, inspect the goods, stocks, records, 
data, documents, correspondence, accounts and statements and any other record or 
documents and may take into custody such records in whole or in part, in original or 
copies thereof against a signed receipt. The Board or Collector of Customs may also 
order for audit for ascertaining the correctness of declarations, documents records and 
value of imported goods. All searches and seizure of documents made under this sub -
section shall be carried out mutatis mutandis in accordance with the provisions of the 
Code of Criminal Procedure, 1898(Act V of 1898). 
 
 (13) For the purposes of this section,- 
 
(a) “customs value of imported goods” means the value of goods for 
the purposes of levying duties of customs and other taxes on 
imported goods; 
 
(b) “identical goods” means goods which are the same in all r espects 
including physical characteristics, quality and reputation. Minor 
differences in appearance would not preclude goods otherwise 
conforming to the definition from being regarded as identical;   
(c) “similar goods” means goods wh ich although not alike in all 
respects, have like characteristics and like component  materials 
which enable them to perform the same functions  and to be 
commercially inter changeable. The quality of the goods, their 
reputation and the existence of a trademark are among the factors 
to be considered in determining whether goods are similar; 
(d) the terms “identical goods” and “similar goods” do not include as 
the case may be, goods which incorporate or reflect engineering 
 THE CUSTOMS ACT,1969 
 
35 
 
development, art work, design work, and plans and sketches for 
which no adjustment has been made under sub -section 2(c) (iv) 
because such elements were undertaken in Pakistan; 
(e) goods shall not be regarded as “identical goods” or “similar 
goods” unless they were produced in the same country as the 
goods being valued; 
(f) goods produced by a differe nt person shall be taken into account 
only when there are no identical goods or similar goods, as the 
case may be, produced by the same person as the goods being 
valued; and  
(g) “goods of the same class or  kind” means goods which fall within 
a group or range of goods produced by a particular  industry or 
industry sector, and includes identical or similar goods. 
 
 39[(14)  OMITTED.]  
 
 (15) Customs value of exported goods. -   The customs value of any 
exported goods shall be the value at the prescribed time, on a sale in open market for 
exportation to the country to which the goods are consigned having regard to the 
following provisions, namely:-       
 
(a) that the goods are treated as having been delivered to the buyer 
on board the conveyance in which they are to be exported ; and  
 (b) that the seller will bear all packing, commission, transport, 
loading and all other costs, charges and expenses  (including any 
92[regulatory duty which may be chargeable under sub-section (3) 
of section 18]  incidental to the sale and to the delivery of the 
goods on board the conveyance in which they are to be exported 
and which will be included in the customs value;  
(c) that where goods are manufactured in accordance with any  
patented invention or are goods to which any protected design  
has been applied, the customs value shall be determin ed taking 
into consideration the value of the right to use design  in respect 
of the goods;      
(d) that where goods are exported for sale, other disposal or use, 
whether or not after further manufacture, under a Pakistan trade 
mark, the customs value shall be determined taking into 
consideration the value of the right to use the patent, design or 
trade mark in respect of the goods.  
 
Explanation I.-A sale in open market between a buyer and a seller independent of  each 
other presupposes- 
 THE CUSTOMS ACT,1969 
 
36 
 
(a)  that the customs value is the sole consideration and sale is 
between a buyer and seller independent of each other. 
             (b) that the customs value is no t influenced by any commercial, 
financial or other relationship, whether by contract or  otherwise 
between the seller or any person associated in  business with him 
and the buyer or an person associated in  business with him other 
than the relationship created by the sale itself. 
 (c) that no part of the proceeds of a ny subsequent resale, other 
disposal or use of the goods will  accrue, either directly or  
indirectly, to the seller or any pe rson associated in business with 
him.  
 (d) that two persons shall be deemed to be associated in business 
with one another if, whether directly or indirectly, either of  them 
has any interest in the business or property of the other or both 
have a common interest in any business or property or some third 
person has an interest in the business or property of both of them.  
40[Explanation II.- For the purposes of this sub -section, the expression “prescribed 
time” shall mean the time when the goods declaration is delivered under section 131 or 
when export of the goods is allowed without a goods declaration or in anticipation of 
the delivery of a goods declaration, the time when export of the goods commences.] 
 
40a[25A.  Power to determine the customs value.- (1) Notwithstanding the provisions 
contained in section 25, 130,132[omitted] 123[omitted]  the  Director of Customs Valuation 
88[on his own motion or] on a reference made to him by any person  88[or an officer of 
Customs], may determine the customs value of any goods or category of goods 
imported into or exported out of Pakistan, after following the methods laid down in 
section 25, whichever is applicable 130[: 
 
Provided that notwithstanding anything contained in any provision of this Act 
and any decision or judgment of any forum, authority or court, while determining the 
customs value under this section, the Director may 135[consult prices of goods available] 
internationally acclaimed publications, periodicals, bulletins or official websites of 
manufacturers of indenters of such goods.] 
 
 (2) The Customs value determined under sub -section (1) shall be the 
applicable customs value for assessment of the relevant imported or exported goods  
116[: 
Provided that where the value declared in a goods declaration, filed under 
section 79 or section 131 or mentioned in the invoice retrieved from the consignment, 
as the case may be, is higher than the value determined under sub -section (1), such 
higher value shall be the customs value.] 
 
 THE CUSTOMS ACT,1969 
 
37 
 
130[(2A) In case of any conflict in the customs value determined under 
sub-section (1), the Director General of Valuation shall determine the applicable 
customs value. ] 
(3) 124[Omitted] 
 93[(4) The customs value determined under sub -section (1) [, or the case may 
be under sub -section (2A)] 125[omitted], shall be applicable until and unless revised or 
rescinded by the competent authority.] 
120[25AA. Power to use data exchange information for determination of customs 
value.- Any information or data, available under clause (b) of sub -section (1) of section 
219A, may be utilized for the purpose of assessment including valuation. 
42[25B.  [Omitted.] 
 
43[25C. Power to takeover the imported goods. -   (1) If any person makes an offer in 
writing to buy the imported goods sought to be cleared at value declared by an importer 
in the goods declaration, 44[and the Collector of Customs is satisfied that the declared  
value is not the actual transactional value, he may after approval of the 130[respective 
Chief Collector] order the following without prejudice to any other action against the 
importer or his authorised agent, namely:- 
 
(i) entertain offer by any other person to buy these goods at 
substantially higher value than the declared customs value in the 
goods declaration and payment of customs duties and other 
leviable taxes thereon, provided such offer is accompanied by a 
pay order equal to twenty -five per cent of the amount of each  
[such offer and duties and other taxes calculated in accordance 
with the offer]; 
(ii) give an option in writing to the importer of such goods for 
clearance of imported goods at the customs value equal to such 
highest offer for purchase of  goods and payment of customs 
duties and other taxes chargeable thereon; and  
(iii) in case the importer fails to clear the imported goods within 
seven days of the receipt of notice under clause (ii) above, the 
appropriate officer may takeover the goods on payment of 
customs value declared in the goods declaration and an amount 
equal to five per cent of such declared value; 
 
 (2) The imported goods taken over under sub -section (1) shall be delivered 
to the offeror on submission of two pay orders, one equal to the customs value declared 
in the goods declaration plus five per cent in the name of importer and the other pay 
 THE CUSTOMS ACT,1969 
 
38 
 
order equal to the remaining amount of value of imported goods and the amount of 
customs duties and other taxes leviable on the imported goods in the name of Collector 
of Customs; 
 
(3) In case the local buyer fails to take the delivery of the goods on payment 
of value and taxes as prescribed in sub-section (2) above, the pay order equal to twenty-
five per cent of the amount shall be fore-feited in favour of the Federal Government and 
imported goods shall be released to the importer as per customs value determined under 
44[sections 25 or 25A as the case may be.] 
 
44a,94,130[25D. Review of the value determined. - Notwithstanding the provision 
contained in section 25A, the Director General Valuation may on his own motion or in 
pursuance to a review petition made to him within thirty days from the date of 
determination by any person or an officer of  
Customs may rescind or determine the value afresh: 
 
  Provided that the proceedings so initiated shall be completed within sixty 
days of the filing of the review petition or initiation of proceedings as the case may be.] 
 
 131,132[Omitted]  
 
45[26. Obligation to produce documents and provide information.- (1) Any person, as 
and when required, in writing, by an officer of customs not below the rank of an Assistant 
Collector, shall,- 
 
(a) furnish information relating to importation, exportation, purchase, sales, 
transportation, storage or handling of any goods imported or exported; 
(b)  produce for examination, documents or records that the appropriate 
officer considers necessary or relevant to the audit, inquiry or 
investigation under the Act; 
(c)  allow the appropriate officer of Customs to take extracts from or make 
copies of documents or records; and  
(d)  appear before an officer of Customs and answer any question put to him 
concerning goods, documents, records and transactions relating to the 
audit or inquiry or investigation. 
 
117[(1A) Subject to rules, the Board or any officer authorized in this behalf may 
require any person to provide such information as is held by that person which is 
required for the purposes of End Use Verification of goods specified under Program 
Global Shield.]  
 
(2) The appropriate officer of Customs conducting an audit, inquiry or 
investigation as the case may be, under this Act, may require in writing any person, 
 THE CUSTOMS ACT,1969 
 
39 
 
department, company or organization to furnish such information as is held by that 
person, department, company or organization which in the opinion of the appropriate 
officer is required for the completion of such audit, inquiry or investigation. 
 
(3) The Board may require in writing any person, department, company or 
organization, as the case may be, to provide information held by that person, 
department, company or organization, which in the opinion of the Board is required for 
purposes of formulation of policy or administering the laws of Customs, Sales Tax, 
Federal Excise or Income Tax. 
 
(4) Every person, department, company or organization shall furnish the 
information requisitioned by the Board or the appropriate officer within the time 
specified in the notice.] 
 
46[26A. Conducting the audit. - (1) The appropriate officer of customs conducting any 
audit under this Act shall proceed in the manner as the Board may by rules prescribe. 
 
(2) Where any audit or inquiry or investigation is to be conducted for the 
purpose of ascertaining the correctness of any declaration or document or statement, for 
determining the liability of any person for duty, taxes, fees, surcharge, fines and 
penalties, or for ensuring compliance with all other laws administered by the customs, 
an appropriate officer of Customs may,- 
 
(a)  examine, or cause to be examined, upon reasonable notice, any record, 
or any statement or declaration or document described in the notice with 
reasonable specificity, which may be relevant to such audit, inquiry or 
investigation ; 
(b)  summon , by giving a notice and reasonable time,- 
(i) the person who imported, or exported or transported or stored or 
held under customs bond, or filed a goods declaration, drawback 
or refund claim; 
(ii)  any officer, employee or agent of any person described in clause 
(a); and 
(iii)  any person having possession, custody or care of records and 
documents required to be kept under the Act, and any other 
person, as deemed proper, to appear before him at a reasonable 
time and to produce such records and documents as specified in 
the notice and to give such testimony under oath as may be 
relevant. 
 
26B. Access for the purposes of audit. - (1) The appropriate officer of Customs, after 
giving a notice in writing specifying the date of visit, shall have access to business or 
manufacturing premises, registered office or any other place where any goods, stocks, 
 THE CUSTOMS ACT,1969 
 
40 
 
documents or records relating to the ongoing audit are kept or maintained. Such officer 
may inspect the goods, stocks, documents, records, data, correspondence, accounts, 
statements, utility bills, bank statements, information regarding nature and sources of 
funds or assets with which his business is financed, and any other records or documents 
required under any Federal or Provincial laws, maintained in any form or mode. Such 
an officer may take into his custody such documents, records or any part thereof, in 
such form as he may deem fit, against a signed receipt. 
 
(2) In all cases, except where it would defeat the purpose of the audit, a 
reasonable advance notice regarding a visit shall be given to the person concerned. 
 
(3) Whosoever causes any obstruction or fails to provide any documents, record, 
statement etc, as required under subsection (1), with an intention to defeat the purpose 
of the Act by way of destroying, altering or concealing any books, documents or 
records required to be maintained under this Act, shall be guilty of an offence under this 
section.] 
 
47[27. Abatement allowed on damaged or deteriorated goods. -  (1) If before the 
examination of any imported goods the owner thereof informs 48[an officer of Customs 
not below the ran k of] 49[Assistant Collector] in writing that the value of the goods as 
declared in the 50[goods declaration]  has diminished as a result of some damage or 
deterioration sustained by them before or during unloading at the port of destination, an 
officer of Customs not below the rank of  49[Assistant Collector] may appraise the value 
of the damaged or deteriorated goods in the manner given in sub -section (2) and the 
owner shall be allowed abatement of duty in proportion to the diminution of value so 
appraised, whether duty is leviable ad valorem or otherwise.     
 
 (2) For the purposes of this section, the value of damaged or deteriorated 
goods may be ascertained by either of the following methods at the option of the 
owner:-  
 (a) value may be appraised by an Officer of Customs not below the 
rank of 49[Assistant Collector] on the  basis of physical 
examination of the goods; or  
 (b) such goods may be sold by public auction or by tender or, with 
  the consent of the owner, in any other manner and the gross 
  sale proceeds shall be deemed to be the value of such goods 
  inclusive of duties.] 
 
 51[(3) In the case of short -landing or short -shipment of goods,  the appropriate 
officer may, if satisfied with regard to the bonafide of short -landing or short -shipment 
of goods, allow reduction in duty proportionate to the goods short -landed or short -
shipped on first examination.] 
 
 THE CUSTOMS ACT,1969 
 
41 
 
52,95[27A. Allowing mutilation or scrapping  of goods. - At the request of the owner  
130[to be made before the filing of goods declaration] the mutilation or scrapping of 
goods as are notified by the Board, may be allowed, in the manner as prescribed by the 
rules and where such goods are so mutilated or scrapped they shall be chargeable to 
duty at such rates as may be applicable to the goods as if they had been imported in the 
mutilated form or as scrapped]: 
 
 129[Provided that the goods imported in new condition shall not be allowed 
scrapping and mutilation and shall be classified and chargeable to leviable duty and 
taxes as new goods:] 
 
 137[Provided further that scrapping and mutilation shall not be allowed for 
quantity exceeding ten per cent of the imported goods.] 
   
28. Power to test and denature imported spirit. -   When by any law for the time 
being in force a duty lower than that prescribed by 54[this Act] is imposed on denatured 
spirit, any such spirit imported into Pakistan may, subject to rules, be tested and if 
necessary adequately denatured by officers of customs, at the expense of the person 
importing the same, before the customs-duty is charged thereon.  
 
29. Restriction on amendment of  55&55a[goods declaration].-  Except as provided 
in section 88, no amendment of  56&56a[goods declaration] relating to goods assessed for 
duty on the declared value, quantity or description thereof shall be allowed after such 
goods have been removed from the customs -area 57[or assigned a Customs Reference 
Number electronically, as the case may be].  
 
58[30.   Date of determination of rate of import duty.-   The rate of duty applicable to 
any imported goods shall be the rate of duty in force; 
 
(a) in the case of goods cleared for home consumption under section 79, on 
the date on which a 59&59A[goods declaration] is manifested under that 
section; and 
 
(b) in the case of goods cleared from a warehouse under section 104, on the 
date on which a 59&59A[goods declaration] for clearance of such goods is 
manifested under that section: 
 
 130[Provided that, where a goods declaration has been manifested in advance of 
the arrival of the conveyance by which the goods have been imported, the relevant date 
for the purpose s of this section shall be the date on which the goods declaration i s 
manifested under the 79 or section 104, as the case may be, except for those goods 
declaration in respect of which the rate of duty change after the submission of the goods 
declaration and before the berthing or cross -over event of the vessel or the vehicle 
 THE CUSTOMS ACT,1969 
 
42 
 
respectively, as the case may be, the relevant date in which  case, for the purpose s of 
this section, shall be the date on which the vessel has berthed or the vehicle has crossed-
over the border, as the case may be.] 
 
 60[Provided further that, in respect of goods for the clearance of which a 
59/59A[goods declaration] for clearance has been manifested under section 104, and the 
duty is not paid within seven days of the 59/59A[goods declaration] being manifested, the 
rate of duty applicable shall be the rate of duty on the date on which the duty is actually 
paid 61[:] 
 
 62[Provided further that in case of the goods illegally removed from the 
warehouse, the rate of duty shall be the rate prevalent either on the date of in -bonding 
or detection of case or date of payment of the duty and taxes, whichever is higher: 
 
 Provided further that in case of exercising option for redemption of fine in lieu 
of confiscation of the goods seized during anti -smuggling operations, the rate of duty 
shall be the rate prevalent either on the date of seizure or date of payment of duty and 
taxes, whichever is higher:] 
  
 Provided further that the 127[Board, with approval of the Federal Minister -in-
charge] may, by notification in the official Gazette, for any goods or class of goods, 
specify any other date for the determination of rate of duty.  
 
Explanation:- For the purpose of this section “manifested” means that when a machine 
number is allocated to 59&59A[goods declaration] and is registered in Customs record.] 
 
63[30A.    Date of determination of rate of duty for clearance through the Customs 
Computerized System. -  Subject to the provisions of section 155A, the rate of duty 
applicable to any imported or exported goods if cleared through the Customs 
Computerized System, shall be the rate of duty in force on;- 
 
(a) the date of payment of duty; 
(b) in case the goods are not chargeable to duty, the date on which the goods 
declaration is filed with Customs 64[.]   
65[(c) Omitted. 
 
 Provided that where a goods declaration has been filed in advance of the arrival 
of the conveyance by which the goods have been imported, the relevant date for the 
purposes of this section shall be the date on which the manifest of the conveyance is 
filed at the customs-station of first entry: 
 
 THE CUSTOMS ACT,1969 
 
43 
 
Provided further that the 127[Board, with approval of the Federal Minister -in-
charge] may, by notification in the official Gazette, specify any other date for the 
determination of rate of duty in respect of any goods or class of goods.] 
 
31. Date for determination of rate of 66A[duty on goods exported].-  The rate and 
amount of duty applicable to any goods exported shall be the rate and amount 
chargeable at the time of the delivery of the  59&59A[goods declaration] under section 
131: 
 
 Provided that where the export of any goods is permitted without a 59&59A[ goods 
declaration] or in anticipation  of the delivery of such a 59&59A[declaration], the rate and 
amount of duty applicable shall be the rate and amount chargeable on the date on which 
loading of the goods on the outgoing conveyance commences 66B[:] 
 
 67[Provided further that the 127[Board, with approval of the Federal Minister -in-
charge] may, by notification in the official Gazette, for any goods or class of goods, 
specify any other date for determination of the rate of duty.] 
 
68[31A.  Effective rate of duty.- (1) Notwithstanding  anything contained in any other 
law for the time being in force or any decision of any Court, for the purposes of section 
30 69[,30A] and 31, the rate of duty applicable to any goods shall include any amount of 
duty imposed under section 18  89[,18A and 18C] . 70[Omitted] and the amount of duty 
that may have become payable in consequence of the withdrawal of the whole or any 
part of the exemption or concession from duty whether before or  after the conclusion of 
a contract or agreement for the sale of such goods or opening of a letter of credit in 
respect thereof. 
 
 71[(2) For the purpose of determining the value of any imported or exported 
goods, the rate of exchange at which any foreign currency is to be converted into 
Pakistan currency shall be the rate of exchange in force on the date immediately 
preceding the relevant date referred to in sections 30, 30A or 31.] 
 
32. 72[False] statement, error, etc. -  (1) If any person, in connection with any 
matter of customs,-  
 
(a) makes or signs or causes to be made or signed, or delivers or causes to 
be delivered to an officer of customs any declaration, notice, certificate 
or other document whatsoever, or 
(b) makes any statement in answer to any question put to him by an officer 
of customs which he is required by or under this Act to answer, 90[or] 
 
 90[(c ) submits any false statement or document electronically through  
  automated clearance system regarding any matter of Customs.] 
 THE CUSTOMS ACT,1969 
 
44 
 
72[knowing or having reason to believe that such document or statement is false] in any 
material particular, he shall be guilty of an offence under this section. 
 
 (2) Where, by reason of any such document or statement as aforesaid or by 
reason of some collusion, any duty  109[,taxes] or charge has not been levied or has been 
short-levied or has been erroneously refunded, the person liable to pay any amount on 
that account shall be served with a notice within 73[five] years of the relevant date, 
requiring him to show cause why he should not pay the amount specified in the notice.     
 
 (3) Where, by reason of any inadvertence, error or misconstruction, any duty 
109[,taxes] or charge has not been levied or has been short -levied or has been 
erroneously refunded, the person liable to pay any amount on that account shall be 
served with a notice within 74[three years] of the relevant date requiring him to show 
cause why he should not pay the amount specified in the notice 75[:].    
 
 76[Provided that if the recoverable amount in a case is less than 113[twenty 
thousand] rupees, the Customs authorities shall not initiate the aforesaid action 120[:] 
 
120[Provided further that the aforesaid action shall also not be initiated in case 
full amount of short paid duty, taxes or other charges are paid voluntarily prior to 
initiation of audit, inquiry or investigation.] 
  
 77[(3A) Notwithstanding anything contained in sub -section (3), where any  duty 
109[,taxes] or charge has  not  been  levied  or has been short -levied or has been 
erroneously refunded and this is discovered as a result of  an audit or examination of an 
importer’s 128[or exporter’s] accounts or by any means other than an examination of the 
documents provided by the importer 128[or exporter] at the time the goods were 
imported 128[or exported], the person liable to pay any amount on that account shall be 
served with a notice within 100[five] years of the relevant date requiring him to show 
cause why he should not pay the amount specified in the notice 78[:] 
 
 79[Provided that if the recoverable amount in a case is less than 8,137[one 
hundred thousand] rupees, the Customs authorities shall not initiate the aforesaid action  
137[if he deposits the recoverable amount.] 
 
 (4) The appropriate officer, after considering the representation, if any, of 
such person as is referred to in sub -section (2) or sub -section (3) 104[or sub -section 
(3A)] shall determine 80[any amount payable by him under this Act,]  which shall in no 
case exceed the amount specified in the notice, and such person shall pay the amount so 
determined.  
 
 (5) For the purposes of this section, the expression “relevant date” means – 
 THE CUSTOMS ACT,1969 
 
45 
 
(a) in any case where duty is not levied, the date on which an order 
for the clearance of goods is made; 
(b) in a case where duty is provisionally assessed under section 81, 
the date of adjustment of duty after its final assessment; 
(c) in a case where duty has been erroneously refunded, the date of 
its refund; 
(d) in any other case, the date of payment of duty or charge 96[;] 
96[(e) in case of clearance of goods through the Customs Computerized 
System, on self assessment or electronic assessment, the date of 
detection.] 
 
81[32A.  Fiscal fraud. - (1) If any person, in connection with any  matter related to 
customs- 
 (a) causes to submit documents including those filed electronically,  which 
are concocted, altered, mutilated, false, forged, tempered or  counterfeit 
to a functionary of customs;      
 (b) declares in the  82[goods declaration]  electronically filed customs 
declaration, the name and addres s of any exporter or importer which is 
physically non-existent at the given address;  
 (c) declares in the  82[goods declaration]  electronically filed  customs 
declaration, an untrue information regarding  97[payment of duties and 
taxes through self -assessment,] description, quantity, quality, origin and 
value of goods; 
 129[(ca) declares value which is significantly higher or lower than the actual 
value, that is, the price actually paid or payable for the goods when sold 
for export to Pakistan, proceedings may be initiated under this section 
subject to conditions or limitations as may be prescribed by the Board 
under the rules.] 
 (d) alters, mutilates or suppresses any finding of the customs functionary 
  on any document or in the computerized record; or    
 (e) attempts, abets or connives in any action mentioned in clauses (a), (b), 
  129[(c),(ca)] and (d) above, he shall be guilty of an offence under this 
section. 
 
 (2) Where, by any reason as referred to in sub -section (1) as aforesaid, any 
duty or tax charged or fee or fine and penalty levied under any provision of law has not 
been levied or has been short levied or has been refunded, the person liable to pay any 
amount on that account shall be served with a notice within a period of 180 days of the 
date of detection of such custom duty and tax fraud, requiring him to  show cause as to 
why he should not pay the amount specified in the notice along with any other amount 
imposed as fine or penalty under the provisions of this Act : 
 
 THE CUSTOMS ACT,1969 
 
46 
 
 129[Provided that an offence, having no revenue implication but covered under 
sub-section (1), shall also be served with show cause notice within a period of one 
hundred and eighty days of detection of such fraud for penal action under the relevant 
provisions of law.] 
 
 (3) The appropriate Adjudicating Officer, after considering the written or 
verbal representation of such person, may determine the amount of duty or tax 
chargeable or fee payable by such person which shall in no case exceed the amount 
specified in the notice and such person shall pay the amount so determined besides the 
fine or penalty or both.] 
 
83[32B.    Compounding of offence.- Notwithstanding anything contained in section 32 
and 32A or any other provision of this Act, where any person has committed a duty or 
tax fraud, the Collector 128[or Director] may, with the prior approval of the Board, either 
before or after the institution of any proceedings for recovery of duty or tax, comp ound 
the offence if such person pays the amount of duty or tax due along with penalty as is 
determined under the provisions of this Act.] 
 
128[32C. Mis -declaration of Value for illegal transfer of funds into or out of 
Pakistan.- (1) Without prejudice to any action that may be taken under this Act or any 
other law for the time being in force, if any person overstates the value of imported 
goods or understates the value of exported goods or vice versa , or using other means 
including short-shipment, over-shipment, with a view to illegally transferring funds into 
or out of Pakistan, such person shall be served with a notice to show cause within a 
period of two years from the date of detection of such mis -declaration as to why penal 
action shall not be initiated: 
 
 Provided that if goods have not been cleared from customs, such goods shall 
also be liable to be seized: 
 
 130[Provided further that Board may, by notification in the official Gazette, make 
rules for carrying out the purposes of this section.] 
 
(2) Any proceedings under this section, shall not be initiated, without the 
explicit approval of Board.] 
 
33. Refund to be claimed within 84[one year].-  (1) No refund of any customs -
duties or charges claimed to have been paid or over -paid through inadvertence, error or 
misconstruction shall be allowed, unless such claim is made within  84[one year] of the 
date of payment 91[.] 
 
 91,118[Omitted]     
 
 THE CUSTOMS ACT,1969 
 
47 
 
 (2)  In the case of provisional payments made under section 81, the said 
period of 84[one year] shall be reckoned from the date of the adjustment of duty after its 
final assessment.        
 
 101(3) In the case where refund has become due in consequence of any decision 
or judgment by any appropriate officer of Customs or the Board or the Appellate 
Tribunal or the Court, the said period of one year shall be reckoned from the date of 
such decision or judgment, as the case may be.]  
 
120[(3A) The claim filed under this section shall be disposed of  128[subject to 
pre-audit] within a period not exceeding one hundred and twenty days from the date of 
filing of such claim: 
 
 Provided that the said period may, for reasons to be recorded in writing, be 
extended by the Collector of Customs for a period not exceeding ninety days.] 
 
 119[(4)  No refund shall be allowed under this section, if the sanctioning 
authority is satisfied that the incidence of customs duty and other levies has been passed 
on to the buyer or consumer.] 
 
128[(5) For the purpose of this section, the Board may, by notification in the 
official Gazette, specify the jurisdiction and powers of the officers of Customs to 
sanction refund in terms of amount of Customs duty and other taxes involved.] 
 
34. Power to give credit for, and keep account -current of duties and charges. -  
An officer of customs, not below the rank of 85[Assistant Collector 102[omitted] of 
customs may, in the case of any mercantile firm or public body, if he so thinks fit, 
instead of requiring payment of customs duties or charges as and when they become 
due, keep with such firm or body an account -current of such duties and charges, which 
account shall be settled at intervals of not exceeding one month, and such firm or body 
shall make a deposit or furnish a security sufficient in the opinion of that officer to 
cover the amount which may at any time be payable by it in respect of such duties or 
charges.   
 
LEGAL REFERENCE 
 
 1. Substituted by the Finance Act, 1975 (L of 1975), S.7(1), page 8.  At the time of substitution 
section 18 was as under:- 
 
  “1a.18. Goods dutiable.- Except as hereinafter provided, customs duties shall be levied at such 
rates as may be prescribed under the Tariff Act, 1934 (XXXII of 1934) or under any other law 
for the time being in force on  
   (a) goods imported into or exported from Pakistan; 
  (b) goods brought from any foreign country to any customs -station, and without payment 
of duty, there transshipped or transported for, or thence carried to, and imported at, any 
other customs stations; and 
 THE CUSTOMS ACT,1969 
 
48 
 
  (c) goods brought in bond from one customs-station to another.”. 
  
  1a. Substituted by Finance Act, 2005 (At the time of substitution section 18 was as under:-  
1b Added by the Finance Act, 2007.  
 
  “18.  Goods dutiable.- (1) Except as hereinafter provided, customs-duties shall be levied at 
such rates as are prescribed in the First Schedule and the Second Schedule or under any other law 
for the time being in force on-      
(a) goods imported into or exported from Pakistan; 
(b) goods brought from any foreign country to any customs-station, and without 
payment of duty, there transshipped or transported for, or thence carried to, and 
imported at any other customs-station; and  
(c) goods brought in bond from one customs-station to another.     
  (2) The Federal Government may, on the recommendation, of the National Tariff 
Commission constituted under  the National Tariff Commission Act,1990 (VI of 1990) (the 
Commission), provided the National Tariff Commission follows the same procedure as 
prescribed in the said Act by notification in the official Gazette, levy, subject to such conditions, 
limitations or restrictions as it may deem fit to impose, a regulatory duty on all or any of the 
goods specified in the First Schedule at a rate not exceeding one hundred per cent of the value of 
such goods, as determined under section 25 or section 25B and may, by a like notification, levy a 
regulatory duty on all or any of the goods, exported from Pakistan:-   
 
(i) at a rate not exceeding one hundred per cent of the value of the goods as determined 
under section 25 or section 25B, if such goods are specified in the Second Schedule; 
and  
(ii) at a rate not exceeding fifty per cent of the amount which represents the value of the 
goods as determined under section 25 or section 25B, if such goods are not specified in 
the Second Schedule.  
  (3) The regulatory duty levied under sub-section (2) shall –  
(a) be in addition to any duty imposed under sub-section (1) or under any other 
law for the time being in force; and  
  (b) be leviable on and from the day specified in the notification issued under that 
sub-section, notwithstanding the fac t that the issue of the official Gazette in 
which such notification appears is published at any time after that day.]  
 
  (4)   Any notification issued under sub -section (2) shall, if not earlier rescinded, stand 
rescinded on the expiry of the financial year in which it was issued.”  
 
 2. Inserted by the Finance Act, 2006. 
 2a&2b. Added by the Finance Act, 2007. 
3. Inserted by Finance Act,1991 (XII of 1991), S.4(1), page 197. 
4. The brackets and words “(Amendment)” Omitted by Finance Act,1993 (X of 1993), S.4(1),page 
121. 
 5. Omitted by Finance Act,1999(IV of 1999),S.10(2), Page 758. At the time  of omission section 18B 
was as under:- 
  “18B. Levy of service charges.- The Federal Government may, by notification in the official 
Gazette, levy a service charge equivalent to two per cent ad valorem on all such goods specified 
in the First Schedule to this Act as are subject to pre-shipment inspection.”.  
 
 Provided that for the purposes of Sales Tax Act, 1990, such service charge shall not constitute a 
part of the value of supply.”. 
 
6. Inserted by Finance Act, 2005 
6a Inserted by the Finance Act, 2007. 
7. Renumbered  by Finance Ordinance,1979(XXX of 1979),S.6(2), Page 787 w.e.f. 28th June, 1979. 
8. The words “Central Government” substituted by Finance Ordinance, 1972 (XXXI of 1972 ), S.3, 
and Second Schedule S.1,   page 76 w.e.f. 17th June, 1972 
 THE CUSTOMS ACT,1969 
 
49 
 
9. Added by the Finance Act, 2005. 
10. Substituted for the words “full stop” by Customs (Amendment) Act, 1999 (II of 1999). 
 11. Proviso added by the Customs (Amendment )Act,1999 and Proviso omitted vide Customs 
(Amendment) Ordinance, 2000 (XI of 2000), S.2, page 114. At the time of omission this was  as 
under: 
 “Provided that the Federal Government shall not exempt any goods imported into 
Pakistan from the whole or any part of the customs duties chargeable thereon, except in the 
following cases, namely:- 
 (a) For rectification of tariff anomalies on the recommendation of National Tariff 
 Commission; or 
(b) for the fulfillment of an international obligation of the Government of Pakistan; or 
(c) for the purpose of national security.” 
12. Added by Finance Ordinance, 1979 (XXX of 1979), S.6(2), page 187. 
13 Added by Customs (Amendment) Ordinance, 2002 (XXIV of 2002). 
14. Inserted by Finance Act, 2005. 
14a. Inserted by the Finance Act, 2007. 
15. Omitted by Customs (Amendment) Act, 1999 (II of 1999) and added by Customs (Amendment) 
Act, 2000 (XI of 2000), S.3, page 114, at the time of omission section 20 was as under:- 
 
 “20. Board’s power to grant exemption from duty in exceptional circumstances.- Under 
circumstance of exceptional nature, the Board may, subject to such conditions, 
limitations or restrictions, if any, as it thinks fit to impose, by a special order in each 
case recording such circumstances, exempt any goods from payment of the whole or 
any part of the customs duties chargeable there."” 
 
 16. Added by Finance Act, 2005. 
 17. Inserted by the Finance Act, 2005. 
 18. Omitted by Customs (Amendment) Act, 1999 (II of 1999) . At the time of omission sub -clause (b) 
was as under:- 
 “(b) the delivery without payment of the whole or any part of the customs duties chargeable 
thereon of imported goods of such classes or description as it may prescribe, intended 
to be used in the production, manufacture, processing, repair or refining in Pakistan of 
goods of such classes or descriptions as it may prescribe;”. 
 
19 Substituted by Customs (Amendment) Act, 1999 (II of 1999).  At the time of substitution clause (c) 
was as under:- 
 “(c) the repayment in whole or in part of the customs -duties paid on the importation of any 
goods of such classes or description as it may prescribed, which have been used in the 
production, manufacture, processing, repair or refitting in Pakistan of goods of such 
classes or descriptions as it may prescribe, provided such repayment shall not be made 
in respect of the class or description of goods for which drawback can be claimed 
under Section 37.”. 
20. Substituted for the full stop by the Finance Act, 2005. 
21. Added by the Finance Act, 2005. 
22. Substituted for the full stop by the Finance Act, 2005. 
23. Added by the Finance Act, 2005. 
 24 Inserted by Finance Act, 1990 (VII of 1990), S.6(2), page 35.  Omitted by Customs (Amendment) 
Act, 1999 (II of 1999) and inserted by Finance Ordinance, 2001 (XXV of 2001), S.4(3), page 305. 
At the time of omission  this section was as under:- 
 “21-A. Deferment of collection of customs-duties.- Subject to such conditions, limitations or 
restrictions as it thinks fit to impose, the Board may, in such general cases as may be prescribed 
by rules or in particular case by special order, defer the collection of customs -duties either in 
whole or in part.”. 
25. Renumbered by the Finance Act, 2006. 
26. Added by the Finance Act, 2006. 
26a. For the word “fifteen” the word “fourteen” was substituted vide FA, 2007. 
 THE CUSTOMS ACT,1969 
 
50 
 
27. Substituted by Finance Act,1975(L of 1975),S.7(2), Page 9 w.e.f.7th June,1975.At the time of 
substitution the proviso was as under:- 
 “Provided if such goods have been imported within two years of their exportation  
27a[(or within such further period not exceeding three years, as the Collector may allow in any 
case,)] and have continued to be the property of the person by whom or on whose account they 
were exported and have not undergone any processing since their exportation.”. 
  27a. Inserted by the Finance Act, 1973(L of 1973)  
28. Substituted “Assistant Collector” by F.A,1996(IX of 1996) S.4(6).Page 476. 
29. Substituted by Finance Act,1973 (L of 1973, S.9(3), Page 531. At the time of substitution it was 
as under:- 
“(a) where at the time of exportation of such goods, drawback of any customs or Federal  
Excise duty or any other tax levied by the 29a[Federal Government] or any Federal Excise duty  
levied by the Provincial Government was allowed, on payment of customs -duty equal to the 
amount of such drawback.”. 
29a. The words “Central Government” substituted by Finance Ordinance, 1972 (XXXI of 
1972 ), S.3, and Second Schedule S.1,   page 76.   
29a. Inserted section 22A by the Finance Act, 2007. 
30 Omitted the comma and words “, Federal Excise duty  and sales tax” by Finance Ordinance, 
2002 (XXVII of 2002), S.4(3), page 223. 
  
 31. Substituted by the Finance Act, 1998 (III of 1998), S.4(II), page 39 at the time of substitution was 
as under:- 
 “25. Value of imported and exported goods. - (1) The value of any imported goods shall be 
taken to be the normal price, that is to say, the price which they would fetch, on the date referred 
to in section 30 on a sale in  open market between a buyer and a seller independent of each other. 
(2) The normal price of any imported goods shall be determined on the following 
assumptions, namely:- 
that the goods brought by sea or land are treated as having been delivered to 
the buyer at the port or place of importation, as the case may be, and that 
goods brought by air are treated as having been delivered to the buyer at the 
airport or place where they are unloaded in Pakistan or, if the aircraft first 
lands in Pakistan at some other airport or place without unloading the goods, 
at such other airport or place; 
 (b) that the seller will bear freight, insurance, commission shall and all other 
costs, charges and expenses incidental to the sale and the delivery of the 
goods at that port, airport or place which will be included in the normal price; 
 (c) that the buyer will bear any duties or taxes applicable in Pakistan which will 
not be included in the normal price.  
(3) Where the imported goods to be valued – 
(a) are manufactured in accordance with any patented invention or are goods to 
which any protected design has been applied; or 
(b) are imported under a foreign trade mark or are imported for sale, other 
disposal or use (whether or not after further manufacture) under a foreign 
trade mark; 
the normal price shall be determined on the assumption that it includes the value of the 
right to use the patent, design or trade mark in respect of the goods. 
(4) The value of any exported goods shall be taken to be the normal price, that is to say, 
the price which they would fetch, at the prescribed time, on a sale in open market for 
exportation to the country to which the goods are consigned between a seller and a 
buyer independent of each other. 
 Explanation.- For the purposes of this sub -section, the expression 
“prescribed time” shall mean the time when the bill of export is delivered under section 
131 or, when export of the goods is allowed without a bill of export or in anticipation 
of the delivery of a bill of export, the time when export of the goods commences. 
(5) The normal price of any exported goods shall be determined on the following 
assumptions, namely:- 
 THE CUSTOMS ACT,1969 
 
51 
 
(a) that the goods are treated as having been delivered to the buyer on board the 
conveyance in which they are to be exported; and 
(b) that the seller will bear all packing commission, transport, loading and all 
other costs, charges and expenses (including any export duty which may be 
chargeable) incidental to the sale and to the delivery of the goods on board 
the conveyance in which they are to be exported and which will be included 
in the normal price. 
  (6) where the exported goods to be valued - 
(a) are manufactured in accordance with any patented invention or are goods to 
which any protected design has been applied; or 
(b) are exported for sale, other disposal or use under a Pakistan trade mark or are 
exported for sale, other disposal or use (whether or not after further 
manufacture) under a Pakistan trade mark, the normal price shall be 
determined on the assumption that it includes the value of the right to use the 
patent, design on trade mark in respect of the goods. 
 Explanation I.- A sale in open market between a buyer and a seller 
independent of each other presupposes – 
(a) that the price is the sole consideration; and 
(b) that the price is not influenced by any commercial, financial or other 
relationship, whether by contract or otherwise between the seller or any 
person associated in business with him and buyer or any person associated in 
business with him other than the relationship created by the sale itself; 
(c) that no part of the proceeds of any subsequent resale, other disposal or use of 
the goods will accrue, either directly or indirectly, to the seller or any person 
associated to business with him. 
   Explanation II.- Two persons shall be deemed to be associated in business 
with one another if, whether directly or indirectly, either of them has any interest in the 
business or property of the other or both have a common interest in any business or 
property or some third person has an interest in the business or property of both of 
them.”. 
 
 31a. Substituted by the Finance Act, 1999 (IV of 1999), S.10(3), page 758.  At the time of substitution 
section 25 was as under:- 
  “25. Value of imported and exported goods. - (1) Subject to the provisions of this section 
and the rules, the value of any imported goods shall be the transaction value, that is, the 
price actually paid or payable for the goods when sold or export to Pakistan. 
(2) In determining the value under sub-section (1) – 
(a) there shall be added to the price actually paid or payable for the 
imported goods:- 
    (i) the cost of transport of the imported goods to the port, 
airport or place of importation; 
  (ii) loading, unloading and handling charges or any other 
charges associated with or incidental to the transport of 
the imported goods to that port, airport or place of 
importation; and 
  (iii) the cost of insurance. 
 (b) to the extent that they are incurred by the buyer but are not 
included in the price actually paid or payable for the imported 
goods, there shall also be added to such price – 
 (i) commission and brokerage, except buying commissions; 
 (ii) the cost of containers which are treated as being one for 
customs purposes with the goods in question; and 
 (iii) the cost of packing whether for labour or materials; 
    (c) the value, apportioned as appropriate, of the following goods and 
services where supplied directly or indirectly by the buyer free of 
charge or at reduced cost for use in connection with the production 
and sale for export of the imported goods, to the extent that such 
 THE CUSTOMS ACT,1969 
 
52 
 
value has not been included in the price actually paid or payable, 
shall also be added to such price – 
     (i) materials, components, parts and similar items 
incorporated in the imported goods; 
     (ii) tools, dies, moulds, and similar items used in the 
production of the imported goods; and 
     (iii) materials consumed in the production of the imported 
goods; 
 (d) royalties and license fees related to the imported goods being 
valued that the buyer must pay, either directly or indirectly, as a 
condition of sale of the imported goods being valued, to the extent 
that such royalties and fees are not included in the price actually 
paid or payable shall also be added to such price; and 
(e) the value of any part of the proceeds of any subsequent resale, 
disposal or use of the imported goods that accrues directly or 
indirectly to the seller shall also be added to the price actually paid 
or payable for such goods. 
 
(3) The value of exported any goods shall be taken to be the normal price, that is 
to say, the price which they would fetch, at the prescribed time, on a sale in 
open market for exportation to the country to which  the goods are consigned 
between a seller and a buyer independent of each other. 
 Explanation.- For the purposes of this sub -section, the expression 
“prescribed time” shall mean the time when the bill of export is delivered 
under section 131 or; when export of the goods is allowed without a bill of 
export or in anticipation of the delivery a bill of export, the same when 
export of the goods commences; 
(4) The normal price of any exported goods shall be determined on the following 
assumptions; namely:- 
(a) that the goods are treated as having been delivered to the buyer on 
board the conveyance in which they are to be exported; and 
(b) that the seller will bear all packing, commission, transport, loading 
and all other costs, charges and expenses (including any export 
duty when may be chargeable) incidental to the sale and to the 
delivery of the goods on board the conveyance in which they are to 
be exported and which will be included in the normal price. 
(5) Where the exported goods to  be valued – 
(a) are manufactured in accordance with any patented invention or are 
goods to which any protected design has been supplied; or 
(b) are exported for sale, other disposal or use, whether or not after 
further manufacture, under a Pakistan trade mark; the normal price 
shall be determined on the assumption that it includes the value of 
the right to use the patent, design or trade mark in respect of the 
goods. 
Explanation I.- A sale in open market between a buyer and a seller 
independent of each other presupposes– 
(a) that the price is the sole consideration; 
(b) that the price is not influenced by any commercial, 
financial or other relationship; whether by contract or 
otherwise between the seller or any person associated in 
business with him other than the relationship created by 
the sale itself; and 
(c) that no part of the proceeds of any subsequent resale, 
other disposal or use of the goods will accrue, either 
directly or indirectly, to the seller or any person 
associated in business with him. 
 THE CUSTOMS ACT,1969 
 
53 
 
Explanation II.- Two person shall be deemed to be associated in 
business with one another if whether directly or indirectly, either of them has 
any interest in the business or property of the other or both have a common 
interest in any business or property or some third person has an interest in the 
business or property of both of them.”. 
 
31b. For the words “Determination of Customs value of goods” the words Value of imported and 
exported goods” were substituted by the Finance Act, 2007. 
 32. .Substituted  by the Finance Ordinance, 2000 (XXI of 2000), S.4(3)(I), page 198. At the time of 
substitution sub-section (4) was as under:- 
 “(4) Where, in relation to the goods being valued, the appropriate officer is of the opinion 
that the declared price at which the goods are imported is different from test values as mentioned 
above, the appropriate officer shall inform the importer his reservations in writing and require the 
importer to justify the price difference.  If the importer fails to justify the price difference, the 
transaction value shall be taken to be the one that cannot be determined under sub-section (1).”. 
 33. Substituted by Finance Ordinance, 2000.. 
 34 Inserted for the word “the” by the Finance Ordinance, 2000 (XXI of 2000), S.4(3)(I), page 198. 
 35. Added by the Finance Ordinance, 2000 (XXI of 2000),S.4(3)(ii), page 199. 
 36. Substituted by the Finance Ordinance, 2000 (XXI of 2000), S.4(3)(I), page 198.  At the time of 
substitution this sub-section (6) was as under:- 
  “(6) Transaction value of similar goods.- If the customs value of the imported goods 
cannot be determined under the provisions of sub-section (5), it shall, subject to rules, be the 
transaction value of similar goods sold for export to Pakistan and exported at or about the same 
time as the goods being valued, and the provisions of clauses (b), (c) and (d) of sub-section (5) 
shall mutatis mutandis also apply in respect of similar goods.”. 
 37 Added the word “and” by the Finance Ordinance, 2000 (XXI of 2000), S.4(3)(I), p.198. 
 38. Sub-clause (iii) omitted by the Finance Ordinance, 2000 (XXI of 2000), S.4(3)(I)p.198. 
 38a. The words “under this Act” were  omitted by the Finance Act, 2007. 
38b. For the words “are required to” the words “may or may not” were substituted by the FA, 2007. 
 39. Omitted by Finance Act, 2005. 
 40.. Amended by the Finance Act, 2006. At the time of amendments the Explanation II was as under:- 
  Explanation II.- For the purposes of this sub -section, the expression “prescribed time” shall 
mean the time when the bill of export or goods declaration is delivered under section 131 or 
131A or, when export of the goods is allowed without a bill of export or goods declaration] or in 
anticipation of the delivery of a bill of export or goods declaration, the time when export of the 
goods commences. 
 40a. Substituted by the Finance Act, 2007. Before substitution the section 25A was as under:- 
 
41[25A.  Powers to determine the customs value.- (1) Notwithstanding the provisions contained 
in section 25, the Collector of Customs on his own motion, or the Director of Customs Valuation 
on a reference made to him by any person, may determine the customs value of any goods or 
category of goods imported into or exported out of Pakistan after following the scheme and 
sequential order as laid down under section 25. 
(2) The customs value determined under sub-section (1) shall be the applicable customs value for 
assessment of the relevant imported or exported goods. 
(3) In case of any conflict in the customs value determined under sub -section (1), the Director -
General of Customs Valuation shall determine the applicable customs value.] 
 
41. Inserted  by the Finance Act, 2006. 
  
  42. Inserted by Finance Act, 1988 and Omitted by Finance Act, 2004 (II of 2004) , S.3(4), 
page 14. At the time of omission was as under:- 
  “25B. Determination of Value not covered by section 25. -   (1)  If the value of the 
imported goods cannot be determined under section 25, the value, subject to the rules, shall be 
the transaction value of identical goods sold for export to Pakistan and exported at or about the 
same time as the goods being valued. 
 THE CUSTOMS ACT,1969 
 
54 
 
  (2) If the value of the imported goods cannot be determined under sub -section (1), the 
value, subject to the rules, shall be the transaction value of similar goods sold for export to 
Pakistan and exported at or about the same time as the goods being valued.  
  (3) If the value of the imported goods cannot  be determined under sub -section (2), the 
value shall be determined as follows- 
  (a) if the imported goods or identical or similar imported goods are sold in Pakistan in the 
condition as imported, then the value of the imported goods shall be based on the unit 
price at which the imported goods or identical or similar imported goods, are so sold in 
the greatest aggregate quantity, at or about the time of the importation of the goods 
being valued, to persons who are not related to the persons from whom they buy such 
goods, subject to such deductions as may be provided in the rules; and  
(b) If neither the imported goods nor identical nor similar goods are sold for export to 
Pakistan then, if the appropriate officer so decides, the value shall be based on the unit 
price at which the imported goods, after processing, are sold in the greatest aggregate 
quantity to persons in the country of importation who are not related to the persons 
from whom they buy such goods, due allowance being made for the value added for all 
such processing and the deductions as may be provided in the rules. 
  (4) If the value of the imported goods cannot be determined under sub -section (3), the 
value of imported goods shall be based on computed value as may be prescribed by the rules: 
 Provided that, at the request of the importer, the order of application of sub -
sections (3) and (4) may be reversed, if so agreed by the appropriate officer.  
  (5) If the computed value of the imported goods cannot be determined under sub -section 
(4), the value shall be determined using reasonable means consistent with the principles and 
general provisions contained in section 25 and on the basis of data available with the Controller 
of Customs Valuation, due regard being given to the circumstances surrounding the sale.] 
 
43. Inserted by Finance Act, 1979 and amended by the Finance Act, 2006. At the time of amendments 
the existing Section 25C was as under:- 
“25A. Power to takeover the imported goods. -  (1) If any person makes an offer in writing to 
buy the imported goods sought to be cleared at value declared by an importer in the bill of entry 
or goods declaration, the Assistant Collector or any other higher officer of customs may order the 
following without prejudice to any other action against the importer or his authorised agent, 
namely:-] 
(i) entertain offer by any other person to buy these goods at substantially higher value than 
the declared customs value in the bill of entry 37[or goods declaration] and payment of 
customs duties and other leviable taxes thereon, provided such offer is accompanied by 
a pay order equal to twenty -five per cent of the amount of each value and duties and 
other taxes leviable on imported goods; 
(ii) give an option in writing to the importer of such goods for clearance of imported goods 
at the customs value equal to such highest offer for purchase of  goods and payment of 
customs duties and other taxes chargeable thereon; and  
(iii) in case the importer fails to clear the imported goods within seven days of the receipt of 
notice under clause (ii) above, the appropriate officer may takeover the goods on 
payment of customs value declared in the bill of entry 37[or goods declaration] and an 
amount equal to five per cent of such declared value; 
 (2) The imported goods taken over under sub -section (1) shall be delivered to the offerer 
on submission of two pay orders, one equal to the customs value declared in the bill of entry or 
goods declaration plus five per cent in the name of importer and the other pay order equal to the 
remaining amount of value of imported goods and the amount of customs duties and other taxes 
leviable on the imported goods in the name of Collector of Customs; 
 (3) In case the local buyer fails to take the delivery of the goods on payment of value 
and taxes as prescribed in sub -section (2) above, the pay order equal to twenty -five per cent of 
the amount shall be fore -feted in favour of the Federal Government and imported goods shall be 
released to the importer as per customs value determined under section 25.” 
 44. Substituted by the Finance Act, 2006. 
 44a. Section 25D inserted by the Finance Act, 2007. 
45. Substituted by the Finance Act, 2006. At the time of substitution the section 26 was as under:- 
 THE CUSTOMS ACT,1969 
 
55 
 
  “26. Power to require information to be furnished. -  An appropriate officer may, by 
a requisition in writing, require any person concerned with the importation, exportation, 
purchase, sale, transport, storage or handling of any goods which are being or have been 
imported or exported to furnish such information relating to the goods as may be necessary for 
determining the legality or illegality of the importation or exportation of such goods, the value of 
such goods, the nature, amount and source of the funds or assets with which the goods were 
acquired and the customs duty chargeable thereon, or for deciding anything incidental thereto and 
to produce, and allow the officer to inspect and take extracts from or make copies of any invoice, 
bill of lading, book of account or other book or document of whatever  nature relating to the 
goods.”  
46. Inserted by Finance Act, 2006. 
47. Substituted by Finance Act, 1986 
48. inserted by Finance Act, 2006. 
49. By Finance Act, 2006, the words “ or Deputy Collector” were omitted.. 
50. Substituted the words ”bill of entry” with the” words goods declaration” through Finance Act, 
2006. 
51. Inserted by Finance Act, 2006. 
52. Added by Finance Act, 2005. 
53. Inserted by Finance Act, 2006. 
54. Substituted for the words, coma and figure by the Federal Laws (Remission & Declaration) 
Ordinance, 1981. 
 55. Inserted by the Finance Act, 2003 (I of 2003), S.5(7)(a), page 22. 
 55A. By the Finance Act, 2006 the words ”bill of entry or bill of export or” were omitted.. 
 56. Inserted by the Finance Act, 2003 (I of 2003), S.5(7)(b)(I) and (ii),, page 22. 
 56A. By the Finance Act, 2006 the words “bill of entry or bill of export or” was omitted. 
 57. Inserted by Finance Act, 2006.  
 58. Substituted by Finance Act, 1972, Finance Act, 1998, and Finance Act, 1999.  
 59. Substituted by the Finance Act, 2003. 
59A.. Omitted the words “bill of entry or” by the Finance Act, 2006. 
59B. Inserted by the Finance Act, 2002. 
60. Second proviso added by the Finance Act, 1979. 
 61. Substituted for full stop by the Finance Act, 1992 (VII of 1992), S.6(3), page 114. 
62. Added by the Finance Act, 1992 (VII of 1992), S.6(3), page 114. 
63. Inserted by Finance Act, 2003. 
64. Semi colon and the word “and” omitted by the Finance Act, 2005. 
65. Clause (c ) omitted by the Finance Act2005. 
66A. By Finance Act, 2006, the words ”export duty” were substituted.. 
66B. Substituted for full stop by Finance Act 1992. 
67. Added by Finance Act, 1992. 
68. Inserted by the Finance Act, 1988. 
69. Inserted by Finance Act, 2003. 
70. Omitted by Finance Act, 1991[section 2of the Finance Ordinance,1982(XII of 1982), and section 
5 of the Finance Act,1985(I of 1985), and the anti-dumping or countervailing duty imposed under 
the Import of Goods (Anti-dumping and Countervailing Duties)Ordinance, 1983 (III of 1983)]. 
71. Substituted by Finance Act, 2003. 
72. Substituted by the Federal Laws(Remission and Declaration) Ordinance,1981. 
73. Substituted for the word ”three” by the Finance Ordinance, 2000. 
74. Substituted by the Finance Ordinance, 2000. 
75. Substituted full stop by the Finance Act, 2005. 
76. Added by the Finance Act,2005. 
77. Inserted by the Finance Ordinance, 2000. 
78. Substituted full stop by the Finance Act, 2005. 
79. Added by the Finance Act, 2005. 
80. Substituted the words “ the amount of duty payable by him” by the FA, 2006. 
81. Inserted by the Finance Act, 2004. 
82. Substituted for the word “bill of entry or bill of export or” by the FA, 2006. 
83. Inserted by the Finance Act, 2005. 
 THE CUSTOMS ACT,1969 
 
56 
 
84. Substituted by the Finance Act, 2005. 
85. Substituted for the words “Assistant Collector” by the FA, 1996. 
86. Omitted by Finance Act,2008(I of 2008) (Page-45) 
87. The word “Fourteen” substituted with word “KIBOR plus three” by Finance Act,2009. 
88. Inserted by Finance Act,2009. 
89. Inserted by Finance Act,2009.. 
90. The word “or” and sub-clause (c)  added by Finance Act,2009. 
91. The full stop substituted with  colon and thereafter a new proviso added by Finance Act,2009. 
92. The words” export duty which may be chargeable” substituted by Finance Act,2010. 
93. Added by Finance Act,2010. 
94. Substituted by Finance Act,2010. At the time of substitution the section 25D was as under:- 
“25D. Review of the value determined.- Where the customs value has been determined 
by the Collector of Customs or Director of valuation  or any other authority competent to do so, 
a review application shall lie before Director -General of Valuation and any proceeding pending 
before any court, authority or tribunal shall forthwith abate”.  
 95. Substituted by Finance Act,2010. At the time of substitution the section 27A was as under:-
  
“27A. Allowing denaturing or mutilation of goods.- At the request of the owner, 53 [ to 
be made before the filing of goods declaration, ] the denaturing or mutilation or scrapping of 
imported goods, which are ordinarily used for more than one purpose, may be allowed, as 
prescribed by rules so as to render them unfit for one or more such purposes and where any 
goods are so denatured or mutilated or scrapped they shall be chargeable to duty at such rate as 
may be  applicable if the goods had been imported in the denatured or mutilated form or as 
scrap”.  
96. Inserted by Finance Act,2010. 
97. Inserted by Finance Act,2010. 
98. Inserted by Finance Act, 2011 
99. The words “or Deputy Collector” omitted by Finance Act,2011. 
100. The word “three” substituted by Finance Act,2011 
101. Inserted by Finance Act, 2011 
102. The words “or Deputy Collector” omitted by Finance Act,2011. 
103. Inserted by the Finance Act, 2012. 
104. Inserted by Finance Act, 2013 
105. Substituted by F.A, 2014 
106. Substituted for the words and figures “the Central Excises and Salt Act,1944 (I of 1944)”  by 
Finance Act, 2014 
107. Ommited by F.A, 2014 “At the time of omission was as under:- 
 5(d) If, in applying the provisions of this sub -section, there are two or more transaction 
values of identical goods that meet all the requirements of this sub -section and clauses 
(b),(d),(e) and (f) of sub -section (13), the customs value of the imported goods shall be 
the lowest such transaction value, adjusted as necessary in accordance with clauses (b) 
and (c).] 
 
107. Substituted for the words “and” by F.A.,2014 
108. Omitted for the words “and(d)”  by F.A, 2014 
109. Substituted by Finance Act, 2014 
110. Substituted by Finance Act, 2015 “at the time of substitution section 19 (1) was as under:  
    
[(1) The 8[Federal Government], subject to such conditions, limitations or restrictions, if any, as 
it thinks fit to impose, may, by notification in the official Gazette, exempt any goods imported 
into, or exported from, Pakistan or into or from any specified port or station or area therein, from 
the whole or any part of the customs -duties chargeable thereon 9[and may remit fine, penalty, 
charge or any other amount recoverable under this Act] 10[:]  
 
 111. Added by Finance Act, 2015 
 112. Omitted by Finance Act, 2015, “At the time of omission Section 20 was as under: 
 
 THE CUSTOMS ACT,1969 
 
57 
 
  15[20. Board’s power to grant exemption from duty in exceptional circumstances.- Under 
circumstances of exceptional nature, the Board may, subject to such conditions, limitations or 
restrictions, if any, as it thinks fit to impose, by a special order in each case recording such 
circumstances, exempt any goods from payment of the whole or any part of the customs -duties 
chargeable thereon 16[and may remit fine, penalty, charge or any other amount recoverable under 
this Act.] 
 113. Substituted by Finance Act, 2015. “At the time of substitution was as “one hundred”  
  114. Added vide Finance Act, 2016 
  115. Inserted by Finance Act, 2017, at the time of substitution the words was " Federal  
   Government", 
    116. Inserted by Finance Act, 2017 
    117. Inserted by Finance Act, 2017 
 118. Omitted by Finance Ac, 2017 , “At the time of substitution was as : 
  “Provided that no refund shall be allowed under this section if the sanctioning authority is 
  satisfied that incidence of customs duty and other levies has been passed on to the buyer or 
  consumer] 
 119. Inserted by Finance Act, 2017 
 120. Substituted / inserted by  Finance Act, 2018 
 121. Substituted by  Finance Act, 2019 (At the time of substitution the words was “Federal 
Government” 
 122. Omitted by  Finance Act, 2019(At the time of omission,  the word was “removal of anomalies in 
duties , development of backward areas”  
 123. Omitted by Finance Act, 2019 (At time of omission, the words was “the Collector of Customs on 
his motion, or”) 
 124. Omitted by Finance Act, 2019 (At time of omission, the sub-section (3) was “(3) In case of any 
conflict in the customs value determined under sub-section (1), the Director General of Customs 
Valuation shall determine the applicable customs value”.  
 125. Omitted by Finance Act, 2019 (At time of omission, the words was “or, as the case may be, 
under sub-section (3) 
 126. Omitted by Finance Act, 2019, t the time of omission the words was “Collector of Customs or” 
 127. Substituted by Finance Act, 2019. At the time of substitution the words was “Federal 
Government” 
 128. Inserted by Finance Act, 2019.  
 129. Inserted by Finance Act, 2020 (June) 
 130. Inserted by Finance Act, 2021 (June)  
 131. Inserted by Ordinance No.XXII of 2021(15.09.2021) 
 132. Omitted by Supplementary Finance Act, 2022 (January) 
 133. Substituted by Finance Act, 2022 (June) 
 134. Omitted by Finance Act, 2022 [or for supplies against international tenders] 
 135. Inserted by Finance Act, 2023(June) 
 136. Substituted by Finance Act, 2024(June) 
 137. Substituted by Finance Act, 2025(June) 
 
  
 
 
 THE CUSTOMS ACT,1969 
 
58 
 
CHAPTER – VI 
 
DRAWBACK 
 
35.  Drawback of the export on imported goods. -  Subject to the subsequent 
provisions of this Chapter and the rules, when any goods, capable of being easily 
identified, which have been imported into Pakistan and upon which customs -duties 
have been paid on importation, are exported to any place outside Pakistan or as 
provisions or stores for use on board a conveyance  proceeding to a foreign  territory, 
seven-eight of such duties shall be repaid as drawback, subject to the following 
conditions, namely:-  
 
(1) the goods are identified to the satisfaction of an officer of customs not 
below the rank of 1/2[Assistant Collector] of Customs at the customs -
station, to be the same as had been imported, and  
 (2) the goods are entered for export within two years of the date of their 
importation, as shown by the records of the custom-house or if such time 
is extended by the Board or the Collector of Customs for sufficient cause 
within such extended time:    
 
 Provided that the Collector of Customs shall not extend the time beyond three 
years of the importation of such goods.  
 
Explanation.-  For the purposes of this section, the goods shall be deemed to have been 
entered for export on the date on which the 3 [goods declaration]  is delivered to the 
appropriate officer under section 131 4[*****].  
 
36.  Drawback on goods taken into use between importation and exportation. -   
Notwithstanding anything contained in section 35, the repayment of duty as drawback 
in respect of goods which have been taken into use between their importation and 
subsequent exportation shall be made in accordance with the provisions of the rules 
made in that behalf.  
 
37. Drawback on goods used in the manufacture of goods which are exported. -  
Where it appears to the Board that in respect of goods of any class or description 
manufactured in Pakistan and exported to any place outside Pakistan, a drawback of 
customs-duties should be allowed on any imported goods of a class or description used 
in the manufacture of such exported goods, the Board may, by notification in the 
official Gazette, direct that drawback shall be allowed in respect of such imported 
goods to such extent and subject to such condition as may be provided in the rules.  
 
 
 THE CUSTOMS ACT,1969 
 
59 
 
38. Power to declare what goods are identifiable and to prohibit draw -back in 
case of specified foreign territory. - (1) The Board may, from time to time, by 
notification  in  the  official Gazette, declare what goods shall, for the purposes of this 
Chapter, be deemed to be not capable of being easily identified.    
 
 (2) The 5[Federal Government ] may, from time to time, by notification in 
the official Gazette, prohibit the payment of drawback upon the exportation of goods or 
any specified goods or class of goods to any specified foreign port or territory.     
 
39. When no drawback allowed. -  Notwithstanding anything hereinbefore 
contained, no drawback shall be allowed-     
 
(a) upon goods which are required to be included in the export manifest 
 and are not so included, or  
(b) when the claim is for drawback amounting, in respect of any single 
shipment, to less than 6[or equal to] hundred rupees, or  
(c) unless the claim for drawback has been made and established at the time 
of export. 
 
40.  Time of payment of drawback. - No such payment of drawback shall be made 
until the vessel carrying the goods has put out to sea or other conveyance has left 
Pakistan.  
 
41. Declaration by parties claiming drawback. - Every person, or his duly 
authorized agent, claiming drawback on any goods duly exported, shall make and 
subscribe a declaration that such goods have been actually exported and have not been 
relanded and are not intended to be relanded at any place in Pakistan and that such 
person was at the time of entry outwards and export and continues to be entitled to 
drawback thereon.   
 
 
LEGAL REFERENCE 
 
1. Substituted for the words “Assistant Collector” by the Finance Act, 1996 (IX of 1996), S.4(6), 
page 476 
2. By the Finance Act, 2006, the words “or Deputy Collector” were omitted. 
3. Substituted for the words “bill of export” by the Finance Act, 2006. 
4. Added by Finance Act, 2004 (II of 2004), S.3(7), page 16 and omitted the word, figure and letter 
“or 131A” by the Finance Act, 2005 . 
5. Substituted for the words “Central Government” by the Finance Ordinance, 1972, S.3, page 56 
and Second Schedule S.1, page 76. 
6. Inserted by the Finance Act, 2007. 
 
 
 
 THE CUSTOMS ACT,1969 
 
60 
 
CHAPTER – VII 
 
ARRIVAL AND DEPARTURE OF CONVEYANCE 
 
42. Arrival of conveyance.-  (1) The person-in-charge of a conveyance entering 
Pakistan from any place outside Pakistan shall not cause or permit the conveyance to 
call or to land in the first instance at any place other than a customs-station.      
 
 (2)  The provisions of sub -section (1) shall not apply in relation to any 
conveyance which is compelled by accident, stress of weather or other unavoidable 
cause to call, or land at a place other than a customs -station but the person-in-charge of 
any such conveyance-            
 
(a) shall immediately report its arrival to the nearest officer of 
customs or the officer-in-charge of the police-station and shall on 
demand produce before him either the cargo book or the manifest 
or the log-book belonging to such conveyance; 
 
(b) shall not, without the consent of any such officer, permit any 
goods carried in the conveyance to be unloaded from, or any of 
the crew or passengers to depart from its vicinity; 
 
(c) shall comply with any direction given by such officer with 
respect ot any such goods; and no passenger or member of the 
crew shall, without the consent of any such officer, leave the 
vicinity of the conveyance: 
 
 Provided that nothing in this section shall prohibit the departure of any 
passenger or member of the crew from the vicinity of, or the removal of goods from, the 
conveyance where such departure or removal is necessary for reasons of health, safety 
or the preservation of life or property 1[ : ] 
 
 2[Provided further that the person in charge of a conveyance, that is en route to 
Pakistan from a point outside Pakistan shall, unless otherwise approved by the 
Collector,- 
 
(a) 17[deliver] to the Customs, in such form and manner (for example, in an 
electronic form and manner) as may be approved in writing by the 
Collector (either generally or for a particular case or class of cases), such 
advance 17[information] as may be prescribed for any or all of the 
following matters, namely:- 
 (i) the impending arrival of the conveyance; 
(ii) its voyage; 
 THE CUSTOMS ACT,1969 
 
61 
 
(iii) its 17[passengers and crew manifest]; 
(iv) its passengers 17[and crew name record information]; 
(v) its cargo for discharge within Pakistan whether commercial or 
 non-commercial; 
(vi) its commercial cargo not intended for discharge within Pakistan, 
 if any; 
(vii) the Customs station at which the conveyance will arrive; and  
 
(b) or arriving within Pakistan, proceed directly to that Customs station 
unless directed elsewhere by an appropriate Customs officer.] 
 
 3[(3) The owner or operator of the conveyance, referred to in sub -section (1), 
or an agent of the owner, may provide the information referred to in paragraph (a) of 
that sub-section to the Customs on behalf of the person in charge of the conveyance: 
 
 Provided that the provisions of sub-section (1) and (2) shall apply to,- 
 
(a) a conveyance that has arrived in Pakistan from a point outside Pakistan; 
(b) a conveyance departing from Pakistan for a point outside Pakistan; 
(c) a conveyance that is within Pakistan and that is carrying international 
cargo or international crew or any international passenger, whether or 
not the conveyance is also carrying domestic cargo; 
(d) any other conveyance that is within Pakistan and that a Customs officer 
has reasonable cause to suspect has been, or is about to be, involved in 
the commission of an offence under this Act or the importation or 
exportation of any dutiable, prohibited, restricted, notified or confiscated 
goods. 
 
 (4) The person in charge of, the owner of goods, any member of the crew of, 
any passenger on, a conveyance to which this sub-section applies, shall,- 
 
(a) answer any question asked by a customs officer under this Act relating to 
the conveyance and its voyage and any persons or goods that are or have 
been carried by the conveyance; and 
(b) produce forthwith, at the request of any Customs officer, any documents 
within that person’s possession  or control relating to any of those 
matter.]  
    
4[43. Delivery of import manifest in respect of a vessel. -  (1)  The Board may, by 
notification in the official Gazette, fix a place beyond which no vessel arriving shall 
pass until an import manifest has been delivered to Customs or other person duly 
authorized to receive in such form, manner and time as the Board may prescribe. 
 
 THE CUSTOMS ACT,1969 
 
62 
 
(2) On receipt of such import manifest the vessel may proceed to come 
beyond the fixed place.  No pilot shall bring a vessel into customs -port without having 
been so authorized by Customs. 
 
 (3) If any vessel arrives at any customs-port in which a place has not been so 
fixed, master of such vessel shall, within twenty -four hours after arrival of such vessel, 
deliver an import manifest to Customs in such form and manner as the Board may 
prescribe. 
 
 (4) Notwithstanding anything contained in sub -section (3), an import 
manifest may be delivered in anticipation of the arrival of a vessel.] 
 
 18[44. Delivery of import manifest in respect of a conveyance other than a vessel. - 
The person-in-charge of a conveyance other than a vessel shall before arrival or as per 
following timelines, after arrival thereof at a land customs-station or customs-airport, as 
the case may be, deliver or file electronically an import manifest to appropriate officer 
of Customs: 
 
(a) for customs airport: within three of landing; and 
(b) for land Customs -station: at the time of entry into the country as 
prescribed under the rules.] 
45.  Signature and contents of import manifest and amendment thereof. -  (1) 
Every manifest delivered under section 43 or section 44 shall be signed by the person -
in-charge of the conveyance or his duly authorized agent and shall specify all goods 
imported in such conveyance showing separately all goods, if any, intended to be 
landed, transshipped, transited or taken into another customs -station or to a destination 
outside Pakistan and stores intended for consumption at the customs -station or on the 
outward voyage or journey, and shall be made out in such form and contain such further 
particulars as the Board may from time to time direct5[:]         
 
 6[Provided that the Collector of Customs, through a special order, on such terms 
and conditions as he may deem fit to impose, may allow acceptance of digital 
signatures instead of manual ones, on electronically transmitted import manifest.]    
 
 (2) The appropriate officer shall permit the person -in-charge of a 
conveyance or his duly authorized agent to correct any obvious error in the import 
manifest or to supply any omission which in the opinion of such officer results from 
accident or inadvertence, by furnishing an amended or supplementary import manifest 
7[or by making an amendment electronically] and shall levy thereon such fees as the 
Board from time to time directs: 
 
 THE CUSTOMS ACT,1969 
 
63 
 
18[Provided that before the berthing of the vessel or the cross -over of the vehicle, as the 
case may be, the person incharge of a conveyance or his duly authorized agent may 
amend the import manifest subject to the rules notified by the Board.]   
         
 (3) 18[Omitted] 
 
46.  Duty of person receiving import manifest. -  The person receiving an import 
manifest under section 43 or section 44 shall countersign the same and enter thereon 
such particulars as the Collector of Customs from time to time directs 8[:]              
 
 9[Provided that no countersignatures shall be required in respect of an import 
manifest filed electronically.] 
 
47. Bulk not to be broken until manifest, etc. , delivered and vessel entered 
inwards.- No vessel arriving in any customs -port shall be allowed to break bulk, until 
an import manifest has been delivered as hereinbefore provided or until copy of such 
manifest together with an application for entry of such vessel inwards, has been 
presented by the master to the appropriate officer and an order has been given thereon 
for such entry.      
   
48. Power to require production of documents and ask questions. -  (1) When an 
import manifest is presented, the person -in-charge of a conveyance or his duly 
authorized agent, if required so to do by the appropriate officer, shall deliver to the 
officer the bill of lading or the bill of freight or a copy thereof for every part of cargo or 
goods laden on board, journey log -book and any port clearance, docket or other paper 
granted in respect of such conveyance at the place from which it is stated to have come, 
and shall answer all such questions relating to the conveyance, goods, crew and voyage 
or journey as are put to him by such officer. 
 (2) The appropriate officer may, if any requisition or question made or put 
by him under this section is not complied with or answered, refuse to grant permission 
to a vessel to break bulk and to other conveyance to land the imported goods, as the 
case may be.         
49. Special pass for breaking bulk.-    Notwithstanding anything contained in 
section 47 and subject to rules, the appropriate officer may grant, prior to receipt of the 
import manifest and the entry inwards of a vessel, a special pass permitting bulk to be 
broken.              
50. Order for entry out-wards or loading of goods to be obtained before export 
goods are loaded. -  (1) No goods other than passengers’ baggage and mail bags shall 
be loaded on a conveyance until- 
 THE CUSTOMS ACT,1969 
 
64 
 
(a) in the case of a vessel, a written application for entry of such vessel 
outwards, subscribed by the master of such vessel, has been made to the 
appropriate officer and an order has been given thereon for such entry; 
and 
(b) in the case of any other conveyance, a written application for authority to 
load the goods subscribed by the person-in-charge of the conveyance has 
been made to the appropriate officer and an order has been given thereon 
authorizing the loading.  
  (2) Every application made under this section shall specify the particulars as 
prescribed by the Board.         
51. No vessel to depart without port clearance. -  (1) No vessel, whether laden or 
in ballast, shall depart from any customs-port until a port-clearance has been granted by 
the appropriate officer.      
 (2) No pilot shall take charge of any vessel proceeding to sea, unless the 
master of such vessel produces a port-clearance.        
52. No conveyance other than vessel to leave without permission. -   No 
conveyance other than a vessel shall depart from a land customs -station or customs -
airport until a written permission to that effect has been granted by the appropriate 
officer.        
53. Application for port  clearance of vessels. -  (1) Every application for port -
clearance shall be made by the master of a vessel at least twenty -four hours before the 
intended departure of the vessel:     
 Provided that the Collector of Customs or an officer authorized by him in this 
behalf may for special reasons to be recorded allow a shorter period for the delivery of 
the said application.    
 (2) The master shall, at the time of applying for port clearance,- 
 
(a) deliver to the appropriate officer an export manifest in duplicate 
in such form as may from time to time be prescribed by the 
Board signed by such master specifying all goods to be exported 
in the vessel and showing separately all goods and stores entered 
in the import manifest, and not landed or consumed on board or 
transshipped 10[:]  
 11[Provided that the Collector of Customs, through a special or 
general order, on such terms and conditions as he may deem fit to 
 THE CUSTOMS ACT,1969 
 
65 
 
impose, may allow acceptance of digital signatures, in lieu of the manual 
ones, on electronically transmitted export manifest.] 
(b) deliver to the appropriate officer such  12/13[ goods declaration] or 
other documents as such officer acting under the general 
instructions of the Collector of Customs requires; and  
(c) answer such questions respecting the departure and destination of 
the vessel as are put to him by the appropriate officer.  
 (3) The provisions of section 45 relating to the amendment of import 
manifests shall, mutatis mutandis , apply also to export manifests delivered under this 
section or under section 54. 
54. Conveyances other than vessels to deliver documents and answer questions 
before departure.-  The person-in-charge of a conveyance other than a vessel or his 
duly authorized agent shall -   
(a) deliver to the appropriate officer an export manifest in duplicate in such 
form as may from time to time be prescribed by the Board signed by the 
person-in-charge or the agent specifying all goods or stores entered in 
the import manifest, and not landed or transshipped or consumed on 
board the conveyance; 
(b) deliver to the appropriate officer such bills of export 14[or goods 
declaration] or other documents as such officer acting under the general 
instructions of the Collector of Customs requires; and  
(c) answer such questions respecting the departure and destination of the 
conveyance as are put to him by the appropriate officer.  
55. Power to refuse port clearance to vessels or permission for departure to 
other conveyance.-  (1)  The appropriate officer may refuse to give port -clearance to a 
vessel or permission for departure to any other conveyance until-  
(a) the provisions of section 53 or section 54, as the case may be, have been 
complied with;  
(b) all station or port dues and other charges and penalties payable in respect 
of such vessel, or by the owner or master thereof, or in respect of such 
other conveyance by the owner or person -in-charge thereof, and all 
taxes, duties and other dues payable in respect of any goods loaded 
therein, have been duly paid, or their payment secured by such 
guarantee, or by such deposit at such rate, as such officer directs;  
 THE CUSTOMS ACT,1969 
 
66 
 
 
(c) where any export goods have been loaded without payment or securing 
payment as aforesaid of all taxes, duties and other dues payable in 
respect thereof or in contravention of any provision of this  Act or the 
rules or of any other law for the time being in force relating to export of 
goods. 
(i)  such goods have been unloaded, or  
 (ii) where the appropriate officer is satisfied that it is not practicable 
to unload  such goods, the person -in-charge or his duly 
authorized agent has given an undertaking secured by  such 
guarantee or deposit of such amount as the appropriate officer 
may direct, for bringing back the goods to Pakistan; 
 (d) the agent, if any, delivers to the appropriate officer a declaration in 
writing to the effect that he will be liable for any penalty imposed under 
clause 24 of the Table under sub-section (1) of section 156 and furnishes 
security for the discharge of the same;   
 (e) the agent, if any, delivers to the appropriate officer a declaration in 
writing to the effect that such agent is answerable for the discharge of all 
claims for damage or short delivery 17[or other dues in connection with 
discharge and delivery of goods] which may be established by the owner 
of any goods comprised in the import cargo in respect of such goods.  
 (2) An agent delivering a declaration under clause (d) of sub -section (1) 
shall be liable to all penalties which might be imposed on the person -in-charge of such 
conveyance under clause 24 of the Table under sub -section (1) of section 156 and an 
agent delivering a declaration under clause (e) of sub -section (1) shall be bound to 
discharge all claims referred to in such declaration.                   
56. Grant of port clearance or permission for departure. -  When the appropriate 
officer is satisfied that the provisions of this Chapter relating to the departure of 
conveyance have been duly complied with, he shall grant a port -clearance to the master 
of the vessel or a written permission for departure to the person -in-charge of any other 
conveyance and shall return at the same time to such master or person -in-charge one 
copy of the manifest duly countersigned by the appropriate officer.           
57. Grant of port clearance or permission for departure on security of agent. -  
Notwithstanding   anything contained in section 55 or section 56 and subject to rules, 
the appropriate officer may grant a port -clearance in respect of a vessel or permission 
for departure in respect of any other conveyance, if the agent furnishes such security as 
such officer deems sufficient for duly delivering within ten days from the date of such 
 THE CUSTOMS ACT,1969 
 
67 
 
grant, the export manifest and other documents specified in section 53, or section 54, as 
the case may be.              
58. Power to cancel port -clearance or permission for departure.  (1) For the 
purpose of securing compliance with any provision of this Act or the rules or any other 
law, the appropriate officer may at any time, while the vessel is within the limits of any 
port or any other conveyance is within the limits of any station or airport or within 
Pakistan territory, demand the return of port -clearance or the written permission for 
departure, as the case may be.      
 (2) Any such demand may be made in writing or may be communicated to 
the person-in charge of the conveyance by wireless, and, if made in writing it may be 
served, by delivery to the person in-charge or his agent personally; or  
(a) by leaving it at the last known place of abode of such person 
or agent; or  
(b) by leaving it on board the conveyance with the person 
appearing to be in-charge or command thereof.  
 (3) Where a demand for the return of a port-clearance or of a permission for 
departure is made as aforesaid, the port-clearance or permission shall forthwith become 
void.                   
 
59. Exemption of certain classes of conveyance from certain provisions of this 
Chapter.-    (1) The provisions of section 44, 52, and 54 shall not apply to a  
conveyance, other than a vessel which carries no goods other than the baggage of its 
occupants. 
  (2) The 15[Federal Government] may, by notification in the official 
Gazette, exempt conveyances belonging to Government or any foreign Government 
from all or any of the provisions of this Chapter.                   
 
LEGAL REFERENCE 
1. Substituted for the full stop  by the Finance Act, 2005 
2. Added by the Finance Act, 2005 
3. Added by the Finance Act, 2005       
4 .Substituted by the Finance Act, 2003 (I of 2003), S.5(8), page 23.  At the time of substitution section 
43 was as under:- 
 43. Delivery of import manifest in respect of a vessel. - (1) The Board may, by notification in the official 
Gazette, fix a place in any river or port beyond which no vessel arriving shall pass until an import 
manifest has been delivered to the pilot, officer of customs or other person duly authorised to receive 
the same. 
 (2) If in any river or port wherein a place has been fixed by the Board under this section, the master of 
any vessel arriving remains outside or below the place so fixed, such master shall, nevertheless, within 
twenty-four hours after the vessel anchors, deliver an import manifest to the pilot, officer of customs 
or other person duly authorised to receive the same. 
 (3) If any vessel arrives at any customs -port in which a place has not been so fixed, the master of such 
vessel shall, within twenty -four hours after such vessel has anchored within the limits of the port, 
deliver an import manifest to the pilot, officer of customs or other person authoirsed to receive the 
same. 
 THE CUSTOMS ACT,1969 
 
68 
 
(4) Notwithstanding anything herein before contained, the appropriate officer may allow an import 
manifest to be delivered in anticipation of the arrival of a vessel.”. 
5. Substituted for the full stop by the Finance Ordinance, 2001 (XXV of 2001), S.4($), page 305. 
6.  Added by the Finance Ordinance,2001(XXV of 2001),S.4(4),p-305&306. 
7  Inserted by the Finance Act, 2003 (I of 2003), S.5(10), page 23. 
8.  Substituted for the full stop by the Finance Act, 2003 (I of 2003), S.5(11), page 23. 
9.  Added by the Finance Act, 2003 (I of 2003), S.5(11), page 23. 
10.  Substituted for the full stop by the Finance Ordinance, 2001 (XXV of 2001), S.4(5), page 306. 
11. Added by the Finance Ordinance, 2001 (XXV of 2001), S.4(5), page 306. 
12 Inserted by the Finance Act, 2003 (I of 2003), S.5(12), page 23. 
13. By the Finance Act, 2006, the words “ bills of export or” were omitted. 
14. Inserted by the Finance Act, 2003  (I of 2003), S.5(13), page 23. 
15.  Substituted for the words “Central Government” by the Finance Ordinance, 1972, S.3, page 56 and 
Second Schedule S.1, page 76. 
16.  Inserted by Finance Act,2009.. 
17.  Substituted/inserted by Finance Act, 2018 
18.  Inserted by Finance Act, 2021(June) 
 
 THE CUSTOMS ACT,1969 
 
69 
 
CHAPTER VIII 
GENERAL PROVISIONS AFFFECTING CONVEYANCES AT CUSTOMS-
STATIONS 
60. Power to depute officers of customs to board conveyances. -   At any time 
while a conveyance is in a customs -station or is proceeding towards such station, the 
appropriate officer may depute one or more officers of customs to board the 
conveyance, and every officer so deputed shall remain on board such conveyance for 
such time as the appropriate officer may consider necessary.                  
61. Officer to be received and accommodation to be provided. -   Whenever an 
officer of customs is so deputed to be on board any conveyance, the person -in-charge 
shall be bound to receive him on board and provide him with suitable accommodation  
and adequate quantity of fresh water.            
62. Officer’s power of access, etc. - (1) Every officer deputed as aforesaid shall 
have free access to every part of the conveyance and may- 
(a) cause any goods to be marked before they are unloaded from the 
conveyance; 
(b) lock up, seal, mark or otherwise secure any goods carried in the 
conveyance or any place or container in which they are carried; 
or  
(c) fasten down any hatchway or entrance to the hold.  
 (2) If any box, place or closed receptacle in any such conveyance be locked, 
and the key be withheld, such officer shall report the same to the 
appropriate officer, who may thereupon issue to the officer on board the 
conveyance, or to any other officer under his authority, a written order 
for search.   
 (3) On production of such order, the officer empowered thereunder may 
require that any such box, place or closed receptacle be opened in his 
presence; and if it be not opened upon his requisition, he may break open 
the same.                     
63.    Sealing of conveyance. -  Conveyances carrying transit goods for destinations 
outside Pakistan or goods from some foreign territory to a customs -station or from a  
customs-station to some foreign territory may be s ealed in such cases and in such 
manner as may be provided in the rules.                  
 THE CUSTOMS ACT,1969 
 
70 
 
64. Goods not to be loaded or unloaded or water -borne except in presence of 
officer.-  Save where general permission is given under section 67 or with permission 
in writing of the appropriate officer, no goods other than passengers’ baggage or ballast 
urgently required to be loaded for the vessel’s safety, shall be shipped or water -borne to 
be shipped or discharged from any vessel, in any customs -port, nor any goods except 
passengers’ baggage shall be loaded in or unloaded from any conveyance other than a 
vessel at any land customs -station or customs -airport except in the presence of an 
officer of customs.  
65. Goods not to be loaded or unloaded or passed on certain days or at certain 
times.-  Except with the permission in writing of the appropriate officer and on 
payment of such fees as may be prescribed by the Board no goods, other than 
passengers’ baggage or mail bags, shall in any customs -port be discharged, or be 
shipped or water -borne to be shipped or shall be loaded or unloaded or passed at any 
land customs-station or customs-airport-    
(a) on any public holiday within the meaning of section 25 of the Negotiable 
Instruments Act,1881(XXVI of 1881), or on any day on which the 
discharge or shipping of cargo at customs -port or loading, unloading 
passage or delivery of cargo at any land customs -station or customs -
airport, as the case may be, is prohibited by the Board by notification in 
the official Gazette; or  
(b) on any day except between such hours as the Board may, from time to 
time, by a like notification, appoint 1[:] 
 
2[Provided that where the Customs Computerized System is in 
operation, all loading and discharge may be allowed by the Collector of 
Customs round the clock and on all days.] 
66. Goods not to be loaded or unloaded except at approved places. -  Save where 
general permission is given under section 67 or with permission in writing of the 
appropriate officer, no imported goods shall be unloaded or goods for export loaded at 
any place other than a place duly approved under clause (b) of section 10 for the 
unloading or loading of such goods.         
67. Power to exempt from sections 64 and 66. -   Notwithstanding anything 
contained in section 64 or section 66, the Board may, by notification in the official  
Gazette, give general permission for goods to be loaded at any customs -station from 
any place not duly appointed for loading and without the presence or authority of an 
officer of customs.    
68. Boat-note.-  (1) When any goods are water -borne for the purposes of being 
landed from any vessel and warehoused or cleared for home -consumption, or of being 
 THE CUSTOMS ACT,1969 
 
71 
 
shipped for exportation on board any vessel, there shall be sent, with each boat -load or 
other separate dispatch, a boat -note specifying the number of packages so sent and the 
marks or number or other description thereof.   
  (2) Each boat-note for goods to be landed shall be signed by an officer of the 
vessel, and likewise by the officer of customs on board, if any such officer be on board, 
and shall be delivered on arrival to any officer of customs authorized to receive the 
same.            
 (3) Each boat -note for goods to be shipped shall be signed by the 
appropriate officer and, if an officer of customs is on board the vessel on which such 
goods are to be shipped, shall be delivered to such officer, and if no such officer be on 
board, shall be delivered to the master of the vessel or to an officer of the vessel 
appointed by him to receive it.                
 (4) The officer of customs who receives any boat -note of goods landed, and 
the officer of customs, master or other officer as the case may be, who receives any 
boat-note of goods shipped, shall sign the same and note thereon such particulars as the 
Collector of Customs may from time to time direct.        
 (5) The Board may from time to time, by notification in the official Gazette, 
suspend the operation of this section in any customs-port or part thereof. 
69. Goods water -borne to be forthwith landed or shipped. -  All goods water -
borne for the purpose of being landed or shipped shall be landed or shipped without any 
unnecessary delay.               
70. Goods not to be transshipped without permission. -   Except in cases of 
imminent danger, no goods discharged into or loaded in any boat for the purpose of 
being landed or shipped shall be transshipped into any other boat without the 
permission of an officer of customs.              
71. Power to prohibit plying of unlicensed cargo -boats.-  (1) The Board may 
declare with regard to any customs-port, by notification in the official Gazette that, after 
a date therein specified, no boat not duly licensed and registered shall be allowed to ply 
as a cargo -boat for the landing and shipping of merchandise within the limits of such 
port.              
 (2) In any port with regard to which such notification has been issued, the 
Collector of Customs or other officer whom the Board appoints in this behalf, may, 
subject to rules and on payment of such fees as the Board may, by notification in the 
official Gazette, prescribe, issue licenses for and register cargo -boats, or cancel the 
same.             
 THE CUSTOMS ACT,1969 
 
72 
 
72. Plying of ships of less than one hundred tons. -  (1) Every boat belonging to a 
Pakistani ship and every other vessel not exceeding one hundred tons, shall be marked 
in such manner as may be prescribed by rules.      
 (2) Plying of all or any class or description of vessels of less than one 
hundred tons, whether in sea or inland waters, may be prohibited or regulated or 
restricted as to the purposes and limits of plying by rules.                      
 3[72A. Responsibilities of person in charge or master of a conveyance, agent and 
owner of the conveyance.- The person in charge of the conveyance, master, agent for 
conveyance and owner of the conveyance shall jointly and individually be responsible 
to submit the following information to the Collector of Customs, namely:- 
(a) loading or unloading of any container of package, etc., which is believed 
to contain any other goods or has different weight or quantity or freight 
than declared in the bill of lading or any other document in the 
knowledge of such person; 
(b) the name and full address with telephone number of the person who 
stuffed the goods in the container if he is other than the actual owner of 
the goods; 
 (c) the name and full address with telephone number of the person who 
issued a consignment note or the house bill of lading in case of a person 
other than licensed by the customs as Customs agent; and 
(d) full details and photo copies of corrigendum or instructions issued by the 
owner of the goods or by the other persons for change in the name of 
consignee or consignor or destination or regarding weight, value, 
description and quantity of the goods loaded on the conveyance arriving 
or leaving Pakistan;] 
  
LEGAL REFERENCE 
 
1. Substituted full stop by Finance Act, 2006. 
2. Added by the Finance Act, 2006. 
3. Inserted by the Finance Act, 2005. 
 
 
 
 
 
 THE CUSTOMS ACT,1969 
 
73 
 
CHAPTER IX 
DISCHARGE OF CARGO AND ENTRY INWARDS OF GOODS 
73. Discharge of cargo by vessels may commence on receipt of  due 
permission.-  When an order for entry inwards of any vessel which has arrived in any 
customs-port or a special pass permitting such vessel to break bulk has been given, 
discharge of the cargo of such vessel may be proceeded with. 
74. Discharge of goods by conveyances other than vessels. - When on arrival of a 
conveyance other than a vessel at a land customs -station or customs-airport the person-
in-charge of such conveyance has delivered the import manifest under section 44 and 
the documents required under section 48, he shall forthwith take the conveyance or 
cause it to be taken to the examination station at the land customs -station or customs -
airport and remove or cause to be removed all goods carried in such conveyance to the 
custom-house in the presence of the appropriate officer or some person duly authorized 
by him in that behalf. 
75. Imported goods not to be unloaded unless entered in the import manifest. - 
(1) No imported goods required to be shown in the import manifest shall, except with 
the permission of the appropriate officer, be unloaded from any conveyance at any 
customs-station unless they are specified in the import manifest or amended or 
supplementary import manifest for being unloaded at that customs-station. 
 (2) Nothing in this section shall apply to the unloading of baggage 
accompanying a passenger or a member or a crew or mail bags. 
76. Procedure in respect of goods not unloaded by vessels within time allowed.- 
 (1) (a) If any goods imported by a vessel (except such as have been 
shown in the import manifest as not to be unloaded) are not 
unloaded within such period as is specified in the bill of lading or 
if no period is so specified, within such number of working days, 
not exceeding fifteen, after entry of the vessel as the Board may 
from time to time by notification in the official Gazette appoint, 
or 
  (b) if the cargo of any vessel, ex cepting a small quantity of goods, 
has been discharged before the expiration of the period  so 
specified or appointed, the master of such vessel or, on his  
application, the appropriate officer may then carry such goods  to 
the custom-house, there to remain for entry. 
 THE CUSTOMS ACT,1969 
 
74 
 
  (2) The appropriate officer shall thereupon take charge of, and grant receipts 
for, such goods; and if notice in writing has been given by the master of such vessel that 
goods are to remain subject to a lien for freight, primage, general average, or other 
charges of a stated amount, the appropriate officer shall hold such goods until he 
receives notice in writing that the said charges have been paid.   
77.  Power to land small parcels and hold unclaimed parcels. - (1) At any time 
after the arrival of any vessel, the appropriate officer may, with the consent of the 
master of such vessel, cause any small package or parcel of goods to be carried to the 
custom-house there to remain for entry in charge of the officers of customs,  during the 
remainder of the working days allowed under this Act, for the landing of such package 
or parcel.   
  (2) If any package or parcel so carried to the custom -house remains 
unclaimed on the expiration of the number of working days so allowed for its 
unloading, or at the time of clearance outwards of the vessel from which it was 
unloaded, the master of such vessel may give such notice as is provided in section 76, 
and the officer -in-charge of the custom -house shall thereupon hold such package or 
parcel as provided in that section.                 
78. Power to permit immediate discharge. -  (1) Notwithstanding anything 
contained in sections 74,76 and 77, the appropriate officer in any customs -station to 
which the Board, by notification in the official Gazette, declares this section to apply, 
may permit the master of any vessel immediately on receipt of an order under section 
47 or a special pass under section 49, or the person -in-charge of a conveyance other 
than a vessel on receipt of the import manifest, to discharge the goods imported by such 
conveyance, or any portion thereof, into the custody of his agent, if he be willing to 
receive the same, for the purpose of unloading the same forthwith-  
(a) at the custom -house, or at any specified landing place or wharf; 
or 
(b) at any landing -place or wharf belonging to the port 
commissioners, port trust, railways or other public body or 
company; or  
(c) for giving it in the custody of such person as may be approved by 
the Collector of Customs.    
(2) Any agent so receiving such cargo or portion shall be bound to discharge 
all claims for damage or short delivery which may be established in respect of the same 
by the owner thereof, and shall be entitled to recover from such owner his charges for 
service rendered, but not for commission or the like, where any agent for the unloading 
 THE CUSTOMS ACT,1969 
 
75 
 
of such cargo or portion has been previously appointed by the owner and such 
appointment is unrevoked.                   
 (3) The appropriate officer shall take charge of all goods discharged under 
clause (a) of sub -section (1) and otherwise proceed in relation thereto as provided in 
sections 76 and 82.            
 (4) A public body or company or person at whose landing place or wharf or 
place of storage any goods are discharged under clause (b) or clause (c) of sub -section 
(1) shall not permit the same to be removed or otherwise dealt with except in 
accordance with the order in writing of the appropriate officer.     
 
79. Declaration and assessment for home consumption or warehousing  [or 
transshipment] .- 1[(1)The owner of any imported goods shall make entry of such 
goods for home consumption or warehousing 19[or transshipment] or for any other 
approved purposes, within 21[ten] days of the arrival of the goods, by,- 
 
(a) filing a true declaration of goods, giving therein complete and correct 
particulars of such goods, duly supported by commercial invoice, bill of 
lading or airway bill, packing list or any other document required for 
clearance of such goods in such form and manner as the Board may 
prescribe ; 25[omitted 
(aa) the documents mandatory for assessment of the goods shall be uploaded 
by the importer or his agent with the goods declaration, as may be 
prescribed by the Board; and ] 
(b)  assessing and paying his liability of duty, taxes and other charges 
thereon, in case of a registered user of the Customs Computerized 
System: 
11[Provided that if, in case of used goods, before filing of goods 
declaration, the owner makes a request to an officer of customs not 
below the rank of an Additional Collector that he is unable, for want of 
full information, to make a correct and complete declaration of the 
goods, then such officer subject to such conditions as he may deem fit, 
may permit the owner to examine the goods and thereafter make entry of 
such goods by filing a goods declaration after having assessed and paid 
his liabilities of duties, taxes and other charges:] 
Provided further that no goods declaration shall be filed prior to 
ten days of the expected time of arrival of the vessel 29[: 
 
Provided further also that in case of land customs station at 
border, the owner of any imported goods shall file Goods Declaration 
(GD) for home consumption or warehousing or transshipment or any 
 THE CUSTOMS ACT,1969 
 
76 
 
other approved purpose, within three days of arrival of goods at the 
border Customs station.] 
20,31[Explanation.- For the purposes of this clause, the payment of duty, taxes, 
other charges in respect of transshipment shall be made at the port of destination 
and assessment may be made in such manner at such place as may be prescribed 
by the Board: 
Provided that, from such date as notified by the Board, in respect of 
goods declaration filed prior to berthing of the vessel or cross -over event of 
vehicle, he shall have the option to pay his liability of duty, taxes and other 
charges on completion of assessment.] 
 (2) If an officer, not below the rank of Additional Collector of Customs, is 
satisfied that the  rate of customs duty is not adversely affected and that there was no 
intention to defraud, he may, in exceptional circumstances and for reasons to be 
recorded in writing, permit, substitution of a goods declaration for home consumption 
for a goods declaration for warehousing or vice versa. 
 (3) An officer of Customs, not below the rank of Assistant Collector of 
Customs, may in case of goods requiring immediate release allow release thereof prior 
to presentation of a goods declaration subject to such conditions and restrictions as may 
be prescribed by the Board.] 
2[79A.  Omitted].  
3[80.  Checking of goods declaration by the Customs. - (1) On the receipt of 
goods declaration under section 79, an officer of Customs shall satisfy himself 
regarding the correctness of the particulars of imports, including declaration, 
assessment, and in case of the Customs Computerized System, payment of duty, taxes 
and other charges thereon. 
 (2) An officer of Customs may examine any goods that he may deem 
necessary at any time after the import of the goods into the country and may requisition 
relevant documents, as and when and in the manner deemed appropriate, during or after 
release of the goods by Customs; 
 (3) 26,27[If during the checking of goods declaration] , it is found that any 
statement in such declaration or document or any information so furnished is not correct 
in respect of any matter relating to the assessment, the goods shall, without prejudice to 
any other action which may be taken under this Act, be reassessed to duty  16[,taxes and 
other charges levied thereon]: 
 THE CUSTOMS ACT,1969 
 
77 
 
 24[Provided that in case of reassessment, a notice shall be served to the importer 
through Customs Computerized System and opportunity of hearing shall be provided,  
if he so desires.] 
 (4) In case of the Customs Computerized System, goods may be examined  
21[and assessed] only on the basis of computerized selectivity criteria: 
  25[Provided further that in case of clearance of goods declaration through 
green channel, the goods may be examined with the prior approval of the Collector of 
Customs.]    
 (5) The Collector may, however, either condone the examination or defer 
the examination of imported goods or class of goods and cause it to be  performed at a 
designated place as he deems fit and proper either on the request of the importer or 
otherwise.] 
 31[(6) Subject to such conditions, limitations or restrictions as it may impose, 
the Board may by a special order constitute Centralized Assessment Unit and 
Centralized Examination Unit at such places as it may deem appropriate:  
 Provided that- 
(a) import, export and transit consignments at any customs port, inland 
customs station, border customs station or airport may be assessed and 
examined through Centralized Assessment Unit and Centralized 
Examination Unit; 
(b) Centralized Assessment Unit shall be a restricted area accessible only to 
the designated customs officers or such other officers authorized by the 
Chief Collector;  
(c) Digitalized assessment may be made through customs computerized 
system on the basis of artificial intelligence tools; 
(d) The Board may prescribe any manner or conditions for assessment or 
examination of goods through Centralized Assessment Unit and 
Centralized Examination Unit; and  
(e) The Centralized Assessment Unit and Centralized Examination Unit 
already constituted shal l be deemed to have always been constituted 
under this section.]  
4[80A. Omitted.] 
 THE CUSTOMS ACT,1969 
 
78 
 
22[80B. Application of risk management system .- For the purpose of enforcing 
Customs Controls, risk management system shall be used in such manner as may be 
prescribed by rules.] 
5[81. Provisional determination of liability.-  (1) Where it is not possible for an 
officer of Customs during the checking of the goods declaration to satisfy himself of the 
correctness of the assessment of the goods made under section 79 22[or 131], for reasons 
that the goods require chemical or other test or a further inquiry, an officer, not below 
the rank of Assistant Collector of Customs, may order that the duty, taxes and other 
charges payable on such goods, be determined provisionally:  
 Provided that the importer, save in the case of goods entered for warehousing, 
pays such additional amount on the basis of provisional assessment or furnishes bank 
guarantee 26,27[Omitted]  5a[or pay order] 15[Omitted] of a scheduled bank along with an 
indemnity bond for the payment thereof as the said officer deems sufficient to meet the 
likely differential between the final determination of duty  17[, taxes and other charges]  
over the amount determined provisionally:  
 Provided further that there shall be no provisional assessment under this section 
if no differential amount of duty and 18[taxes and other charges]   is paid or secured 
against bank guarantee 26,27[Omitted]  14[or pay order] 15[Omitted]: 
 28 [Provided further that no provisional determination of value shall be allowed 
in those cases where a Valuation Ruling (VR)  30[or a Publication Valuation Ruling 
(PVR)], issued under section 25A, is in field, irrespective of the fact whether any 
review or revision against such Valuation Ruling 30[or a Publication Valuation Ruling 
(PVR)] is pending in terms of section 25D or relevant rules, as the case may be.]       
 5b[(2) Where any goods are allowed to be cleared or delivered on the basis of 
such provisional determination, the amount of duty, taxes and charges correctly payable 
on those goods shall be determined within 28[ninety days]  of the date of provisional 
determination:  
 Provided that the Collector of Customs or, as the case may be, Director of 
Valuation, may in circumstances of exceptional nature and after recording such 
circumstances, extend the period for final determination which shal l in no case exceed 
28[thirty] days12[:] 
 12[Provided further that any period, during which the proceedings are adjourned 
on account of a stay order or for want of clarification from the Board or the time taken 
through adjournment by the importer, shall be excluded for the computation of 
aforesaid periods.] 
 THE CUSTOMS ACT,1969 
 
79 
 
 (3) On completion of final determination, the amount already paid or 
guaranteed shall be adjusted against the amount payable on the basis of final  
determination, and the difference between the two amounts shall be paid forthwith to or 
by the importer, as the case may be. 
 (4).  If the final determination is not made with the period specified in sub -
section (2), the provisional determination shall, in the absence of any new evidence, be 
deemed to be the final determination. 
 13 [(5) On completion of final determination under sub -section (3) or (4), the 
appropriate officer shall issue an order for adjustment, refund or recovery of amount 
determined, as the case may be.] 
 Explanation.- Provisional assessment means the amount of duties and 
taxes paid or secured against bank guarantee or 15[pay order]. 
6[81A.   Omitted]. 
7,31[82.   Procedure in case of goods not cleared or warehoused or transshipped or 
exported or removed from the port  after unloading or filling of declaration .-  (1) 
The owner of the goods shall be liable to such penalties as may be notified by the 
Federal Government in the following cases, namely:-      
(a)  Goods declaration is not filed for home -consumption or warehousing or 
transshipment within twenty days of the arrival of goods at a cust oms 
station; 
(b) For the goods declaration filed prior to berthing of the vessel, the goods are 
not removed from the customs station after payment of leviable duty and 
taxes, within five days of completion of assessment and berthing of the 
vessel; 
(c) For the goods declaration filed after berthing of vessel, the goods are not 
removed from the customs station for home -consumption or warehousing or 
transshipment within five days of the clearance of the goods declaration; and 
(d) The goods are not loaded on the conveyance for export within fifteen days 
of the entry in the port:  
Provided that in unavoidable circumstances, the Collector of Customs may 
waive the penalty fixed under this section  
(2) Such goods may, after due notice to the owner, if his address could be 
ascertained, or after due notice to the carrier, shipping or cust oms agent, custodian of 
 THE CUSTOMS ACT,1969 
 
80 
 
the goods, as the case may be , be sold in auction or taken into custody by Customs and 
removed from the port to a Customs warehouse for auction under the order of the 
Assistance Collector of Customs notwithstanding the fact that adjudication of the case 
under section 179, or an appeal or special customs reference application under section 
193, 194 or 196 as the case may be, or a proceeding is pending in any court: 
  Provided that the goods shall be liable to confiscation if a goods declaration 
for home-consumption or warehousing or transshipment is not filed within thirty days 
of arrival of the goods at the customs station or the goods are not loaded on the 
conveyance for export or not removed from the port area within thirty days of 
assessment of the goods declaration: 
Provided further that- 
(a) Animals and perishable and hazardous goods may, with the 
permission of the appropriate officer, be sold or destroyed at any 
time. 
(b) Arms, ammunition or military stores may be sold or otherwise 
disposed of at such time and place and in such manner as the Board 
may, with the approval of the Federal Government, direct; and  
(c) In case where goods are sold pending adjudication, appeal or 
decision of the court, the proceeds of sale shall be kept in deposit and 
if on such adjudication, or as the case may be, in such appeal or the 
decision of the court, the goods sold are found not to have been liable 
to confiscation, the entire sale proceeds, after necessary deduction of 
duties, taxes transportation and other charges or duties as provided in 
section 201, shall be handed over to the owner: 
 Provided also that Collector of Customs may direct the importer or in 
case importer is not traceable, the shipping line to re -export out of Pakistan 
any goods, banned or restricted through a notification issued by the Federal 
Government, if the same are not cleared or auctioned within sixty days of 
the date of their arrival: 
Provided also that where Customs removes such goods from the 
premises of the custodian for disposal, the charges due to the custodian shall 
be paid subsequently from the sale proceeds of the goods in the manner as 
provided under section 201: 
Provided also that nothing in this section shall authorize removal for 
home consumption of any dutiable goods without payment of customs 
duties thereon.] 
 THE CUSTOMS ACT,1969 
 
81 
 
10[82A.  Omitted. 
 
LEGAL REFERENCE 
1. By the Finance Act, 2006 sub-section (1) of section 79 was substituted. At the time of 
substitution, the section (1) of section 79 was as under:-   
“(1) The owner of any imported goods shall make entry of such goods for home consumption or 
warehousing or for any other approved purpose by filing to the Customs a goods declaration 
containing correct and complete particulars of the goods and after having assessed, and, in case 
of the Customs Computerized System, paying his liability of duty, taxes and other charges 
thereon in such form and manner, as the Board may prescribe:  
 Provided that if, before filing a goods declaration to Customs, the owner makes a 
written request to the Collector of Customs or an officer designated that he is unable, for want of 
full information, to make a correct and complete declaration of any goods, then the Collector or 
the officer so designated, subject to such conditions as he may deem fit, may permit the owner to 
examine the goods and thereafter make entry of such goods by filing a goods declaration after 
having assessed and paid his liabilities of duties, taxes and other charges:  
 Provided further that no goods declaration shall be filed prior to ten days of the 
expected time of arrival of the vessel.” 
2. Inserted by FA, 2003 and omitted by FA 2005. 
3. Substituted by Finance Act, 2005. 
4. Inserted by FA, 2003 and omitted by FA, 2005. 
5. Substituted by the Finance Act, 2005. 
5a. Inserted by the Finance Act, 2007. 
5b Substituted by the Finance Act, 2007. Before substitution it was as under:- 
  “(2) Where any goods are allowed to be cleared or delivered on the basis of such 
provisional determination, the amount of duty, taxes and charges correctly payable on those 
goods shall be determined within nine months of the date of provisional determination:  
 Provided that the Collector of Customs may, in circumstances of exceptional 
nature and after recording such circumstances, extend the period for final determination by not 
more than ninety days.”       
6. Inserted by FA, 2003 and omitted by FA, 2005. 
7. Substituted by Finance Act,,2005. 
8. By the Finance Act, 2006, substituted the words “twenty days” with  “one months”.  
9. By the Finance Act, 2006, substituted the words ”ten” with “fifteen”.  
10. Inserted by FA, 1996 and omitted by FA, 2005 At that time section 82A was as under:-. 
 “82A.  Procedure in case of goods not cleared or warehoused or transshipped or exported 
or removed from the port within one month after unloading through the Customs 
Computerized System.-  Subject to the provisions of section 155A,  at  customs -stations with  
an  operational  Customs Computerized  System, if any  goods are not cleared for home 
consumption or  warehoused or transshipped or are not loaded on the conveyance for export or 
removed from the port area within one  month of their arrival at a customs -station or within such 
extended period as the appropriate officer may allow, such goods may, after the due notice given 
to the owner, if his address could be ascertained, or after due notice to the carrier, shipping agent, 
custodian of the goods, as the case may be, if his address could not be ascertained, may be sold in 
auction or taken into custody by Customs and removed from the port to a Customs auction 
warehouse for auction under the orders of the appropriate officer notwithstanding the fact that 
adjudication of the case under section 179, or an appeal under section 193, or 196, or a 
proceeding in any court of law in Pakistan, is pending:  
 THE CUSTOMS ACT,1969 
 
82 
 
 Provided that-            
(a) animals, perishable and hazardous goods may, with the permission of the appropriate 
officer, be sold  at any time;  
(b) arms and ammunition or military stores may be sold or otherwise disposed of at such 
time and  place and in such manner as the Board may, with the approval of the Federal 
Government, direct; 
(c) In cases where goods are sold pending any adjudication, appeal or decision of the 
court, the proceeds of sale shall be kept in deposit and, if on such adjudication (or, as 
the case may be, in such appeal or the decision of the court) the thing sold is found not 
to have been liable to confiscation, the entire sale proceeds, after necessary deduction 
of duties, taxes or dues as provided in section 201, shall be handed over to the owner: 
 Provided further that all auctions under this section shall be governed by the auction 
rules as notified by the Board and where Customs removes such goods from the 
premises of the custodian for disposal, the charges due to the custodian shall be paid 
subsequently from the sale proceeds of the goods in the manner as prescribed under 
section 201: 
 Provided further that nothing in this section shall authorize removal for home consumption of 
any dutiable goods without payment of customs-duties thereon;”   
11. Substituted by Finance Act,2010. At the time of substitution the proviso was as under:-  
 “Provided that if, before filing a goods declaration, the owner makes a request to an officer 
of customs not below the rank of an Assistant Collector that he is unable, for want of full 
information, to make a correct and complete declaration of the goods, then such officer, subject 
to such conditions as he may deem fit, may permit the owner to examine the goods and thereafter 
make entry of such goods by filing a goods declaration after having assessed and paid his 
liabilities of duties, taxes and other charges”. 
12. Added by the Finance Act, 2010. 
13. Added by the Finance Act, 2010 
14. Added by the Finance Act, 2012. 
15. The word “ or a post-dated cheque”  omitted by Finance Act, 2013 
16. Added by Finance Act, 2014 
17. Inserted by Finance Act, 2014 
18. Substituted for the word “tax’ by Finance Act, 2014 
19. Inserted by Finance Act, 2015 
20. Added the Finance Act, 2015 
21. Substituted by Finance Act, 2019 . At the time of substitution the word was “fifteen” 
22. Inserted by Finance Act,2019 
23. Substituted by Finance Act, 2019. At the time of substitution the words was” 
(1) “twenty” 
(2) “ten”  
24 Inserted by Finance Act, 2020 (June) 
25. Inserted by Finance Act, 2021(June)  
26. Inserted through Ordinance No.XXII (15.09.2021) 
27. Substituted/Omitted by Supplementary Finance Act, 2022(January) 
28. Inserted/substituted by Finance Act, 2022(June) 
29. Inserter/substituted by Finance Act, 2023(June) 
30. Inserted by Finance Act, 2024(June) 
31. Substituted by Finance Act, 2025(June) 
 
 THE CUSTOMS ACT,1969 
 
83 
 
CHAPTER X 
CLEARANCE OF GOODS FOR HOME-CONSUMPTION 
1[83. Clearance for home consumption.- (1)  When the owner of any goods entered 
for home-consumption and assessed under section 2[****] 80 2[****] or 81 has paid the 
import duty and other charges, if any, in respect of the same the appropriate officer, if 
he is satisfied that the import of the goods is not prohibited or in breach of any 
restrictions or conditions applying to the import of such goods, may make an order for 
the clearance of the same: 
 Provided that, at customs -stations where the Customs Computerized System is 
operational the system may clear the goods through system generated clearance 
documents 9[after payment of duty, taxes and other charges thereon].           
 (2) Where the owner fails to pay import duty and other charges  within 
3[ten] days from the date on which the same has been assessed under sections 80,  
5[Omitted] or 81, he shall be liable to pay surcharge at the rate of 5[KIBOR plus three 
per cent] on import duty and other charges payable on such goods.]  
4[83A. [ Omitted]   
7[83B. Provisional release of imported goods .- Where any offence is detected in 
respect of imported goods which are not liable to 8[outright] confiscation or needed for 
evidence at a later stage, the Collector of Customs may, on written request of owner of 
the goods, allow release of the same on payment of duty, taxes or other charges and 
furnishing bank guarantee or pay order against the amount of any penalty or fine which 
may be imposed on such goods.] 
10[83C  Cargo Tracking System and e -Bilty mechanism. - (1) Any person being a 
consignor, transporter, shipping agent, freight forwarder, consignee, supplier or 
recipient of goods and causing movement of goods from and to a seaport, land border 
station, inland dry-port or inland movement, shall be required to electronically generate, 
carry, display or validate an e-bilty through the Cargo Tracking System. 
(2) The Board may prescribe the manner and procedure to implement e -bilty 
mechanism and employ any technological means for tracking, identifying en route and 
digital record keeping of any kind of goods as part of its cargo tracking system and may 
charge fee or charges for maintenance and operation of the tracking system. 
(3)  In case of any violation, the goods, conveyance, owner of goods and mast er 
of conveyance, as the case may be, shall be liable to fine, penalty, detention, seizure and 
confiscation under the provision of this Act. 
 THE CUSTOMS ACT,1969 
 
84 
 
(4)   Notwithstanding anything contained in the aforementioned provisions, no 
e-bilty is required to be generated, as prescribed by the Board where- 
(a)   the value of the goods or the travel distance is less than the prescribed limit; 
or 
(b)  the goods being transported are specifically exempted from the purview of 
e-bilty mechanism.    
 
LEGAL REFERENCE 
1. Re-numbered as sub -section (1) by the Finance Act, 1993 (X of 1993), S.4(iii), page 121 and 
substituted  by the Finance Act, 2003  (I of 2003), S.5(19), page 27. At  the time of substitution 
section 83 was as under:-  
 “83. Clearance for home -consumption.-  1a[(1) When the owner of any goods entered for 
home-consumption and assessed under section 80 has paid the import duty and other charges, if 
any in respect of the same, the appropriate officer, if he is satisfied that the import of the goods is 
not prohibited or in breach of any restrictions or conditions apply to the import of such goods, 
may make an order for the clearance of the same. 
  1b[(2) Where the owner fails to pay import duty and other charges under sub -
section (1) within thirty days from the date on which the bill of entry is returned to him for 
payment of duty, he shall be liable to pay surcharge at the rate of fourteen percent per annum on 
import duty and other charges payable on such goods: 
  Provided that where the bill of entry is returned for payment of duty before the 
commencing day of the Finance Act, 1993, and the owner has not paid such duty before such 
commencing day, the date of return of such bill of entry shall be such commencing day.] 
 
1a. Re-numbered as sub-section (1) by the Finance Act, 1993 (X of 1993).  
1b. Added by the Finance Act, 1993 (X of 1993), S.4(iii), page 121.     
 
2. Figures, letters and commas “79A, 80A” omitted vide Finance Act, 2005 
 
3 By the Finance Act, 2006, substituted the word “thirty”. 
4. Inserted by the Finance Act, 2000 (XXI of 2000),and. By the Finance Act, 2006 section 83A 
was omitted At that time section 83A was as under:-. 
  “83.A Levy of additional duty. -  Notwithstanding anything contained in this Act and 
without prejudice to any other action that may be taken under this Act, if any person fails to pay 
the dues recoverable under this Act within the prescribed time, he shall, in addition to the dues 
payable, be liable to pay additional duty at the rate of one and a half percent per month.      
 Explanation: For the purpose of calculating additional duty, the period of default shall be 
reckoned from the day following the due date on which the dues were required to be paid to the 
day preceding the date on which the same are actually paid.” 
 
5. The words “fourteen per cent” substituted with the words “KIBOR plus three per cent” by 
Finance Act,2009. 
6. The figure ‘80A’ omitted by Finance Act, 2013 
7. Inserted by Finance Act, 2018 
8. Inserted by Finance Act, 2021 (June) 
9. Substituted by Finance Act, 2025 (June) 
10. Inserted by Finance Act, 2025(June) 
 THE CUSTOMS ACT,1969 
 
85 
 
CHAPTER XI 
WAREHOUSING 
84. Application to warehouse. - When any dutiable goods have been entered for 
warehousing and assessed under section 1[*****] 80 1[*****] or 81] the owner of such 
goods may apply for leave to deposit the same in any warehouse appointed or licensed 
under this Act2[:]             
 3[Provided that the Collector of Customs, for reasons to be recorded in writing, 
may disallow the warehousing of goods or any class of goods or goods belonging to a 
particular importer4[:]   
 5[Provided further that, at customs -stations where the Customs Computerized 
System is operational the system may allow removal to warehouse through system 
generated clearance documents.] 
85. Form of application.-  Every such application shall be in writing signed 
by the applicant, and shall be in such form as may be prescribed by the Board.  
6[86. Submission of post -dated cheque and indemnity bond. - (1) When any such 
application has been made in respect of any goods, the owner of the goods to which it 
relates shall furnish an indemnity bond and post -dated cheque equivalent to the duty 
assessed under section 80 or section 81 or reassessed under section 109 on such goods,-       
(a) to observe all the provisions of this Act and the rules in respect of 
such goods; 
(b) to pay on or before a date specified in a notice of demand all 
duties, taxes, rent and charges payable in respect of such goods 
together with surcharge on the same from the date so specified at 
the rate of 35[KIBOR plus three per cent per annum] or such other 
rate as is for the time being fixed by the Board; and   
(c) to discharge all penalties incurred for violation of the provisions 
of this Act and the rules in respect of such goods.  
 (2) Every such post-dated cheque shall be equivalent to the duties and taxes 
leviable on the goods or portion of the goods of one conveyance only.] 
87. Forwarding of goods to warehouse. -  (1)  When the provisions of sections 85   
and 86 have been complied with in respect of any goods, such goods shall be forwarded 
in charge of an officer of customs     to the warehouse in which they are to be deposited.   
 THE CUSTOMS ACT,1969 
 
86 
 
 (2)  A pass shall be sent with the goods specifying the name of the bonder 
and the name or number of the importing conveyance, the marks, numbers and contents 
of each package, and the warehouse or place in the warehouse wherein they are to be 
deposited.  
 88. Receipt of goods at warehouse.-  (1) On receipt of the goods, the pass shall 
be examined by the warehouse-keeper, and shall be returned to the appropriate officer.        
 (2) No package, butt, cask or other container shall be admitted into any 
warehouse unless it bears the marks and numbers specified in, and otherwise 
corresponds with, the pass for its admission.       
 (3) If the goods be found to correspond with the pass, the warehouse -keeper 
shall certify to that effect on the pass, and the warehousing of such goods shall be 
deemed to have been completed.      
 (4)  If the goods do not so correspond, the fact shall be reported by the 
warehouse-keeper for the orders of the appropriate officer, and the goods shall either be 
returned to the custom -house in charge of an officer of customs or kept in deposit 
pending such orders as the warehouse-keeper deems most convenient.      
  
44[(5) if the quantity or value of any goods has been incorrectly stated in the 
goods declaration, due to inadvertence or bona fide error, the Collector of Customs 
may, for reasons to be recorded in writing, direct the correction of the said error.] 
 
89. Goods how warehoused.-    Except as provided in section 94, all goods shall be 
warehoused in the packages, butts, casks or other containers in which they have been 
imported.       
90. Warrant to be given when goods are warehoused. - (1) Whenever any goods 
are lodged in a public warehouse or a licensed private warehouse, the warehouse-keeper 
shall deliver a warrant signed by him as such to the person lodging the goods.        
 (2) Such warrant shall be in such form as the Board may from time to time 
prescribe, and shall be transferable by endorsement; and the endorsee shall be entitled 
to receive the goods specified in such warrant on the same terms as those on which the 
person who originally lodged the goods would have been entitled to receive the same  
38[; 
 Provided that where the Customs Computerized system is operational, the 
issuance of warrant and subsequent transfer of warrant shall take place through system 
generated documents.]          
 THE CUSTOMS ACT,1969 
 
87 
 
 (3) The Board may, by notification in the official Gazette, exempt any class 
of goods from the operation of this section.     
 38[(4) The Board may make rules to regulate the transfer of goods in the 
manner as mentioned in sub-section (2)] 
91. Access of customs officer to 8[*] warehouse.-  The appropriate officer shall 
have access to any 8[*] warehouse licensed under this Act.         
92. Power to cause packages lodged in warehouse to be opened and examined. -  
(1) The appropriate officer may at any time by order in writing direct that any goods or 
packages lodged in any warehouse shall be opened, weighed or otherwise examined; 
and, after any goods have been so opened, weighed or examined, may cause the same to 
be sealed or marked in such manner as he thinks fit.        
 (2)  When any goods have been so sealed and marked after examination, 
they shall not be again opened without the permission of the appropriate officer; and, 
when any such goods have been opened with such permission, the packages shall, if he 
thinks fit, be again sealed or marked.              
93. Access of owner to warehoused goods. -  (1) Any owner of goods lodged in a 
warehouse shall, at any time within the hours of business, have access to his goods in 
the presence of an officer of customs, and an officer of customs shall, upon application 
for the purpose being made in writing to the appropriate officer, be deputed to 
accompany such owner.        
 (2) When an officer of customs is specially employed to accompany such 
owner, a sum sufficient to meet the expense thereby incurred shall, subject to rules, be 
paid by such owner to the appropriate officer, and such sum shall, if the appropriate 
officer so directs, be paid in advance. 
94. Owner’s power to deal with warehoused goods. -  (1) With the sanction of the 
appropriate officer and on payment of such fees as may be prescribed by rules, the 
owner of any goods may, either before or after warehousing the same,-       
(a) separate damaged or deteriorated goods from the rest;  
(b) sort the goods or change their containers for the purpose of preservation, 
sale, export or disposal of the goods;  
(c) deal with the goods and their containers in such manner as may be 
necessary to prevent loss or deterioration or damage to the goods;  
(d) show the goods for sale; or  
 THE CUSTOMS ACT,1969 
 
88 
 
(e) take such samples of goods as may be allowed by the appropriate officer 
with or without entry for home -consumption, and with or without 
payment of duty, except such as may eventually become payable on a 
deficiency of the original quantity.  
 (2) After any such goods have been so separated and repacked in proper or 
approved packages, the appropriate officer may, at the request of the owner of such 
goods, cause or permit any refuse, damaged or surplus goods remaining after such 
separation or repacking (or, at the like request, any goods which may not be worth the 
duty) to be destroyed, and may remit the duty payable thereon.    
95. Manufacture and other operations in relation to goods in a warehouse. -  (1) 
Subject to rules, the owner of any warehoused goods may, with the permission in 
writing of the Collector of Customs, carry on any manufacturing process or other 
operations in the warehouse in relation to such goods.         
 (2) Where in the course of any such operation or process there is any waste 
or refuse the following provisions shall apply, namely:-       
(a) If the whole or any part of the goods produced by such operation 
or process are exported, no duty shall be charged on the quantity 
of the warehoused goods wasted or turned into refuse in the 
course of the operation or processing carried on in relation to the 
goods exported: 
 Provided that such waste or refuse is either destroyed or 
duty is paid on such waste or refuse as if it had been imported 
into Pakistan in that form;      
(b) If the whole or any part of the goods produced by such operation 
or process are cleared from the warehouse for home -
consumption, duty shall be charged on the quantity of the 
warehoused goods wasted or turned into refuse in the course of 
the operation or processing carried on in relation to the goods 
cleared for home-consumption.  
96. Payment of rent and warehouse dues. - (1) If goods be lodged in a public 
warehouse, the owner shall 9[unless exempted by an order of the Collector or an officer 
not below the rank of 10[Assistant Collector 36[Omitted] authorized by him,] pay 
monthly rent and warehouse-dues at such rates as the Collector of Customs may fix.  
 (2) A table of the rates of rent and warehouse -dues so fixed shall be placed 
in a conspicuous part of such warehouse.    
 THE CUSTOMS ACT,1969 
 
89 
 
 (3) If any demand for such rent or dues is not discharged within ten days of 
its presentation, the appropriate officer may, in the discharge of such demand (any 
transfer or assignment of the goods notwithstanding) cause to be sold, after due notice 
in the official Gazette, such sufficient portion of the goods as he may select.         
 (4) The proceeds of such sale shall be adjusted in accordance with section 
201.      
97. Goods not to be taken out of warehouse except as provided by this Act.-  No 
warehoused goods shall be taken out of any warehouse, except on clearance for home -
consumption or export, or for removal to another warehouse, or as otherwise provided 
in this Act.       
11[98. Period for which goods may remain warehoused.-  12{(1) Warehoused goods, 
other than perishable goods notified by the 11a[Board] , may remain in the warehouse 
for a period of 13[six months] following the date of their admission into the warehouse 
and perishable goods so notified may remain in the warehouse for a period of 39,46[three 
months], following the said date:        
 Provided that the said period may, in case of non-perishable goods, be extended, 
on sufficient cause being shown by the owner of the warehoused goods and subject to 
the condition that he pays in advance surcharge on the duty and taxes involved at 
14[one] per cent per month for the extended period-    
  
15,44,45[(a)  by the Additional Collector of Customs, for a period not exceeding 
one    month; 
(aa)  by the Collector of Customs, for a period not exceeding six months;] 
 
41(b) by the Chief Collector of Customs for such period as he may deem fit;]  
 (c)] 42[Omitted] .     
 subject to the condition that the extension in case of perishable goods shall be granted 
only if the goods are fit for human consumption.} 
(2)The Federal Government may, subject to such conditions, or restrictions as it 
may deem fit to impose, by notification in the official gazette, remit the whole or a part 
of the surcharge in case of any goods or category of goods and the Board, in 
circumstances of exceptional nature, may, subject to such conditions, limitations or 
restrictions, if any, as it may think fit to impose, by a special order in each case 
recording such circumstances remit the whole or a part of the surcharge.   
 
 THE CUSTOMS ACT,1969 
 
90 
 
 (3) Notwithstanding anything contained in sub -section (1), the Federal 
Government 43[or Board] may, by notification in the official Gazette, 37[regulate] the 
period for which 17[***] goods or class of 17[***] goods may remain in the warehouse:          
 Provided that such period shall not be less than one month.        
(4) When the license of any warehouse is cancelled, the owner of any goods 
warehoused therein shall, within ten days of the date on which notice of such 
cancellation is given, or within such extended period as the appropriate officer may 
allow, remove the goods from that warehouse to another warehouse or clear them for 
home-consumption or exportation.] 
99. Power to remove goods from one warehouse to another in the same 
customs-station.-  (1) Any owner 18[or a manufacturer -cum-exporter duly authorized 
by such owner in respect] of goods warehoused under this Act may, within the period of 
their warehousing under section 98, and with the permission of the Collector of 
Customs, on such conditions and after giving such security, if any, as the Collector 
directs, remove goods from one warehouse to another warehouse in the same 
warehousing station.      
 (2) When any owner 18[or a manufacturer -cum-exporter duly authorized by 
such owner] desires to remove any goods, he shall apply for permission to do so in such 
form as the Board may prescribe.     
100. Power to remove goods from one warehousing station to another. -  (1) Any 
owner 18[or a manufacturer-cum-exporter duly authorized by such owner in respect] of 
goods warehoused at any warehousing station may, within the period of their 
warehousing under section 98, remove the same for the purpose of  warehousing them 
at any other warehousing station.   
 (2) When any owner 18[or a manufacturer -cum-exporter duly authorized by 
such owner] desires to remove any goods for such purpose, he shall apply to the 
Collector of Customs in such form and manner as the Board may prescribe stating 
therein the particulars of the goods to be removed, and the name of the customs -station 
to which they are to be removed.  
101. Transmission of account of goods to officers at warehousing station of 
destination.-  (1) When permission is granted  for the removal of any goods from one 
warehousing station to another under section 100, an account containing the particulars 
thereof shall be transmitted by the appropriate officer of the customs -station of removal 
to the appropriate officer of the customs-station of destination.      
 (2) The person requiring the removal shall before such removal enter into a 
bond, with one sufficient surety, in a sum equal at least to the duty chargeable on such 
 THE CUSTOMS ACT,1969 
 
91 
 
goods, for the due arrival and re -warehousing thereof at the customs -station of 
destination, within such time, as the Collector of Customs directs.      
 (3) Such bond may be taken by the appropriate officer either at the customs -
station of removal or at the customs -station of destination as best suits the convenience 
of the owner.      
(4) If such bond is taken at the customs -station of destination, a certificate 
thereof signed by the appropriate officer of such station shall at the time of the removal 
of such goods be produced to the appropriate officer at the customs -station of removal; 
and such bond shall not be discharged unless such goods are produced to the 
appropriate officer, and duly re-warehoused at the customs-station of destination within 
the time allowed for such removal or are otherwise accounted for to the satisfaction of 
such officer; nor until the full duty due upon any deficiency of such goods, not so 
accounted for, has been paid.       
102. Remover may enter into a general bond. -  The Collector of Customs may 
permit any person desirous of removing warehoused goods to enter into a general bond, 
with such sureties, in such amount and under such conditions as the Collector approves, 
for the removal, from time to time, of any goods from one warehouse to another, either 
in the same or in a different warehousing station and for the due arrival and re -
warehousing of such goods at the destination within such time as the Collector directs.               
103. Goods on arrival at customs -station of destination to be subject to same 
laws as goods on first importation. -  Upon the arrival of warehoused goods at the 
customs-station of destination, they shall be entered and warehoused in like manner as 
goods are entered and warehoused on the first importation thereof, and under the laws 
and rules, in so for such laws and rules are applicable, which regulate the entry and 
warehousing of such last mentioned goods. 
104. Clearance of bonded goods for home -consumption.-  Any owner 18[or a 
manufacturer-cum-exporter duly authorized by such owner in respect] of warehoused 
goods may, at any time within the period of their warehousing under section 98, clear 
such goods for home-consumption by paying-       
(a) the duty assessed on such goods under the provisions of this Act; and  
(b) all rent, penalties, 19[surcharge] and other charges payable in respect of 
such goods 20[:]          
 21[Provided that in case of manufacturer -cum-exporter duly qualified for 
claiming exemption under any notification issued under this Act, the ex -bonding of 
goods under this section shall be without payment of duties and taxes.]           
 THE CUSTOMS ACT,1969 
 
92 
 
105. Clearance of warehoused goods for export. -  Any owner of warehoused good 
may, at any time within the period of their warehousing under section 98, clear such 
goods for export out of Pakistan on  payment of all rent, penalties, 22[surcharge] and 
other charges payable as aforesaid but without paying any import duty thereon:  
 Provided that, if the 23[Federal Government] is of the opinion that warehoused 
goods of any specified description are likely to be smuggled back into Pakistan, it may, 
by notification in the official Gazette, direct that such goods  shall not be exported to 
any place outside Pakistan without payment of duty or allow them to be exported 
subject to such restrictions and conditions as may be specified in the notification.  
106. Clearance of warehoused goods for export as provisions, on a conveyance 
proceeding to foreign destination. -  Any warehoused provisions and stores may be 
exported within the period of their warehousing under section 98 without payment of 
import duty for use on board any conveyance proceeding to a foreign territory.          
107. Application for clearance of goods. -  (1) An application to clear goods from 
any warehouse for home -consumption or for export shall be made in such form as the 
Board may prescribe.   
(2) Such application shall ordinarily be made to the appropriate officer at 
least twenty-four hours before it is intended to clear such goods.        
108.  Reassessment of warehoused goods when damaged or deteriorated. -  If any 
goods upon which duties are levied ad valorem 24[or otherwise] are damaged or 
deteriorated due to an unavoidable accident or cause after they have been entered for 
warehousing and assessed under section 80 and before they are cleared for home -
consumption, their value in the damaged or deteriorated state may be appraised 
25[according to either of the methods provided in sub -section (2) of section 27], if the 
owner so desires, by an officer of customs and the duty leviable thereon shall be 
diminished in proportion to the diminution of their value and a new bond for twice the 
amount of the diminished duty may, at the option of the owner, be executed by him to 
replace the bond originally executed.         
109. Reassessment on alteration of duty. -  If any goods have been entered for 
warehousing and assessed under section 26[*****] 80 27[*****] or 81] but the duty 
leviable thereon is subsequently altered, such goods shall be reassessed on the basis of 
the altered duty and a new bond shall be executed by the owner in accordance with the 
provisions of section 86 to replace the bond originally executed by him.  
110. Allowance in case of volatile goods. -  When any warehoused goods of such 
class or description as the Board having regard to the volatility of such goods and the 
manner of their storage may, by notification in the official Gazette, specify are, at the 
time of delivery from a warehouse, found to be deficient in quantity and the Collector 
 THE CUSTOMS ACT,1969 
 
93 
 
of Customs is satisfied that such deficiency is on account of natural loss, no duty shall 
be charged on such deficiency.           
 
111. Duty on goods improperly removed from warehouse or allowed to remain 
beyond fixed time or lost or destroyed or taken as sample. -  In respect of goods 
specified hereunder the appropriate officer  may demand and upon such demand the 
owner  of  such goods  shall  forthwith  pay  the full amount of duty chargeable on such 
goods together with all rent, penalties, 28[surcharge] and other charges payable in 
respect of them, namely:-           
 
(a) Warehoused goods which are removed in contravention of section 97. 
(b) Goods which have not been removed from the warehouse within the 
time allowed for such removal under section 98. 
(c) Goods in respect of which a bond has been executed under section 86 
and which have not been cleared for home -consumption or export or 
removed in accordance with the provisions of this Act and are lost or  
destroyed  otherwise than as provided in sections 94 and 95 or as  
mentioned in section 115, or are not accounted for to the satisfaction of 
the appropriate officer.      
(d) Goods which have been taken under section 94 as samples without 
payment of duty.  
29[112. Encashment of post-dated cheque.-  (1) Where the owner fails to clear bonded 
goods to the purposes specified in this Chapter within the warehousing period, the post -
dated cheque submitted under section 86 by the owner of goods may be got encashed 
after the expiry of warehousing period.  
 (2) In case the post -dated cheque is not enchased for any reason, the 
Collector of customs or any officer designated by him may detain the owner’s goods 
whether lying in any warehouse or freshly imported for public auction and adjustment 
of sale proceeds against the amount of duties, taxes surcharges, rents and penalties, etc., 
which may have become payable on goods warehouse d but not  cleared within the 
specified period and the surplus amount, if any, shall be disposed of in the manner 
provided in section 201.]  
113. Noting removal of goods. -   (1) When any warehoused goods are taken out of 
any warehouse, the appropriate officer shall cause the fact to be noted on the back of 
the bond.       
 (2) Every note so made shall specify the quantity and description of such 
goods, the purposes for which they have been removed, the date of removal, the name 
of the person removing them, the number and date of the 30[goods declaration] under 
 THE CUSTOMS ACT,1969 
 
94 
 
which they have been taken away, if removed for exportation, or  30A[***] for home-
consumption and the amount of duty paid, if any 31[:]  
 32[Provided that at customs -station where the Customs Computerized System is 
operational, the requirement of this section shall be completed in accordance with that 
system.] 
114. Register of bonds. - (1) A register shall be kept of all bonds entered into for 
customs-duties on warehoused goods, and entry shall be made in such register of all 
particulars required by section 113 to be specified.      
 (2) When such register shows that the whole of the goods covered by any 
bond have been cleared for home -consumption or export, or otherwise duly accounted 
for, and when all amounts due on account of such goods have been paid, the appropriate 
officer shall cancel such bond as discharged in full, and shall on demand deliver the 
cancelled bond to the person who executed it or who is entitled to receive it.       
115. Power to remit duties on warehoused goods lost or destroyed. -  If any 
warehoused goods in respect of which a bond has been executed under section 86 and 
which have not been cleared for home -consumption are lost or destroyed by 
unavoidable accident or cause, the Collector of Customs may in his discretion remit the 
duties due thereon: 
 Provided that, if any such goods be so lost or destroyed in a 33[****]warehouse, 
notice thereof be given to the appropriate officer within forty -eight hours 34[****]of 
such loss or destruction. 
116. Responsibility of warehouse keeper. -  The warehouse -keeper in respect of 
goods lodged in a public warehouse, and the licensee in respect of goods lodged in a 
private warehouse, shall be responsible for their due receipt therein and delivery 
therefrom, and their safe custody while deposited therein, accordance to the quantity, 
weight or gauge reported by the officer of customs who has assessed such goods, 
allowance being made, if necessary, for deficiency in quantity on account of natural 
loss as provided in section 110: 
 Provided that no owner of goods shall be entitled to claim from the appropriate 
officer or from any keeper of a public warehouse, compensation for any loss or damage 
occurring to such goods while they are being passed into or out of such warehouse, or 
while they remain therein, unless it be proved  that such loss or damage was occasioned 
by the willful act or neglect of the warehouse-keeper or of an officer of customs.  
117. Locking of warehouses. -  (1) Every public warehouse shall be under the lock 
and key of both the warehouse -keeper appointed by the Collector of Customs, and the 
appropriate officer.     
 THE CUSTOMS ACT,1969 
 
95 
 
 (2) Every private warehouse shall be under the lock and key of both the 
licensee and the appropriate officer.       
118. Power to decide where goods may be deposited in public warehouse, and on 
what terms. -  The Collector of Customs may from time to time determine in what 
division of any public warehouse 34[or private warehouse], and in what manner, and on 
what terms, any goods may be deposited, and what sort of goods may be deposited in 
any such warehouse.  
119. Expenses of carriage, packing, etc. to be borne by owner. -  The expenses of 
carriage, packing and storage of goods on their receipt into or removal from a public 
warehouse shall, if paid by the appropriate officer or by the warehouse -keeper, be 
chargeable on the goods and be defrayed by, and recoverable from,  the owner, in the 
manner provided in section 112. 
 
LEGAL REFERENCE 
 
1. Substituted for the figure “80” by Finance Act,2003 (I of 2003), S.5(21)(a), page 28 and figures, 
letters and commas”79A, 80A” omitted vide Finance Act, 2005. 
2. Substituted for the full stop by Finance Act,1990 (VII of 1990),S.6(5), page 35. 
3. Added by the Finance Act,1990(VII of 1990), A.6(5), page 35. 
4. Substituted for the full stop by Finance Act,2003 (I of 2003), S.5(21)(b) page 29. 
5. Added by Finance Act,2003 (I of 2003), S.5(21)(b), page 29. 
6. Substituted by the Finance Act, 2005. At that time section 86 was as under:- 
“86. Warehousing bond. -  (1) When any such application has been made in respect of any 
goods, the owner of the goods to which it relates shall execute a bond, binding himself in a 
penalty of twice the amount of the duty assessed under section 80 or section 81 or reassessed 
under section 109 on such goods,-       
(a) to observe all the provisions of this Act and the rules in respect of such goods; 
(b) to pay on or before a date specified in a notice of demand all duties, rent and charges 
payable in respect of such goods together with surcharge on the same from the date so 
specified at the rate of two per cent per month or such other rate as is for the time being 
fixed by the Board; and   
(e) to discharge all penalties incurred for violation of the provisions of this Act and the 
rules in respect of such goods.  
(2) Every such bond shall be in such form as is from time to time prescribed by the Board, 
and shall relate to the goods or portion of the goods of one conveyance only. 
(3) Notwithstanding  anything in sub -section (2), for the purposes of sub -section  (1), the 
Collector of Customs may permit any importer to enter into a general bond in such amount and 
subject to such conditions, limitations or restrictions as the Collector of Customs may determine 
in respect of the warehousing of goods to be imported by shall continue in force notwithstanding 
the transfer of the goods to any other person or the removal of the goods to another warehouse or 
warehousing station:       
 Provided that, where the whole of the goods or any part thereof are transferred to another person, 
the appropriate officer may accept a fresh bond from the transferee in a sum equal to twice the 
amount of duty assessed on the goods transferred and thereupon the bond executed by the 
transferer shall be deemed to be discharged to the extent to which the fresh bond has been 
executed by the transferee. 
 
7. By Finance Act, 2006 the words” bill of entry” was substituted, 
8. By Finance Act, 2006 the words” private” was omitted. 
 THE CUSTOMS ACT,1969 
 
96 
 
9.   Inserted by the Finance Act, 1973 (L of 1973), S.9(6), page 531.      
10. Substituted for the words “Assistant Collector” by the Finance Act, 1996 (IX of 1996.,  
11. Substituted by the Finance Act, 1990 (VII of 1990), S.6(7), page 36.  At the time of substitution 
section 98 was as under:- 
 “98. Period for which goods may remain warehoused. - (1) Warehoused goods, 
other than consumer goods notified by the Central Board of Revenue, may remain in 
the warehouses for a period of [six months following the date of  their admission into 
the warehouse and consumer goods so notified may remain in the warehouses for a 
period of three months] following  the said date: 
  Provided that – 
(i) the said period may, in case of non -perishable goods, be extended, on sufficient cause 
being shown by the owner of the warehoused goods and subject to the condition that he 
pays in advance [surcharge] on the duty involved at two per cent per month for the 
extended period,-   
(a) by the Collector of Customs for a period not exceeding six months; and  
(b) by the Board for such period at it may deem fit: 
 Provided further that in circumstances of exceptional nature, the Board, may, subject to 
such conditions limitations or restrictions, if any, as it may think fit to impose, by a 
special order in each case recording such circumstances, remit the whole or a part of 
the interest. 
(ii) when the license of any private warehouse is cancelled, the owner of any goods 
warehoused therein shall within ten days of the date on which notice of such 
cancellation is given, or within such extended period as the appropriate officer may 
allow, remove the goods from that warehouse to another warehouse or clear them for 
home-consumption or exportation.”. 
  (2) Notwithstanding anything contained in sub -section (1), the Federal 
Government may, by notification in the official Gazette, limit the period for which any 
consumer goods or class of consumer goods may remain in the warehouses: 
  Provided that such period shall not be less than one month.” 
11a Substituted the words “Central Board of Revenue” with the word “Board” by the FA,2007. 
12. Substituted by the Finance Act, 1998. 
13. Substituted for the words “one year” by the Finance Act, 2005. 
14. Substituted the word “ two”   by Finance Act, 2004. 
15. Substituted by the Finance Ordinance, 2001 (XXV of 2001), S.4(6), page 306. At the time of 
substitution this was as under:- 
“(a) by the Collector of Customs, for a period not exceeding six months; and 
   (b) by the Federal Government or the Board, for such period as it may deem fit.”. 
16. Substituted for the words “two” and “six”  by Finance Act, 2005. 
17. Omitted  the words “consumer” by the Finance Act, 1998 (III of 1998), S.4(V)(ii, 
18. Inserted by the Finance Act, 1999 (IV of 1999), S.10(6)(I), page 767 
19. Substituted for the word “interest” by the Finance Act, 1985(I of 1985), S.3(1). 
20. Substituted full stop by the Finance Act, 1999 (IV of 1999), S.10(8)(ii), page 767. 
21. Added by the Finance Act, 1999 (IV of 1999), S.10(8)(ii), page 767. 
22. Substituted for the word “interest” by the Finance Act, 1985 (I of 1985), S.3(1). 
23. Substituted for the words “Central Government” by the Finance Act, 1972. 
24.  Inserted by the Finance Ordinance, 1986 (I of 1986), S.6(4)(a)  page 11. 
25. Inserted by the Finance Ordinance, 1986 (I of 1986), S.6(4) (b), page 11.  
26. Substituted for the figure “80” by the Finance Act, 2003 (I of 2003), S.5(22), page 29. 
27. Omitted the figure “79A, 80A” by the Finance Act,2005. 
28. Substituted for the word “interest” by the Finance Act, 1985 (I of 1985), S.3(1). 
29. Substituted by Finance Act, 2005. 
30. By the Finance Act, 2006, the words “bill of export or” were  omitted. 
30A. By the Finance Act, 2006, the words “of the bill of entry or goods declaration, if removed” were  
omitted. 
 THE CUSTOMS ACT,1969 
 
97 
 
31. Substituted full stop by the Finance Act, 2003 (I of 2003), S.5(23)(c), page   
32. Added by the Finance Act, 2003 (I of 2003), S.5(23)(c), page 29. 
33. The word “private” omitted by the Finance Act, 1990 (VII of 1990), S.6(8), page 37. 
34. By the Finance Act, 2006 the words “after the discovery” were omitted. 
35. The words “one per cent per month” substituted with the words “KIBOR plus three per cent per 
annum”, by Finance Act,2009. 
36. The words” or Deputy Collector, ” omitted by Finance Act,2011. 
37. Inserted by Finance Act, 2017. 
38. Inserted by Finance Act, 2019.  
39. Substituted by Finance Act, 2019 . At the time of substitution the words was “three months”  
40. Added by Finance Act, 2019.  
41. Substituted by Finance Act, 2019. At the time the words was” by the Chief Collector of Customs, 
for a period not exceeding one month in case of notified perishable goods and a period not 
exceeding three months in case of non-perishable goods” 
42. Omitted by Finance Act, 2019.At the time clause( c)  was” by the Federal Government or the 
Board, for such period as it may deem fit .     
43. Inserted by Finance Act, 2019. 
44. Inserted by Finance Act, 2021 (June) 
45. Substituted/inserted by Finance Act, 2022(June)  
46. Substituted by Finance Act, 2023(June) 
 THE CUSTOMS ACT,1969 
 
98 
 
CHAPTER XII 
TRANSSHIPMENT 
1[120. Chapter not to apply to postal articles. -  The provisions of this chapter shall 
not apply to goods imported by post.] 
2[121. Transshipment of goods without payment of duty. - (1) Subject to the 
provisions of section 15 and the rules, the appropriate officer may, on application by the 
owner of any goods imported at any customs -station and specially and distinctly 
manifested at the time of importation as for transshipment to some other customs -
station or foreign destination, grant leave to transship the same without payment of 
duty, if any, chargeable on such goods with or without any security or bond for the due 
arrival and entry of the goods at the customs-station of destination: 
7[Provided that at customs -station where the Custom Computerized System is 
operational, the system may automatically authorize transshipment to other 
customs-station subject to risk selectivity criteria.]   
 (2) The Board may, subject to rules and such conditions as it may deem fit 
to impose, authorize certain carriers to transport goods under the multimodal, scheme.  
Goods transported under the multimodal scheme  shall be specially and distinctly 
manifested at the time of importation as for transshipment to some other customs -
station or foreign destination and shall not - 
(a) require distinct permission for transshipment from the customs -
station of first entry into the country to be transported to the 
customs-station of destination.  The principal carrier issuing the 
multimodal bill of lading or air way bill will be responsible for 
the sanctity of the cargo during transportation between the 
customs-station of first entry into the country to the customs -
station of destination; and 
(b) be subject to the risk management system at the customs station 
of first entry. 
 (3) The Board may, subject to such conditions as it may deem fit, grant 
license to any carrier to carry goods under the multimodal scheme.]  
 
122. Superintendence of transshipment.-  An officer of customs 3[may] be deputed 
free of charge to superintend the removal of transshipped goods from one conveyance 
to another 4[:]   
 THE CUSTOMS ACT,1969 
 
99 
 
 5[Provided that nothing in this section shall apply to the goods transported under 
the multimodal scheme.] 
 
6[123. Entry, etc., of transshipped goods. - (1)  All goods transshipped under sub -
section (2) of section 121 to any customs -station shall, on their arrival at such customs -
station, be entered in the same manner as goods on their first importation and shall be 
dealt with likewise.       
 (2) All goods being transshipped under sub-section (1) of section 121 from a 
customs-station of first entry into the country, where the Customs Computerized 
System is operational and the goods are determined to be high risk by the risk 
management system shall be dealt with under rules on the subject.] 
 8[Explanation.- For the purpose of transshipment of LCL goods, the customs -
station of first entry shall be the customs-station where the goods are de-consolidated.] 
124. Transshipment of provisions and stores from one conveyance  to another of 
the same owner without payment of duty.-  Any provisions and stores in use or being 
carried for use on board a conveyance may, at the discretion of the appropriate officers 
be transshipped to another conveyance belonging wholly or partly to the same owner 
and present simultaneously at the same customs-station, without payment of duty.              
125. Levy of transshipment fees.-   Subject to the rules, a transshipment fee on any 
goods or class of goods transshipped under this Act may be levied at such rates, 
according to weight, measurement, quantity, number, bale, package or container, as the 
Board may, by notification in the official Gazette, prescribe for any customs -station or 
class of customs-stations. 
 
LEGAL REFERENCE 
 
1. Section 120 substituted by the Finance Act, 1979 (XXX of 1979), S.6(7), page 188.  At the time of 
substitution this was as under:- 
 “120. Chapter not to apply to baggage or postal articles.- The provision of this Chapter 
shall not apply to (a) baggage or (b) goods imported by post.”.  
 2. Substituted by the Finance Act, 2003 (I of 2003), by the Finance Act, 2003 (I of 2003), 
S.5(25)(a), page 30.  At the time of substitution  section  121 was as under:- 
 “121. Transshipment of goods without payment of duty.- Subject to the provisions of 
section 15 and the rules, the appropriate officer may, on application by the owner of any goods 
imported at any customs-station and specially and distinctly manifested at the time of importation 
as for transshipment to some other customs-station or foreign destination, grant leave to transship 
the same without payment of duty, if any, chargeable on such goods at the customs -station of 
transshipment and, in the case of goods to be transshipped to some other customs-station, with or 
without any security or bond for the due arrival and entry of the goods thereat.”.  
3. Substituted for the words and commas “shall, in every case, “by the Finance Act, 2003 (I of 
2003), by the Finance Act, 2003 (I of 2003), S.5(25),(a) page 30.  
4. Substituted full stop by the Finance Act, 2003 (I of 2003), S.5(25)(b), page 30. 
5. Added by the Finance Act, 2003 ((I of 2003), S.5(25)(b), page 30. 
6.  Substituted by the Finance Act, 2003 (I of 2003), S.5(26), page 30.  At the time of substitution 
section 123 was as under:- 
 THE CUSTOMS ACT,1969 
 
100 
 
 “123, Entry, etc., of transshipped goods.- All goods transshipped under section 121 to any 
customs-station shall, on their arrival at such customs-station, be entered in the same manner as 
goods on their first importation and shall be dealt with likewise.”. 
7. Added by Finance Act, 2015 
8. Added by Finance Act, 2015 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 THE CUSTOMS ACT,1969 
 
101 
 
CHAPTER XIII 
TRANSIT TRADE 
126. Chapter not to apply to baggage and postal articles. -   The provisions of this 
Chapter shall not apply to (a) baggage, and (b) goods imported by post.        
127. Transit of goods in the same conveyance. -  (1) Subject to the provisions of 
section 15 and the rules any goods imported in a conveyance and mentioned in the 
import manifest as for transit in the same conveyance to customs -station in Pakistan or 
to any destination outside Pakistan may be allowed to be so transited without payment 
of duty, if any, leviable on such goods at the customs-station of transit.          
 (2) Any stores and provisions imported on board a conveyance which is in 
transit through Pakistan to a destination outside Pakistan may, subject to rules, be 
allowed to be consumed on board that conveyance without payment of the duties which 
would otherwise be chargeable on them.   
128. Transport of certain classes of goods subject to prescribed conditions.-  Any 
goods may be transported from one part of Pakistan to another through any foreign 
territory, subject to such conditions as to their due arrival at the destination as may be 
prescribed by rules.     
129. Transit of goods across Pakistan to a foreign territory. -  Where any goods 
are entered for transit across Pakistan to a destination outside Pakistan, the appropriate 
officer may, subject to the provisions of the rules, allow the goods to be so transited 
without payment of the duties which would otherwise by chargeable on such goods1[:]         
 2[Provided that the Federal Government may, by notification in the official 
Gazette, prohibit the bringing into Pakistan by sea, land or air in transit to a foreign 
territory any goods or class of goods.]      
3[129A. Levy of transit fee.- A transit fee may be levied on any goods or class of 
goods in transit across Pakistan to a foreign territory at such rates as the Board may, by 
notification in the official Gazette, prescribe.]  .  
 
LEGAL REFERENCE 
 
1. Substituted full stop by the Finance Act, 1996 (IX of 1996), S.4(4), page 480. 
2. Added by the Finance Act, 1996 (IX of 1996), S.4(4), page 470. 
3. Added by the Finance Act,2011. 
 
 THE CUSTOMS ACT,1969 
 
102 
 
CHAPTER XIV 
EXPORTATION OR SHIPMENT AND RELANDING 
130. No goods to be loaded on a conveyance, till entry outwards or permission 
granted.-  No goods other than passengers’ baggage or mail bags or ballast urgently 
required for a vessel’s safety shall be loaded or water -borne to be loaded on a 
conveyance at a place in a customs -station approved for the purpose under clause (b) of 
section 10, until an order under section 50 in respect of the conveyance has been given 
or permission in this behalf in writing has been granted by the appropriate officer.           
1[131. Clearance for exportation.-  (1) No goods shall be loaded for exportation until-   
 
(a) the owner any goods to be exported has made a declaration in 
such form and manner as prescribed by the Board, by filing a 
goods declaration to Customs containing correct and complete 
particulars of his goods, and assessed and paid his liability of 
duty, taxes and other charges, if any;  
  (b) the claim of duty drawback, if any, has been calculated and 
reflected in the declaration filed for export through Customs 
Computerized System;  
  (c) Customs has, on the receipt of goods declaration under clause (a), 
satisfied its elf regarding the correctness of the particulars of 
export, including declaration, assessment, and payment of duty, 
taxes and other charges and verified the admissibility of the duty 
drawback claimed as specified in clause (b); and  
 (d) the appropriate officer has permitted passenger’s baggage or mail 
bags, to be exported notwithstanding clauses (a), (b) and (c). 
 (2) If any goods or class of goods imported and lying within the port area, 
are intended to be exported by its owner, the Collector may allow the export subject to 
the conditions as the Board may, from time to time, notify: 
 Provided that the Board may in the case of any customs station or wharf, by 
notification in the official Gazette, and subject to such restrictions and conditions, if 
any, as it thinks fit, exempt any specified goods or class of goods or  any specified 
person or class of persons, from all or any of the provisions of this section. 
 Provided further that the Collector, 8[Omitted] for reasons to be recorded in 
writing, may cause the examination of goods or any class of goods or goods belonging 
 THE CUSTOMS ACT,1969 
 
103 
 
to a particular exporter or class of exporters at a designated place a s he deems fit and 
proper.] 
2[131A. Omitted.   
132. Bond required in certain cases before exportation. -  Before any warehoused 
goods subject to excise duties, or goods entitled to drawback or repayment of customs -
duties on exportations or goods exportable only under particular rules or restrictions, 
are permitted to be exported, the owner shall, if required so to do, give security by bond 
in such sum not exceeding twice the duty leviable on such goods as the appropriate 
officer directs, with one sufficient surety, that such goods shall be exported and landed 
at the place for which they are entered outwards or shall be otherwise accounted for to 
the satisfaction of such officer.         
133. Additional charge on goods cleared for export after port -clearance 
granted.-  Where the goods are cleared for shipment on a 3[goods declaration]  
presented after port-clearance or permission to depart has been granted, the appropriate 
officer may, if he thinks fit, levy, in addition to any duty to which such goods are 
ordinarily liable, a charge not exceeding one per cent of the value of the goods 
determined in accordance with the provisions of section 25.                  
134. Notice of non -loading or relanding and return of duty thereon. - (1) If any 
goods mentioned in a 4&5[goods declaration]  or  manifest  be  not  loaded  or  be  
loaded   and afterwards relanded, the owner shall before the expiration of fifteen clear 
working days after the conveyance on which such goods were intended to be loaded or 
from which they were relanded has left the customs -station, give information of such 
short-loading or relanding to the appropriate officer save where the latter has 
occasioned the short-loading or relanding.        
 (2) Upon an application being made to the appropriate officer within one 
year of such short-loading or relanding, any duty levied upon goods not loaded or upon 
goods loaded and afterwards  relanded shall be refunded to the person on whose behalf 
such duty was paid:       
 Provided that, where the required information of short -loading or relanding is 
not given within the aforesaid period of fifteen days, the appropriate officer may make 
refund of duty contingent upon payment of such penalty, if any, as he may see fit to 
impose.    
135. Goods relanded or transshipped from a conveyance returning to a customs -
station or putting into another customs -station.-  (1) If, after having cleared from 
any customs -station any conveyance without having discharged her cargo returns to 
such customs -station or ports into any other customs station, any owner of goods in 
such conveyance, if he desired to land or transship the same or any portion thereof for 
 THE CUSTOMS ACT,1969 
 
104 
 
re-export, may, with the consent of the person-in-charge of the conveyance, apply to the 
appropriate officer in that behalf.         
 (2) The appropriate officer, if he grants the application, shall thereupon send 
an officer of customs to watch the conveyance and to take charge of such goods during 
such relanding or transshipment.          
(4) Such goods shall not be allowed to be transshipped or re-exported free of 
duty by reason of the previous settlement of duty at the time of first export unless they 
are lodged and remain, until the time of re -export under the custody of an officer of 
customs, in a place appointed by the appropriate officer, or are transshipped under such 
custody.   
 (4) All expenses attending such custody shall be borne by the owner.        
136. Conveyance returning to customs-station may enter and land goods.-  (1) In 
either of the cases mentioned in section 135, the person -in-charge of the conveyance 
may enter such conveyance inwards and any owner of goods thereon may, with the 
consent of the person -in-charge of the conveyance, land the same under the provisions 
of this Act and the rules.          
 (2) In every such case, any export duty paid shall be refunded on an 
application made by the owner of such goods within one year of their landing and any 
amount paid to the owner as drawback or repayment of duty(whether of customs,  
excise or any other tax) shall be recovered from him or adjusted against the amount 
refundable.         
137. Landing of goods during repairs. -  (1) The appropriate officer may, on 
application by the person -in-charge of a conveyance which is obliged before 
completing her journey or voyage to put into any customs -station for repairs, permit 
him to land the goods or any portion thereof, and to place it in the custody of an officer 
of customs during such repairs, and to load and export the same free of duty.   
 (2) All expenses attending such custody shall be borne by the person -in-
charge of the conveyance.       
138. Frustrated cargo how dealt with. -  (1) Where any goods are brought into a 
customs-station by reason of inadvertence, misdirection or untraceability of the 
consignee, 7[or where consignee has dishonored his commitments]  6[an officer of 
Customs not below the rank of Additional Collector of Customs] may, on application 
by the person -in-charge of the conveyance which brought such goods or of the 
consignor of such goods and subject to rules, allow 9[change of consignee name for 
clearance under section 79 or] export of such goods without payment of any duties 
(whether of import or export) chargeable thereon, provided that such goods have 
remained and are exported under the custody of an officer of customs.         
 THE CUSTOMS ACT,1969 
 
105 
 
 (2) All expenses attending to such custody shall be borne by the applicant.  
 
LEGAL REFERENCE 
1. Substituted by Finance Act,2005. At that time section 131 was as under:-   
 “131. Clearance for exportation.-  No goods shall be loaded for exportation until-   
(a) in the case of goods other than passenger’s baggage and mail bag-  
  (i) the owner has delivered to the appropriate officer a bill of export 1[or goods 
declaration] for such goods, in such form and manner and containing such particulars 
as may be prescribed by rules;  
  (ii) such owner has  paid the duties payable on such goods; such bill 2[or 
declaration] has been passed by the  appropriate officer; and      
  (b) in the case of passenger’s baggage or mail bags, the appropriate officer has permitted 
them to be exported:              
  Provided that the Board may in the case of any customs -station or wharf, by 
notification in the official Gazette, and subject to such restrictions and conditions, if 
any, as it thinks fit, exempt any specified goods or class of goods or any specified 
person or class of persons, from all or any of the provisions of this section. 
  Provided further that the Collector for reasons to be recorded in writing may cause 
the examination of goods or any class of goods or good belonging to a particular 
exporter or class of exporters at a designated place as he deems fit and proper.” 
 
 2. Inserted by the Finance Act, 2003 and omitted by the Finance Act, 2005. At that time section 
131A was as under:- 
  
 “131A. Clearance for exportation through the Customs Computerized System.-  Subject to 
the provisions of section 155A, for the purposes of the Customs Computerized System, no goods 
shall be loaded for exportation until- 
 (a) the owner of any goods to be exported has made a declaration in such form and manner 
as prescribed by the Board, by filing a goods declaration to Customs containing correct and 
complete particulars of his goods, and assessed and paid his liability of duty, taxes and other 
charges and having reflected his claim of duty draw back if any; 
 (b) Customs has, on the receipt of goods declaration under clause (a) through the Customs 
Computerized System, satisfied itself regarding the correctness of the particulars of export, 
including declaration, assessment, and payment of duty, taxes and other charges and verified the 
admissibility of the duty draw back claimed; and 
 (c) Goods have been cleared for export through the Customs Computerized System: 
 Provided that the Board may in the case of any customs -station or wharf, by 
notification in the official Gazette and subject to such restrictions and conditions, if any, as it 
thinks fit, exempt any specified goods or class of goods or any specified person or class of 
persons, from all or any of the provisions of this section.”  
3. By the Finance Act, 2006, the words  “bill of export” were substituted. 
4. Inserted by the Finance Act, 2003 (I of 2003), S.5(27), page 31 
5.. By the Finance Act, 2006, the words” bill of export or” were omitted.  
6. Substituted for the words “the Collector of Customs” by Finance Act, 2005.. 
7. Inserted by Finance Act, 2018 
8. Inserted by Finance Act, 2021(June) 
9. Inserted by Finance Act, 2022 (June) 
 THE CUSTOMS ACT,1969 
 
106 
 
CHAPTER XV 
SPECIAL PROVISIONS REGARDING BAGGAGE AND GOODS IMPORTED 
OR EXPORTED BY POST 
139. Declaration by passenger or crew of baggage. - 6[(1)] The owner of any 
baggage whether a passenger or a member of the crew 8[or a representative on behalf of 
a group of passengers] shall, for the purposes of clearing it, make a verbal or written 
declaration of its contents in such manner as may be prescribed by rules to the 
appropriate officer and shall answer such questions as the said officer may put to him 
with respect to his baggage and any article contained therein or carried with him and 
shall produce such baggage and any such articles for examination 1[:] 
  2[Provided that where the Customs Computerized System is operational, all 
declarations and communications shall be electronic.] 
 6,7[(2) Where any passenger or a member of the crew makes a false declaration 
or fails to make such declaration as required under sub -section (1), he shall be guilty of 
an offence under this Act. 
 (3) Notwithstanding the provisions of sub -section (2), where any person 
attempts to bring into or takes out of Pakistan, currency, gold, precious metals or stones, 
in any form, through concealment in baggage or circumventing customs controls at 
airports, sea-ports and land border custom -stations, he shall be guilty of an offence of 
smuggling within the meaning of clause (s) of section 2.] 
140. Determination of rate of duty in respect of baggage. -  The rate of duty if any, 
applicable to baggage shall be the rate in force on the date on which a declaration is 
made in respect of such baggage under section 139 3[:]         
 4[Provided that in the case of goods cleared as mis -handled baggage or un -
accompanied baggage, the rate of duty shall be the rate in force on the date on which a 
declaration for clearance of such goods is presented before the appropriate officer after 
landing of the goods.]  
141. Bona fide baggage exempt from duty. -  The appropriate officer may, subject 
to the limitations, conditions and restrictions specified in the rules, pass free of duty any 
article in the baggage of a passenger or a member of the crew in respect of which the 
said officer is satisfied that it is bona fide meant for the use of such passenger or for 
making gift.       
142. Temporary detention of baggage.-  Where the baggage of a passenger contains 
any article which is dutiable or the import of which is prohibited or restricted and in 
 THE CUSTOMS ACT,1969 
 
107 
 
respect of which a true declaration has been made under section 139, 5[and about which 
the appropriate officer is satisfied that these were not imported with the intention of 
consumption in Pakistan, he] may, at the request of the passenger, detain such article 
for the purpose of being returned to him on his leaving Pakistan.      
143. Treatment of baggage of passengers or crew in transit. -  Baggage of 
passengers and members of the crew in transit in respect of which a declaration has 
been made under section 139, may be permitted by the appropriate officer, subject to 
such limitations, conditions and restrictions as may be specified in the rules, to be so 
transited without payment of duty. 
144. Label or declaration in respect of goods imported or exported by post 9[or 
by courier] to be treated as entry.-  In the case of goods imported or exported by post  
9[or by courier ], any label or declaration which contains the description, quantity and 
value thereof shall be deemed to be an entry for import or export, as the case may be, 
for the purposes of this Act.  
145. Rate of duty in respect of goods imported or exported by post  9[or by 
courier].-  (1) The rate of duty, if any, applicable to any goods imported by post 9[or by 
courier] shall be the rate in force on the date on which the postal authorities present to 
the appropriate officer the declaration or label referred to in section 144 for the purpose 
of assessing the duty thereon.          
 (2) The rate of duty, if any, applicable to any goods exported by post  9[or by 
courier] shall be the rate in force on the date on which the exporter delivers such goods 
to the postal authorities for exportation.       
LEGAL REFERENCS   
1. Substituted for the full stop by the Finance Act, 2004 (II of 2004), S.3(13), page 16. 
2. Added by the Finance Act, 2004 (II of 20040, S.3(13), page 16. 
3. Substituted full stop by the Finance Ordinance, 1982 (XII of 1982), S.6(7), page 60. 
4. Added by the Finance Ordinance, 1982 (XII of 1982), S.6(7), page 60.  
5. Substituted for the comma and words “,the appropriate officer” by the Finance Ordinance, 1982 
(XII of 1982), S.6(8), page 60. 
6. As amended by  Act, No.XVII of 2020 (30th March) 
7. Substituted /inserted by Finance Act, 2020(June) 
8. Inserted by Finance Act, 2023(June) 
9. Inserted by Finance Act, 2025 (June) 
 
 THE CUSTOMS ACT,1969 
 
108 
 
CHAPTER XVI 
PROVISIONS RELATING TO COASTAL GOODS AND VESSELS 
146. Chapter not to apply to baggage. -  The provisions of this Chapter shall not 
apply to baggage.     
147. Entry of coastal goods. -  (1) The consignor of any coastal goods shall present 
to the appropriate officer a bill of coastal goods in the form prescribed by the Board.  
 (2) Every such consignor shall make a declaration on the bill of coastal 
goods presented by him as to the truth of the contents thereof.           
148. Coastal goods not to be loaded, until bill relating thereto is passed. -   No 
vessel shall take on board any coastal goods until the bill relating to such goods has 
been passed by the appropriate officer and delivered to the master of the vessel by the 
consignor:           
 Provided that the appropriate officer may, in circumstances of exceptional 
nature, on a written application by the master of the vessel, permit loading of coastal 
goods pending the presentation and passing of bills relating to such goods.                    
149. Clearance of coastal goods at destination. -  (1) The master of a vessel 
carrying any coastal goods shall carry on board the vessel all bills delivered to him 
under section 148 and shall, within twenty -four hours of arrival of the vessel at any 
customs-port or coastal port, deliver to the appropriate officer all bills relating to the 
goods which are to be unloaded at that port.       
 (2) Where any coastal goods are unloaded at any port, the appropriate 
officer shall permit their clearance if he is satisfied that they are entered in a bill 
delivered to him under sub-section (1).        
150. Declaration concerning coasting vessel which has touched foreign port. -  
The master of a vessel carrying coastal goods which has touched at any foreign port 
immediately before its arrival at a port of Pakistan shall deliver, alongwith the bills 
referred to in section 149, a declaration stating that fact and indicating the particulars 
and specifications of the cargo, if any, discharged or taken on board at such foreign 
port.                  
151. Cargo book.-  (1) There shall be kept on board every coasting vessel a cargo 
book stating the name of the vessel, the port at which she is registered and the name of 
the master. 
 
 THE CUSTOMS ACT,1969 
 
109 
 
 (2) It shall be the duty of the master of every coasting vessel to enter or 
cause to be entered in the cargo book-          
 (a) the port to which and each voyage on which the vessel is  
   bound;  
 (b) the respective times of departure from every port of lading and 
 of arrival at every port of discharge; 
 (c) the name of every port of lading and an account of all goods 
 taken on board at that port with a description of the packages 
 and the quantities and description  of the goods contained 
 therein or stowed loose and the names of the respective 
 shippers and the consignees in so far as such particulars be 
 ascertainable; 
 (d) the name of every port of discharge and the respective days on 
 which such goods or any of them are delivered out of such 
 vessel. 
 
 (3) The entries relating to the loading and discharge of goods shall be made 
respectively at the ports of lading and discharge.            
 (4) Every such master shall on demand produce the cargo book for the 
inspection of the appropriate officer and such officer may make such note or remark 
therein as he considers necessary.       
152. Coastal goods not to be loaded or unloaded except at customs -port or 
coastal port.-  No coastal goods shall be loaded on, or unloaded from, any vessel at any 
port other than a customs-port or a coastal port declared under section 9.        
153. Coasting vessel to obtain written orders before departure. -  (1) No coasting 
vessel which has brought or loaded any coastal goods at a customs -port or coastal port 
shall depart from such port until a written order to that effect has been given by the 
appropriate officer.        
 (2) No such order shall be given until -       
 (a) the master of the vessel has answered the questions, if any, put 
 to him;  
  (b) all charges and penalties, if any, payable in respect of that vessel 
or by its master have been paid or the payment secured by such 
guarantee as the appropriate officer may direct.              
154. Application of certain provisions of this Act to coastal goods. - (1) Sections 
64,65 and 66 shall, so far as may be, apply to coastal goods as they apply to imported 
goods or goods for export.            
 THE CUSTOMS ACT,1969 
 
110 
 
 (2) Sections 48 and 60 shall, so far as may be, apply to vessels carrying 
coastal goods as they apply to vessels carrying imported goods or goods for export.            
 (3) The 1[Federal Government] may, by notification in the official Gazette, 
direct that all or any of the other provisions of Chapter VII and the provisions of section 
78 shall apply to coastal goods or vessels carrying coastal goods with such exceptions 
and modifications, if any, as may be specified in the notification. 
155. - Prohibition of the coastal trade of certain goods. -  No goods shall be carried 
coast-wise or shipped as stores in a coasting vessel contrary to any prohibition or 
restriction imposed by or under any law, nor shall such goods or stores be brought to 
any place in Pakistan for the purpose of being so carried or shipped.     
 
LEGAL REFERENCE 
   
 1. Substituted for the words “Central Government” by the Finance Act, 1972 (XXI of 1972), S.3, 
page 56 and Second Schedule S.1, page 76. 
 THE CUSTOMS ACT,1969 
 
111 
 
1[CHAPTER XVI-A 
PROVISIONS RELATING TO THE CUSTOMS COMPUTERIZED SYSTEM 
AND AUDIT AND ACCESS TO DOCUMENTS 
155A. Application of the Customs Computerized System. -  Notwithstanding 
anything hereinbefore contained, provisions of this Chapter shall apply to any customs -
station equipped with the Customs Computerized System on such date as the 9[Board] 
may, by notification in official Gazette, specify and different dates may be specified for 
different provisions and for different areas so as to bring the provisions relating to the 
Customs Computerized System in force throughout Pakistan progressively. 
155B. Access to the Customs Computerized System.- No person shall transmit to, or 
receive information from, the Customs Computerized System unless that person is 
registered by the Collector as a user of the Customs Computerized System. 
155C. Registered users.-  (1) Any person who wishes to be registered as a user 
of the Customs Computerized System may apply 2[***] to the Collector in the 
prescribed form and shall provide such information in relation to the application as is 
prescribed. 
 (2)  The Collector may require an applicant for registration to give such 
additional information as he considers necessary for the purpose of the application. 
 (3) The Collector may grant the application subject to such conditions, as he 
deems fit or refuse the application: 
 Provided that no order shall be passed for refusal of application unless the 
applicant has been given a reasonable opportunity of being heard. 
155D. Registered users to be allocated unique user identifier.- (1) Any person 
registered as a user of the Customs Computerized System shall be allocated a unique 
user identifier for use in relation to the Customs Computerized System by the Collector 
in such form or of such nature as the Collector may determine. 
 (2) The unique user identifier allocated pursuant to sub -section (1) of this 
section shall be used by the registered user for the purpose of transmitting information 
to or receiving information from the Customs Computerized System. 
 (3) The Collector may impose conditions on a particular registered user or on 
registered users generally, relating to the use and security of unique user identifiers. 
155E. Use of unique user identifier. -  (1)  Where information is transmitted to the 
Customs Computerized System using a unique user identifier issued to a registered user 
by the Collector for that purpose, the transmission of that information shall, in the 
absence of proof to the contrary, be sufficient evidence that the registered user to whom 
the unique user identifier has been issued has transmitted that information. 
 THE CUSTOMS ACT,1969 
 
112 
 
 (2) Where a unique user identifier is used by a person who is not entitled to 
use it, sub -section (1) of this section shall not apply if the registered user to whom the 
unique user identifier was issued has, prior to  the unauthorized use of that unique user 
identifier, notified the Customs that the unique user identifier is no longer secure. 
155F. Cancellation of registration of registered user.- 8[Omitted] Where at any time 
the Collector is satisfied that any person who is a registered user of the Customs 
Computerized System, has :  
 
 
(a) failed to comply with a condition of registration imposed by the 
Collector under sub-section (3) of section 155C of this Act; or 
  (b) failed to comply with, or acted in contravention of any conditions  
imposed  by the Collector under sub -section (3) of section 155D of this 
act in relation to the use and security of the registered user's unique 
identifier; or 
  (c) has been convicted of an offence under this Act, the Collector  may 
cancel the registration of that person as a registered user by giving notice 
in writing to that person stating that the registration of that person is 
cancelled and setting out the reasons for that cancellation: 
  
 6[Provided that the Collector of Customs may, in exceptional 
circumstances , 10[after giving notice and affording reasonable opportunity of 
being heard] suspend the use of unique user identifier of any person forthwith 
on receipt of any complaint or information about violation of any provisions of 
this Act:] 
 
 Provided further that the Collector of Customs shall, after giving 
opportunity of hearing, pass and order confirming suspension or otherwise the 
use of Unique User Identifier.]  
 
8[Provided also that a person aggrieved by an order of the Collector, 
cancelling or confirming the suspension of his unique user identifier, may, 
within thirty days of communication of such order, prefer an appeal to the Chief 
Collector who may pass an order annulling, modifying or confirming the order 
passed by the Collector.] 
 
155G. Customs to keep records of transmissions.-   (1)  The Customs shall keep a 
record of every transmission sent to or received from a registered user using the 
Customs Computerized System. 
 THE CUSTOMS ACT,1969 
 
113 
 
 (2) The record described in sub-section (1) of this section shall be kept for a 
period of five years from the date of the sending of or the receipt of the transmission, or 
for such other period as may be prescribed by the Board. 
155H. Confidentiality of information.--  All trade information gathered by Customs 
during clearance of goods shall be confidential and shall not be used except for - 
 (a) statistical purposes by the department and other Government  
organizations; or  
 (b) purposes of comparison and evidence  3[by the appropriate officer of 
customs] as against other imports and exports; or 
  (c) production as evidence before a legal forum or an organization explicitly 
so authorized by the Federal Government; 7[or 
  (d) sharing of data to the extent of agreed data contents under a 
memorandum of understanding, bilateral, regional, multilateral 
agreements or convention; or 
  (e) public disclosure of valuation data through any medium containing 
description of items, origin, currency, declared and assessed unit value 
without disclosing name and address of the importer or exporter or their 
suppliers.] 
 and any disclosure, publishing or dissemination of trade information of any person 
except as provided above without his explicit permission to any other person shall be an 
offence. 
155-I. Unauthorized access to or improper use of the Customs Computerized 
System.-  (1)  Every person commits an offence who.- 
  (a)   knowingly and without lawful authority by any means gains access to or 
attempts to gain access to the Customs Computerized System; or 
  (b) having lawful access to the Customs Computerized System, knowingly 
uses or discloses information obtained from such a computer system for 
a purpose that is not authorized; or 
         (c) knowing that he is not authorized to do so, receives information obtained 
from the Customs Computerized System, and uses, discloses, publishes, 
or otherwise disseminates such information. 
155J. Interference with the Customs Computerized System.-  Every person 
commits an offence who– 
 (a) by any means knowingly falsifies any record or information stored in the 
Customs Computerized System; or 
 (b) knowingly damages or impairs the Customs Computerized System; or 
 THE CUSTOMS ACT,1969 
 
114 
 
 (c)      knowingly damages or impairs any duplicate tape or disc or other 
medium on which any information obtained from the Customs 
Computerized System is held or stored otherwise than with the 
permission of the Collector. 
155K. Offences in relation to the security of or unauthorized use of unique user 
identifiers.-  (1)  A registered user of the Customs Computerized System who fails to 
comply with or acts in contravention of any condition imposed by the Collector relating 
to the security of that registered user's unique user identifier commits an offence. 
(2) A person who - 
(a) not being a registered user, uses a unique user identifier; or 
(b) being a registered user, uses the unique user identifier of any 
other registered user; to authenticate a transmission of 
information to the Customs Computerized System, commits an 
offence. 
155L. Audit or examination of records. -  (1)  The appropriate officer of Customs 
may at any reasonable time enter a premises or place where records are kept and audit 
or examine those records either in relation to specific transactions or to the adequacy 
and integrity of the manual or electronic system or systems by which such records are 
created and stored and shall have free access to all books, records, documents, data and 
computers in the custody or control of the principals or agents and may if so necessary 
take custody of, or make extracts from or copies of such books, records, documents, 
data or computers. 
 (2) In all cases, except where it would defeat the purposes of the audit or 
examination, a reasonable advance notice regarding a visit shall be given to the 
principals or the agents concerned. 
155M. Requisition of documents. -  (1)  The appropriate officer may, by notice in 
writing, require a person, as and when specified in the notice,-- 
   (a) to produce for inspection by a specified Customs Officer, 
documents or records that the appropriate officer considers 
necessary or relevant to -- 
    (i) an investigation under this Act; or 
           (ii) an audit under this Act; or  
(iii) the recovery of dues payable under this Act; 
 (b) to allow the specified Customs officer to take extracts from or 
make copies of, documents or records of the kind referred to in 
paragraph (a); 
 THE CUSTOMS ACT,1969 
 
115 
 
(c) to appear before a specified Customs officer and answer all 
questions put to the person concerning -- 
  (i) goods, or transactions relating to those goods, that are the 
subject of the investigation or audit, or that are relevant to 
the recovery of dues referred to in clause (a); or  
  (ii) documents or records of the kind referred to in clause (a).
  
 (2) in this section, person includes an officer employed in a government 
department, corporation, local authority or an officer employed in a bank. 
155N. Documents in foreign language. -  Where a document in a foreign language 
except English is presented to a Customs officer in relation to the carrying out of any 
duty or the exercise of any power of the Customs under this Act or any other Act, the 
officer may require the person who presented  the document to supply to the officer an 
authentic English translation of the document at the expense of the person who 
presented it. 
155O. Authorised officer may take possession of and retain documents and 
records.-  (1)  An officer authorised in this behalf may take possession of and retain 
any document or record presented in connection with any entry or required to be 
produced under this Act. 
 (2) Where the authorised officer takes possession of a document or record 
under sub-section (1) of this section, the authorised officer shall, at the request of the 
person otherwise entitled to the document or record, provide that person with a copy of 
the document certified by or on behalf of the authorised officer under the seal of the 
Customs as a true copy. 
 (3) Every copy so certified shall be admissible as evidence in all courts and 
other legal forums as if it were the original. 
155P. Obstructing access, altering, concealing, destruction of record.- Any person 
commits an offence who,- 
 (a) fails to operate any mechanical or electronic device, when requested by a 
Customs officer, on which any records are, or information is, stored for 
the purpose of enabling the Customs officer to obtain those records or 
that information. 
 (b) with intent to defeat the purposes of this Act, destroys, alters, or conceals 
any book, document, or record required to be kept under this Act, or 
sends or attempts to send out of Pakistan any such book, document, or 
record.] 
 THE CUSTOMS ACT,1969 
 
116 
 
 
4[155Q.  Electronic exchange of information and authentication through the 
Customs Computerized System. - Any declaration, documents or record, accounts, 
notice, order, payment, authentication, authorization or information required, delivered 
or provided by the Customs or any registered user shall be deemed to have been 
required, delivered, provided or done under this Act when communicated electronically 
through the Customs Computerized System. 
 
155R.  Correction of clerical errors .- Where the Customs Computerized System is in 
operation and the Collector of Customs is satisfied that incorrect data has been 
electronically communicated to Customs due to any clerical error, he may, for reasons 
to be recorded in writing, direct the correction of the said error. Except as provided 
herein, no person shall alter any data in the Customs Computerized System:] 
 
10[Provided that in case where any clerical or typographical error i s noted in 
goods declaration except as provided in section 29 of this Act, the exporter or importer 
may apply to th e concerned officer not below the rank of Assistant Collector for 
issuance of correction or corrigendum certificate and the concerned officer upon his 
satisfaction may issue such certificate for subsequent correction in the computerized 
goods declaration.] 
 
LEGAL REFERENCE 
 
1. Inserted by the Finance Act, 2003 (I of 2003), S.5(29), page 32 
2. By the Finance Act, 2006, the words “in writing” were omitted. 
3. Inserted by the Finance Act, 2006.  
4. Inserted by the Finance Act, 2006. 
5. Added by Finance Act,2008( I of 2008) (Page-46) 
6. The proviso “Provided that the Collector of Customs may, in exceptional 
circumstances, after recording reasons in writing and after hearing the aggrieved 
person, suspend  the use of unique user identifier of any person forthwith on receipt of 
any complaint or information about violation of the Customs Act,1969 (IV of 1969)” 
substituted by Finance Act, 2009. 
7. Added vide Finance Act, 2016 
8. Omitted / Inserted by Finance Act, 2017. 
9. Substituted by Finance Act, 2019. At the time of substitution the words was “Federal 
Government”. 
10. Inserted by Finance Act, 2021(June) 
 
THE CUSTOMS ACT,1969 
 
117 
 
CHAPTER XVII 
 
OFFENCES AND PENALTIES 
 
156. Punishment for offences. -  (1) Whoever commits any offence described in 
column 1 of the Table below shall, in addition to and not in derogation of any 
punishment to which he may be liable under any other law, be liable to the 
punishment mentioned against that offence in column 2 thereof:-      
TABLE 
 
S.No. Offences Penalties Section of this 
Act to which 
offence has 
reference. 
 (1) (2) (3) 
180(i). If any person contravenes 
any provision of this Act 
or any rule made 
thereunder, or abets any 
such contravention or fails 
to comply with any 
provision of this Act or 
any such rule with which 
it was his duty to comply 
where no express penalty 
has been provided 
elsewhere for such 
contravention or failure, 
such person shall be liable 
to a penalty not exceeding 
1[69.[fifty] thousand] 
rupees. 
General 
81, 89 (ii) 
 
[Omitted] 
 
 
89(iii) If any person fails to 
attach or electronically 
upload mandatory 
documents required  under 
section 79 or 131 of the 
Customs Act, 1969-, 
Such person shall be liable 
to a penalty not exceeding 
Rs.50,000/- 
 
General 
THE CUSTOMS ACT,1969 
 
118 
 
2.(i) If any goods imported by 
sea or air be unloaded or 
attempted to be unloaded 
at any place other than a 
customs-port or customs -
airport declared under 
section 9 for unloading of 
such goods; or  
such person shall be liable 
to a penalty not exceeding 
2[ten thousand] rupees; and 
such goods shall be liable 
to confiscation. 
9 & 10 
    (ii) If any goods be imported 
by land or inland water 
through any route other 
than a route declared 
under clause (c) of section 
9 for the import of such 
goods; or 
  
(iii) If any goods be attempted 
to be exported by sea or 
air from any place other 
than a customs -port or 
customs airport appointed 
for the loading of such 
goods; or 
 9 & 10 
(iv) If any goods be attempted 
to be exported by land or 
inland water through any 
route other than a route 
declared under clause (c) 
of section 9 for the export 
of such goods; or 
  
(v) If any imported goods be 
brought into any bay, gulf, 
creek or river for the 
purpose of being landed at 
a place other than a 
customs-port; or 
  
(vi) If any goods be brought 
near the land frontier or 
the coast of Pakistan or 
  
THE CUSTOMS ACT,1969 
 
119 
 
near any bay, gulf, creek 
or river for the purpose of 
being exported from a 
place other than a 
customs-station or where 
any place has been 
approved under clause (b) 
of section 10 for the 
loading of such goods 
from any place other than 
the place so approved, 
3.(i) If any person exports or 
lands goods, or aids in the 
export of landing of 
goods, or knowingly 
keeps or conceals or 
knowingly permits or 
procures to be kept or 
concealed, any goods 
exported or landed or 
intended to be exported or 
landed contrary to the 
provisions of this Act; or 
such person shall be liable 
to a penalty not exceeding 
1[twenty-five thousand] 
rupees. 
General 
(ii) If any person be found to 
have been on board any 
conveyance liable to 
confiscation on account of 
the commission of the 
offence under clause 4 of 
this Table, while such 
conveyance is within any 
place which is not a 
customs-station for the 
export and landing of 
goods, 
  9 & 10 
4. If any conveyance which 
has been within the limits 
of any customs -station in 
Pakistan with goods on 
board, be afterwards 
the duty in respect of goods 
so lost or deficient shall be 
payable by the person -in-
charge of the conveyance; 
and such conveyance shall 
9 & 10 
THE CUSTOMS ACT,1969 
 
120 
 
found anywhere in 
Pakistan with the whole or 
any portion of such goods 
missing unless the person -
in-charge of the 
conveyance be able to 
account for the loss of, or 
deficiency in the goods, 
also be liable to 
confiscation. 
5.(i) If any goods are unloaded 
from any conveyance 
inward bound, without the 
authority of the 
appropriate officer into 
any other conveyance at 
any place other than a 
place declared under 
section 9 for the unloading 
of goods; or if any goods 
are loaded into any 
conveyance outward 
bound from any other 
conveyance, without such 
authority, from or at any 
place other than a place 
declared under section 9 
for the loading of goods; 
or  
the person -in-charge of 
every such conveyance 
used for irregular import or 
export of goods, shall be 
liable to a penalty not 
exceeding 1[twenty-five 
thousand] rupees; and the 
goods and the conveyance 
shall also be liable to 
confiscation. 
9 & 10 
(ii) If any goods on which 
drawback has been 
granted are put, without 
such authority, on board 
any conveyance for the 
purpose of being relanded, 
  
6. If any vessel arriving at, 
or departing from, any 
customs-port fails, when 
so required under section 
14 to bring to at any such 
station as has been 
appointed by the Collector 
the master of such vessel 
shall be liable to a penalty 
not exceeding 2[ten 
thousand] rupees. 
14 
THE CUSTOMS ACT,1969 
 
121 
 
of Customs for the 
boarding or landing of an 
officer of customs, 
7(i) If any vessel arriving at 
any customs -port, after 
having come to its proper 
place of mooring or 
unloading, removes from 
such place, except with 
the authority of the 
Conservator, obtained in 
accordance with the 
provisions of the Ports 
Act,1908 (XV of 1908) or 
other lawful authority, to 
some other place of 
mooring or unloading; or  
the master of such vessel 
shall be liable to a penalty 
not exceeding 2[ten 
thousand] rupees; and the 
vessel, if not entered, shall 
not be allowed to enter 
until the penalty is paid. 
14 
(ii)    If any vessel not brought 
into port by a pilot be not 
anchored or moored in 
accordance with any 
direction of the Collector 
of Customs under section 
14, 
  
83[7A. 
 
If any agency or person 
including port authorities 
managing or owning a 
customs port, customs 
airport or a land customs 
station or a container 
freight station, fails to 
entertain a delay and 
detention certificate 
issued by the officer of 
Customs, 
 
Such agency or person or 
port authority shall be 
liable to a penalty not 
exceeding five hundred 
thousand Rupees. 
 
14A] 
3,88[8.(i) 
where any goods 
90[including essential 
commodities as notified 
by the Board] be 
smuggled into or out of 
such goods shall be liable 
to confiscation and any 
person concerned in the 
offence shall be liable to- 
 
General] 
THE CUSTOMS ACT,1969 
 
122 
 
Pakistan,-  
 
 
(a) if the value of the 
goods is from PKR 
500,001 to 3,000,000 
(both inclusive); 
 
a penalty not exceeding the 
value of the goods; and 
upon conviction by a 
Special Judge he shall 
further be liable to 
imprisonment for a term 
not exceeding two years; 
 
 
 
(b) if the value of the 
goods is from PKR 
3,000,001 to 5,000,000 
(both inclusive); 
a penalty not exceeding 
two times 92[but not less 
than] the value of the 
goods; and upon conviction 
by a Special Judge he shall 
further be liable to 
imprisonment for a term 
not exceeding three years: 
 Provided that the 
sentence of the 
imprisonment shall not be 
less than two years. 
 
 
 
(c) if the value of the 
goods is from PKR 
5,000,001 to 7,500,000 
(both inclusive); 
a penalty not exceeding 
three times 92[but not less 
than] the value of the 
goods; and upon conviction 
by a Special Judge he shall 
further be liable to 
imprisonment for a term 
not exceeding five years:  
 Provided that the 
sentence of the 
imprisonment shall not be 
less than two and half 
years.  
 
 
(d) if the value of the 
goods is from PKR 
7,500,001 to 10,000,000 
(both inclusive); 
a penalty not exceeding 
four times 92[but not less 
than] the value of the 
goods; and upon conviction 
by a Special Judge he shall 
further be liable to 
 
THE CUSTOMS ACT,1969 
 
123 
 
imprisonment for a term 
not exceeding ten years:  
 Provided that the 
sentence of the 
imprisonment shall not be 
less than three years.  
 
(e) if the value of the 
goods exceeds PKR 
10,000,000; 
a penalty not exceeding 
five times 92[but not less 
than] the value of the 
goods; and upon conviction 
by a Special Judge he shall 
further be liable to 
imprisonment for a term 
not exceeding fourteen 
years: 
 Provided that the 
sentence of the 
imprisonment shall not be 
less than five years and the 
whole or any part of his 
moveable and immoveable 
assets and property shall 
also be liable to forfeiture 
in accordance with section 
187 of the Customs Act, 
1969: 
 Provided further 
that, in the case of such 
goods as may be notified 
by the Federal Government 
in the official Gazette, the 
sentence of imprisonment 
shall not be less than five 
years and the whole or any 
part of his property shall 
also be liable to forfeiture.  
 
9[(ii) If the smuggled goods are 
narcotics drugs,  
psychotropic substances 
or controlled substances,- 
(a) if the quantity of the 
such goods shall be liable 
to  confiscation and any 
person concerned in the 
offence shall be liable to – 
imprisonment which may 
 
THE CUSTOMS ACT,1969 
 
124 
 
narcotic drug, 
psychotropic 
substance of 
controlled substance is 
one hundred grams or 
less; 
(b) if the quantity of the 
narcotic drug, 
psychotropic 
substance or 
controlled substance 
exceeds one hundred 
grams but does not 
exceed one kilogram; 
(c) if the quantity of the 
narcotic drug, 
psychotropic 
substance or 
controlled substance 
exceeds the limit 
specified in clause (b); 
extend to two years, or 
with fine, or with both; 
imprisonment which may 
extend to seven years and 
shall also be liable to fine;        
death or imprisonment for 
life, or imprisonment for a 
term which may extend to 
fourteen years and shall 
also be liable to fine which 
may be upto one million 
rupees; 
 
Provided that, if the 
quantity exceeds ten 
kilograms the punishment 
shall not be less than 
imprisonment for life. 
87,88[(iii
) 
If the smuggled or 
prohibited goods comprise 
currency, gold, silver, 
platinum or precious 
stones in any form- 
such currency or goods 
shall be liable to 
confiscation and any 
person concerned in the 
offence shall be liable to- 
General] 
 (a) if the value of the 
currency or goods is upto 
US $ 10,000 or equivalent 
in value (currency of other 
denomination) etc; 
a penalty not exceeding the 
value of the goods; and 
upon conviction by a 
Special Judge he shall 
further be liable to 
imprisonment for a term 
not exceeding two years; 
 
 (b) if the value of the 
currency or goods is from 
US $ 10,001 to US $ 
20,000 (both inclusive) or 
equivalent in value 
(currency of other 
denomination) etc; 
a penalty not exceeding 
two times the value of the 
goods; and upon conviction 
by a Special Judge he shall 
further be liable to 
imprisonment for a term 
not exceeding three years: 
 Provided that the 
 
THE CUSTOMS ACT,1969 
 
125 
 
sentence of the 
imprisonment shall not be 
less than two years. 
 (c) if the value of the 
currency or goods is from 
US $ 20,001 to US $ 
50,000 (both inclusive) or 
equivalent in value 
(currency of other 
denomination) etc; 
a penalty not exceeding 
three times the value of the 
goods; and upon conviction 
by a Special Judge he shall 
further be liable to 
imprisonment for a term 
not exceeding five years: 
 Provided that the 
sentence of the 
imprisonment shall not be 
less than two and half 
years. 
 
 (d) if the value of the 
currency or goods is from 
US $ 50,001 to US $ 
100,000 (both inclusive) 
or equivalent in value 
(currency of other 
denomination) etc; 
a penalty not exceeding 
four times the value of the 
goods; and upon conviction 
by a Special Judge he shall 
further be liable to 
imprisonment for a term 
not exceeding ten years: 
 Provided that the 
sentence of the 
imprisonment shall not be 
less than three years. 
 
 (e) if the value of the 
currency or goods exceeds  
US $ 100,000 or 
equivalent in value 
(currency of other 
denomination) etc; 
 
a penalty not exceeding 
five times the value of the 
goods; and upon conviction 
by a Special Judge he shall 
further be liable to 
imprisonment for a term 
not exceeding fourteen 
years: 
 Provided that the 
sentence of the 
imprisonment shall not be 
less than five years and the 
whole or any part of his 
moveable and immoveable 
assets and property shall 
also be liable to forfeiture 
in accordance with section 
 
THE CUSTOMS ACT,1969 
 
126 
 
187 of the Customs Act, 
1969. 
88(iv) [Omitted]   
93[(v) If the smuggled goods are 
identified and categorized 
as nuclear material:  
 Provided that if 
any offence specified 
within this section 
concerns breach of 
national security, the same 
shall be dealt with under 
the National Command 
Authority Act, 2010, (V of 
2010), if- 
such goods shall be liable 
to confiscation and any 
person concerned in the 
offence shall be liable to- 
 
 
 (a) the quantity and form 
of nuclear material is 
that as defined in the 
Regulations on 
Physical Protection of 
Nuclear Material and 
Nuclear Installations – 
(PAK/925) or any 
amendment therein as 
determined by PNRA, 
in case of- 
(i) unirradiated Plutonium 
including all 
plutonium except that 
with isotopic 
composition exceeding 
eighty percent of 
Plotunium-238, is less 
than fifteen grams, or;  
(ii) unirradiated Uranium 
enriched to twenty 
percent or more of U -
235, is less than fifteen 
imprisonment which may 
extend to seven years, or 
with fine which may be up 
to one million rupees, or 
with both. 
 
 
THE CUSTOMS ACT,1969 
 
127 
 
grams, or; 
(iii)unirradiated uranium 
enriched to ten percent 
U-235 but less than 
twenty percent of U -
235, is less than 1kg, 
or;  
(iv) unirradiated uranium 
enriched above 
natural, but less than 
ten percent U -235 is 
less than ten kgs, or; 
(v) unirradiated U -233, is 
less than fifteen grams. 
 (b) the quantity and form 
of nuclear material is 
that as defined in the 
Regulations on 
Physical Protection of 
Nuclear Material and 
Nuclear Installations – 
(PAK/925) or any 
amendment therein, 
and determined by 
PNRA, in case of; 
(i) unirradiated Plutonium 
including all 
plutonium except that 
with isotopic 
composition exceeding 
eighty percent of 
Plotunium-238, is 
fifteen grams but does 
not exceed 500 grams, 
or;  
(ii) unirradiated Uranium 
enriched to twenty 
percent or more of U -
imprisonment which may 
extend to ten years and 
shall also be liable to fine 
which may be up to five 
million rupees. 
 
THE CUSTOMS ACT,1969 
 
128 
 
235, is fifteen grams 
or more but does not 
exceed one kilogram, 
or; 
(iii) unirradiated uranium 
enriched to ten percent 
U-235 but less than 
twenty percent of U -
235, is 1kg or more 
but does not exceed 
ten kgs, or; 
(iv) unirradiated uranium 
enriched above 
natural, but less than 
ten percent U -235, is 
more than ten kgs, or; 
(v) unirradiated U -233, is 
fifteen grams or more 
but does not exceed 
five hundred grams; 
 (c) the quantity and form 
of nuclear material is 
that as defined in the 
Regulations on 
Physical Protection of 
Nuclear Material and 
Nuclear Installations – 
(PAK/925) or any 
amendment therein as 
determined by PNRA, 
in case of- 
(i) unirradiated plutonium 
including all 
plutonium except that 
with isotopic 
composition exceeding 
eighty percent of 
plotunium-238, is 
imprisonment for life, or 
imprisonment for a term 
which may extend to 
fourteen years and shall 
also be liable to fine which 
may extend to ten million 
rupees.  
 
THE CUSTOMS ACT,1969 
 
129 
 
more than five 
hundred grams but 
does not exceed two 
Kgs, or;   
(ii) unirradiated Uranium 
enriched to twenty 
percent or more of U -
235, is more than one 
Kg but does not 
exceed five kilograms, 
or; 
(iii) unirradiated uranium 
enriched to ten percent 
U-235 but less than 
twenty percent of U -
235, is more than ten 
kgs, or; 
(iv) unirradiated U -233, is 
more than five 
hundred grams but 
does not exceed two 
Kgs;  
 (d) the quantity and form 
of nuclear material is 
that as defined in the 
Regulations on 
Physical Protection of 
Nuclear Material and 
Nuclear Installations – 
(PAK/925) or any 
amendment therein as 
determined by PNRA, 
in case of- 
(i) unirradiated plutonium 
including all 
plutonium except that 
with isotopic 
composition exceeding 
imprisonment for life, or 
imprisonment for a term 
which shall not be less than 
fourteen years and shall 
also be liable to fine which 
may be up to five million 
rupees  
 
THE CUSTOMS ACT,1969 
 
130 
 
80% of Plotunium -
238, is more than two 
Kgs, or;  
(ii) unirradiated Uranium 
enriched to twenty 
percent or more of U -
235, is more than five 
kilograms, or; 
(iii) unirradiated U -233, is 
more than two Kgs; 
and 
(vi) If the smuggled goods are 
identified and categorized 
as radioactive material 
and radioactive sources:  
 Provided that if 
any offence specified 
within this section 
concerns breach of 
national security, the same 
shall be dealt with under 
the National Command 
Authority Act, 2010, if- 
such goods shall be liable 
to confiscation and any 
person concerned in the 
offence shall be liable to; 
 
 
 
 (a) the activity (A) to 
dangerous value (D) 
ratio of radioactive 
materials or 
radioactive sources, as 
defined in the 
Regulations on 
Security of 
Radioactive Sources - 
(PAK/926) or any 
amendment therein as 
determined by the 
PNRA, does not 
exceed one (1) in 
numeric number; 
imprisonment which may 
extend to two years, or 
with fine, or with both 
 
THE CUSTOMS ACT,1969 
 
131 
 
 (b) the activity (A) to 
dangerous value (D) 
ratio of radioactive 
materials or 
radioactive sources, as 
defined in the 
Regulations on 
Security of 
Radioactive Sources - 
(PAK/926) or any 
amendment therein as 
determined by the 
PNRA, is more than 
one but does not 
exceed ten in numeric 
number; 
imprisonment which may 
extend to seven years, or 
with fine, or with both 
 
 (c) the activity (A) to 
dangerous value (D) 
ratio of radioactive 
materials or 
radioactive sources, as 
defined in the 
Regulations on 
Security of 
Radioactive Sources - 
(PAK/926) or any 
amendment therein as 
determined by the 
PNRA, is more than 
ten (10) but does not 
exceed thousand in 
numeric number; and 
imprisonment which may 
extend to fourteen years 
and shall be liable to fine 
upto five million; 
 
 (d) the activity (A) to 
dangerous value  (D) 
ratio of radioactive 
materials or 
radioactive sources, as 
defined in the 
Regulations on 
Security of 
Radioactive Sources - 
imprisonment for life, or 
imprisonment for a term 
which shall not be less than 
fourteen years and shall 
also be liable to fine which 
may be up to five million 
rupees;] 
 
THE CUSTOMS ACT,1969 
 
132 
 
(PAK/926) or any 
amendment therein as 
determined by the 
PNRA, exceeds the 
limit specified under 
clause (c). 
9.   (i) If any goods, not being 
goods   referred to in 
clause 8, are imported into 
or exported from Pakistan 
evading payment of 
leviable customs-duties or 
in violation of any 
prohibition or restriction 
on the importation or 
exportation of such goods 
imposed by  or under this 
Act or any other law; or 
Such goods shall be liable 
to confiscation; and any 
person concerned in the 
offence shall also be liable 
to a penalty not exceeding 
two times 92,93[omitted] the 
value of the goods. 
15 & 16 
  (ii) If any attempt be made 
so to import or export any 
such goods; or 
  
  (iii) If any such goods be 
found in any package 
produced before any 
officer of customs as 
containing no such goods; 
or 
  
 (iv) If any such goods be 
found either before or 
after landing or shipment 
to have been concealed in 
any manner on board any 
conveyance within the 
limits of any seaport, 
airport, railway station or 
other place where 
conveyances are 
ordinarily loaded or 
unloaded; or 
  
THE CUSTOMS ACT,1969 
 
133 
 
(v) If any such goods, the 
exportation of which is 
prohibited or restricted as 
aforesaid be brought 
within a customs area or 
to a wharf, with the 
intention of loading them 
on a conveyance for 
exportation in violation of 
such prohibition or 
restriction, 
  
10. If, upon an application to 
pass any goods through 
the custom -house, any 
person not being the 
owner of such goods, and 
not having proper and 
sufficient authority from 
the owner, subscribes or 
attests any document 
relating to any goods on 
behalf of such owner, 
such person shall be liable 
to a penalty not exceeding 
1[twenty-five thousand] 
rupees. 
General 
10[10  
(A) 
      
If any condition, 
limitation or restriction 
imposed by Federal 
Government or by the 
Board for grant of partial 
or total exemption from 
customs duties is violated 
in respect of the goods on 
which exemption has been 
granted, 
such goods shall be liable 
to confiscation and the 
person to whom the 
exemption was granted 
shall be liable to a penalty 
not exceeding ten times the 
value of goods; and upon 
conviction by a Special 
Judge he shall further be 
liable to imprisonment for 
a term not exceeding two 
years]. 
19 & 20 
THE CUSTOMS ACT,1969 
 
134 
 
11. If any goods which have 
been allowed temporary 
admission under section 
21 without payment of 
duty subject to the 
condition of subsequent 
export be not exported, or 
any goods duty on which 
has not been paid or 
having been paid has been 
refunded be sold or 
transferred or otherwise 
disposed of in 
contravention of the rules 
or a special order made 
under that section, 
any person who sells, 
transfers or otherwise 
disposes of such goods or 
aids or abets the sale, 
transfer or disposal of such 
goods, and any person in 
whose possession such 
goods are found shall be 
liable to a penalty not 
exceeding five times the 
duty chargeable on such 
goods; and such goods 
shall also be liable to 
confiscation.  
21 
11[12 If a person contravenes  
the provisions of section 
26 and does not furnish 
any information as 
required by the rules,  
such person shall be liable 
to a penalty not exceeding 
one million rupees and  on 
conviction by a Special 
Judge shall be liable to  
imprisonment for a term 
not exceeding one year or 
with both. 
26(1) and 
26(4) 
12[12A If any person contravenes 
the provisions of section 
26A 84[and 155M] does 
not furnish any 
information as required by 
the rules,   
such person shall be liable 
to a penalty not exceeding 
one million rupees and  on 
conviction by a Special 
Judge shall be liable to  
imprisonment for a term 
not exceeding one year or 
with both.  
26A 84[and 
155M] 
   12B 
If any person contravenes 
the provisions of section 
26B and does not furnish 
any record, documents or 
information as required by 
the rules,  
such person shall be liable 
to a penalty not exceeding 
one million rupees and  on 
conviction by a Special 
Judge shall be liable to  
imprisonment for a term 
not exceeding one year or 
with both. 
26B] 
13. If any person willfully 
contravenes any rule 
such person shall be liable 
to a penalty not exceeding 
28 
THE CUSTOMS ACT,1969 
 
135 
 
relatable to section 28 
with respect to any spirits, 
2[ten thousand rupees;] and 
all such spirit shall be 
liable to confiscation. 
85[14  If any person commits an 
offence under  
 
(i) sub-section (1) or sub -
section (2) of section 
32; 
such person shall be liable 
to a penalty not exceeding 
one hundred thousand 
rupees or three times the 
value of the goods in 
respect of which such 
offence is committed, 
whichever be greater; and 
such goods shall also be 
liable to confiscation; and 
upon conviction by a 
Special Judge he shall 
further be liable to 
imprisonment for a term 
not exceeding three years, 
or to fine, or to both; 
32 
 
(ii) sub-section (3) or sub -
section (3A) of 
section 32, 
such person shall be liable 
to a penalty not exceeding 
fifty thousand rupees or 
two times the value of the 
goods in respect of which 
such offence is committed, 
whichever be greater. 
32] 
14[14A. 
 
If any person commits an 
offence 
Under section 32A.   
  
such person shall be liable 
to a penalty not exceeding 
three times the value of the 
goods in respect of which 
such offence is committed 
and such goods shall also 
be liable to confiscation 
and upon conviction by a 
Special Judge he shall 
further be liable to 
imprisonment for a term 
which may extend to ten 
years but shall not be less 
than five years or to fine, 
or to both. 
32A.] 
 
85[14B  If any person commits an Such person shall be liable 32C] 
THE CUSTOMS ACT,1969 
 
136 
 
offence under section 
32C, 
to penalty not exceeding 
two hundred thousand 
rupees or three times the 
value of goods in respect of 
which such offence is 
committed whichever is 
greater; and such goods 
shall also be liable to 
confiscation; and upon 
conviction by a special 
judge he shall further be 
liable to imprisonment for 
a term not exceeding five 
years and to a fine which 
may extend upto one 
million rupees. 
15. If any goods in respect of 
which drawback has been 
paid or any warehoused 
goods cleared for 
exportation are not duly 
exported or after being 
exported are unloaded or 
relanded at any other 
place in Pakistan 
otherwise than in 
accordance with the 
provisions of this Act and 
the rules. 
any person who fails to 
export such goods or who 
unloads or relands the 
goods or any person who 
aids or abets the evasion of 
export of such unloading or 
relanding shall be liable to 
a penalty not exceeding 
three times the value of 
such goods or 1[twenty five 
thousand rupees,] 
whichever be higher; and 
the goods which are not so 
exported or which are so 
unloaded or relanded 
together with  the 
conveyance from which 
they are unloaded or 
relanded shall also be 
liable to confiscation. 
35 & 105 
16. If any provisions or stores 
on which drawback has 
been paid or on which 
duty has not been paid for 
reason of their being 
provisions or stores 
such provisions or stores 
shall be liable to 
confiscation. 
24 & 35 
THE CUSTOMS ACT,1969 
 
137 
 
meant, to be exported for 
use on board are not 
loaded on board or after 
being loaded are 
subsequently unloaded 
without the  permission of 
the appropriate officer. 
 
17. 
If any person fraudulently 
claims drawback on any 
goods on which drawback 
is disallowed under 
section 39 or includes any 
such goods in his claim 
for drawback, 
16[such person shall be 
liable to penalty not 
exceeding twenty -five 
thousand rupees, and such 
goods shall also be liable to 
confiscation]. 
 
39 
18. If, in any river or port 
wherein a place has been 
fixed under section 43 by 
the Board, any vessel 
arriving passes beyond 
such place, before 
delivery of a manifest to 
the pilot, officer of 
customs, or other person 
duly authorized to receive 
the same, 
the master of such vessels 
17[and master of the pilot] 
shall be liable to a penalty 
not exceeding 1[twenty-
five thousand rupees]. 
43 
19. If the master of any vessel 
arriving, which remains 
outside or below any place 
fixed, under section 43, 
wilfully omits, for twenty-
four hours after anchoring, 
to deliver a manifest as 
required by this Act, 
such master shall be liable 
to penalty not exceeding 
1[twenty five thousand 
rupees]. 
43 
20. If, after any vessel has 
entered any customs -port 
in which a place has not 
been fixed under section 
43, the master of such 
vessel willfully omits, for 
such master shall be liable 
to a penalty not exceeding 
1[twenty five thousand 
rupees]. 
43 
THE CUSTOMS ACT,1969 
 
138 
 
twenty-four hours after 
anchoring, to deliver a 
manifest as required by 
this Act, 
21. If, after any conveyance 
other than a vessel has 
entered any land customs -
station or customs -airport, 
the person -in-charge of 
such conveyance willfully 
omits, for twenty -four 
hours after arrival, to 
deliver a manifest as 
required by this Act, 
such person shall be liable 
to a penalty  not exceeding 
1[twenty five thousand 
rupees]. 
44 
22. If any person required by 
this Act to receive an 
import manifest from the 
person-in-charge of a 
conveyance refuses to do 
so, or fails to countersign 
the same or to enter 
thereon the particulars 
referred to in section 46, 
such person shall be liable 
to a penalty not exceeding 
2[ten thousand]rupees. 
43 & 46 
23. (i) If, any import or export 
manifest delivered under 
any provision of this Act 
is not signed by the person 
delivering the same or is 
not in the form prescribed 
under this Act or does not 
contain the particulars of 
the conveyance, goods 
and journey required to be 
stated in such manifest by 
or under this Act, or  
the person delivering such 
manifest shall be liable to a 
penalty not exceeding 
1[twenty-five thousand 
rupees]. 
45 & 53 
 (ii) If any manifest so 
delivered does not contain 
a specification true to the 
best of such person’s 
  
THE CUSTOMS ACT,1969 
 
139 
 
knowledge of all goods 
imported or to be exported 
in such conveyance, 
24(i) 
 
(ii) 
If any goods entered in the 
import manifest of a 
conveyance are not found 
in that conveyance; or  
If the quantity found in 
the conveyance 
18[,container or any other 
package] is short, and the 
shortage is not accounted 
for to the satisfaction of 
the officer -in-charge of 
the custom-house, 
the person -in-charge of 
such conveyance shall be 
liable to a penalty not 
exceeding twice the 
amount of duty chargeable 
on the goods not found on 
the conveyance or, if such 
goods are not dutiable or 
the duty thereon cannot be 
ascertained, to a penalty 
not exceeding 19[fifteen 
thousand rupees] for every 
missing or deficient 
package or separate article, 
and in the case of bulk 
goods to a penalty not 
exceeding the value of the 
goods, or 1[twenty-five 
thousand rupees], 
whichever be higher. 
45,53 & 55 
25. If any bulk is broken on a 
vessel in contravention of 
section 47 or without a 
special pass granted under 
section 49, 
the master of such vessel 
shall be liable to a penalty 
not exceeding 1[twenty-
five thousand] rupees. 
47 & 49 
26.  (i) If any bill of lading or 
copy required under 
section 48, is false and the 
person-in-charge of the 
conveyance is unable to 
satisfy the appropriate 
officer that he was not 
aware of the fact; or if any 
such bill or copy has been 
altered with fraudulent 
intent; or 
the person -in-charge of 
such conveyance shall be 
liable to penalty not 
exceeding 1[twenty-five 
thousand rupees]. 
48 
THE CUSTOMS ACT,1969 
 
140 
 
 (ii) If the goods mentioned in 
any such bill or copy have 
not been bona fide 
shipped or loaded as 
shown therein; or if any 
such bill of landing or any 
bill of lading of which a 
copy is delivered has not 
been made previously to 
the departure of the 
conveyance from the 
place where the goods 
referred to in such bill of 
lading were shipped or 
loaded; or, 
  
 (iii) If any part of the cargo or 
goods has been stayed, 
destroyed or thrown over 
board, or if any package 
has been opened and any 
part of the cargo or goods 
be not accounted for to the 
satisfaction of the 
appropriate officer, 
  
27. If the person -in-charge of 
a conveyance attempts to 
depart from the  customs -
station without a port -
clearance or written 
permission of the 
appropriate officer, 
granted under section 51 
or section 52, as the case 
may be, 
such person shall be liable 
to a penalty not exceeding   
1[twenty-five thousand 
rupees]. 
51 & 52 
28. If any conveyance 
actually departs from a 
customs-station without 
obtaining the port -
clearance or the written 
the person -in-charge of 
such conveyance shall be 
liable to a penalty not 
exceeding 1[twenty- five 
thousand rupees]. 
THE CUSTOMS ACT,1969 
 
141 
 
permission of the 
appropriate officer, as the 
case may be,  
29. If any pilot takes charge 
of any vessel proceeding 
out of Pakistan 
notwithstanding that the 
master of the vessel does 
not produce a port -
clearance, 
such pilot shall be liable to 
a penalty not exceeding 
1[twenty- five thousand 
rupees]. 
30. If the person -in-charge of 
a conveyance refuses to 
receive on board any 
officer of customs deputed 
under section 60, 
such person shall be liable 
to a penalty not exceeding 
2[ten thousand rupees] for 
each day during which 
such officer is not received 
on board the conveyance, 
and the conveyance if not 
entered shall not be 
allowed to enter until such 
penalty is paid. 
61 
31. If the master of a vessel or 
the person -in-charge of a 
conveyance other than a 
vessel or an aircraft 
refuses to provide such 
officer with suitable 
accommodation and 
adequate quantity of fresh 
water, 
such master or person 
shall, in each such case, be 
liable to a penalty not 
exceeding 2[ten thousand 
rupees]. 
61 
32. (i)  If the person -in-charge of 
any conveyance refuses to 
allow such conveyance or 
any box, place or close 
receptacle therein to be 
searched when so required 
by an officer of customs 
bearing a written order to 
search; or 
such person shall be liable 
to a penalty not exceeding 
1[twenty five thousand 
rupees]. 
62 
THE CUSTOMS ACT,1969 
 
142 
 
(ii) If an officer of customs 
places any lock, mark or 
seal upon any goods in 
any conveyance, and such 
lock, mark or seal is 
willfully opened, altered 
or broken before due 
delivery of such goods; or 
  
(iii) If any such goods are 
secretly conveyed away; 
or 
  
(iv) If any such hatchway or 
entrance to the hold of  a 
conveyance after having 
been fastened down by an 
officer of customs is 
opened without his 
permission, 
  
33. If the person -in-charge of 
a conveyance laid up by 
the withdrawal of the 
officer of customs shall, 
before application is made 
by him for an officer of 
customs to superintend the 
receipt of goods, causes or 
suffers to be put on board 
such conveyance and 
goods what ever in 
contravention of section 
64, 
such person shall be liable 
to a penalty not exceeding 
1[twenty-five thousand 
rupees] and the goods if 
protected by a pass or 
written order shall be liable 
to be relanded for 
examination at the expense 
of the person -in-charge 
and, if not protected by a 
pass or written order, shall 
be liable to confiscation. 
64. 
34. If the person -in-charge of 
a conveyance, in any case 
other than that provided 
for in clause 33 of this 
Table, causes or suffers 
any goods to be 
discharged, put on board 
such person shall be liable 
to a penalty not exceeding 
1[twenty-five thousand] 
rupees; and all goods so 
discharged, put on board 
the conveyance or water -
borne shall be liable to 
64,65 & 141 
THE CUSTOMS ACT,1969 
 
143 
 
the conveyance or water -
borne contrary to the 
provisions of section 64 or 
section 65 or any rules 
relating to baggage, 
confiscation. 
35(i) If, when a boat -note is 
required by section 68, 
any goods water-borne for 
the purpose of being 
landed from any vessel 
and warehoused or passed 
for importation, or of 
being shipped for 
exportation, be found 
without such note; or 
the person by whose 
authority the goods are 
being landed or shipped, 
and the person-in-charge of 
the boat, shall each be 
liable to a penalty not 
exceeding twice the 
amount of duty leviable on 
the goods, or, if such goods 
be non -dutiable to a 
penalty not exceeding 
20[two thousand] rupees; 
and such goods shall also 
be liable to confiscation. 
68 
(ii) If any goods are found on 
board any boat in excess 
of such boat-note, whether 
such goods are intended to 
be landed, from, or to be 
shipped on board any 
vessel, 
  
36. If any person refuses to 
receive, or fails to sign, or 
to note the prescribed 
particulars upon, any boat-
note, as required by 
section 68, or if any 
master or officer of a 
vessel receiving the same 
fails to deliver it when 
required so to do by any 
officer of customs 
authorized to make such 
requisitions, 
such person, master or 
officer shall be liable to a 
penalty not exceeding 2[ten 
thousand ] rupees. 
68 
THE CUSTOMS ACT,1969 
 
144 
 
37(i) If any goods are, without 
permission, shipped or 
loaded on board a 
conveyance proceeding 
out of Pakistan or are 
water-borne to be so 
shipped or loaded or are 
landed except from or at a 
wharf or other place duly 
appointed for the purpose; 
or 
the person by whose 
authority the goods are 
shipped, loaded, landed, 
water-borne or 
transshipped and the 
person-in-charge of the 
conveyance employed in 
conveying them shall each 
be liable to a penalty not 
exceeding five times the 
value of the goods; and 
such goods shall also be 
liable to confiscation.   
66,69 & 70 
(ii) if any goods water -borne 
for the purpose of being 
landed or shipped or 
loaded are not landed, 
shipped or loaded without 
unnecessary delay; or 
  
   (iii) if the boat containing such 
goods be found out of the 
proper track between the 
vessel and the wharf or 
other proper place of 
landing or shipping or 
loading and such 
deviation be not 
accounted for to the 
satisfaction of the 
appropriate officer; or 
  
      (iv) if any goods are 
transshipped contrary to 
the provisions of section 
70, 
  
38. If, after the issue of a 
notification under section 
71 with regard to any port, 
any goods are found 
the owner or the person -in-
charge of the boat shall be 
liable to a penalty not 
exceeding 20[two thousand] 
71 
THE CUSTOMS ACT,1969 
 
145 
 
within the limits of such 
port on board any boat not 
duly licensed and 
registered, 
rupees; and such goods 
shall also be liable to 
confiscation, unless they 
are covered by a special 
permit of the Collector of 
Customs. 
39. If any boat or  vessel not 
exceeding one hundred 
tons does not comply with 
the rules relatable to 
section 72, 
such boat or such vessel 
shall be liable to 
confiscation. 
72 
21[39A. The person incharge of a 
conveyance or master or 
agent or owner of the 
conveyance who fails to 
supply the information or 
documents suo moto 
such person, master, agent 
or owner shall be liable to 
penalty not exceeding two 
hundred thousand rupees 
and on conviction by a 
Special Judge, he shall 
further be liable to 
imprisonment for a term 
which may extend to three 
years on with fine, or with 
both. 
72A] 
40. If any person -in-charge of 
any conveyance unloads 
or suffers to be unloaded 
any goods not duly 
entered in the manifest of 
such conveyance, 
such person shall be liable 
to a penalty not exceeding 
1[twenty-five thousand]  
rupees. 
45 & 75 
41. If any goods are found 
concealed in any place, box 
or close receptacle in any 
conveyance and are not duly 
accounted for to the 
satisfaction of the officer -in-
charge of the custom- house, 
such goods shall be liable to 
confiscation. 
General 
42. If any goods are found on 
board any conveyance in 
excess of those entered in 
the manifest, or not 
such goods shall be liable to 
confiscation. 
45 & 75 
THE CUSTOMS ACT,1969 
 
146 
 
corresponding with the 
specification therein 
contained, 
22[43. If any goods, after having 
landed and before they have 
been processed and cleared 
by the Customs, are by the  
or any other person, 
fraudulently concealed in, or 
attempted to remove from 
the bonded area of any Port. 
Airport and Dry port, or 
abstracted from any package 
or transferred from one 
package to another, or 
otherwise, for the purpose of 
illegal removal or 
concealment, with the 
intention of defrauding the 
revenue, 
if the goods cannot be 
recovered, the owner 68[or 
any other person having 
custody of the aforesaid 
goods]shall be liable, in 
addition to full duty, to a 
penalty not exceeding five 
times the amount of such 
duty, or if such goods are not 
dutiable or duty thereon 
cannot be ascertained, to a 
penalty not exceeding 23[one 
hundred] thousand rupees, for 
every missing or deficient 
package or separate article, 
and in the case of bulk goods 
to a penalty not exceeding 
23[one hundred] thousand 
rupees or three times of the 
value of the goods, whichever 
be higher.  
And the owner or any person 
guilty of such removal, 
concealment, abstraction or 
transferment and every 
person aiding or abetting him 
shall 24[including the 
custodian], upon conviction 
by a special judge, be liable 
to imprisonment for a term 
not exceeding five years. ] 
25[79, 26[***]  80 
26[***] 
44. If, in relation to any goods 
in respect of which a 
declaration is required on  
36/36A[a goods declaration], 
as the case may be, it be 
found that the goods have 
apparently been packed so 
as to deceive the officer of 
customs, 
the owner of the goods and 
every person who aids or 
abets such packing shall be 
liable to a penalty not 
exceeding 1[twenty five 
thousand] rupees 28[or five 
times the duty and taxes 
involved whichever is 
higher]; and such goods 
29[79, 30[***] 131 
30[***] 
THE CUSTOMS ACT,1969 
 
147 
 
shall also be liable to 
confiscation. 
45. If any goods have been 
declared on 27/27A[ a goods 
declaration], as the case 
may be, and it is found 
that goods not so declared 
have been concealed in, or 
mixed within the goods so 
declared, 
the owner of such goods 
and every person who aids 
or abets such concealment 
or mixing of goods shall be 
liable to a penalty not 
exceeding 1[twenty five 
thousand] rupees 28[or five 
times the duty and taxes 
involved whichever is 
higher]; and both the goods 
so declared and the goods 
not so declared shall be 
liable to confiscation. 
31&73[79 and 131] 
46. If, when goods are passed 
by bale or by package, any 
omission or mis -
description thereof 
tending to injure  the 
revenue be discovered, 
the person guilty of such 
omission or mis -
description shall be liable 
to a penalty not exceeding 
ten times the amount of 
duty which might have 
been lost to Government 
by such omission or mis -
description, unless it be 
proved to the satisfaction 
of the officer -in-charge of 
the custom -house that the 
variance was accidental. 
79 & 88 
47. If, without entry duly 
made, any goods are taken 
or passed out of any 
customs-station, 
the person so taking or 
passing such goods 
32[along with the custodian 
of the goods]  shall, in 
every such case, be liable 
to a penalty not exceeding 
five times the value of 
goods; and such goods 
shall also be liable to 
confiscation 33[and upon 
conviction by a Special 
Judge be further liable to 
7934[***] 
THE CUSTOMS ACT,1969 
 
148 
 
 imprisonment for a term 
not exceeding five years]. 
35,85[47
A 
89[Omitted]   
48. If any prohibited 
36[,restricted] or dutiable 
goods are found, either 
before or after landing, 
concealed in any 
passenger’s baggage, 
the passenger shall be 
liable to a penalty not 
exceeding five times the 
value of the goods; and 
such goods shall also be 
liable to confiscation. 
General 
49. If any goods entered to be 
warehoused are carried 
into the warehouse unless 
with the authority, or 
under the care, of the 
appropriate officer, and in 
such manner, by such 
persons, within such time, 
and by such roads or 
ways, as such officer 
directs, 
any person so carrying 
them shall be liable to a 
penalty not exceeding 
1[twenty five thousand 
rupees]; and such goods 
shall also be liable to 
confiscation. 
87 
50. If any goods entered to be 
warehoused are not duly 
warehoused in pursuance 
of such entry, or are 
withheld, or removed 
from any proper place of 
examination before they 
have been examined and 
certified by the 
appropriate officer, 
such goods shall be 
deemed not to have been 
duly warehoused, and shall 
be liable to confiscation  
[and any person guilty of 
such offence, aiding or 
abetting shall be liable to a 
penalty not exceeding five 
hundred thousand rupees] . 
88 
51. If any warehoused goods 
be not warehoused in 
accordance with the 
provisions of Chapter XI, 
such goods shall be liable 
to confiscation 
Chapter XI 
52. If the licensee of any 
private warehouse 
licensed under this Act 
such licensee shall be 
liable to a penalty not 
exceeding 1[twenty five 
91 
THE CUSTOMS ACT,1969 
 
149 
 
does not open the same 
when required so to do by 
any officer entitled to 
have access thereto, or, 
upon demand made by 
any such officer, refuses 
access to any such officer, 
thousand rupees], and shall 
further be liable to have his 
license forthwith cancelled. 
53. If the 37[licensee] of any 
public warehouse, or the 
licensee of any private 
warehouse, neglects to 
show the goods 
warehoused therein, so 
that easy access may be 
had to every package and 
parcel thereof, 
such 38[***] licensee shall, 
for every such neglect, be 
liable to a penalty not 
exceeding 39[one thousand 
rupees]. 
Chapter XI 
54. If the owner of any 
warehoused goods, or any 
person in the employment 
of such owner, 
clandestinely opens any 
warehouse, or, except in 
the presence of the 
appropriate officer, gains 
access to his goods, 
such owner or person shall 
in every such case, be 
liable to penalty not 
exceeding 1[twenty five 
thousand rupees]. 
93 
55(i) If any warehoused goods 
are opened in 
contravention of the 
provisions of section 92; 
or 
such goods shall be liable 
to confiscation. 
92 & 94 
     (ii) if any alteration be made 
in such goods or in the 
packing thereof, except as 
provided in section 94, 
  
56. If any warehoused goods 
that have been delivered 
as stores and provisions 
for use on board a 
the person-in-charge of the 
conveyance shall be liable 
to a penalty not exceeding 
1[twenty five thousand 
106 
THE CUSTOMS ACT,1969 
 
150 
 
conveyance under the 
authority of this Act are 
relanded, sold or disposed 
of in Pakistan without due 
entry and payment of 
duty, 
rupees;] and such goods 
shall also be liable to 
confiscation. 
57. If any goods, lodged in a 
private warehouse are 
found at the time of 
delivery therefrom to be 
deficient, and such 
deficiency is not due 
solely to natural loss, as 
allowed under section 
110, 
the licensee of such 
warehouse shall, unless the 
deficiency be accounted for 
to the satisfaction of the 
appropriate officer, be 
liable to a penalty equal to 
five times the duty 
chargeable on the goods so 
deficient. 
116 
58. If the 37[licensee] of any 
public warehouse, or the 
licensee of any private 
warehouse, fails, on the 
requisition of any officer 
of customs, to produce 
any goods which have 
been deposited in such 
warehouse, and which 
have not been duly cleared 
and delivered therefrom, 
and is unable to account 
for such failure to the 
satisfaction of the 
appropriate officer,  
such 38[***] licensee shall 
for every such failure, be 
liable to pay the duties due 
on such goods, and also a 
penalty not exceeding 
39[one thousand rupees] in 
respect of every package or 
parcel so missing or 
deficient. 
116 
59. If any goods, after being 
duly warehoused, are 
fraudulently concealed in, 
or removed from the 
warehouse, or abstracted 
from any package, or 
transferred from one 
package to another, or 
otherwise, for the purpose 
of illegal removal or 
any person guilty of such 
removal, concealment, 
abstraction or transferment 
and every person aiding or 
abetting him shall be liable 
to a penalty not exceeding 
1[twenty five thousand 
rupees]    40[; and upon 
conviction by a Special 
Judge, he shall further be 
Chapter XI 
THE CUSTOMS ACT,1969 
 
151 
 
concealment, liable to imprisonment for 
a term not exceeding five 
years, or to fine, or to 
both]. 
60. If any goods lodged in a 
private warehouse are 
found to exceed the 
registered quantity, 
such excess, unless 
accounted for to the 
satisfaction of the officer -
in-charge of the custom -
house, shall be charged 
with five times the duty 
leviable thereon. 
Chapter XI 
61. If any goods be removed 
from the warehouse in 
which they were 
originally deposited, 
except in the presence, or 
with the sanction, of the 
appropriate officer or 
under the proper authority 
for their delivery, 
any person so removing 
them shall be liable to a 
penalty not exceeding 
1[41[one hundred thousand 
rupees]; and such goods 
shall also be liable to 
confiscation. 
Chapter XI 
62. If any person illegally 
takes any goods out of any 
warehouse without 
payment of duty [or 
replaces with other 
goods], or aids, assists or 
is otherwise concerned 
therein, 
such person shall be liable 
to a penalty not exceeding 
42[five hundred thousand] 
rupees 40[;and upon 
conviction by a Special 
Judge, he shall be further 
liable to imprisonment for 
a term not exceeding five 
years or to fine or to both.] 
Chapter XI 
84[63(i). 
 
If any goods which are 
loaded for transshipment, 
are pilfered, replaced en-
route or failed to reach the 
port of destination, or any 
person transships goods 
not allowed to be 
transshipped:  
 
 
such goods and the 
conveyance illegally 
carrying these goods shall 
be liable to confiscation  
and any person including 
the custodian involved in 
the offence and the bonded 
carrier shall be liable to a 
penalty not exceeding ten 
times the value of the 
 
121 
THE CUSTOMS ACT,1969 
 
152 
 
goods and he shall further 
be liable, upon conviction 
by a Special Judge, to 
imprisonment for a term 
not exceeding seven years; 
and 
(ii) 
 
If any person contravenes 
any rule relating to 
transshipment other than 
mentioned in clause (i),  
 
such person including the 
custodian and the inland 
carrier shall be liable to 
penalty not exceeding five 
hundred thousand rupees or 
three times the amount of 
duties and taxes involved. 
 
121] 
64. 82[If any person 
contravenes any rule or 
condition relating to 
94[section 127, section 
128, section 129  or 
section 129A] , or makes 
an untrue declaration 
relating to transit goods or 
illegally removes or 
conceals any transit 
goods,] 
74[such person including 
the custodian and inland 
carrier shall be liable to a 
penalty up to twice the 
value of the goods and 
upon conviction by a 
Special Judge be further 
liable to imprisonment for 
a term not exceeding five 
years, and the goods in 
respect of which such 
offence has been 
committed shall also be 
liable to confiscation.] 
94[127,128, 129& 
129A] 
65. If any goods be taken on 
board any conveyance at 
any customs -station in 
contravention of section 
130, 
the person -in-charge of 
such conveyance shall be 
liable to a penalty not 
exceeding 1[twenty five 
thousand] rupees.  
130 
66. If any goods not specified 
in a duly -passed 27/27A[ 
goods declaration] or not 
permitted to be exported 
are taken on board any 
conveyance, contrary to 
the provisions of 
the person -in-charge of 
such conveyance 48[along 
with the custodian] shall be 
liable to a penalty not 
exceeding 49[one hundred 
thousand rupees and upon 
conviction by a Special 
131 47[***] 
THE CUSTOMS ACT,1969 
 
153 
 
46[sections 131 47[***], Judge be further liable to 
imprisonment for a term 
not exceeding two years 
and the conveyance 
involved shall be liable to 
confiscation]. 
67. If any goods specified in 
the manifest of any 
conveyance or in any 
27/27A[goods declaration] 
are not duly put on board 
before the departure of 
such conveyance, or are 
relanded and notice of 
such short loading or 
relanding be not given as 
required by section 134, 
the owner of such goods 
shall be liable to a penalty 
not exceeding 20[two 
thousand] rupees; and such 
goods shall also be liable to 
confiscation. 
134 
68. If any goods duly put on 
board any conveyance be 
landed, except under 
sections 135,136 or 137, 
at any place other than 
that for which they have 
been cleared, 
the person -in-charge of 
such conveyance shall, 
unless the landing be 
accounted for to the 
satisfaction of the 
appropriate officer, be 
liable to a penalty not 
exceeding three times the 
value of the goods so 
landed. 
135,136 &137 
69. If any goods on account of 
which drawback has been 
paid be not found on 
board any conveyance 
referred to in section 136, 
the person -in-charge of 
such conveyance shall, 
unless the fact be 
accounted for to the 
satisfaction of the 
appropriate officer, be 
liable to a penalty not 
exceeding the value of 
such goods. 
136 
70. If the owner of any 
baggage fails to make 
correct declaration of its 
such owner shall be liable 
to a penalty not exceeding 
three times the value of the 
139 
THE CUSTOMS ACT,1969 
 
154 
 
contents or refuses to 
answer any questions put 
to him by the appropriate 
officer with respect to his 
baggage or any of its 
contents including articles 
carried with him or fails to 
produce the baggage or 
any such article for 
examination,  
goods, in respect of which 
no declaration or incorrect 
declaration has been made 
or in respect of which he 
refuses or fails to answer 
any question, or which he 
fails to produce for 
examination; and such 
goods shall also be liable to 
confiscation. 
87[70 If the owner of any 
baggage fails to declare or 
makes a false declaration 
with respect to his 
baggage or refuses to 
answer any questions put 
to him by the appropriate 
officer with respect to his 
baggage or any of its 
contents including articles 
carried with him or fails to 
produce baggage or any 
such article for 
examination, and if such 
goods are: 
  
 (i) Other than currency 
gold, silver & platinum 
and precious stones in 
any form 
Such owner shall be laible 
to penalty not exceeding 
three times the value of the 
goods; and such goods 
shall also be liable to 
confiscation. 
139(1) 
 (ii) Currency of all types. 
139(2) 
 (a) If the amount of the 
currency over and 
above the permissible 
limit is upto US dollars 
10,000/- or equivalent 
in value (currency of 
other denomination) 
etc. 
Such currency shall be 
liable to confiscation and 
any person concerned in 
the offence shall be liable 
to a penalty not exceeding 
the value of the excess 
amount of the currency; 
 
 (b) If the amount of 
the currency over and 
Such currency shall be 
liable to confiscation and 
 
THE CUSTOMS ACT,1969 
 
155 
 
above the permissible 
limit is US dollars 
10,001/- top 20,000/ - 
or equivalent in value 
(currency of other 
denomination) etc. 
any person concerned in 
the offence shall be liable 
to a penalty not exceeding 
two times the value of the 
excess amount of the 
currency; 
 (c) if the amount of the 
currency over and 
above the permissible 
limit is US dollars 
20,001/- to 50,000/- or 
equivalent in value 
(currency of other 
denomination) etc.  
Such currency shall be 
liable to confiscation and 
any person concerned in 
the offence shall be liable 
to a penalty not exceeding 
three times the value of the 
currency; and upon 
conviction by a Special 
Judge he shall further be 
liable to imprisonment for 
a term not exceeding two 
years; 
 
 (d) If the amount of the 
currency over and 
above the permissible 
limit is US dollars 
50,001/- to 100,000/ - 
or equivalent in value 
(currency of other 
denomination) etc. 
Such currency shall be 
liable to confiscation and 
any person concerned in 
the offence shall be liable 
to a penalty not exceeding 
four times the value of the 
currency; and upon 
conviction by a Special 
Judge he shall further be 
liable to imprisonment for 
a term not exceeding seven 
years; 
 
 (e) if the amount of the 
currency over and 
above the permissible 
limit is US dollars 
100,001/- to 200,000/ - 
or equivalent in value 
(currency of other 
denomination) etc. 
Such currency shall be 
liable to confiscation and 
any person concerned in 
the offence shall be liable 
to a penalty not exceeding 
five times the value of the 
currency; and upon 
conviction by a Special 
Judge he shall further be 
liable to imprisonment for 
a term not exceeding ten 
years; 
 
 
THE CUSTOMS ACT,1969 
 
156 
 
Provided further that the 
sentence of the 
imprisonment shall not be 
less than three years. 
 (f) If the amount of the 
currency over and 
above the permissible 
limit exceeds US 
dollars 200,000/ - or 
equivalent in value of 
(currency of other 
denomination) etc. 
Such currency shall be 
liable to confiscation and 
any person concerned in 
the offence shall be liable 
to a penalty not exceeding 
ten times the value of the 
currency; and upon 
conviction by a Special 
Judge be liable to 
imprisonment for a term 
not exceeding fourteen 
years; 
Provided further that the 
sentence of the 
imprisonment shall not be 
less than five years.  
 
 (iii) Gold , silver , 
platinum and 
precious stones in 
any form; 
 139(2) 
 
(a) If the quantity of 
such goods is up to 
15 tola gold or 
equivalent in value 
(silver or platinum) 
etc. 
Such goods shall be liable 
to confiscation and any 
person concerned in the 
offence shall be liable to a 
penalty not exceeding the 
value of the goods; 
 
 
(b) If the quantity of 
such goods is from 
16-30 tola gold or 
equivalent in value 
(silver or platinum) 
etc. 
Such currency shall be 
liable to confiscation and 
any person concerned in 
the offence shall be liable 
to a penalty not exceeding 
two times the value of the 
currency; 
 
 
(c) if the quantity of 
such goods is from 
31-50 tola gold or 
equivalent in value 
(silver or platinum) 
etc. 
Such goods shall be liable 
to confiscation and any 
person concerned in the 
offence shall be liable to a 
penalty not exceeding three 
times the value of the 
 
THE CUSTOMS ACT,1969 
 
157 
 
goods; and upon conviction 
by a Special Judge he 
further be liable to 
imprisonment for a term 
not exceeding one year; 
 
(d ) the quantity of such 
good is from 51 -100 
tola gold or 
equivalent in value 
(silver or 
platinum)etc. 
Such good shall be liable to 
confiscation and any 
person concerned in the 
offence shall be liable to a 
penalty not exceeding three 
times the value of the 
goods; and upon conviction 
by a Special Judge he shall 
further be liable to 
imprisonment for a term 
not exceeding three years; 
 
 
(e) If the quantity of such 
goods is from 101 -200 
tola gold or equivalent 
in value (silver or 
platinum)etc. 
Such goods shall be liable 
to confiscation and any 
person concerned in the 
offence shall be liable to a 
penalty not exceeding four 
times the value of the 
goods; and upon conviction 
by a Special Judge he shall 
further be liable to 
imprisonment for a term 
not exceeding five years; 
 
 
(f) If the quantity of such 
goods is from 201 -500 
tola gold or equivalent 
in value (silver or 
platinum) etc. 
Such currency shall be 
liable to confiscation and 
any  person concerned in 
the offence shall be liable 
to a penalty not exceeding 
five times the value of the 
currency; and upon 
conviction by a Special 
Judge he shall further be 
liable to imprisonment for 
a term not exceeding ten 
years: 
 
Provided further that the 
sentence of the 
Imprisonment shall not be 
 
THE CUSTOMS ACT,1969 
 
158 
 
less than three years. 
 
 
(g) If the quantity of such 
goods exceeds 500 tola 
gold or equivalent in 
value (silver or 
platinum) etc. 
Such goods shall be liable 
to confiscation and any 
person concerned in the 
offence shall be liable to a 
penalty not exceeding ten 
times the value of the 
goods; and upon conviction 
by a Special Judge he shall 
further be liable to 
imprisonment for a term 
not exceeding fourteen 
years; 
 
Provided further that the 
sentence of the 
imprisonment shall not be 
less than five years.] 
 
71. If any consignor in 
relation to coastal goods 
fails to make an entry 
thereof in the prescribed 
bill as required under 
section 147, or while 
presenting such bill fails 
to make and subscribe to a 
declaration as to the truth 
of the contents of such 
bill, 
such consignor shall be 
liable to a penalty not 
exceeding 1[twenty-five 
thousand] rupees. 
147 
72. If in the case of any 
coasting vessel the 
provisions of sections 148, 
149, 150,151, 152 and 153 
are not compiled with, 
the master of the vessel 
shall in each case be liable 
to a penalty not exceeding 
19[fifteen thousand] rupees. 
148 to 153 
73(i) If  the master of any 
coasting vessel fails 
correctly to keep, or to 
cause to be kept the cargo 
book,  or to produce the 
the master shall be liable to 
a penalty not exceeding 
2[ten thousand]rupees.  
151 
THE CUSTOMS ACT,1969 
 
159 
 
same on demand; or 
 (ii) 
 
 
(iii) 
 
if at any time there be 
found on board any such 
vessel any goods not 
entered in such book as 
laden, or any goods noted 
as delivered; or 
if any goods entered as 
laden, and not noted as 
delivered, be not on board, 
  
74. If any person contravenes  
the provisions of section 
155 or aids in or abets 
such contravention, 
 
such person shall, except 
where any fine has been 
expressly provided for the 
violation of the prohibition 
or restriction in the law that 
imposes it, be liable to a 
penalty not exceeding 2[ten 
thousand]rupees; and the 
goods in respect of which 
such contravention is 
committed shall also be 
liable to confiscation. 
155 
75. If any rule which prevents 
or regulates the taking of 
any coastal goods out of 
Pakistan is contravened, 
the master of the vessel 
carrying such goods shall 
be liable to a penalty not 
exceeding 1[twenty-five 
thousand] rupees, and 
where such contravention 
results in the loss of any 
customs-duty he shall 
further be liable to a 
penalty not exceeding three 
times such duty; and the 
goods in respect of which 
such contravention is 
committed shall also be 
liable to confiscation. 
155 
76(i). If, contrary to the 
provisions of this Act or 
the master of such vessel 
shall be liable to a penalty 
Chapter XVI 
THE CUSTOMS ACT,1969 
 
160 
 
any other law for the time 
being in force, any goods 
are laden on board any 
vessel in any customs-port 
or carried coast-wise, or 
not exceeding 2[ten 
thousand] rupees; and such 
goods shall also be liable to 
confiscation.  
(ii) If any goods which have 
been brought coast -wise 
are so unladen in any such 
port; or 
  
(iii) If any goods are found on 
board any coasting vessel 
without being entered in 
the manifest or cargo 
book, as the case may be, 
of such vessel, 
  
77 50[(i) If any person counterfeits, 
falsifies or fraudulently 
alters or destroys any 
declaration, statement or 
document in the 
transaction of any 
business relating to the 
customs or any seal, 
signature, initials or other 
mark made or impressed 
by any officer of customs 
in the transaction of any 
business relating to 
customs; or] 
such person shall, on 
conviction of any such 
offence before a 4[Special 
Judge] be liable to 
imprisonment for a term 
not exceeding three years, 
or to fine, or to both. 
General 
   (ii) being required under this 
Act to produce any 
document, refuses or 
neglects to produce such 
document; or 
  
  (iii) Being required under this 
Act to answer any 
question put to him by an 
officer of customs, does 
  
THE CUSTOMS ACT,1969 
 
161 
 
not correctly answer such 
question, 
78. If any person on board 
any conveyance in any 
customs-station or who 
has landed from any such 
conveyance, upon being 
asked by an officer of 
customs whether he has 
dutiable or prohibited 
goods about his person or 
in his possession, declares 
that he has not, and if any 
such goods are, after such 
denial, found about his 
person or in his 
possession, 
such person shall be liable 
to a penalty not exceeding 
three times the value of 
such goods; and such 
goods shall also be liable to 
confiscation. 
General 
79(i) If any officer of customs 
required any person to be 
searched for dutiable or 
prohibited goods, or any 
documents connected with 
such goods, or to be 
detained, without having 
reasonable grounds to 
believe that he has such 
goods or documents about 
his person; or 
such officer shall, on 
conviction before a 
4[Special Judge], be liable 
to a fine not exceeding 
1[twenty five thousand 
rupees.] 
158 
   (ii) arrest any person without 
having reasonable grounds 
to believe that he has been 
guilty of an offence 
relating to customs, 
  
80. If, save for good and 
sufficient cause, any 
conveyance having been 
summoned under section 
164 to stop fails to do so, 
the person -in-charge of 
such conveyance shall be 
liable to a penalty not 
exceeding 1[twenty five 
thousand] rupees; and such 
conveyance shall also be 
164 
THE CUSTOMS ACT,1969 
 
162 
 
liable to confiscation. 
81. If any officer of customs, 
or other person duly 
employed for the 
prevention of smuggling, 
is guilty of a willful 
breach of the provisions of 
this Act, 
such officer or person 
shall, on conviction before 
a 4[Special Judge], be 
liable to imprisonment for 
a term not exceeding three 
years, or to fine, or to both. 
General 
82. If any officer of customs, 
or other person duly 
employed for the 
prevention of smuggling, 
practices, or attempts to 
practice, any fraud for the 
purpose of injuring the 
customs revenue, or abets 
or connives at any such 
fraud, or any attempt to 
practice any such fraud, 
such officer or person 
shall, on conviction before 
a 4[Special Judge], be 
liable to imprisonment for 
a term not exceeding three 
years, or to fine, or to both. 
General 
83. If any police -officer, 
whose duty it is, under 
section 170 , to send a 
written notice or cause 
goods to be conveyed to a 
custom-house, neglects so 
to do, 
such officer shall, on 
conviction before 4[Special 
Judge], be liable to a 
penalty not exceeding 
20,93[fifty thousand] rupees. 
170 
84. If, in relation to any goods 
imported or intended to be 
exported by land, an order 
permitting clearance under 
section 83 or section 131 
is not produced, 
the person concerned shall 
be liable to a penalty not 
exceeding 1[twenty-five 
thousand] rupees, and such 
goods shall also be liable to 
confiscation. 
83 & 131 
85. If any person knowingly- 
 (a)  obstructs, hinders, 
51[falsely accuses or 
implicates, threatens, 
molests or assaults 
an official of 
such person shall, on 
conviction before a 
4[Special Judge] be liable 
to a fine 93[not less than 
one hundred thousand]  
rupees, and to 
General 
THE CUSTOMS ACT,1969 
 
163 
 
Customs or any 
person while duly 
engaged or 
subsequently] in the 
discharge of any 
duty or the exercise 
of any power 
imposed or 
conferred on him by 
or under any of the 
provisions of this 
Act or any person 
acting in his aid; or 
imprisonment for a term 
not exceeding two years. 
  (b)  does anything which 
impedes or is 
calculated to impede, 
the carrying out of 
any search for any 
thing 52[required in 
an inquiry, 
investigation, audit 
of goods] liable to 
confiscation under 
this Act or the 
detention, seizure or 
removal of any such 
thing; or 
  
 (c)    rescues, damages or 
destroys anything so 
liable to confiscation 
or does anything 
calculated to prevent 
the procuring or 
giving of evidence as 
to whether or not 
anything is so liable 
to confiscation; or 
  
 
(d)  prevents the detention 
of any person by a 
person duly engaged 
  
THE CUSTOMS ACT,1969 
 
164 
 
or acting as 
aforesaid, or rescues 
any person so 
detained; or 
 (e)   attempts to do any of 
the aforementioned 
acts or things, or 
who aids or abets, or 
attempts to aid or 
abet, the doing of 
any of them, 
  
86. If any person, having 
knowledge of the 
commission of any 
offence under this Act or 
of an attempt or likely 
attempt to commit any 
such offence, fails to give 
information in writing to 
the officer -in-charge of 
the nearest custom -house 
or customs -station, or if 
there be no custom -house 
or customs -station at a 
reasonably convenient 
distance to the officer -in-
charge of the nearest 
police-station, 
such person shall, on 
conviction before a 
4[Special Judge], be liable 
to imprisonment for a term 
which may extend to one 
year, or to a fine not 
exceeding 1[twenty-five 
thousand]rupees, or to 
both. 
192 
87(i) If any officer of customs, 
except in the discharge in 
good faith of his duty as 
such officer, discloses any 
particulars learnt by him 
in his official capacity in 
respect of any goods; or 
such officer shall, on 
conviction before a 
4[Special Judge], be liable 
to a fine not exceeding 
1[twenty-five thousand] 
rupees. 
199 
   (ii) If any officer of customs, 
except as permitted by this 
Act, parts with the 
possession of any samples 
  
THE CUSTOMS ACT,1969 
 
165 
 
delivered to him in his 
official capacity, 
88. If any person not holding 
a license granted under 
section 207 acts as an 
agent for the transaction 
of business as therein 
mentioned, 
such person shall be liable 
to a penalty not exceeding 
2[ten thousand] rupees. 
207 
89.53[(i) If any person without 
lawful excuse, the proof 
of which shall be on such 
person, acquires 
possession of, or is in any 
way concerned in 
carrying, removing, 
depositing, harbouring, 
keeping or concealing,  
89[retailing], or in any 
manner dealing with 
smuggled goods or any 
goods in respect to which 
there may be reasonable 
suspicion that they are 
smuggled goods; 
54[such goods shall be 
liable to confiscation and 
any person concerned in 
the offence shall be liable 
to a penalty not exceeding 
ten times  the value of the 
goods; and, where the 
value of such goods 
exceeds 55[71[three] 
hundred thousand rupees], 
he shall further be liable, 
upon conviction by a 
Special Judge, to 
imprisonment for a term 
not exceeding six years and 
to a fine not exceeding ten 
times 92[but not less than] 
the value of such goods 
75[……]  
General 
56[(ii) If the smuggled goods are 
narcotics drugs, 
psychotropic substances 
or controlled substances,- 
Such goods shall be liable 
to confiscation and any 
person concerned in the 
offence shall be liable to -- 
 
 (a) if the quantity of the 
narcotic drug, 
psychotropic 
substance of 
controlled substance 
is one hundred grams 
or less; 
imprisonment which may 
extend to two years, or 
with fine, or with both; 
 
 
imprisonment which may 
 
THE CUSTOMS ACT,1969 
 
166 
 
(b) if any quantity of the 
narcotic drug, 
psychotropic 
substance or 
controlled substance 
exceeds one hundred 
grams but does not 
exceed one kilogram; 
extend to seven years and 
shall also be liable to fine;        
 
 (c) if the quantity of the 
narcotic drug, 
psychotropic 
substance or 
controlled substance 
exceeds the limits 
specified in clause 
(b) 
death or 
 imprisonment for life, or 
imprisonment for a term 
which may extend to 
fourteen years and shall 
also be liable to fine which 
may be up to one million 
rupees; 
Provided that, if the 
quantity exceeds ten 
kilograms the punishment 
shall not be less than 
imprisonment for life.] 
 
 
        Provided that if the 
smuggled goods be gold 
bullion or silver bullion 
the onus of proving the 
plea, that such bullion was 
obtained by processing or 
other means employed in 
Pakistan and not by 
smuggling shall be upon 
the person taking that 
plea. 
  
93[(iii) in case any smuggled 
goods, liable to 
confiscation, seized and 
placed in the custody of 
the owner of the goods or 
any person holding the 
goods in his possession or 
charge are found removed 
such person shall be liable 
to a penalty not exceeding 
ten times the value of such 
goods and upon conviction 
by a Special Judge, shall 
further be liable to 
imprisonment for a term 
not exceeding six years or 
 
THE CUSTOMS ACT,1969 
 
167 
 
illegally, exchanged, 
pilfered or disposed of in 
any manner, 
to a fine not exceeding one 
million rupees or both.] 
9093[(i). If any person, without 
lawful excuse the proof of 
which shall be on such 
person, acquires 
possession of, or is in any 
way concerned in 
carrying, removing, 
depositing, harbouring, 
keeping or concealing or 
in any manner dealing 
with any goods, not being 
goods referred to in clause 
89, which have been 
unlawfully removed from 
a warehouse, or which are 
chargeable with a duty 
which has not been paid, 
or with respect to the 
importation or exportation 
of which there is a 
reasonable suspicion that 
any prohibition or 
restriction for the time 
being in force under or by 
virtue of this Act has been 
contravened, or if any 
person is in relation to any 
such goods in any way, 
without lawful excuse, the 
proof of which shall be on 
such person, concerned in 
any fraudulent evasion or 
attempt at evasion of any 
duty chargeable thereon, 
or of any such prohibition 
or restriction as aforesaid 
or of any provision of this 
Act applicable to those 
goods,  
such goods shall be liable 
to confiscation, and any 
person concerned shall also 
be liable to a penalty not 
exceeding ten times 
92,93[omitted] the value of 
the goods. 
General 
THE CUSTOMS ACT,1969 
 
168 
 
93[(ii) in case seized goods liable 
to confiscation not being 
goods referred to in clause 
89, placed in the custody 
of the owner of the goods 
or any person holding the 
goods in his possession or 
charge are found removed 
illegally, exchanged, 
pilfered or disposed of in 
any manner, 
such goods shall be liable 
to confiscation and any 
person concerned in the 
offence shall be liable to a 
penalty not exceeding two 
times of the value of such 
goods and upon conviction 
by a Special Judge, shall 
further be liable to 
imprisonment for a term 
not exceeding six months 
or to a fine not exceeding 
fifty thousand rupees or 
both.] 
 
91. If any person, without 
lawful excuse, the proof 
of which shall be on such 
person, brings into 
Pakistan, or is in any way 
concerned with the 
bringing into Pakistan of, 
or who has in his 
possession, any bill -
heading, or other paper 
appearing to be a heading 
or blank, capable of being 
filled up and used as an 
invoice, purporting to be 
made out by or on behalf 
of a person or firm other 
than the one from whose 
possession the bill -
heading or other paper has 
been recovered, or  who 
has brought it into 
Pakistan, or on whose 
behalf it has been brought 
into Pakistan, 
57[such goods shall be 
liable to confiscation and 
any person concerned in 
the offence shall be liable 
to a penalty not exceeding 
twenty-five thousand 
rupees; and, upon 
conviction by a Special 
Judge, he shall further be 
liable to imprisonment for 
a term not exceeding one 
year or to a fine not 
exceeding twenty -five 
thousand rupees, or to 
both.] 
General 
92. Any person who bears 
himself in disguise  or 
being armed with an 
such person shall be liable, 
on conviction before, a 
4[Special Judge] to 
General 
THE CUSTOMS ACT,1969 
 
169 
 
offensive weapon, 
intimidates any person 
duly engaged in the 
discharge of any duty or 
the exercise of any power 
imposed or conferred on 
him by or under any of the 
provisions of this Act or 
any person acting in his 
aid or uses such weapon 
against any such person-  
imprisonment for a term 
not exceeding 58[seven] 
years 76[…...] 
 (a) while he is concerned 
in the movement, 
carriage or 
concealment of any 
goods with the intent 
of violating any 
prohibition or 
restriction on the 
importation or 
exportation thereof 
imposed by this or any 
other Act or with the 
intent of passing such 
goods without paying 
the duty chargeable 
thereon or without 
giving security for its 
payment; or   
  
 (b)  while in possession of 
any goods liable to 
confiscation under this 
Act, 
  
93. If any person, by any 
means, makes any signal 
or any message from any 
part of Pakistan or from 
any ship or aircraft for the 
information of a person in 
any ship or aircraft, or 
such person shall, on 
conviction before a 
4[Special Judge], be liable 
to imprisonment for a term 
not exceeding three years, 
or to fine not exceeding 
1[twenty-five thousand] 
General 
THE CUSTOMS ACT,1969 
 
170 
 
across the frontier, being a 
signal or message 
connected with the 
smuggling or intended 
smuggling of goods into 
or out of Pakistan, 
whether or not the person 
for whom the signal or 
message intended is in a 
position to receive it or is 
actually engaged at the 
time in smuggling goods, 
rupees, or to both; and any 
equipment or apparatus 
used for sending the signal 
or message shall also be 
liable to confiscation.  
 Explanation:- If in any 
proceedings under this 
clause, any question arises 
as to whether any signal 
or message was such a 
signal or message as 
aforesaid, the burden of 
proof shall lie upon the 
defendant, 
  
94. If within the limits of 
Pakistan, any person 
deposits, places or carries, 
or causes to be deposited, 
placed or carried in, 
through or into any 
building within one mile 
of the frontier between 
Pakistan and any foreign 
country, or in, through or 
into any premises 
connected with any such 
building, any dutiable 
goods on which duty has 
not been paid, or any 
goods imported in 
contravention of any of 
the provisions of this Act 
or any other law, 
such person shall, on 
conviction before a 
4{Special Judge,] be liable 
to imprisonment for a term 
not exceeding three years, 
or to a fine not exceeding 
1[twenty-five thousand] 
rupees, or to both. 
General 
THE CUSTOMS ACT,1969 
 
171 
 
95. If within one mile of the 
frontier between Pakistan 
and any foreign country, 
any building is generally 
used for storage of 
imported goods and any 
such goods are seized 
from such building and 
confiscated according to 
law, 
such building shall be 
liable to confiscation. 
General 
35[95A. If any person furnishes a 
security or guarantee in 
shape of a cheque or a 
post dated cheque or any 
other bank instrument 
towards fulfillment of any 
obligations under this Act 
or any other Act or rules 
made there under, which 
is dishonoured on 
presentation, 
Such person shall be liable 
to a penalty not exceeding 
two million rupees and 
upon conviction before a 
special Judge; he shall 
further be liable to 
imprisonment for a term 
not exceeding three years 
or both. 
General] 
59 [96. If any person does not 
maintain and keep record 
under the  provisions  of 
section 211, 
such person shall  
be liable to a penalty which 
may extend to one million 
rupees. 
 
211] 
97. If any person contravenes 
any of the provisions of a 
notification under section 
212 or of the rules 
regulating business 
connected with gold or 
silver or precious stones 
or ornaments made of 
gold or silver or precious 
stones within fifteen miles 
of the frontier of Pakistan, 
such person shall, on 
conviction before a 
4[Special Judge,] be liable 
to imprisonment for a term 
not exceeding three years, 
and to a fine not exceeding 
60[fifty thousand] rupees. 
212 
98. If any person obstructs an 
officer acting in the 
such person shall, on 
conviction before a 
189 
THE CUSTOMS ACT,1969 
 
172 
 
exercise of the powers 
conferred by sub -section 
(2) of section 189, 
4[Special Judge,] be liable 
to imprisonment for a term 
not exceeding two years, or 
to fine, or to both. 
61[99. If  defaulter fails to pay 
outstanding arrears as 
defined in clause (w) of 
section (2) of the Customs 
Act,1969, 
such person, upon 
conviction by a Special 
Judge, shall be liable to 
imprisonment for a term 
not exceeding five years or 
to a fine not exceeding 
three times the amount due 
from him, or both.] 
202 
62[100. If any person discloses, 
publishes or otherwise 
disseminates trade 
information of any person 
to any other person except 
as authorized, 
such person shall be liable 
to a penalty not exceeding 
two hundred thousand 
rupees and on conviction 
before a Special Judge to 
imprisonment for a term 
not exceeding three years 
or both. 
155H 
101. Unauthorized access to or 
improper use of 77[or 
attempt to make 
unauthorized access to or 
improper use of ] the 
Customs Computerized 
System by any person, 
such person shall be liable 
to a penalty not exceeding 
two hundred thousand 
rupees and on conviction 
before a Special Judge to 
imprisonment for a term 
not exceeding three years 
or both. 
155-I 
102. If any person interferes 
78[or attempts to interfere] 
with the Customs 
Computerized System, 
such person shall be liable 
to a penalty not exceeding 
two hundred thousand 
rupees and on conviction 
before a Special Judge to 
imprisonment for a term 
not exceeding two years or 
both. 
155J 
103. Unauthorized use of 79[ or 
attempt to make 
such person shall be liable 
to a penalty not exceeding 
155K 
THE CUSTOMS ACT,1969 
 
173 
 
unauthorized use of] 
unique user identifier by 
any person, 
one hundred thousand 
rupees. 
104. If any person,- 
(a) fails to operate any 
mechanical or electronic 
device, when requested by 
a Customs Officer, on 
which any records are, or 
information is, stored for 
the purpose of enabling 
the Customs Officer to 
obtain those records or 
that information; or  
such person shall be liable 
to a penalty not exceeding 
one hundred thousand 
rupees. 
155P 
 
(b) with intent to defeat 
the purposes of this Act, 
destroys, alters, or 
conceals any book, 
document, or record 
required to be kept under 
this Act, or sends or 
attempts to send out of 
Pakistan any such book, 
document, or record. 
such person shall be liable 
to a penalty not exceeding 
two hundred thousand 
rupees and on conviction 
before a Special Judge to 
imprisonment for a term 
not exceeding two year, or 
both]. 
 
90[105 
    (i) 
 
If any person makes or 
attempts to make un -
authorised access to 
information, data or 
personal details of 
registered user of Pakistan 
Single Window system or 
systems connected or 
ancillary thereto;   
Imprisonment which may 
extend up to six months or 
with fine which may 
extend to one hundred 
thousand rupees or with 
both. 
General]  
(ii) If any person makes or 
attempts to make un -
authorised copy, 
transmission or cause to 
transmit any data, 
information or detail in 
relations to Pakistan 
Imprisonment which 
may extend upto six 
months or with fine 
which may extend to 
one hundred thousand 
rupees or with both. 
 
 
THE CUSTOMS ACT,1969 
 
174 
 
Single Window system or 
systems connected or 
ancillary thereto; 
(iii) If any person makes un -
authorised interference, or 
attempt to interfere, 
damage or attempt to 
damage any part of whole 
of the Pakistan Single 
Window system or data or 
system connected to or 
ancillary thereto; 
Imprisonment which 
may extend to three 
years or fine which may 
extend to five hundred 
thousand rupees or with 
both. 
 
 
(iv) If any person makes or 
attempts to make use of 
any information system, 
device or data to make 
any illegal claim or title or 
cause any person to part 
with property or to enter 
into any express or 
implied contract or intent 
to commit fraud by any 
input, alteration, deletion 
or suppression of data, 
resulting in unauthentic 
data with the intent that 
such data be considered or 
acted upon for legal 
purpose, as if it were 
authentic in relations to 
Pakistan Single Window 
system or Systems 
connected or ancillary 
thereto; 
Imprisonment which 
may extend to four years 
or fine which may 
extend to one million 
rupees or with both. 
 
 
(v) If any person uses, makes, 
supplies, retains, obtains 
device, system or software 
for offences under section 
13 of the Pakistan Single 
Window Act, 2021 (III of 
2021); 
Imprisonment which may 
extend to six months or 
with fine which may 
extend to one hundred 
thousand rupees or with 
both.   
 
(vi) If any person obtains, 
sells, process, uses or 
Imprisonment which may 
extend to four years and 
 
THE CUSTOMS ACT,1969 
 
175 
 
transmits another person's 
Unique User Identifier or 
makes an attempt thereof 
without authorisation; 
fine which may extend to 
one million rupees or with 
both. 
(vii) If any person tampers with 
or attempts to tamper 
with, alters, re -
programmes any Pakistan 
Single Window system or 
system connected or 
ancillary thereto for un -
authorised use; 
Imprisonment which may 
extend to four years and 
fine which may extend up 
to one million rupees or 
with both and any devices 
or systems used in offence 
shall be liable to 
confiscation. 
 
(viii) If any person writes, 
offers, makes available, 
distributes or transmits a 
malicious code or abets in 
the same, with intent to 
cause harm to Pakistan 
Single Window system or 
data resulting in or 
intending to result in 
corruption, destruction, 
alteration, suppression, 
theft or loss to the 
Pakistan Single Window 
system or data, or any 
attempt thereof. 
Imprisonment for a term 
which may extend to four 
years and fine which may 
extend to five million 
rupees or with both. 
 
94(ix) If any person who 
intentionally- 
 
(i)  fails to generate, carry, 
display or validate an 
e-bilty and any 
tracking devices 
ancillary thereto for 
inland movement of 
goods; or 
(ii) avoids to generate, 
carry, display or 
validate an e-bilty and 
any tracking devices 
ancillary thereto; or  
(iii) tampers with the e -
Such person shall be liable 
to a penalty of fifty 
thousand rupees for the 
first contravention and 
rupees five hundred 
thousand for the second 
contravention; and 
thereafter he shall be liable 
to a penalty of rupees one 
million and confiscation of 
the goods and conveyance 
and upon conviction by a 
Special Judge liable to 
imprisonment not 
exceeding six months. 
83C 
THE CUSTOMS ACT,1969 
 
176 
 
bilty or any tracking 
devices ancillary 
thereto or affixes 
tracking device issued 
for one conveyance 
on another.  
Nothing in Column 3 of the above Table Shall be deemed to have the force of law.
 Explanation.-   For the purposes of any penal provisions of this Act, the 
offence of contravening, in respect of any goods, any of the provisions of this Act or 
the rules or any other law for the time being in force, shall be deemed to have been 
committed when, in the case of import, any vessel containing such goods arrives 
within twelve nautical miles of the sea coast of Pakistan (each nautical mile 
measuring six thousand and eighty feet) or when, in the case of export, such goods 
have been loaded on any conveyance for transport to any destination outside 
Pakistan, or when in either case, the connected customs documents have been 
presented to the appropriate officer 63[:] 
 64[Provided that in the case of accompanied baggage or any unmanifested 
goods meant for export, the offence shall be deemed to have been committed when  
such baggage or goods enter the customs -area or are delivered to the carrier of the 
conveyance.]     
 (2)   Where 65[any goods specified in clause (s) of section 2 or in a notification 
issued there-under] are seized under this Act in the reasonable belief that an act to 
defraud the Government of any duty payable thereon or to evade any prohibition or 
restriction for the time being in force by or under this Act has been committed in 
respect of such goods, or that there is intent to commit such act, the burden of 
proving that no such act has been committed or there was no such intent shall be on 
the person from whose possession the goods were seized.     
 66[(3)   OMITTED]   
 83[(4)  Notwithstanding anything contained in this Act, the Board may, by 
notification in the official Gazette, regulate the imposition, including the time and 
manner, of any penalty specified in sub-section (1).] 
 
86[156A.  Proceedings against authority and persons. - (1) Subject to section 
217, the Board shall prescribe rules for initiating criminal proceedings against any 
authority mentioned in sections 3 to 3DDD, including any officer or official 
subordinate to the aforesaid authority, who willfully and deliberately commits or 
omits an act which results in undue benefit or advantage to the authority or the 
officer or official or to any other person. 
THE CUSTOMS ACT,1969 
  
177 
 
 (2) Where proceedings under sub -section (1) have been initiated against 
the authority or officer or official, the Board shall simultaneously intimate the 
relevant Government agency to initiate criminal proceedings against the person 
referred to in sub-section (1). 
 (3) The proceedings under this section shall be without prejudice to any 
other liability that the authority or officer or official or the person may incur under 
any other law for the time being in force.] 
 
157. Extent of confiscation. - (1)  Confiscation of any goods under this Act 
includes any package in which they are found, and all other contents thereof.             
 (2) Every conveyance of whatever kind used in the removal of any goods 
liable to confiscation under this Act shall also be liable to confiscation. 
 94[Omitted] 
 89,91[Omitted] 
 (3) Confiscation of any vessel under this Act includes 94[its] tackle, 
apparel and furniture.   
 
LEGAL REFERENCE 
 
1. Substituted for the words “five thousand rupees” by the Finance Ordinance, 1982  
2. Substituted for the words “two thousand rupees” by the Finance Ordinance, 1982.  
3. Renumber S.No.8 as sub-paragraph(i)and new paragraph(ii) was added by FA,2005. 
4. Substituted for the word “Magistrate” by the Prevention of Smuggling Act, 1977 (XII of 
1977), S.51(ii)(a), page 223.  
5. Substituted for the words “ten years” by the Finance Act, 1988 (VI of 1988), S.5(3), page 
938. The words “ten years” were previously substituted for the words “six years” by the 
Finance Act, 1973 (L of 1973), S.9(7)(a), page 531. 
6. Substituted for the full stop by the Finance Act, 1973 (L of 1973), S.9(7)(b), page 531. 
7. Added by the Finance Act, 1973 (L of 1973), S.9(7)(b), page 531 and substituted by the 
Prevention and Smuggling Act, 1977 (XII of 1977), S.51(ix), page 230.. At the time of 
substitution this proviso was as under:- 
“Provided that, in the case of such goods essential to the life of the community as may be 
notified by the Federal Government in the official Gazette, the sentence of imprisonment 
shall not be less than five years and the whole or any part of the property of the person 
convicted shall also be liable to confiscation.”. 
 8. Omitted by Finance Act, 2003. 
 9. Added by the Finance Act, 2005. 
10. Inserted by the Finance Act, 1986 (I of 1986), S.6(5)(a), page 11. 
11. Substituted by the Finance Act, 2006. At that time serial 12 was as under:- 
 
12. 
If any person who without any 
reasonable excuse fails to comply 
with any requisition made under 
section 26 or to furnish any 
information as required by or 
under the rules to be furnished, 
11a[such person shall be liable to a 
penalty not exceeding one hundred 
thousand rupees and on conviction by 
a Special Judge shall be liable to 
imprisonment for a term not exceeding 
two years, fine, or with both.] 
26 
THE CUSTOMS ACT,1969 
  
178 
 
 11a. Substituted by the Finance Act, 2005. 
12. Inserted by the Finance Act, 2006. 
13. Substituted for the full stop and added by the Federal  Laws (R&D), 1981 (XXVII of 1981), 
S.3.  
14. Inserted by the Finance Act, 2004 (II  of 2004), S.3(14), pages 16-17. 
15. Substituted for the words “Magistrate” by the Finance Act, 1986 (I of 1986), S.6(5)(b), page 
11.   
16. Substituted by the Finance Ordinance, 1982 (XII of 1982), S.6(9)(a)(ii), page 60.  At the time 
of substitution this was as under: 
  “such goods shall be liable to confiscation”.     
17. Inserted by the Finance Act, 2003 (I of 2003), 5(30(i), page 36.-   
18. Inserted by the Finance Act, 1993 (X of 1993), S.4(iv), page 121.   
19. Substituted for the words “two thousand five hundred rupees” by the Finance 
Ordinance,1982  (XII of 1982), S.6(9)(a)(I),  page 60.    
20. Substituted for the words “five hundred rupees” by the Finance Ordinance, 1982 
21. Inserted by the Finance Act, 2005. 
22. Substituted by the Finance Act, 1999 (IV of 1999), S.10(9)(a), page 768.  At the time of 
substitution this was as under:- 
“43. If, after any goods have been landed if the goods cannot be recovered, 79 
& 80.”. and before they have been passed the owner shall be liable, in addition through the 
custom-house, the owner to full duty, to a penalty not exceeding removes or attempts to 
remove them, five time the amount of such duty, or if with the intention of defrauding the if 
such goods are not dutiable or duty revenue, thereon cannot be ascertained to a penalty not 
exceeding 22a[twenty-five thousand rupees], for every missing or deficient package or 
separate article, and in the case of bulk goods to a penalty not exceeding 29a[twenty-five 
thousand rupees] or the value  of the goods, whichever be higher. 
22a. Substituted for the words “five thousand rupees” by the Finance Ordinance, 1982 
(XII of 1982), S.6(9)(a)(i),  page 60.     
23. Substituted for the words “twenty-five” by the Finance Act, 2003 (I of 2003), 
S.5(30)(ii)(a)(I), page 36. 
24. Inserted by the Finance Act, 2003 (I of 2003), S.5(30),(ii)(a)(ii), page 37. 
25. Substituted for the figures “79 & 80” by the Finance Act, 2003 (I of 2003), S.5(30)(ii)(b), 
page 37. 
26. Omitted the figure, letters, comma and word “79A, and 80A” by the FA,2005. 
27. Inserted by the Finance Act, 2003 (I of 2003), S.5(30)(iii)(a), page 37. 
27A. By the Finance Act, 2006, the words”a bill of entry or bill of export or” were omitted. 
28. Inserted by the Finance Act, 2003 (I of 2003), S.5(30)(iii)(b), page 37.  
29. Substituted for the figures “79 & 131” by the Finance Act, 2003 (I of 2003), S.5(30)(iii)(c), 
page 37 
30. Omitted the figure, letters, comma and word “79A, and 1310A” by the FA,2005. 
30A. Inserted by Finance Act, 2005. 
31. Substituted for the figures “79 & 131” by the Finance Act, 2003 
32. Inserted by the Finance Act, 2003 (I of 2003), S.5(30)(v)(a)(I), page 37.  
33. Inserted by the Finance Act, 2003 (I of 2003), S.5(30),(v)(a)(ii), page 37. 
34. Added by the Finance Act, 2003 (I of 2003), S.5(30)(b), page 38. 
35. Inserted by the Finance Act, 2006. 
36. Inserted by the Finance Ordinance, 1982 (XII of 1982&added by the FA,2005.  
37. Substituted for the word “keeper” by the Finance Act, 1990 (VII of 1990), S.6(9)(a)(i), page 
37., 
38. Omitted the words “keeper or” by the Finance 1990(VII of 1990. 
39. Substituted for the words “two hundred and fifty rupees” by the Finance Ordinance,1982 
(XII of 1982),S.6(9)(a)(i),  page 60.  
40. Added by the Finance Act, 1987 (VI of 1987), S.8(3)(a), page 34. 
41. Substituted for the words “twenty-five thousand rupees” by the Finance Act, 1999 (IV of 
1999), S.10(9)(b), page 768 and earlier substituted for the words “five thousand rupees” by 
the Finance Ordinance, 1982 (XII of 1982.   
42. Substituted for the words “twenty five thousand” by the FA, 2005. 
THE CUSTOMS ACT,1969 
  
179 
 
43. Inserted by the Finance Act, 2003 (I of 2003), S.5(30)(vi)(b), page 38. 
44. Inserted by the Finance Act, 2003 (I of 2003), S.5(30)(vi)(c), page 38. 
45. Inserted by the Finance Act, 2003 (I of 2003), S.5(30)(vii)(a)(I), page 38. 
46. Substituted for the word and figure “section 131” by the Finance Act, 2003. 
47. Omitted the word, figure and letter “and 131A” in column (1) &(3)by the FA, 2005. 
48. Inserted by the Finance Act, 2003 (I of 2003), S.5(30(vii)(b)(I), pag 
49. Substituted for the words “one thousand rupees for every package of such goods” by the 
Finance Act, 2003 (I of 2003), S.5(30)(vii)(b)(ii), page 38 
50. Substituted clause 9i) of item 77 by the Federal Laws, 1981.. 
51. Substituted in clause (a) for the words “molests or assaults any person duty engaged” by the 
Finance Act, 2003 (I of 2003),S.5(30)(ix)(a), page 39.   
52. Inserted  by the Finance Act, 2003 (I of 2003), S.5(30)(ix)(b), page 39. 
53. S.No. 80 renumbered as sub-paragraph (i) by the Finance Act, 2005. 
54 Substituted by the Finance Ordinance, 1982 (XII of 1982), S.6(9)(a)(iv), page 60.  At the time 
of substitution this was as under:- 
 “such goods shall be liable to confiscation any person concerned in the offence shall be liable 
to a penalty not exceeding ten times the value of the goods; and upon conviction by a Special 
Judge, to imprisonment for a term not exceeding six years and to fine not exceeding ten times 
the value of such goods and if the Special Judge in his discretion so orders also to 
whipping.”. 
55. Substituted for the words “ten thousand rupees” by the Finance Act, 1998. 
56. Added by the Finance Act, 2005 
57. Substituted by the Finance Ordinance, 1982 (XII of 1982), S.6(9)(v), page 60.  At the time of 
substitution this was as under: 
 “such person shall on conviction before a Special Judge be liable to imprisonment for a term 
not exceeding one year, or to a fine not exceeding five thousand rupees or to both.”.. 
58. Substituted for the word “three” by the Finance Act, 2004. 
59. Substituted by the Finance Act, 2006. At that time serial 96 was as under:- 
96. if any person being an 
importer or exporter of 
goods other than for 
bonafide private or personal 
purposes, fails to maintain 
accounts in such from as 
may be notified by the 
Board, or for the period 
specified in section 211, 
such person shall be liable 
to a penalty not exceeding 
6[fifty thousand] rupees. 
211 
 
60. Substituted for the words “ten thousand rupees” by the Finance Ordinance, 1982. 
61. Added by the Finance Act, 1999 (IV of 1999), S.10(9)(c), page 768. 
62. Added new serial numbers “100 to 104” by the Finance Act, 2003. 
63. Substituted for the full stop by the Finance Ordinance, 1982. 
64. Added by  the Finance Ordinance, 1982 (XII  of 1982), S.6(9)(a)(vi), page 61. 
65. Substituted for the words and commas “currency, gold, silver, precious stones, ornaments or 
other manufactures of gold silver or previous stones which the 65a[Federal Government] may, 
by notification in the official Gazette, specify” by the Finance Ordinance, 1982 (XII of 1982), 
S.6(9)(b), page 61. 
65a. Substituted for the words “Central Government” by the Finance Act, 1972 (XXI of 
1972), S.3, page 56 and Second Schedule S.1, page 76. 
66. Sub-section (3) omitted by the Finance Act, 1969 (XVI of 1969), S.4.  At the time of omission 
this sub-section was as under:- 
“(3) Where any person charged of an offence under clause 8 or clause 89 of the Table 
under sub-section (1) is acquitted by a Magistrate, and the finding of the Magistrate be that 
the goods in respect of which the person was charged  are not smuggled goods, such 
person shall not be liable to any penalty, nor such goods shall be liable to confiscation, and if  
THE CUSTOMS ACT,1969 
  
180 
 
 any order confiscating the goods or imposing any penalty has already been made to an 
officer of customs, it shall become null and void.”. 
67. Substituted for the words “Collector of Customs” by the Finance Ordinance, 1982 (XII of 
1982. 
68. Added by Finance Act,2008(I of 2008) (Page-46) 
69. Substituted for the word “twenty five”, by the Finance Act,2010. 
70. Substituted for the words “not exceeding twenty-five thousand rupees and any goods”, by the 
Finance Act,2010. 
71. Substituted the word “One”, by the Finance Act,2010. 
72. Omitted the comma and  words  [, and, if the Special Judge in his discretion so orders, also 
to whipping] by Finance Act, 2012. 
73. Substituted for the words and numbers “ 79,79A, 131A” by Finance Act, 2012 
74. Substituted for the words “ such person shall be liable to a penalty 70[upto twice the value of 
the goods and goods] in respect of which such offence has been committed shall also be 
liable to confiscation” by the Finance Act, 2012. 
75. Substituted the words “and if the Special Judge in his discretion so orders also to whipping”  
by Finance Ac, 2012. 
76. Substituted the words “and, if the Special Judge in his discretion so orders, to whipping” by 
Finance Act, 2012. 
77. Inserted by Finance Act, 2012  
78. Inserted by Finance Act, 2012 
79. Inserted by Finance Act, 2012. 
80. Substituted by Finance Act, 2015. 
81. Inserted by Finance Act, 2015. 
82. Substituted by Finance Act, 2015.at the time of substitution the wording is as under: 
 “[If any person contravenes any rule or condition relatable to section 128 or section 129.]" 
83. Inserted by Finance Act, 2017. 
84. Inserted by Finance Act, 2018. 
85. Substituted by Finance Act,2019. At the time of substitution the wording was : 
 
14.f If any person commits an offence 
under section 32, 
such person shall be liable to a 
penalty not exceeding 1[twenty five 
thousand] rupees or three times the 
value of the goods in respect of 
which such offence is committed, 
whichever be greater; and such goods 
shall also be liable to confiscation 
13[;] 14[and upon conviction by a 
15[Special Judge] he shall further be 
liable to imprisonment for a term not 
exceeding three years, or to fine, or 
to both]. 
32 
35[47A If the goods declaration is not filed 
within the prescribed period of 
fifteen days, 
the owner of such goods shall be 
liable to a penalty which may extend 
to fifteen thousand rupees. 
79] 
86. Inserted by Finance Act, 2019 
87. Inserted by Tax Laws (Amendment) Act, 30th March, 2020 
88. Inserted/Substituted by Finance Act, 2020 (June) 
89. Inserted/Omitted by Finance Act, 2021 (June) 
90. Inserted by Finance Act, 2022 (June) 
91. Omitted by Finance Act, 2022 (June) [ Provided further that where a conveyance found 
carrying smuggled goods in false cavities or being used exclusively or wholly for 
transportation of offending goods under clause (s) of section 2 of this Act, has been seized for 
the third time, no option to pay fine in lieu of the confiscation shall be given.] 
92. Inserted by Finance Act, 2023(June) 
93. Inserted by Finance Act, 2024(June) 
94. Substituted/added  by Finance Act, 2025 (June) 
THE CUSTOMS ACT,1969 
  
181 
 
CHAPTER XVIII 
PREVENTION OF SMUGGLING – POWER OF SEARCH, SEIZURE AND 
ARREST – ADJUDICATION OF OFFENCES 
158. Power to search on reasonable ground. - (1) The appropriate officer, if he 
has reason to believe that any person is carrying about himself goods liable to 
confiscation or any documents relating thereto, may search such person, if he has 
landed from or is on board or is about to board a vessel within the Pakistan customs -
waters, or if he has alighted from, or is about to get into or is in any other 
conveyance arriving in or proceeding from Pakistan, or if he is entering or about to 
leave Pakistan, or if he is within the limit of an y customs-area. 
 (2) Without prejudice to the provisions of sub -section (1) the appropriate 
officer may search a person, if he has reason to believe that such person is carrying 
about himself smuggled Platinum, any radio active mineral, gold, silver or precious 
stones, manufactures of Platinum, any radioactive mineral, gold, silver or precious 
stones, or currency, or any other goods or class of goods notified by the 1[Federal 
Government] in the official Gazette, or any documents relating to any one or more of 
the aforementioned goods. 
159. Persons to be searched may desire to be taken before gazetted officer of 
customs or Magistrate. - (1)  When any officer of customs is about to search any 
person under the provisions of section 158, the officer of customs shall inform such 
person about his right to be taken to a gazetted officer of customs or Magistrate, and 
if such person so desires take him without unnecessary delay to the nearest gazetted 
officer of customs or Magistrate before searching him, and may detain him until he 
can be so taken. 
 (2)  The gazetted officer of customs or the Magistrate before whom such 
person is brought shall, if he sees no reasonable ground for search, forthwith 
discharge the person and record reasons for doing so, or else direct search to be 
made.     
 (3)   Before making a search under section 158, the officer of customs 
shall call upon two or more persons to attend and witness the search and may issue 
an order in writing to them or any of them so to do, and the search shall be made in 
the presence of such persons and a list of all things seized in the course of such 
search shall be prepared by such officer or other person and signed by such 
witnesses.          
 (4)    A female shall not be searched except by a female.  
THE CUSTOMS ACT,1969 
  
182 
 
160. Power to screen or X -Ray bodies of suspected persons for detecting 
secreted goods. - (1) Where the appropriate officer has reason to believe that any 
person liable to search under section 158 has any goods liable to confiscation 
secreted inside his body, he may detain such person and produce him without 
unnecessary delay before an officer of customs not below the rank of an 
2/2A[Assistant Collector] of Customs.         
 (2)   The aforesaid officer, if he has reasonable grounds for believing that 
such person has any such goods secreted inside his body and that it is necessary to 
have the body of such person screened or X -Rayed, may make an order to that effect 
, or else discharge such person forthwith, except where he is held on any other 
grounds.     
 (3)  Where the aforesaid officer orders such person to be screened or X -
Rayed, the appropriate officer shall, as soon as practicable, take him to a radiologist 
possessing such qualifications as may be recognized by the 1[Federal Government] 
for that purpose and such person shall allow the radiologist to screen or X -Ray his 
body.         
 (4)  The radiologist shall screen or X -Ray the body of such person and 
forward his report thereon, together with any X -Ray picture taken by him to  the 
aforesaid officer without unnecessary delay.         
 (5)  Where on the basis of a report from a radiologist or otherwise, the 
aforesaid officer is satisfied that any person has any goods liable to confiscation 
secreted inside his body, he may direct that suitable action for bringing such goods 
out of his body be taken on the advice and under the supervision of a registered 
medical practitioner and such person shall be bound to comply with such direction:        
 Provided that in the case of a female no such action shall be taken except on 
the advice and under the supervision of a female registered medical practitioner.    
 (6)  Where any person is brought before an officer of customs not below 
the rank of an Assistant Collector  2A[**] of Customs as aforesaid, he may direct that 
pending completion of all action under this section such person be detained.         
 (7) No person shall be subjected to screening or X -Ray if he confesses 
that goods liable to confiscation are secreted inside his body and of his own consent 
agrees to suitable steps being taken to bring out such goods.  
. 
161. Power to arrest. - (1) Any officer of customs authorized in this behalf who 
has reason to believe that any person has committed an offence under this Act may  
arrest such person.    
THE CUSTOMS ACT,1969 
  
183 
 
 (2)  Any person duly empowered for the prevention of smuggling who has 
reason to believe that any person who has committed an offence of smuggling under 
this Act may arrest such person.      
 (3)  Every person arrested under this Act shall be taken forthwith before 
the nearest officer of customs authorized by the Collector of Customs to deal with 
such cases, or, if there is no such officer of customs within a reasonable distance, to 
the officer-in-charge of the nearest police-station.  
 3[(4)  When any person arrested under this Act is taken before an officer of 
customs or the officer-in-charge of a police-station, as required by sub-section (3), or 
when such officer of customs or officer -in-charge of a police -station himself arrests 
any person under this Act, such officer or officer -in-charge shall, if the offence is 
bailable, admit him to  bail to appear before the Special Judge having jurisdiction or, 
if the offence is non -bailable, have him taken in custody to the Special Judge or if 
there is no Special Judge within a reasonable distance, to the 4[nearest Judicial 
Magistrate,] within twenty -four hours of such arrest, excluding the time necessary 
for the journey from the place of arrest to the Court of the Special Judge or , as the 
case may be, of such Magistrate.        
 (5)  When any person is taken under sub -section (4) before the Special 
Judge, he may, on the request of such person, after perusing the record, if any, and 
after giving the prosecution an opportunity of being heard, admit him to bail on his 
executing a bond, with or without sureties, or refuse to admit him to bail and direct 
his detention at such place as he deems fit: 
 Provided that nothing herein contained shall preclude the Special Judge from 
cancelling the bail of any such person at a subsequent stage if, for any reason, he 
considers such cancellation necessary, but before pas sing such order he shall afford 
such person an opportunity of  being heard, unless for reasons to be recorded he 
considers that the affording of such opportunity shall defeat the purposes of this Act.   
 (6)  When such person is taken under sub -section (4) before a Magistrate, 
such Magistrate may, after authorizing his detention in such custody, at such place 
and for such period as he considers necessary or proper for facilitating his earliest 
production before the Special Judge, direct his production before the Special Judge 
on a date and time to be fixed by such Magistrate, or direct such person to be 
forthwith taken to, and produced before, the Special Judge and he shall be so taken. 
 (7)  Nothing in sub -section (5) or sub -section (6) shall preclude the 
Special Judge or the Magistrate from remanding any such person to the custody of 
the officer of customs, or the officer -in-charge of a police -station holding inquiry 
against that person if such officer makes a request in writing to that effect and the 
Special Judge or the Magistrate, after perusing the record, if any, and hearing such 
person, is of the opinion that for the completion of inquiry or investigation it is 
THE CUSTOMS ACT,1969 
  
184 
 
necessary to make such an order;  provided that in no case the period of such custody 
shall exceed fourteen days.         
 (8) When any person arrested under this Act is brought before an officer 
of customs or the officer -in-charge of a police -station as required by sub -section(3), 
or when such officer of customs or officer -in-charge of a police -station himself 
arrests any person under this Act, such officer shall, if he is an officer of customs, 
record the fact of arrest and other relevant particulars in the register mentioned in 
sub-section (12) or, if he is an officer -in-charge of a police -station, record such fact 
in the register ordinarily maintained by him, and shall immediately proceed to 
inquire into the charge against such person and if he completes the inquiry within 
twenty-four hours of his arrest, excluding the time necessary for journey as 
aforesaid, he may, after producing such person before the Special Judge or the 
5[nearest Judicial Magistrate] make a request for his further detention in his custody.          
 (9)  While holding an inquiry under sub-section (8), the officer of customs 
shall exercise the same powers as are exercisable by an officer -in-charge of a police-
station under the Code of Criminal Procedure, 1898 (Act V of 1898), but such officer 
and the officer-in-charge of a police-station shall exercise such powers subject to the 
foregoing provisions of this section while holding an inquiry under this Act.        
 (10)  If the officer of customs or the officer-in-charge of a police-station, as 
the case may be, after holding an inquiry as aforesaid, is of the opinion that there is 
no sufficient evidence or reasonable ground for suspicion against such person, he 
shall release him on his executing a bond, with or without sureties as the officer may 
direct, to appear, as and when required, before the Special Judge, may make a report 
to the Special Judge for the discharge of such person and shall make a full report of 
the case to his immediate superior.            
 (11)  The Special Judge to whom a report has been made under sub -section 
(10) may, after the perusal of record of the inquiry and hearing the prosecution, agree 
with such report and discharge the accused or, if he is of the opinion that there is 
sufficient ground for proceeding against such person, proceed with his trial and 
direct the prosecution to produce evidence.              
(12) The officer of customs empowered to hold inquiry under this section 
shall maintain a register to be called “Register of Arrests and Detention” in the 
prescribed form in which he shall enter the name and other particulars of every 
person arrested under this Act, together with the time and date of arrest, the details of 
the information received, the details of things, goods or documents recovered from 
his custody, the name of the witnesses and the explanation, if any, given by him and 
the manner in which the inquiry has been conducted from day to day; and such 
register or authenticated copies of its aforesaid entries shall be produced before the 
Special Judge whenever such officer is so directed by him.     
THE CUSTOMS ACT,1969 
  
185 
 
 (13)  After completing the inquiry, the officer of customs shall submit to 
the Special Judge a report in the form and manner, as early as possible, in which the 
officer-in-charge of a police -station submits a challan before a Court, or if such 
inquiry has been conducted by an officer -in-charge of a police -station, he shall 
submit a challan before the Special Judge. 
 (14)  The officer of customs, or as the case may be, the officer -in-charge of 
a police-station shall immediately intimate the fact of the arrest of a person under 
sub-sections (1),(2) or (4) to the Special Judge who may direct such officer to 
produce that person at such time and place and on such date as the Special Judge 
considers expedient and such officer or officer-in-charge shall act accordingly.     
 (15)   Any Magistrate of the first class may record any statement or 
confession during inquiry under this Act, in accordance with the provisions of 
section 164 of the Code of Criminal Procedure,1898 (Act V of 1898).          
 (16)  Without prejudice to the foregoing provisions of this section, the 
Federal Government may, by notification in the official Gazette authorize any other 
officer also to exercise the power and perform the functions of an officer of customs 
or officer-in-charge of a police -station under this section, subject to such conditions, 
if any, that it may deem fit to impose.] 
162. Power to issue search warrant. - (1) Any 5[Judicial Magistrate] may, on 
application by a gazetted officer of customs stating the grounds of his belief that 
goods liable to confiscation or documents or things which in his opinion will be 
useful as evidence in any proceeding under this Act are secreted in any place within 
the local limits of the jurisdiction of such Magistrate, issue a warrant to search for 
such goods, documents or things.              
 (2)  Such warrant shall be executed in the same way, and shall have the 
same effect, as a search-warrant issued under the Code of Criminal Procedure, 1898 
(Act V of 1898).   
163. Power to search and arrest without warrant. -  (1)  Whenever any officer 
of customs not below the rank of an 2/2A[Assistant Collector] of Customs or any other 
officer of like rank duly employed for the prevention of smuggling has reasonable 
grounds for believing that any goods liable to confiscation or any documents or 
things which in his opinion will be useful for or relevant to any proceeding under this 
Act are concealed or kept in any place and that there is a danger that they may be 
removed before a search can be effected under section 162, he may, after preparing a 
statement in writing of the grounds of his belief and of the goods, documents or 
things for which search is to be made, search or cause search to be made for such 
goods, documents or things in that place.       
THE CUSTOMS ACT,1969 
  
186 
 
(2) An officer or person who makes a search or causes a search to be 
made under sub section (1) shall leave a signed copy of the aforementioned 
statement in or about the place searched and shall, at the time the search is made or 
as soon as is practicable thereafter, deliver furthermore a signed copy of such 
statement to the occupier of the place at his last known address.       
 (3)  All searches made under this section shall be carried out mutatis 
mutandis in accordance with the provisions of the Code of Criminal Procedure, 1898 
(Act V of 1898).    
 (4)   Notwithstanding anything contained in the foregoing sub-sections and 
subject to previous authorization by an officer of customs not below the rank of an 
Assistant Collector 2A[***]of Customs, any officer of customs or any person duly 
empowered as such may, with respect to an offence related to exportation of such 
goods as the 1[Federal Government] may, by notification in the official Gazette, 
specify in this behalf- 
(a) arrest without warrant any person concerned in such offence or 
against whom reasonable suspicion exists that he is about to be 
concerned in such offence;  
(b) enter and search without warrant any premises to make an arrest 
under clause (a),or to seize any goods which are reasonably suspected 
to be intended for exportation contrary to any prohibition or 
restriction for the time being in force, and all documents or things 
which in his opinion will be useful for or relevant to any proceeding 
under this Act; and 
(c) for the purpose of arresting, detaining or taking into custody or 
preventing the escape of any person concerned or likely to be 
concerned in such offence, or for the purpose of seizing or preventing 
the removal of any goods in respect of which any such offence has 
occurred or is likely to occur, use or cause to be used such force to the 
extent of causing death as may be necessary.     
 (5)  The provisions of sub -section (4) shall apply only to the areas within 
five miles of the land frontier of Pakistan, and within a five miles belt running along 
the sea coast of Pakistan.           
 (6) No suit, prosecution or other legal proceeding shall be instituted, 
except with the previous sanction in writing of the 1[Federal Government], against 
any person in respect of anything done or purporting to be done in exercise of the 
powers conferred by sub -section (1) or sub -section(2) or, in the areas specified in 
sub-section (5), by sub-section (4).  
THE CUSTOMS ACT,1969 
  
187 
 
164.  Power to stop and search conveyances. -  (1) Where the appropriate officer 
has reason to believe that within the territories of Pakistan(including territorial 
waters) any conveyance has been, is being or is about to be, used in the smuggling of 
any goods or in the carriage of any smuggled goods, he may at any time stop any 
such conveyance or, in the case of an aircraft, compel it to land, and - 
  (a) rummage and search any part of the conveyance; 
  (b)  examine and search any goods thereon; and  
  (c) break open the lock of any door, fixture or package for making 
search.  
   (2) Where in the circumstances referred to in sub-section (1)-       
(a) it becomes necessary to stop any vessel or compel any aircraft to 
land, it shall be lawful of any vessel or aircraft in the service of 
the Government while flying her proper flag or bearing flag 
marks and any authority authorized in this behalf by the 
1[Federal Government] to summon such vessel to stop or the 
aircraft to land, by means of an international signal, code or 
other recognized means, and thereupon such vessel shall 
forthwith stop or such aircraft shall forthwith land, and if it fails 
to do so chase may be given thereto by any vessel or aircraft as 
aforesaid and if after a gun is fired as a signal, the vessel fails to 
stop or the aircraft fails to land, it may be fired upon;  
(b) it becomes necessary to stop any conveyance other than a vessel 
or aircraft, the appropriate officer may use or cause to be used 
all lawful means for stopping it or preventing its escape 
including, if all other means fail, firing upon it.   
 
49[(3) For the execution of the above, the officers or officials shall be 
empowered to use all necessary force including use of firearms subject to section 97 
of the Pakistan Penal; Code, 1860 (Act XLV of 1860) in the line of duty:] 
 
52[Provided that in case of essential commodities, the powers under sub -
section (1) shall only be exercised within bordering and coastal areas as notified by 
the Board.] 
 
165. Power to examine persons.-  (1) The appropriate officer may, during the 
course of an inquiry in connection with the smuggling of any goods.- 
 
(a) require any person to produce or deliver any document or thing to 
such officer; 
THE CUSTOMS ACT,1969 
  
188 
 
 
(b) examine any person acquainted with the facts and circumstances of 
  the case.  
 (2)   The appropriate officer shall exercise the powers in sub -section (1) 
only in relation to a person who is readily available or present before him and shall 
be subject to the same provisions as an officer-in-charge of a police-station is subject 
to under the Code of Criminal Procedure, 1898 (V of 1898), when investigating a 
cognizable offence.       
166.  Power to summon persons to give evidence and produce documents or 
things. – (1) Any  gazetted officer of customs shall have power to summon any 
person whose attendance he considers necessary either to give evidence or to 
produce  document or any other thing in any inquiry which such officer is making 
6[*****].  
 (2)  A summon to produce documents or other things may be for the 
production of certain specified documents or things or for the production of all 
documents or things of a certain description in the possession or under the control of 
the person summoned.         
 (3)   All persons so summoned shall be bound to attend either in person or 
by an authorized agent, as such officer may direct; and all persons so summoned 
shall be bound to state the truth upon any subject respecting which they are 
examined or make statement and produce such documents and other things as may 
be required;       
 Provided that the exemption under section 132 of the Code of Civil 
Procedure, 1908 (Act V of 1908), shall be applicable to any requisition for 
attendance under this section.         
 (4)  Every such inquiry as aforesaid shall be deemed to be judicial 
proceeding within the meaning of section 193 and section 228 of the Pakistan Penal 
Code, (Act XLV of 1860).                  
167. Person escaping may be afterwards arrested. - If  any person liable to be 
arrested under this Act is not arrested at the time of committing the offence for which 
he is so liable, or after arrest makes his escape, he may at any time afterwards be 
arrested and dealt with in accordance with the provisions of 7[***] section 161 as if 
he had been arrested at the time of committing such offence. 
168. Seizure of  things liable to confiscation. -  (1)  The appropriate officer may 
seize any goods liable to confiscation under this Act, and where it is not practicable 
to seize any such goods, he may serve on the owner of the goods or any person 
THE CUSTOMS ACT,1969 
  
189 
 
holding them in his possession or charge an order that he shall not remove, part with, 
or otherwise deal with the goods except with the previous permission of such officer.          
 (2)  Where any goods are seized under sub -section (1) and no show cause 
notice in respect thereof is given under section 180 within two months of the seizure 
of the goods, the goods shall be returned to the person from whose possession they 
were seized:       
 Provided that the aforesaid period of two months may, for reasons to be 
recorded in writing, be extended by the Collector of Customs by a period not 
exceeding two months 8[:] 
 9[Provided further that the limitation prescribed under sub -section (2) shall 
not apply to goods specified under the first proviso to section 181.]          
 (3)  The appropriate officer may seize any documents or things which in 
his opinion will be useful as evidence in any proceeding under this Act.    
 (4)  The person from whose custody any documents are seized under sub -
section (3) shall be entitled to make copies thereof or take extracts therefrom in the 
presence of an officer of customs.        
10[169. Things seized how dealt with. -  (1)  All things seized on the ground that 
they are liable to confiscation under this Act shall, without unnecessary delay, be 
delivered into the care of the officer of customs authorized to receive the same.   
 (2)  If there be no such officer at hand, such things shall be carried to and 
deposited at the customs-house nearest to the place of seizure.   
 (3)  If there be no custom -house within a convenient distance, such things 
shall be deposited at the nearest place appointed by the Collector of Customs for the 
deposit of things so seized.    
 11[(4)  When anything liable to confiscation under this Act is seized by the 
appropriate officer under section 168, the Collector of Customs, or any other officer 
of customs authorized by him in this behalf, may notwithstanding the fact that 
adjudication of the case under section 179, or an appeal under 12[section 193 or 
194A] or a proceeding in any court, is pending, cause the thing to be sold in 
accordance with the provisions of section 201 and have the proceeds kept in deposit 
pending adjudication of the case or as the case may be, disposal of the appeal or the 
final judgment by the court: 
 49[Provided that where the seized goods liable to confiscation are produced 
during any inquiry or trial before the court of Special Judge Customs and if such 
THE CUSTOMS ACT,1969 
  
190 
 
goods are subject to speedy or natural decay, the court may on an application after 
recoding evidence, as it thinks necessary, order the goods to be sold or otherwise 
dispose of in terms of this section: 
 
Provided further that if the property is a dangerous drug, intoxicant, 
intoxicating liquor or any other narcotic or psychotropic substance seized or taken 
into custody, the Court may, either  on an application or of its own motion and under 
its supervision and control, obtain and prepare such number of samples of the 
property as it may deem fit for safe custody and production before it or any other 
court and cause destruction of the remaining portion of the property under a 
certificate issued by it in that behalf; 
 
 Provided also that such samples shall be deemed to be whole of the property 
in an inquiry or proceedings in relation to such offence  before any authority or 
court.] 
     (5)   If on such adjudication or, as the case may be, in such appeal or 
proceeding in Court, the thing so sold is found not to have been liable to such 
confiscation, the entire sale proceeds, after necessary deduction of duties, taxes or 
dues as provided in section 201, shall be handed over to the owner.] 
 54[(6) No court shall stay the auction proceedings unless the person 
obtaining stay order furnish pay order or bank guarantee not less than twenty-five per 
cent of the reserve price of the goods before the nazir of the court.] 
 
170. Procedure in respect of things seized on suspicion by the police. - (1)  
When any things liable to confiscation under this Act are seized by any police-officer 
on suspicion that they had been stolen, he may carry them to any police -station or 
court at which a complaint connected with the stealing or receiving of such things 
has been made, or an inquiry connected with such stealing or receiving is in 
progress, and there detain such things until the dismissal of such complaint or the 
conclusion of such inquiry or of any trial thence resulting.         
 (2) In every such case the police -officer seizing the things shall send 
written notice of their seizure and detention to the nearest custom -house and 
immediately after the dismissal of the complaint or the conclusion of the inquiry or  
trial, he shall cause such things to be conveyed to and deposited at, the nearest 
custom-house, to be there proceeded against according to law. 
52[170A. Procedure in case of seizure of essential commodities. - In case of seizure 
of essential commodities, as notified by the Board, such seized goods shall be 
deposited in the nearest custom-house or the nearest place appointed by the Collector 
of Customs, as the case may be,  for deposit of goods so seized.] 
THE CUSTOMS ACT,1969 
  
191 
 
171. When seizure or arrest is made, reason in writing to be given. - When 
anything is seized, or  any person is arrested under this Act, the officer or other 
person making such seizure or arrest shall, as soon as may be, inform in writing the 
person so arrested or the person from whose possession the things are seized of the 
grounds of such seizure or arrest.            
172. Power to detain packages containing certain publications imported into 
Pakistan.-  (1) Any officer of customs duly authorized by the Collector of Customs 
or any other officer authorized by the Provincial Government in this behalf may 
detain any package, brought whether by land, air or sea into Pakistan which he 
suspects to contain-            
(a) any newspaper or book as defined in the 13[***] West Pakistan Press 
and Publication Ordinance, 1963 (West  Pakistan  Ordinance. XXX of 
1963).      
 (b) any documents containing any treasonable or seditious matter, that is 
to say, any matter the publication of which is punishable under 
Section 123A or Section 124A, as the case may be, of the Pakistan 
Penal Code, 1860 (XLV of 1860), and shall forward such package to 
such officer as the Provincial Government may appoint in this behalf.            
 (2)  Any officer detaining a package under sub -section (1) shall, where 
practicable, forthwith send by post to the addressee or consignee of such package 
notice of the fact of such detention.             
 (3)   The Provincial Government shall cause the contents of such package 
to be examined, and if it appears to the Provincial Government that the package 
contains any such newspaper, book or other document, as aforesaid, it may pass such 
order as to the disposal of the package and its contents as it may deem proper, and, if 
it does not so appear, shall release the package and its contents unless the same be 
otherwise liable to seizure under any law for the time being in force:       
 Provided  that any person interested in any package detained under the 
provisions of this section may, within two months of the date of such detention, 
apply to the Provincial Government for release of the same, and the Provincial 
Government shall consider such application and pass such order thereon as it may 
deem to be proper: 
 Provided further that if such application is rejected, the applicant may, within 
two months of the date of the order rejecting the application, apply to the High Court 
for release of the package or its contents on the ground that the package or the 
contents do not contain any such newspaper, book or other document.     
THE CUSTOMS ACT,1969 
  
192 
 
 (4)  No order passed or action taken under this section shall be called in 
question in any court save as provided in the second proviso to sub-section (3).                  
Explanation.-  In this section “document” includes any writing, painting, engraving, 
drawing or photograph, or other visible representation.  
173. Procedure for disposal by High Court of applications for release of 
packages so detained. - Every application under the second proviso to sub -section 
(3) of section 172 shall be heard and determined in the manner provided by section 
99D to 99F of the Code of Criminal Procedure, 1898 (Act V of 1898), by a special 
bench of the High Court constituted in the manner provided by section 99C of that 
Code.    
174. Power to require production of order permitting clearance of goods 
imported or exported by land. - The appropriate officer may require any person -in-
charge of any goods which such officer has reason to believe to have been imported, 
or to be about to be exported, by land from, or to, any foreign territory  to produce 
the order made under section 83 permitting inward clearance of the goods or the 
order passing the 14/14A[goods declaration] made under section 131 permitting export 
of the goods:         
 Provided that nothing in this section shall apply to any imported goods 
passing from a foreign frontier to an inland customs -station by a route prescribed 
under clause (c) of section 9:         
 Provided further that the Board may, by notification in the official Gazette, 
direct that the provisions of this section shall not apply to any particular area 
adjoining foreign territory in relation to goods of any specified description or value.  
175. Power to prevent making or transmission of certain signals or messages.-  
If an officer of customs or police or any member of the armed forces of Pakistan has 
reasonable grounds for suspecting that any signal or message connected with 
smuggling or intention or designs of smuggling any goods into or out of Pakistan is 
being or is about to be made or transmitted from any conveyance, house or place, he 
may board or enter such conveyance, house or place, and take such steps, as are 
reasonably  necessary to stop or prevent the making or transmission of the signal or 
message.         
176. Power to station officer in certain factories. -  An officer of customs not 
below the rank of an 2/2A[Assistant Collector] of Customs may, if he so deems fit, 
station an officer of customs in any factory or building used for commercial purposes 
and situated within five miles of the frontier of Pakistan with the object of ensuring 
that the factory or building is not used in any way for the unlawful or irregular 
importation or exportation of goods and the officer so stationed shall have the power 
THE CUSTOMS ACT,1969 
  
193 
 
to inspect at all reasonable times the records of the factory or business carried on in 
the building and such other powers as may be prescribed by rules.       
177. Restriction on the possession of goods in certain areas. -  (1) This section 
shall apply to such areas adjacent to the frontier of Pakistan as may, from time to 
time, be notified by the Board in the official Gazette.        
 (2) In any area to which this section for the time being applies, no person 
shall have in his possession or control any such goods or class of goods in excess of 
such quantity or value as may from time to time be notified by the 1[Federal 
Government] or, with the previous approval of the 1[Federal Government], by the 
Provincial Government, in the official Gazette, except under a permit granted by the 
Government which issued the notification in respect of the particular goods or class 
of goods, or by an officer authorized by such Government.   
178. Punishment of persons accompanying a person possessing goods liable to 
confiscation.-  If any two or more persons in company are found together and they 
or any of them, have goods liable to confiscation under this Act, every such person 
having knowledge of this fact is guilty of an offence and punishable in accordance 
with the provisions of this Act as if goods were found on such person. 
 
15[179.  Power of adjudication. - 16&39[(1) Subject to sub -section (2), in cases 
involving confiscation of goods or recovery of duty and other taxes not levied, short 
levied or erroneously refunded, imposition of penalty or any other contravention 
under this Act or the rules made thereunder, the jurisdiction and powers of the 
officers of Customs in terms of amount of duties and other taxes involved, excluding 
the conveyance, shall be as follows, namely:- 
 
(i) Collector  no limit 
(ii) Additional Collector not exceeding 52[five] 
million rupees 
(iii) Deputy Collector not exceeding 52[two] 
million rupees 
(iv) 45[Omitted] 
 
 
(v) Superintendent  not exceeding 46[one 
hundred] thousand rupees. 
(vi) Principal Appraiser not exceeding 46[one 
hundred]  thousand 
rupees. 
 
THE CUSTOMS ACT,1969 
  
194 
 
 42[Provided that in cases of goods to be exported, the above officers of 
Customs shall have their jurisdiction and powers in terms of FOB value and twice 
their respective monetary limit.] 
 
(2)  Notwithstanding the provisions of sub -section (1), the Board may, by 
notification in the official Gazette, fix or vary the jurisdiction and powers of any 
Officer of Customs or a class of officers, and may also assign or  transfer 41[,by an 
order,] any case to any 40[Officer] of Customs, irrespective of the territorial 
jurisdiction 53[: 
 
Provided that the respondent may opt for adjudication through the 
customs computerized system for such goods or offences as notified by the 
Board.] 
 (3)  The cases shall be decided within 37,47[ninety] days of the 38[issuance 
of show cause notice] or within such period extended by the Collector for which 
reasons shall be recorded in writing, but such extended period shall in no case exceed 
38[sixty] days: 
50[Provided that in cases, wherein the provisions of clause (s) of section 2 
have been invoked, such cases shall be decided within a period of 54[forty-five] days 
of the issuance of show cause notice  54[extendable for fifteen days b y the Collector 
Adjudication:] 
38[Provided 50[further] that any period during which the proceedings are 
adjourned on account of a stay order or alternative dispute resolution proceedings or 
the time taken through adjournment by the petitioner not exceeding thirty days, shall 
be excluded for the computation of aforesaid periods:] 
51[Provided further that in cases where in goods are lying at sea -port, airport 
or dryport, these shall be decided within 54[forty-five]  days of the issuance of show 
cause notice which can be extended by another fifteen days by Collector of Customs, 
if required so.] 
(4) The Board shall have the powers to regulate the system of 
adjudication including transfer of cases and extension of time -limit 54[as deemed 
appropriate after reasons to be recorded in writing.]  
 
17 [(5) Notwithstanding anything contained in this Act, or any other law for 
the time being in force and notwithstanding any decision or judgment of any forum, 
authority or court whether passed on or before the commencement of the Finance 
Act, 2006, the time for adjudication in all the cases pending as on first day of July, 
2006, for whatsoever reasons, shall be deemed always to  have been extended up  to 
31st day of December, 2006.] 
THE CUSTOMS ACT,1969 
  
195 
 
18[179A.  OMITTED 
180. Issue of show -cause notice before confiscation of goods or imposition of 
penalty.-   No order under this Act shall be passed for the confiscation of any goods 
or for imposition of any penalty on any person unless the owner of the goods, if any, 
or such person-        
(a) is informed in writing (or if the person concerned consents in writing, 
orally) of the grounds on which it is proposed to confiscate the goods 
or to impose the penalty; 
(b) is given an opportunity of making  a representation in writing (or if 
the person concerned indicates in writing his preference for it orally) 
within such reasonable time as the appropriate officer may specify, 
against the proposed action; and   
(c) is given a reasonable opportunity of being heard personally or through 
a counsel or duly authorized agent.             
181.  Option to pay fine in lieu of confiscated goods. -  Whenever an order for the 
confiscation of goods is passed under this Act, the officer passing the order may give 
the owner of the goods an option to pay in lieu of the confiscation of the goods such 
fine as the officer thinks fit 19[:]         
 20[Provided that the Board may, by an order, specify the goods or class of 
goods where such option shall not be given:              
 Provided further that the Board may, by an order, fix the amount of fine 
which, in lieu of confiscation, shall be imposed on any goods or class of goods 
imported in violation of the provisions of section 15 or of a notification issued under 
section 16 48[or in violation of any other provisions of this Act] , or any other law for 
the time being in force.]           
Explanation.-   Any fine in lieu of confiscation of goods imposed under this section 
shall be in addition to any duty and charges payable in respect of such goods , and of 
any penalty that might have been imposed in addition to the confiscation of goods.  
182. Vesting of confiscated property in the Federal Government. -  When any 
goods are confiscated under this Act, they shall forthwith vest in the 1[Federal 
Government], and the 44[officer or person authorized by the Collector or Director]  
shall take and hold possession of the confiscated goods 21[:] 
THE CUSTOMS ACT,1969 
  
196 
 
 22[Provided that 53[subject to rules,] the Board may authorize the use of 
confiscated vehicles 53[,conveyance and any other equipment] for operational 
purposes by the Board or, with approval of the Board, its subordinate offices.].  
183. Levy of penalty for departure without authority or failure to bring -to.- 
(1)  If any conveyance actually departs without a port clearance or permission in 
writing or, in the case of a vessel, after having failed to bring-to when required at any 
station appointed under section 14, the penalty to which the person -in-charge of such 
conveyance is liable may be adjudged by the appropriate officer of any customs -
station, to which, such conveyance proceeds, or in which it for the time being is.       
 (2) A certificate in respect of such departure or failure to bring -to when 
required, purporting to be signed by the appropriate officer of the customs -station 
from which the conveyance is stated to have so departed, shall be prima facie proof 
of the fact so stated.       
23[184. Power to try summarily. -  (1)  Notwithstanding anything contained in the 
Code of Criminal Procedure, 1898 (Act V of 1898), a Special Judge may, if he thinks 
fit, try in a summary way, any offence under this Act where the value of the goods 
involved in such offence does not exceed one thousand rupees.       
 (2)  In the trial of an offence under sub -section (1), the provisions of sub -
section (1) of section 262 and sections 263, 264 and 265 of the said Code shall, so far 
applicable and with the necessary adaptation, apply.        
 (3)  No proceeding under this section shall be called in question merely on 
the ground that the value of the goods involved was more than the limit specified in 
sub-section (1).     
Explanation.-  For the purpose of this section, “value”-       
(i) in the case of goods, whether imported or indigenous, which are 
lawfully sold in open market in Pakistan, means the wholesale price 
of such goods in open market;  
(ii) in the case of goods, whether imported or indigenous, the price of 
which has been fixed by the Government, means the price so fixed’ 
and  
(iii) in the case of goods the import of which is absolutely prohibited, 
means the price of similar or comparable indigenous goods sold in 
open market in Pakistan or, where no such goods are sold in open 
market in Pakistan, the price fixed by the Federal Government, by 
general or special order.  
THE CUSTOMS ACT,1969 
  
197 
 
24[185. Special Judges. -  (1) The Federal Government may by notification in the 
official Gazette, appoint as many Special Judges as it considers necessary and, where 
it appoints more than one Special Judge, shall specify in the notification the 
headquarters of each Special Judge and the territorial limits within which he shall 
exercise jurisdiction under this Act.       
 (2)   No person shall be appointed as a Special Judge unless he is or has 
been a Sessions Judge.  
 (3) Notwithstanding the provisions of sub -sections (1) and (2), the 
Federal Government may, for the areas comprising the districts of Lasbela 25[,Turbat, 
Panjgoor and Gwadar], appoint any other officer as Special Judge and specify in the 
notification his headquarters and the limits of his territorial jurisdiction under this 
Act. 
  (4) If a Special Judge is, for any reason, temporarily unable to perform 
his duties under this Act, he may generally or specially authorize the Sessions Judge 
26[***] of the district to perform such duties of an urgent nature as he may deem 
proper and such Sessions Judge 26[***] shall perform such duties.   
27[185A. Cognizance of offences by Special Judges. - (1) Notwithstanding 
anything contained in this Act or any other law for the time being in force, a Special 
Judge may, within the limits of his jurisdiction, take cognizance of any offence 
punishable under this Act-  
(a) upon a report in writing made by an officer of customs 27a[***] or by 
any other officer especially authorized in this behalf by the Federal 
Government; or  
(b) upon receiving a complaint or information of  facts constituting such 
offence made or communicated by any person; or    
I upon his own knowledge acquired during any proceeding  before him 
under this Act or under the Prevention of Smuggling Act,1977.    
 (2) Upon the receipt of report under clause (a) of sub -section (1), the 
Special Judge shall proceed with the trial of the accused: 
 49[Provided that such cases shall be disposed of within six months of the 
receipt of report or within such extended period as the Special Judge may, for 
reasons to be recorded in writing, fix.]   
 (3) Upon the receipt of a complaint or information under clause (b), or 
acquired in the manner referred to in clause (c) of sub -section (1), the Special Judge 
may, before issuing a summon or warrant for appearance of the person complained 
against, hold a preliminary inquiry for the purpose of ascertaining the truth or 
THE CUSTOMS ACT,1969 
  
198 
 
falsehood of the complaint, or direct any Magistrate or any officer of customs or any 
police officer to hold such inquiry and submit a report, and such Magistrate or officer 
shall conduct such inquiry and make report accordingly.    
 (4) If, after conducting such inquiry or after considering the report of 
such Magistrate or officer, the Special Judge is of the opinion that-      
(a) there is no sufficient ground for proceeding, he may dismiss the 
complaint, or   
(b) there is sufficient ground for proceeding, he may proceed against the 
person complained against in accordance with law.       
 (5) A Special Judge or a Magistrate or an officer holding inquiry under 
sub-section (3) may hold such inquiry, as early as possible, in accordance with the 
provisions of section 202 of the Code of Criminal Procedure, 1898(Act V of 1898). 
185B. Special Judge, etc. to have exclusive jurisdiction. -  Notwithstanding 
anything contained in this Act or in any other law for the time being in force-        
(a) 43[no court other than the Special Judge having jurisdiction shall try 
an offence punishable under the Act, except the offences relating to 
narcotics and narcotic substances which shall be tried by the Special 
Courts established under the Control of Narcotics Substances Act, 
1997 (XXV of 1997)]; 
(b) no other court or officer, except in the manner and to the extent 
specifically provided for in this Act, shall exercise any power, or 
perform any function under this Act; 
I  no court, other than the Special Appellate Court, shall entertain, hear 
or decide any application, petition or appeal under Chapters XXXI 
and XXXII of the Code of Criminal Procedure, 1898 (Act V of 1898), 
against or in respect of any order or direction made under this Act; 
and  
(d) no court, other than the Special Judge or the Special Appellate Court, 
shall entertain any application or petition or pass any order or give 
any direction under Chapters XXXVII, XXXIX, XLIV or XLV of the 
said Code.] 
185C. Provisions of Code of Criminal Procedure,1898, to apply. - (1) The 
provisions of the Code of Criminal Procedure, 1898(Act V of 1898), so far as they 
are not inconsistent with the provisions of this Act, shall apply to the proceedings of 
the court of a Special Judge and such court shall be deemed to be a Court of Session 
for the purposes of the said Code and the provisions of Chapter XXIIA of the Code, 
THE CUSTOMS ACT,1969 
  
199 
 
so far as applicable and with the necessary modifications, shall apply to the trial of 
cases by the Special Judge under this Act. 
 (2)  For the purposes of sub -section (1), the Code of Criminal Procedure, 
1898(Act V of 1898), shall have effect as if an offence  punishable under this Act 
were one of the offences referred to in sub-section (1) of section 337 of the Code.  
185D Transfer of cases. - (1) Where more than one Special Judge are appointed 
within the territorial jurisdiction of a Special Appellate Court, the Special Appellate 
Court, and where not more than one Special Judge is so appointed, the Federal 
Government, may, by order in writing direct the transfer , at any stage of the trial, of 
any case from the court of one Special Judge to the Court of another Special Judge 
for disposal, whenever it appears to the Special Appellate Court or, as the case may 
be, the Federal Government, that such transfer will promote the ends of justice or 
tend to the general convenience of the parties or witnesses.  
(2) In respect of a case transferred to a Special Judge under sub -section(1), such 
Special Judge shall not by reason of the said transfer, be bound to recall and rehear 
any witness whose evidence has been recorded in the case before the transfer and 
may act upon the evidence already recorded or produced before the court which tried 
the case before the transfer.         
(3) 53[The Board may at any stage of investigation direct transfer of investigation 
of criminal case from one field formation to other formation.] 
185E. Place of sittings. -  A Special Judge shall ordinarily hold sittings at his 
headquarters but, keeping in view the general convenience of the parties or the 
witnesses, he may hold sittings at any other place. 
185F.  Appeal to Special Appellate Court. - (1) Any person, including the Federal 
Government 28[the 28a[Board], the Collector of Customs  28b[or Director of 
Intelligence and Investigation]  or any other officer authorized in this behalf by the 
Board], aggrieved by any order passed or decision made by a Special Judge under 
this Act or under the Code of Criminal Procedure,1898(Act V of 1898), may, subject 
to the provisions of Chapters XXXI and XXXII of the Code, within 29[sixty days] 
from the date of the order or decision, prefer an appeal or revision to the Special 
Appellate Court, and in hearing and disposing of such appeal or revision, such Court 
shall exercise all the powers of a High Court under the said Code.    
 (2)  Except as otherwise provided in sub -section (1), the provisions of the 
Limitation Act,1908 (Act IX of 1908), shall apply to an appeal or a revision 
preferred under sub-section(1).  
THE CUSTOMS ACT,1969 
  
200 
 
185G. Persons who may conduct prosecution etc. -  (1) Notwithstanding anything 
contained in the Code of Criminal Procedure, 1898(Act V of 1898), a Special 
Prosecutor appointed under section 47 of the Prevention of Smuggling Act,1977, 
shall be competent to conduct prosecution before a Special Judge for and on behalf 
of the Federal Government and to withdraw prosecution when so required by the 
Federal Government.           
 (2)  A law officer appointed under the Central Law Officers 
Ordinance,1970 (Ordinance VII of 1970) 30[or an advocate authorized by the Board  
or by an officer subordinate to it] shall be competent to conduct proceedings before a 
Special Appellate Court on behalf of the Federal Government and to withdraw such 
proceedings when so required by the Federal Government.]            
186. Detention of goods pending payment of fine or penalty. -  (1) When any 
fine or penalty has been imposed, or while imposition of any fine or penalty is under 
consideration 31[,or pending any inquiry or investigation], in respect of any goods, 
such goods shall not be removed by the owner until such fine or penalty has been 
paid 32[or such inquiry and investigation has been completed].        
 (2) When any fine or penalty has been imposed in respect of any goods, 
the appropriate officer may detain any other goods belonging to the same owner 
pending payment of such fine or penalty.           
187. Burden of proof as to lawful authority etc. - When any person is alleged to 
have committed an offence under this Act and any question arises whether he did 
any act or was in possession of anything with lawful authority or under a permit, 
license  54[or goods declaration or sales tax invoice in his name ] or other document 
prescribed by or under any law for the time being in force, the burden of proving that 
he had such authority, permit, license 54[or goods declaration or sales tax invoice in 
his name] or other document shall lie on him : 
 
50[Provided that any person, alleged to have committed an offence under this 
Act, shall bear the burden of proof that any property owned by him in his name or 
someone else name was not acquired from the proceeds of such crime: 
Provided further that the procedure for forfeiture of such property shall be 
prescribed by the Board under the rules.] 
54[187A.  Presumption of legal character of vehicle . -  Where any vehicle is 
detained or seized under this Act or the rules made thereunder and such vehicle upon 
forensic examination is found to be having a tampered chassis number or cut and 
weld chassis or chassis number filled with welding material or re -stamped, such 
vehicle shall be presumed to be smuggled, even if registered with Motor Registration 
Authority, and shall be confiscated and the Board may authorize the use of such 
THE CUSTOMS ACT,1969 
  
201 
 
confiscated vehicles for operational purposes in the manner provided in section 182, 
of this Act, within ninety days of confiscation.]  
188. Presumption as to documents in certain cases. -  Where any document is 
produced by any person under this Act or has been seized under this Act from the 
custody or control of any person, and such document is tendered by the prosecution 
in evidence against him, the 33[Special Judge] shall,-    
 (a) unless the contrary is proved by any such person, presume-     
 (i) the truth of the contents of such document; 
(ii) that the signature and every other part of such document 
which purports to be in the handwriting of any particular 
person or which the Special Judge may reasonably assume to 
have been signed by, or to be in the handwriting of, any 
particular person, is in that person’s handwriting, and in the 
case of a document executed or attested that it was executed or 
attested by the person by whom it purports to have been so 
executed or attested; 
(b) admit the document in evidence, notwithstanding that it is not duly 
stamped, if such document is otherwise admissible in evidence 34[:] 
   35[Provided that where the Customs Computerized System is 
 operational, system generated documents shall be accepted as true and 
 correct.]      
189. Notice of conviction to be displayed.- (1) Upon the conviction of any person 
for the offence of smuggling, the 1[Federal Government] may require him to exhibit 
in or outside, or both in and outside his place of business, if any, notices, of such 
number, size and lettering, and placed in such positions and containing such 
particulars relating to conviction as it may determine, and to keep them so exhibited 
continuously for a period not less than three months from the date of conviction; and, 
if he fails to comply fully with the requirement, he shall be deemed to have 
committed a further offence under this Act of the nature of the original offence for 
which he was convicted.  
(2) If any person so convicted refuses or fails to comply fully with any 
such requirement, any officer authorized in that behalf by an order of the 1[Federal 
Government] in writing may, without prejudice to any proceedings which may be 
brought in respect of any such refusal or failure, affix the notices in or outside, or 
both in and outside, the place of business of such person in accordance with the 
requirement of the 1[Federal Government] in pursuance of sub-section (1).   
THE CUSTOMS ACT,1969 
  
202 
 
(3) If, in any case, the 1[Federal Government] is satisfied that the 
exhibition of notices in accordance with the requirements of the provisions of sub -
section (1) or sub-section (2) will not effectively bring the conviction to the notice of 
persons dealing with the convicted person, the 1[Federal Government] may, in lieu 
of, or in addition to any such requirement, require the convicted person to exhibit for 
such period, not being a period less than three months, on such stationery used in his 
business as may be specified in the requirement, a notice placed in such position and  
printed in type of such size and form and containing such particulars relating to the 
conviction as may be specified in the requirement; and, if he fails to comply fully  
with the requirement, he shall be deemed to have committed a further offence under 
this Act of the nature of the original offence for which he was convicted. 
 
190. Power to publish conviction.- If the 1[Federal Government] is satisfied that 
it is necessary so to do, the conviction and the particulars relating to the conviction 
of any person for the offence of smuggling may be published in the official Gazette. 
191. Imprisonment may be of either description.- Imprisonment for any offence 
under this Act may, in the discretion of the 36[Special Judge], be either simple or 
rigorous. 
192. Duty of certain persons to give information.- (1) Any person who comes to 
know of the commission of any offence under this Act, or an attempt or likely 
attempt to commit any such offence, shall, as soon as may be, give information 
thereof in writing to the officer -in-charge of the nearest custom - house or customs -
station, or if there is no such custom -house or customs -station, to the officer -in-
charge of the nearest police-station.  
 (2) The officer -in-charge of a police -station who receives any 
information mentioned in sub-section (1) shall as soon as possible communicate it to 
the officer-in-charge of the nearest custom-house or customs-station. 
LEGAL REFERENCE 
1. Substituted for the words “Central Government” by the Finance Ordinance, 1972 (XXI of 
1972), S.3, page 56 and Second Schedule S.1, page 76. 
2. Substituted for the words “Assistant Collector” by the Finance Act, 1996 (IX of 1996), S. 
4(6), page 476. 
2A. By the Finance Act, 2006 the words ”or Deputy Collector” were omitted.  
3. Substituted by the Prevention of Smuggling Act, 1977 (XII of 1977), S.51(iii), page 24.  At the 
time of substitution sub-section (4) was as under:- 
“(4) The officer of customs or the officer -in-charge of a police station before whom any 
person is taken under this section shall, if the offence be bailable, either admit him to bail to 
appear before the Magistrate having jurisdiction or have him taken in custody before such 
Magistrate. 
(5) When any person is taken under sub -section (4) before an officer of customs as 
aforesaid, such officer shall proceed to inquire into the charge against such person. 
THE CUSTOMS ACT,1969 
  
203 
 
(6) For the purpose of an inquiry under sub -section (5), the officer of customs may 
exercise the same powers, and shall be subject to the same provisions, as an officer -in-
charge of a police station may exercise and is subject to under the Code of Criminal 
Procedure, 1898 (Act V of 1898), when investigating a cognizable offence: 
Provided that, if the officer of customs is of opinion that there is sufficient evidence or 
reasonable ground of suspicion against the accused person, he shall, if the offence be 
bailable, either admit him to bail to appear before a Magistrate having jurisdiction, or have 
him taken in custody before such Magistrate. 
(7) If it appears to the officer of customs that there is no sufficient evidence or 
reasonable ground of suspicion against the accused person, he shall release the accused  
person on his executing a bond, with or without sureties as the  officer may direct, to appear, 
if and when so required, before the Magistrate having jurisdiction and shall  make a full 
report of the case to his immediate superior.”. 
 
4. Substituted for the words “nearest Magistrate” by the Federal Laws (R&D) Ordinance, 1981 
(XXVII of 1981). 
5. Substituted for the word “Magistrate” by the Federal Law (R&D) Ordinance, 1981 (XXVII 
of 1981). Substituted for the words “Assistant Collector” by the Finance Act, 1996 (IX of  
1996)., 
6. Omitted the word “in connection with the smuggling of any goods” by the Finance Act, 2004 
(II  of  2004), S.3(16), page 17  
7. Omitted the words, figures and brackets “sub-section (3) to (7) of” by the Prevention of  
Smuggling Act, 1977 (XII of 1977),  S.51(iv), page 226. 
8. Substituted for the full stop by the Finance Act, 2004 (II of 2004), S.3(17), page 17. 
9. Added by the Finance Act, 2004 (V of 2004), S.3(17), page 17. 
10. Substituted by the Finance Ordinance, 1979 (XXX of 1979), S.6(8), page 188.  At the time of  
substitution section 169 was as under:- 
 
“169. Things seized how dealt with. - (1) All things seized on the ground that they are 
liable to confiscation under this Act shall, without unnecessary delay, be delivered into the 
care of the officer of customs authorized to receive the same. 
(2) If there be no such officer at hand, all such things shall be carried to and deposited 
at the customs-house nearest to the place of seizure. 
(3) If there be no custom-house within a convenient distance, such things shall be 
deposited at the nearest place appointed by the Collector of Customs for the deposit of things 
so seized. 
10a.[(4) When anything liable to confiscation under this Act is seized by the appropriate 
officer under Section 168, the Collector of Customs or any other officer of Customs 
authorized by him in this behalf may, notwithstanding the fact that adjudication of the case 
under Section 179, or an appeal under section 193, or a revision under Section 196 is 
pending, cause the things to be sold in accordance with the provisions of Section 201 and 
have the proceeds kept in deposit pending adjudication of the case or, as the case may be, 
disposal of the appeal or revision: 
 Provided that if the things seized is any conveyance, it may be sold as aforesaid only if it has 
been sued for smuggling or attempting to smuggle goods notified by the Federal Government 
under clause 8 of the Table in Section 156: 
 Provided further that where the owner or person incharge of the conveyance is to be or is 
being prosecuted in a court of law, such conveyance may not be sold without permission of 
the court.] 
(5)    If no such adjudication 10b[or, as the case may be, in such appeal or revision] the things 
so sold is found not to have been liable to such confiscation, the entire sale proceeds, after 
necessary deduction of duties, taxes or dues as provided in Section 201, shall be handed over 
to the owner.”. 
10a. Substituted by the Finance Act,1973 (L of 1973), S.9(8)(a), page 13. At the time of 
substitution this  was as under:- 
“(4) If the Collector of Customs or any other officer of customs authorized by 
him in this behalf considers that any such things is perishable or liable to rapid 
THE CUSTOMS ACT,1969 
  
204 
 
deterioration, he shall immediately cause it to be sold in accordance with the 
provisions of Section 201 and have the proceeds kept in deposit pending 
adjudication of the case.”.   
10b. Inserted the words and commas by the Finance Act, 1973(L of 1973), page 13. 
S.9(8)(b), page 13. 
 
11. Substituted by the Finance Ordinance, 2001 (XXV of 2001), S.4(7), page 306.  At the time of 
substitution this was as under: 
 “(4) When anything liable to confiscation under this Act is seized by the appropriate 
officer under section 168, the Collector of Customs or any other officer of customs 
authorized by him in this behalf may, notwithstanding the fact that adjudication of the case 
under section 179, or an appeal under section 193, or a revision under section 196 or a 
proceeding in any court, is pending, cause the things to be sold in accordance with the 
provisions of section 201 and have the proceeds kept in deposit pending adjudication of the 
case or as the case may be, disposal of the appeal or revision or the final judgment by the 
court. 
(5) If on such adjudication or, as the case may be, in such appeal or revision or 
proceedings in court, the things so sold is found not to have been liable to such confiscation, 
the entire sale proceeds, after necessary deduction of duties, taxes or dues as provided in 
section 201, shall be handed over to the owner.”.  
12. Substituted by the Finance Act, 2005 
13. .The words, commas and figure “the Press and Publications Ordinance, 1960(XV of 1960) in 
its application to the province of East Pakistan or in” omitted by the Federal  Laws (R&D), 
Ordinance, 1981.    
14. Inserted by the Finance Act, 2003 (I of 2003), S.5(31), page 40. 
14A. Omitted the words “bill of export of” by the Finance Act, 2006 
15. Substituted by the Finance Ordinance, 2000 and again substituted by the FO,2002,  At the 
time of substitution section 179 was as under:- 
  “179. Power of adjudication. -In cases involving confiscation of goods or 
imposition of penalty under this Act, the  jurisdiction and powers of the officers of 
customs shall  be as follows:- 
  (1) a Collector of Collector of Customs may deal with cases where the value 
of the goods exceeds ten thousand  rupees; 
 (2) a 1a[Additional Collector] of Customs may deal with cases where the value of the 
goods does not exceed ten thousand rupees; 
 (3) an 1 b[Assistant Collector or Deputy Collection] of Customs may deal with cases 
where the value of the goods  does not exceed two thousand five hundred rupees; 
 (4) any other officer of customs as the Board may authorize by virtue of his office may 
deal with cases where the value of the goods does not exceed two hundred and fifty rupees; 
 (5) any officer of customs shall be competent to impose any penalty under section 156 
in any case which he is authorized to deal with: 
  Provided that the Board may, by notification in the official Gazette, reduce or 
extend the jurisdiction and powers of any particular officer or class of officers.”. 
1a. Substituted for the words “Deputy Collector” by the Finance Act, 1996 
(IX of 1996), S.4(6), page 476. 
1b. Substituted for the words “Assistant Collector” by the Finance  Act, 1996 
(IX of 1996), S.4(7), page 476. 
THE CUSTOMS ACT,1969 
  
205 
 
  1c. 179. Powers of adjudication. - (1) Subject to sub -section (2), in cases 
involving confiscation of goods or imposition of penalty under this Act or the 
rules made thereunder, the jurisdiction and powers of adjudication of the 
Officers of Customs shall be as follows:- 
   (i) Collector   Without limit. 
 (ii)  Additional Collector  Confiscation of goods the value of which 
does not  exceed Rs. 1,500,000/ - excluding 
the value of conveyance and the value of 
non-dutiable goods, and imposition of the 
penalty under the rules. 
 (iii)       Deputy Collector Confiscation of goods the value of which 
does not exceed Rs.500,000/- excluding the 
value of conveyance and the value of non -
dutiable goods, and imposition of the 
penalty under the rules. 
  2. The Board may, by notification in the official Gazette, 1e[ fix or] vary the 
jurisdiction and powers of any Officer of Customs or a class of officers. 
  3. A Collector, an Additional Collector or an Deputy Collector shall decide 
the case within forty -five days of the issuance of show cause notice or within such 
extended period for which for reason shall be recorded in writing provided that 
such extended period shall in no case exceed ninety days. 
  4.  The Board shall have the powers to regulate the system of adjudication 
including transfer of cases and extension of time limit in exceptional 
circumstance.”. 
 1e. Inserted words by the Customs (Amendment) Ordinance, 2000 (XLVI of 2000).  
16. Substituted by the Finance Act, 2006.  At the time of substitution sub-section (1) and (2) of  
section 179 was as under:- 
(1) Subject to sub -section (2), in cases involving confiscation of goods or imposition of 
penalty under this Act or the rules made thereunder, the jurisdiction and powers of 
adjudication of the Officers of Customs in terms of amount of duties and other taxes 
involved, excluding the conveyance, shall  be as follows:-   
 
**[*** ***** *****]. 
(ii) Additional Collector [without limit]. 
(iii) Deputy Collector not exceeding four hundred 
thousand rupees. 
(iv) Assistant Collector not exceeding fifty thousand 
rupees. 
(v) Superintendent not exceeding ten thousand 
rupees. 
(vi) Principal Appraiser not exceeding ten thousand 
rupees. 
 
(3) The Board may, by notification in the official Gazette, fix or vary the jurisdiction and powers 
of any Officer of Customs or a  class of officers.  
 
THE CUSTOMS ACT,1969 
  
206 
 
 **. Omitted by the Finance Act, 2005. 
16a. For the word “five” the word “eight” was substituted by the FA, 2007. 
16b. For the words “two hundred and fifty”  the words “three hundred” were substituted by the 
FA, 2007. 
17. Inserted by the Finance Act, 2006. 
18. Inserted by the Prevention of Smuggling ordinance, 1977 (XII of 1977), S.51(v), page 226 
and omitted by Finance Ordinance, 1979 (XXX of 1979), S.6(9), page 189.  At the time of 
omission section 179-A was as under:- 
 “179-A. Orders of adjudication to be subject to decision of Special Judge, etc. - 
Notwithstanding anything contained in Section 179, Section 181 or Section 182 or in Chapter 
XIX, in cases where the owners or persons -incharge of goods or things seized are to be, or 
are being, prosecuted before a Special Judge, an order of adjudication made under Section 
179 or under Chapter XIX shall be subject to the decision of the Special Judge and of the 
Special Appellate Court in appeal or revision, if any.”. 
19. Substituted for full stop by the Finance Act, 1992 (VII of 1992), S.6(5), page 114. 
20. Added by the Finance Act, 1992 (VII of 1992), S.6(5), page 114.   
21. Substituted for full stop by the Finance Ordinance, 2002 (XXVII of 2002), S.4(8), page 224. 
22. Added by the Finance Ordinance, 2002 (XXVII of 2002), S.4(8), page 224  
23. Substituted by the Prevention and Smuggling Act, 1977 (XII of 1977), S.51(iv), page 226.  At 
the time of substitution section  184 was as under:- 
 184. Power to try summarily. - Any Magistrate for the time being empowered to try in 
a summary way the offences specified in sub -section (1) of Section 260 of the Code of 
Criminal Procedure, 1898 (Act V of 1898) may, if he thinks fit, on application in this behalf 
by the prosecution, try an offence under this Act except when the value of goods involved in 
such offences exceeds five hundred rupees, in accordance with the provisions of sub -section 
(1) of Section 262, 263, 264 and 265 of that Code.”. – 
24. Substituted by the Prevention and Smuggling Act, 1977 (XII of 1977), S.51(vii), page 227.  At 
the time of substitution section 185 was as under:- 
 “185. Special powers for Magistrates.- Notwithstanding anything contained in the Code 
of Criminal Procedure, 1898 (Act V of 1898) and subject to the other provisions of this Act, 
any Magistrate of the  first class specially empowered by the Provincial Government in this 
behalf may pass a sentence of imprisonment for a term exceeding two years and of fine 
exceeding one thousand rupees for an offence under this Act.”. 
 
25. Substituted for the words “and Mekran” by the Customs (Amendment) Ordinance, 1977. 
26. The words “or the District Magistrate” omitted by the Federal Laws (R&D) Ordinance, 
1981(XXVII of 1981). 
27. Inserted by the Finance Act, 1973 (51 of 1973), S.9(8), page 13 and substituted by the 
Prevention and Smuggling Act, 1977(XII of 1977), S.51(vii), page 227.  At the time of 
substitution section 185-A was as under:- 
 “185-A. Offences to be tried by Special Judges. - (1) The Federal Government may, by 
notification in the official Gazette, appoint as many Special Judges as it may consider 
necessary in this section referred to a Special Judge and where it appoints more than one 
Special Judge, shall specify in the notification the territorial limits within which each one of 
them shall exercise jurisdiction. 
(2) A Special Judge shall be a person who is or has been or is qualified to be a Sessions 
Judge. 
(3) Notwithstanding anything contained in any other provision of this Act or in any 
other law for the time being in force, on the appointment of a Special Judge for any area, an 
offence punishable under this Act shall be tried exclusively by the Special Judge and all cases  
pending in any other court in such area immediately before such appointment shall stand 
transferred to such Special Judge. 
THE CUSTOMS ACT,1969 
  
207 
 
(4) The provisions of the Code of Criminal Procedure, 1898 (Act V of 1898), except 
those of Chapter XXXVIII of that Code, shall apply to the proceedings of the court of a 
Special Judge and for the purposes of the said provisions, the court of a Special Judge shall 
be deemed to be a Court of Session trying cases without the aid of assessors or a jury, and a 
person conducting prosecution before the Court of a Special Judge shall be deemed to be a 
Public Prosecutor. 
(5) For the purposes of sub -section (4), the Code of Criminal Procedure, 1898 (Act V 
of 1898) shall have effect as if an offence punishable under this Act were one of the offences 
referred to in sub-section (1) of Section 237 of the Code. 
(6) A Special Judge shall take cognizance of, and have jurisdiction to try, an offence 
triable under sub -section (3) only upon a complaint in writing made by such officer of 
Customs, or such other person invested with the powers of an officer of Customs, as may be 
authorized by the Central Board of Revenue in this behalf, by a general or special order in 
writing.} 
 1b[(7) The provisions of Chapter XX of the Code of Criminal Procedure, 1898 
(Act V of 1898), shall apply to trial of cases under this Act in so far as they under the Code of 
Criminal Procedure, 1898 (Act V of 1898), to admit to bail any person accused of any non -
bailable offence punishable under this Act who appears or is brought before such court. 
(9) The Federal Government may, by order in writing, direct the transfer, at any stage 
of the trial, of any case from the court of one Special Judge to the court of another Special 
Judge for disposal, whenever it appears to the Federal Government that such transfer will 
promote the ends of justice or tend to the general convenience of parties or witnesses. 
(10) In respect of a case transferred to a Special Judge by virtue of sub -section (3) or 
under sub-section (9), such Judge shall not, by reason of the said transfer, be bound to recall 
and re-hear any witness who has given evidence in the case before the transfer and may act 
on the evidence already recorded by or produced before the court which tried the case before 
the transfer.]”. 
1b. Added by the Finance Act, 1974 (XL of 1974), S..10, page 245.   
 
27a. The words “or by an officer -incharge of a police -station” were omitted by the Finance Act, 
2007. 
28. Inserted by the Finance Act, 2005. 
28a. For the words “Central Board of Revenue” the word “Board” was substituted by the 
Finance Act, 2007. 
28b. Inserted by the Finance Act, 2007. 
29. Substituted the words “thirty days” by the Finance Ordinance, 1982 (XII of 1982), S.6(11), 
page 61.  
30. Inserted by the Finance Ordinance, 2002 (XXVII of 2002), S.4(9), page 224. 
31.  Inserted by the Finance Act, 2004 (II  of 2004), S.3(18), page 17. 
32. Inserted by the Finance Act, 2004 (V of 2004), S.3(18), page 17.  
33. Substituted for the word “Magistrate” by the Prevention and Smuggling Act, 1977 
34. Substituted for the full stop by the Finance Act, 2004 (II  of 29\004), S.3(19),  
35. Added by the Finance Act, 2004 (II of 2004), S.3(19), page 17. 
36. Substituted for the word “Magistrate” by the Prevention and Smuggling Act, 1977. 
37. Added by Finance Act,2008(I of 2008) (Page-46) 
38. The words “receipt of the contravention report”  and “ninety” substituted with the words 
“issuance of show cause notice”  and “sixty”, respectively and proviso inserted  by Finance 
Act,2009. 
39. Substituted by Finance Act, 2012 for the word s “[(1) Subject to sub -section (2), in cases 
involving confiscation of goods or imposition of penalty under this Act or the rules made 
thereunder, the jurisdiction and powers of the Officers of Customs in terms of amount of 
duties and other taxes involved, excluding the conveyance, shall be as follows:- 
(i) Additional Collector without limit. 
(ii) Deputy Collector not exceeding 16a[eight] hundred thousand rupees. 
(iii) Assistant Collector not exceeding 16b[three hundred]  thousand rupees. 
THE CUSTOMS ACT,1969 
  
208 
 
 40.   Substituted for the word “Collector” by Finance Act, 2012. 
 41. Inserted by Finance Act, 2012. 
 42. Inserted by Finance Act, 2013 
 43. Substituted by Finance Act, 2014, At the time of substitution was as under: 
no court other than the Special Judge having jurisdiction, shall try an offence punishable 
under this Act 
44. Substituted  by Finance Act, 2018 
45. Omitted by Finance Act, 2019, At the time the omission, the sub-clause was: 
 
(iv) Assistant Collector not exceeding five hundred 
thousand rupees 
 46. Substituted by Finance Act,2019. At the time of substitution the words was “Fifty” 
 47. Substituted by Finance Ac, 2019. At the time of substitution the words was “one hundred and 
twenty” 
 48. Inserted by Finance Act, 2019 
 49. Inserted by Tax Laws (Amendment) Act  (30th March) 2020 
 50. Inserted by Finance Act, 2020 (June) 
 51. Inserted by Finance Act, 2021(June) 
 52. Inserted by Finance Act, 2022(June) 
 53. Inserted by Finance Act, 2023(June)  
 54. Inserted by Finance Act, 2025(June) 
 
THE CUSTOMS ACT,1969 
  
209 
 
1CHAPTER XIX 
APPEALS AND REVISIONS 
2[193 Appeals to Collector (Appeals). -  60[ (1) Any person including an officer of 
Customs aggrieved by any decision or order passed under sections 33, 79, 80 69[,131]  
66[,] 179 66[and 195]  by an officer of Custom s below the rank of Additional 
Collector may prefer appeal to the Collector (Appeals) within thirty days of the date 
of communication to him of such decision or order: 
 Provided that an appeal preferred after the expiry of thirty days may be 
admitted by the Collector (Appeals) if he is satisfied  that the appellant has sufficient 
cause for not preferring the appeal within that period.]   
 (2) An appeal under this section shall be in such form and shall be 
verified in such manner as may be prescribed by rules made in this behalf. 
 (3) An appeal made under this Act shall be accompanied by a fee of one 
thousand rupees to be paid in the manner that may be prescribed by the Board.  
5a[193A. Procedure in appeal. -  (1) The Collector (Appeals) shall give an 
opportunity to the appellant to be heard if he so desires. 
 (2) The Collector (Appeals) may, at the hearing of an appeal, allow the 
appellant to go into any ground of appeal not specified in the ground of appeal, if the 
Collector (Appeals) is satisfied that the omission of that ground from the grounds of 
appeal was not willful or unreasonable. 
 
68[(2A) The Collector (Appeals) may, for a period not exceeding thirty days, 
stay recovery of duty and taxes on filing of appeal and after affording opportunity of 
being heard to the officer of the concerned Collectorate or Directorate.]  
 5b[(3) The Collector (Appeals) may, after making such further inquiry as 
may be necessary pass an order, within 48,70[ninety] days from the date of filing of 
appeal or within such extended period as the Collector (Appeals) may for reasons to 
be recorded in writing, extend, confirm, modify or annul the decision or order 
appealed against: 
 Provided that such extended period shall not exceed  49{sixty] days unless the 
Board further extends at any time during the pendency of appeal:]  
 50[Provided further that any period during which the hearing of an appeal is 
adjourned on account of a stay order or alternative dispute resolution proceedings or 
THE CUSTOMS ACT,1969 
  
210 
 
the time taken through adjournment by the petitioner not exceeding thirty days, shall 
be excluded for the purpose of computation of aforesaid period.] 
 Provided further that, where the Collector (Appeals) is of opinion that any 
duty has not been levied or has been short -levied or erroneously refunded, no order 
requiring the appellant to pay any duty not levi ed, short -levied or erroneously 
refunded shall be passed unless the appellant is given notice within the time -limit 
specified in section 32 to show cause against the proposed order.    
 (4) The order of the Collector (Appeals) disposing of the appeal shall be 
in writing and shall state that points for determination, the decision thereon and the 
reasons for the decision. 
 (5) On the disposal of the appeal, the Collector (Appeals) shall 
communicate the order passed by him to the appellant, the adjudicating authority and 
the Collector of Customs]. 
 
6,71,76,81[194. Appellate Tribunal.- (1) There shall be established a Customs Appellate 
Tribunal, hereinafter called as the Appellate Tribunal to exercise jurisdiction, powers 
and perform functions conferred upon it under this Act. 
 
(2) The Appellate Tribunal shall consist of members who shall be 
appointed by the Federal Government in such numbers, in accordance with such 
procedure and on such terms and conditions as the Federal Government may prescribe 
by rules, which shall be made and take effect notwithstanding anything contained in 
section 219 of this Act or the Federal Public Service Commission Ordinance, 1977 
(XLV of 1977) or any other law or rules, for the time being in force: 
 
Provided that the existing members including Chairman of the Appellate 
Tribunal shall continue to hold office, on the same terms and conditions as applicable 
to them prior to the commencement of the Finance Act, 2024, till the completion of 
their term of office unless removed earlier on the grounds provided in the proviso to 
sub-section (5). 
 
(3) A person shall be eligible to be appointed as a member of the 
Appellate Tribunal, if he- 
 
(a) is an advocate of a High Court for not less than fifteen years having 
expertise in Customs Laws and experience of pleading at least fifty 
Customs cases at various forums; and possesses such other qualifications 
as may be prescribed by rules; 
(b) is an officer of the Customs Service of Pakistan in BS-21 or above; or 
THE CUSTOMS ACT,1969 
  
211 
 
(c) is an officer of the Customs Service of Pakistan in BS -20, having served 
in such grade for three years or more. 
(4) The Federal Government shall appoint any member possessing 
qualifications provided in clause (a) of sub -section (3) as Chairman of the Appellate 
Tribunal. The Chairman shall hold office for a period of three years provided that the 
Federal Government may reappoint the Chairman for such further term or terms as it 
may deem appropriate. 
 
(5) The members including, the Chairman shall cease to hold office on 
attaining the age of sixty -two years provided that the members falling under clauses 
(b) and (c) of sub -section (3) shall cease to hold office on attaining the age of 
superannuation, under the law regulating their service: 
 
Provided that a member including the Chairman may be removed by the 
Federal Government, on the recommendation of performance review committee, to be 
constituted by the rules made under sub -section (2), at any time before the expiry of 
his term or attaining the age of superannuation, as the case may be, on grounds, inter -
alia, of inefficiency or misconduct, as prescribed by the rules made under sub -section 
(2).] 
 
9,81[194A. Appeals to the Appellate Tribunal .- (1) Any person or an officer 
of Customs aggrieved by any of the following orders may appeal to the Appellate 
Tribunal against such orders:- 
 
(a) a decision or order passed by an officer of Customs not below the 
rank of Additional Collector under section 179; 
(b) an order passed by the Collector (Appeals) under section 193; 
(c) an order passed under section 195; 
(d) an order passed in revision by the Director General Customs 
Valuation under section 25D: 
Provided that such appeal shall be heard by a special bench of at least 
two members one Judicial Member and one Technical Member, constituted by 
the Chairman; and 
 
(e) an appellate order or a quasi -judicial order passed by the Chief 
Collector of Customs under provisions of this Act and the rules made 
thereunder provided that such appeal shall be heard by a special bench 
consisting of one technical member and one judicial member: 
THE CUSTOMS ACT,1969 
  
212 
 
Provided that the Appellate Tribunal may, in its discretion, refuse to 
admit an appeal in respect of an order referred to in sub-section (1) where- 
 
(i) the value of the goods confiscated without option having been 
given to the owner of the goods to pay a fine in lieu of 
confiscation under section 181; or 
(ii) in any disputed case other than a case where the determination of 
any question having a relation to rate of duty of customs or to the 
value of goods for purposes of assessment is in issue or is one of 
the points in issue, the difference in duty involved or the duty 
involved; or 
(iii) the amount of fine or penalty determined by such order does not 
exceed fifty thousand rupees. 
(2) Every appeal in the prescribed form and accompanied by the 
prescribed fee so specified in sub section (3) under this section shall be filed, within 
82[forty-five days]  from the date on which the decision or order sought to be 
appealed against is communicated to the Board or the Collector of Customs, or as the 
case may be, the other party preferring the appeal. 
 
(3)  An application under sub-section (1) by a person other than an officer 
of customs, shall be accompanied by a fee of twenty thousand rupees in case of a 
company, and five thousand rupees in case other than a company. 
 
(4) The Appellate Tribunal may, upon application in writing, admit an 
appeal after the expiration of the period specified in sub -section (2) if it is satisfied 
that there was sufficient cause for not presenting it within that period. 
 
(5) Notwithstanding that an appeal has been filed under this section, the 
assessed or adjudged amount of duty and taxes shall be payable, unless recovery 
thereof has been stayed by the Appellate Tribunal: 
 
Provided that on filing of application for grant of stay, the Appellate Tribunal 
may after affording an opportunity of being heard to the Collector having 
jurisdiction, for reasons to be recorded, stay the recovery of duty and taxes for thirty 
days, during which period a notice shall be issued to the respondents and after 
hearing the parties, order may be confirmed or varied as the Tribunal deems fit but 
stay order shall in no case exceed ninety days 82[: 
 
Provided further that such stay order shall be subject to furnishing of pay order 
or bank guarantee not less than twenty -five per cent of principal amount by the 
aggrieved person before the register of the Tribunal.] 
THE CUSTOMS ACT,1969 
  
213 
 
(6) Notwithstanding anything in this Act, where any reference or appeal 
was preferred with the approval of Collector of Customs by the officer of lower rank 
than that of the Collector and the reference or appeal is pending before an appellate 
forum or the Court, such reference or appeal shall be deemed to have been so filed 
by the Collector and for removal of doubt it is hereby declared the pending appeals 
shall not abate solely on this ground.] 
 
81[194B. Decision of appeals by the Appellate Tribunal .-(1) The Appellate 
Tribunal may after giving the parties to the appeal an opportunity of being heard, 
pass such orders thereon as it thinks fit confirming, modifying or annulling the 
decision or order appealed against. The Appellate Tribunal may record additional 
evidence and decide the case but shall not remand the case for recording the 
additional evidence: 
 
Provided that the appeal shall be decided within ninety days of filing the 
appeal: 
 
Provided further that where an appeal is not decided within the aforesaid 
period, the Appellate Tribunal with the consent of both parties and upon reasons to 
be recorded in writing may extend for a further period of sixty days. 
 
(2) At the first hearing of appeal, the Appellate Tribunal shall- 
 
(a) bring to the notice of the Appellant; the provisions relating to 
alternate dispute resolution under section 195C of the Act; and 
(b) in case the Appellant decline the option of alternate dispute resolution 
and wish to continue with the appeal, fix date or dates for hearing and 
decision of the appeal in consultation with both the Appellant and 
Respondent and in accordance with the rules. 
(3) The Appellate Tribunal shall decide the appeal on the date or dates 
fixed, and no adjournment shall be granted except-  
 
(a) where there are compelling reasons for adjournment, to be recorded in 
writing by the Appellate Tribunal; and 
(b) on mandatory payment of such cost as the Appellate Tribunal may 
deem fit, which shall not be less than fifty thousand rupees.] 
(4) The Appellate Tribunal may, at any time within fifteen days from the 
date of communication of order, with a view to rectifying any clerical, arithmetical 
errors or error arising therein from accidental slip and omission apparent from the 
record, amend any order passed by it under -sub-section (1) and shall make such 
THE CUSTOMS ACT,1969 
  
214 
 
amendments if the mistake is brought to its notice by the Collector of Customs or the 
other party to the appeal: 
 
Provided that an amendment which has the effect of enhancing the 
assessment or reducing a refund or otherwise increasing the liability of the other 
party shall not be made under this sub -section, unless the Appellate Tribunal has 
given notice to the party of its intention to do so and has allowed a reasonable 
opportunity of being heard. 
 
(5) The Appellate Tribunal shall send a copy of every order passed by it 
under this section, disposing of an appeal, to the officer of Customs and in valuation 
cases also to the Director General Valuation, and the other party to the appeal: 
 
Provided that the order of the Appellate Tribunal shall remain pending for 
thirty days, if the Collector or other party to the appeal, prefers a reference to the 
High Court within this period. 
 (6) Save as otherwise expressly provided in section 196, an order passed 
by the Appellate Tribunal in appeal shall be final.]       
  
81[194C. Procedure of Appellate Tribunal .—(1) The powers and functions 
of the Appellate Tribunal may be exercised and discharged by Benches constituted 
by the Chairman from amongst the members thereof.  
 
(2) Subject to the provisions contained in sub -sections (3) and (4), the 
procedure of the Appellate Tribunal including constitution of benches, case 
management system, distribution of cases and other matters ancillary or incidental 
thereto shall be regulated by the rules under this Act. 
 
(3) Every appeal against a decision or order deciding a case involving duty, 
tax, penalty or fine exceeding five million rupees shall be heard by a Special Bench 
for hearing such appeals and such Bench shall consist of not less than two members 
and shall include at least one judicial member and one technical member:  
 
Provided that the Chairman may, for reasons to be recorded in 
writing, constitute Benches including special Benches consisting of two or more –  
 
(a) technical members; or  
(b) judicial members. 
 
THE CUSTOMS ACT,1969 
  
215 
 
(4) The Chairman or any other member of the Appellate Tribunal authorized 
in this behalf by the Chairman may, sitting singly, dispose of any case which has 
been allotted to the bench of which he is a member where,- 
 
(a)  the value of the goods confiscated without option having been given 
to the owner of the goods to pay a fine in lieu of confiscation under 
section 181; or  
(b)  In any disputed case, the difference in duty or tax involved, or the 
amount of fine or penalty involved does not exceed five million 
rupees. 
 
(5)  If the members of a Bench differ in opinion on any point, the point 
shall be decided according to the opinion of the majority, if there is a majority, but if 
the members are equally divided, they shall state the point or points on which they 
differ and the case shall be referred by the Chairman for hearing on such point or 
points by one or more of the other members of the Appellate Tribunal, and such 
point or points shall be decided according to the opinion of the majority of the 
members of the Appellate Tribunal who have heard the case including those who 
first heard it:  
 
Provided that, where the members of a Special Bench are equally divided, the 
points on which they differ shall be decided by the Chairman. 
 
(6) The Appellate Tribunal shall, for the purposes of discharging its 
functions, have the same powers as are vested in a court under the Code of Civil 
Procedure, 1908 (V of 1908), when trying suit in respect of the following matters, 
namely:-  
 
(a) discovery and inspection;  
(b) enforcing the attendance of any person and examining him on oath;  
(c) compelling the production of books of account and other documents; and  
(d) issuing commissions. 
 
(7) Any proceeding before the Appellate Tribunal shall be deemed to be 
judicial proceeding within the meaning of sections 193 and 228 and for the purpose 
of section 196 of the Pakistan Penal Code (Act XLV of 1860), and the Appellate 
Tribunal shall be deemed to be a Court for all the purposes of sections 480 and 482 
of the Code of Criminal Procedure, 1898 (Act V of 1898).] 
 
30,77[195. Powers of Board or Chief Collector or Collector to pass certain 
orders,-(1) The Board or the Chief Collector 82[or Director General] or the Collector 
of Customs  82[or Director]  may, within his jurisdiction, call for and examine the 
records of any proceeding s under this Act for the purpose of satisfying itself or, as 
THE CUSTOMS ACT,1969 
  
216 
 
the case may be, himself as to the legality or propriety of any decision or order 
passed by a subordinate officer: 
 
67[(1A) Where it is deemed necessary to pass fresh orders, in respect of 
proceedings 82[including adjudication proceedings]  referred to in sub -section (1), the 
Board or Collector of Customs  82[or Director ] or 73[Chief Collector]  82[or Director 
General] may pass the order itself or himself, as the case may be, or assign the case 
to an officer of higher rank, who may have passed the earlier order, for passing such 
order as he may think fit:] 
 Provided that no order confiscating goods of greater value or enhancing any 
fine in lieu of confiscation, or imposing or enhancing any penalty, or requiring 
payment of any duty not levied or short -levied shall be passed unless the person 
affected thereby has been given an opportunity of showing cause against it and of 
being heard in person or through a counsel or other person duly authorized by him.   
 (2) No record of any proceedings relating to any decision or order passed 
by an officer of customs shall be called for or examined under sub -section (1) after 
the expiry of two years from the date of such decision or order.]   
 
74[(3) The cases records of which are called and examined under sub-section 
(1) shall be decided within a period of one twenty days further extendable by the 
Board for another sixty days subject to recording of reasons in writing.]  
33[195A. Omitted]. 
195B. Deposit, pending appeal, of duty demanded or penalty levied. -  Where, in 
any appeal under this Chapter, the decision or order appealed against relates to any 
duty demanded in respect of goods which are not under the control of the customs 
authorities or any penalty levied under this Act, the person desirous of appealing 
against such decision or order shall, pending the appeal, deposit with the proper 
officer the duty demanded or the penalty levied:       
 34[Provided that  where in any particular case the Collector (Appeals) or the 
Appellate Tribunal is of the opinion that the deposit of duty demanded or penalty 
levied would cause undue hardship to such person, the Collector (Appeals) or, as the 
case may be, the Appellate Tribunal may dispense with such deposit subject to such 
conditions as he, or it, may deem fit to impose so as to safeguard the interest of 
revenue.] 
 35[Provided further that an order dispensing with such deposit shall, without 
effecting the appeal, cease to have effect on the expiration of a period of six months 
following the day on which it is made unless the appeal is finally decided earlier and 
nothing in the order dispensing with such deposit which as ceased to have effect 
THE CUSTOMS ACT,1969 
  
217 
 
shall debar the appropriate officer to recover the amount of the duty demanded or 
penalty levied.]  
 
36,75,81[195C. Alternative dispute resolution (ADR). - (1) Notwithstanding 
anything contained in this Act, or the rules made there under, any aggrieved person, 
in connection with any dispute pertaining to liability of customs -duty, admissibility 
of refund or rebate, waiver or fixation of penalty or fine, confiscation of goods, 
relaxation of any time period or procedural and technical condition which is under 
litigation in any court of law or an appellate authority, except in the cases where 
criminal proceedings have been initiated or where interpretation of question of law 
having larger revenue impact in the opinion of the Board is involved, may apply to 
the Board for the appointment of a committee for the resolution of dispute in appeal. 
 
(2) The application for alternate dispute resolution under sub -section (1) 
shall be accompanied by an initial proposition for resolution of the dispute, including 
an offer of payment of duties and taxes. 
 
(3) The Board may, subject to the provisions of sub -section (1) and (2), 
after examination of the application of an aggrieved person, appoint a committee, 
within fifteen days of receipt of such application, consisting of-  
 
(a) a retired judge not below the rank of a judge of a High Court, who 
shall also be the Chairperson of the Committee, to be nominated by 
the Board from a panel notified by the Law and Justice Division for 
such purpose; 
(b) an officer of customs not below the rank of Chief Collector having 
jurisdiction over the case; 
(c) a person to be nominated by the applicant from a panel notified by the 
Board, comprising- 
(i) chartered accountants, cost and management accountants and 
advocates, having minimum ten years experience in the field of 
taxation;  
  Provided that the taxpayer shall not nominate a chartered 
accountant or cost and management accountant or an advocate if 
the said chartered accountant, cost and management accountant 
or the advocate is or has been an auditor or an authorized 
representative of the taxpayer;  
 
(ii) reputable businessmen as nominated by Chambers of Commerce 
and Industry; and  
THE CUSTOMS ACT,1969 
  
218 
 
(iii)  officer of Customs Service of Pakistan who stood retired in BS 
21 or above: 
(4) The Board shall communicate the order of appointment of committee 
to the aggrieved person, court of law or the appellate authority where the dispute is 
pending and the concerned Collector. 
 
(5) The committee constituted under sub -section (3) shall examine the 
issue and may, if it deems necessary, conduct inquiry, seek expert opinion, direct any 
officer of customs or any other person to conduct an audit and shall decide the 
dispute by majority, within forty -five days of its constitution extendable by another 
fifteen days for the reasons to be recorded in writing. 
 
(6) The recovery of duties and taxes payable by the applicant in 
connection with any dispute for which a committee has been appointed under sub -
section (3) shall be deemed to have been stayed from the date of appointment of the 
committee up to the date of decision of committee or its dissolution, as the case may 
be. 
 
(7) If the aggrieved person is satisfied with the decision of the committee, 
he shall withdraw the appeal pending before the court of law or any appellate 
authority and communicate the order of withdrawal to the Collector within thirty 
days of the service of the decision. 
 
(8) The decision of the committee under sub -section (5) shall be binding 
on the Collector subject to the provision of sub-section (7). 
 
(9) Subject to sub -section (7), the Collector shall also withdraw the 
appeal, if any, pending before any court of law or an appellate authority in respect of 
dispute as mentioned in sub -section (1) within thirty days of the communication of 
the order of withdrawal by the aggrieved person to the Collector. 
 
(10) If the committee fails to make recommendations within a stipulated 
period of sixty days under sub-section (5), the Board shall dissolve the committee by 
an order in writing and the matter shall be decided by the appellate authority where 
the dispute is pending. 
 
(11) The Board shall communicate the order of dissolution to the court of 
Law or the appellate authority and the Collector and the aggrieved person. 
 
(12) The aggrieved person, on receipt of the order of dissolution, shall 
communicate the order to the appellate authority, which shall decide the appeal 
THE CUSTOMS ACT,1969 
  
219 
 
within the stipulated period as provided under the relevant provision, of the 
communication of the said order. 
 
(13) The aggrieved person shall make payment of customs duty and other 
taxes as determined by the committee under sub -section (5) and all decisions, orders 
and judgments made or passed shall stand modified to that extent. 
 
(14) The Board may prescribe the amount to be paid as remuneration for 
the services of the members of the committee, other than the member appointed 
under clause (b) of sub-section (3). 
 
(15) The Board may, by notification in the official Gazette make rules for 
carrying out the purposes of this section, including the procedures and manner of 
conducting of ADR committee meetings.] 
 
43,81[196. Reference to High Court.  – (1) Within thirty days of the 82[date of 
receipt of ] the order of the Appellate Tribunal 82[omitted], the aggrieved person or 
any officer of Customs not below the rank of  Deputy Collector or Deputy Director, 
authorized by the Collector or Director in writing ,  may file a reference, in the 
prescribed form, along with a statement of the case, before the High Court, stating 
any question of law or a mixed question of law and fact arising out of such order: 
Provided that the applicant shall also file complete record of the Appellate 
tribunal within fifteen days of preferring an application under this section. 
 
(2) A reference to the High Court under this section shall be heard by a 
Special Bench, constituted for hearing cases under this section, comprising of not 
less than two judges of the High Court and, the provisions of section 98 of the Code 
of Civil Procedure, 1908 (Act V of 1908), shall apply to the extent possible to such 
cases, notwithstanding anything contained in any other law for the time being in 
force. 
 
(3) The Special Bench shall decide a reference within six months from 
the date of its filing. The High Court upon hearing a reference under this section 
shall decide the question of law or a mixed question of law and fact raised in the 
reference and pass judgment thereon specifying the grounds on which such 
judgement is based and the Appellate Tribunal’s order shall stand modified 
accordingly. by the reference and pass judgment thereon specifying the grounds on 
which such judgment is based and the Appellate Tribunal's order shall stand 
modified accordingly. 
 
(4) The High Court shall establish a case management system to ensure 
that sufficient number of Special Benches are constituted, so as to ensure that a 
reference filed under this section is decided within the stipulated six months. 
THE CUSTOMS ACT,1969 
  
220 
 
 
(5) Notwithstanding that a reference has been made to the High Court, 
the duty shall be payable in accordance with the order of the Appellate Tribunal: 
 
Provided that the recovery shall not be made by the Collector for fifteen days 
from the date of communication of the order of the Appellate Tribunal: 
 
Provided further that, the amount of duties and taxes if reduced as a result of 
the judgment in the reference, and any amount of duty and  tax is found refundable, 
the High Court may, on application submitted by an officer of Customs authorized 
by the Collector or Director , within thirty days of the judgment of the High Court, 
that he wants to prefer petition for leave to appeal to the Supreme Court, make an 
order authorizing the Collector to postpone the refund until the disposal of the appeal 
by the Supreme Court. 
 
(6) Where recovery of duty has been stayed by the High Court by an 
order, such order shall cease to have effect on the expiration of a period of six 
months following the day on which it is made unless the reference is decided, or 
such order is withdrawn by the High Court earlier: 
 82[Provided that such stay order shall be subject to furnishing of pay order or 
bank guarantee not less than twenty -five per cent of the principal amount by the 
aggrieved person before the nazir of the court.] 
 
(7) Section 5 of the Limitation Act, 1908 (IX of 1908), shall apply to an 
application made to the High Court under sub-section (1). 
 
(8) An application under sub-section (1) by a person other than the officer 
of Customs authorized by the Collector or Director shall be accompanied by a fee of 
fifty thousand rupees. 
 
(9) Notwithstanding anything in this Act where any reference or appeal 
was preferred with the approval of Collector by the officer below the rank of 
Collector, and the reference or appeal is pending before appellate forum or the Court, 
such reference or appeal shall be deemed to have been preferred and shall be deemed 
always to have been so preferred by the Collector or Director. 
 
(10) The Court shall send a copy of the judgment under the seal of the 
Court to the Appellate Tribunal.] 
 
46[196H.  Exclusion of time taken for copy.- In computing the period of 
limitation specified for an appeal or application under this Chapter, the day on which 
the order complained of was served, and if the party preferring the appeal or making 
THE CUSTOMS ACT,1969 
  
221 
 
the application was not furnished with a copy of the order when the notice of the 
order was served upon him, the time requisite for obtaining a copy of such order, 
shall be excluded.       
196I. Transfer of certain pending  proceedings. -  (1) Every appeal which is 
pending before the Board under section 193 as it stood immediately before the 
appointed day and any matter arising out of or connected with such proceedings shall 
stand transferred on the appointed day to the Appellate Tribunal and the Appellate 
Tribunal may proceed with such appeal or matter from the stage at which it then was 
or  may re-hear the same, as it may deem fit.     
 (2) Every proceeding which is pending immediately before the appointed 
day before the Board or the Collector of Customs under section 195 as it stood 
immediately before that day, and any matter arising out of or connected with such 
proceedings and which is so pending shall continue to be dealt with by the Board or 
the Collector of Customs, as the case may be, as if the said section had not been 
substituted.       
 (3) Every proceeding pending before the Federal Government under 
section 196 as it stood immediately before the appointed day and any matter arising 
out of or connected with such proceedings which is so pending shall stand 
transferred to the Appellate Tribunal and Appellate Tribunal may proceed with such 
proceedings or matter from the stage at which it then was or may  re -hear the same, 
as it may deem fit, as if such proceedings or matter were an appeal filed before it:     
 Provided that if any such proceeding or matter relates to an order where-    
(a) the value of the goods confiscated without option having been given 
to the owner of the goods to pay a fine in lieu of confiscation under 
section 181; or  
(b) in any disputed case, other than a case where the determination of any 
question having a relation to the rate of duty of customs or to the 
value of goods for purposes of assessment is in issue or is one of the 
points in issue, the difference in duty involved or the duty involved; 
or  
(c) the amount of fine or penalty determined by such order; does not 
exceed ten thousand rupees, such proceeding or matter shall continue 
to be dealt with by the Federal Government as if the said section 196 
had not been substituted:        
THE CUSTOMS ACT,1969 
  
222 
 
  Provided further that the applicant or the other party may 
 make a demand to the Appellate Tribunal that, before proceeding 
 further with that proceeding or matter; he may be re-heard.     
196J. Definitions.- In this Chapter; 
 (a) “Appointed day” means the date of the coming into force of 
the Finance Act,1989; 
 (b)  “High Court” means in relation to any province, the High 
Court for the Province;             
(d) “Chairman” means the Chairman of the Appellate Tribunal.] 
 
LEGAL REFERENCE 
1. Chapter XIX substituted by the Finance Act, 1989 (V of 1989), S.5(6), page 107.  The 
previous Chapter contained Sections 193, 194, 195 and 196.  At the time of substitution 
Chapter XIX was as under:- 
 “193. Appeal.- Any person aggrieved by any decision or order passed by an officer of 
customs under this act may, 1a[within thirty days of the date of receipt of such decision or 
order], appeal there  from to the Board, or, in such cases as the 1b[Federal Government] 
directs, to any officer of customs not lower in rank than a Deputy Collector of Customs, and 
the appellate authority may thereupon make such further inquiry as it may consider 
necessary, and, after giving him an opportunity of being heard if he so desires, pass such 
order as it thinks fit, confirming, altering or annulling the decision or order appealed against: 
  Provided that no order confiscating goods of greater value, or enhancing any fine in 
lieu of confiscation, or imposing or enhancing any penalty, or requiring payment of any duty 
not levied or short-levied shall be passed unless the person affected thereby has been given an 
opportunity of showing cause against it and of being heard in person or through a counsel or 
other person duly authorised by him. 
 194. Deposit, pending appeal, of duty demanded or penalty levied. - (1) Any person 
desirous of appealing under section 193 against any decision or order relating to any duty 
demanded in respect of goods which have ceased to be under the control of customs 
authorities or to any penalty levied under this Act shall, at the time of filing his appeal or if 
he is so permitted by the appellate authority at any later stage before the consideration of the 
appeal, deposit with the appropriate officer the duty demanded or levied. 
 Provided that such person may, instead of depositing an aforesaid the entire amount of the 
penalty, deposit only fifty per cent thereof and furnish a guarantee from a scheduled bank for 
the due payment of the balance: 
 Provided further that where, in any particular case, the appellate authority is of the opinion 
that the deposit of duty demanded or penalty levied will cause undue hardship to the 
appellant, it may dispense with such deposit either unconditionally or subject to such 
conditions as it may deem fit to impose. 
THE CUSTOMS ACT,1969 
  
223 
 
195. Power of the Board to call for and examine records etc. - 1c(1) The Board or the 
Collector of Customs, within his jurisdiction may call for and examine the records of any 
proceedings under this Act for the purpose of satisfying itself  
196. or, as the case may be, himself as to the legality or propriety of any decision or 
order passed therein by a subordinate officer and may pass such order as it to he may think 
fit: 
  Provided that no order confiscating goods of greater value, or enhancing any fine in 
lieu of confiscation, or imposing or enhancing any penalty or requiring payment of any duty 
not levied or short-levied shall be passed unless the person affected thereby has been given an 
opportunity of showing cause against it and of being heard in person or through a counsel or 
other person duly authorised by him.] 
 (2) No record of any proceedings relating to any decision or order passed by an officer 
of customs shall be called for and examined under sub -section (1) after the expiry of two 
years from the date of such decision or order. 
 196. Revision by the 1b{Federal Government].- The 1b[Federal Government] may, on 
the application of any person aggrieved by any decision or order passed under section 193, 
1d[194 or 195], if the application is made 1e[within thirty days of the date of receipt of such 
decision or order], pass such order in relation thereto as it thinks fit: 
 Provided that no order confiscating goods of greater value, or enhancing any fine in lieu of 
confiscation, or imposing or enhancing any penalty, or requiring payment of any duty not 
levied or short -levied shall be passed unless the person affected thereby has been given an 
opportunity of showing cause against it and of being heard in person or through a counsel or 
other person duly authorised by him.” 
 1a. Substituted for the words “within three months of the date of such decision or 
order” by the Finance  Ordinance, 1972 (XXI of 1972). 
 1b.. Substituted for the words “Central Government” by the Finance Ordinance, 1972 
(XXI of 1972), S.3, page 56 and Second Schedule, S.1, page 76. 
 1c. Substituted by the Finance Act, 1975 (L of 1975). At the time of substitution was as 
under:- 
 (i)  The Board may on its own motion call for an examine the records of any 
proceedings under this Act for the purpose of satisfying itself as to the legality or propriety of 
any decision or order passed therein by an officer subordinate to it and may pass such orders 
as it thinks fit: 
 Provided that no order confiscating goods of greater value, or enhancing any fine in lieu of 
confiscation, or imposing or enhancing any penalty, or requiring payment of any duty not 
levied or short levied shall be passed unless the person affected thereby has been given an 
opportunity of showing cause against it and of being heard in person or through a counsel or 
other person duly authorised by him. 
 1d. Substituted for the words and figure “by an officer of Customs or the Board, or an 
order passed  under Section 195 by the Board confiscating goods of greater value or 
enhancing any fine in lieu of confiscation  or imposing or enhancing any penalty or 
requiring payment of any duty not levied or short-levied” by the  Finance Act, 1975. 
 1e. Substituted for the words “within four months of the date of such decision or order” 
by the Finance Ordinance,1972 (XXI of 1972)” 
THE CUSTOMS ACT,1969 
  
224 
 
2. Section 193 was omitted by the Finance Ordinance, 2000 (XI of 2000) and added by the 
Finance Ordinance, 2002 (XXVII of   2002), S.4(10), page 224.  At the time of omission 
section 193 was as under:- 
  “2a{193. Appeals to Collector (Appeals).- (1) Any person aggrieved by any decision or 
order passed under this Act by an officer of customs lower in rank than a Collector of 
Customs 2b[ , other than a notice of demand served under section  
 202,] may appeal to the Collector (Appeals) within thirty days of the date of the 
communication to him of such decision order: 
 Provided that an appeal filed after the expiry of thirty days may be admitted by the Collector 
(Appeals) if he is satisfied that the appellant had sufficient cause for not filing the appeal 
within that period. 
 (2) An appeal under this section shall be  such form and shall be verified in such 
manner as may be specified by rules made in this behalf.] 
 2c[ (3) An appeal made under this Act shall be accompanied by a fee of one thousand 
rupees to be paid in the manner prescribed.]” 
 
 2a. Substituted by the Finance Act, 1989, S 
 2b. Inserted by the Finance Act, 1995 (I of 1995), S. 
 2c. Added by the Finance Act, 1989  
 
3. Substituted by Finance Act, 2005 
4. Substituted for the word and figure “section 179 of this Act by an officer of Customs” by the 
Finance Act, 2006. 
5. Omitted Finance Act, 2005.. 
5a. Omitted by the Finance Ordinance, 2000 (XXI of 2000), S.4(8), page 202, at the time of 
omission section 193-A was as under and added by the Finance Ordinance, 2002 (XXVII of 
2002): 
 “193-A. Procedure in appeal.- (1) The Collector (Appeals) shall give an opportunity 
to the appellant to be heared if he so desires. 
  (2) The Collector (Appeals) may, at the hearing of an appeal, allow the appellant 
to go into any ground of appeal not specified in the grounds of appeal, if the Collector 
(Appeals) is satisfied that the omission of that ground from the grounds of  appeal was not 
wilful or unreasonable. 
  (3) The Collector (Appeals) may, after making such further inquiry as may be 
necessary, pass such order as he thinks fit conforming, modifying or annulling the decision or 
order appealed against, or may refer the case back to the adjudicating authority with such 
direction as he may think fit for a fresh adjudication or decision, as the case may be, after 
taking additional evidence, if necessary: 
  Provided that an order enhancing any penalty or fine in lieu of confiscation or 
confiscating goods of greater value or reducing the amount of refund shall not be passed 
unless the appellant has been given a reasonable opportunity of showing cause against the 
proposed order: 
  Provided further that, where the Collector (Appeals) is of the opinion that any duty 
has not been levied or has been short -levied or erroneously refunded, no order requiring the 
appellant to pay any duty not levied, short levied or erroneously refunded shall be passed 
THE CUSTOMS ACT,1969 
  
225 
 
unless the appellant is given notice within the time limit specified in section 32 to show cause 
against the proposed order. 
  (4) The order of the Collector (Appeals) disposing of the appeal shall be in 
writing and shall state the points for determination, the decision thereon and the reasons for 
the decision. 
  (5) On the disposal of the appeal, the Collector (Appeals) shall communicate the 
order passed by him to the appellant, the adjudicating authority and the Collector of 
Customs.] 
 5b. Substituted by the Finance Act, 2007. Before substitution it was as under:- 
  “(3) The Collector (Appeals) may, after making such further inquiry as may be 
necessary, pass such order as he thinks fit, confirming, modifying or annulling the decision or 
order appealed against, or may refer the case back to the adjudicating authority with such 
direction as he may think fit for a fresh adjudication or decision, as the case may be, after 
taking additional evidence, if necessary:  
 Provided that an order enhancing any penalty or fine in lieu of confiscation or 
confiscating goods of greater value or reducing the amount of refund shall not be passed 
unless the appellant has been given a reasonable opportunity of showing cause against the 
proposed order:”  
6 Substituted by the Finance Act, 1989 (V of 1989), S.5(6), page 108. At the time of substitution 
section 194 was as under:- 
 “194. Deposit, pending appeal, of duty demanded or penalty levied. - (1) Any 
person desirous of appealing under section 193 against any decision or order relating to any 
duty demanded in respect of goods which have ceased to be under the control of customs 
authorities or to any penalty levied under this Act shall, at the time of filing his appeal or if 
he is so permitted by the appellate authority at any later stage before the consideration of the 
appeal, deposit with the appropriate officer the duty demanded or the penalty levied: 
 Provided that such person may, instead of depositing as aforesaid the entire amount of the 
penalty, deposit only fifty per cent thereof and furnish a guarantee from a scheduled bank for 
the due payment of the balance:  Provided further that where, in any, 
particular case, the appellate authority is of the opinion that the deposit of duty demanded or 
penalty levied will cause undue hardship to the appellant, it may dispense with such deposit, 
either unconditionally or subject to such conditions as it may deem fit to impose. 
 (2) If, upon an appeal it is decided that the whole or any portion of the aforesaid duty 
or penalty was not leviable, the appropriate officer shall return to the appellant such amount 
or portion as the case may be. 
7. Substituted by the Finance Act, 1999 (IV of 1999), S.5(10)(11)(a), page 769.  At the time of 
substitution sub-section (2) was as under:-    “(2) A 
judicial member shall be a person who is a Judge of a High Court who has for a period of not 
less than five years exercised the powers of a District Judge and is qualified to be a Judge of a 
High Court or who is or has been an Advocate of a High Court and is qualified to be a Judge 
of High Court.”. 
 7a. Substituted by the Finance Act, 2007. Before substitution it was as under:- 
 “(3) A technical member shall be an officer of Customs and Excise Group equivalent in 
rank to that of a Member, Central Board of Revenue.”  
THE CUSTOMS ACT,1969 
  
226 
 
8. Proviso omitted by the Finance Act, 1999 (IV of 1999), S.5(10(11)(b), page 769. At the time 
of omission this proviso was as under:-      
        “Provided 
that where a Judge of High Court is appointed as the Chairman of the Appellate Tribunal  his 
term and conditions shall be the same as those of a Judge of the High court.”.  
9. Added by the Finance Act, 1989 (V of 1989), S.5(6), page 107. 
10. Inserted by the Finance Ordinance, 2000 (XXI of 2000), S.4(9)(a)(I), page 202. 
11. Substituted by the Finance Ordinance, 2001 (XXV of 2001), S.4(8)(a)(I), page 307.  At the 
time of substitution this was as under:- 
 “(a) a decision or order passed by the 11a[an officer of customs] as an adjudicating 
authority]” 
 11a. Substituted for the words “the Collector of Customs” by the Finance Ordinance, 
2000 (XXI of 2000),S.4(9)(a)(ii), page 202.  
 
12. Inserted by the Finance Ordinance, 2002 (XXVII of 2002), S.4(11)(a)(I), page 226.   
13. Omitted by the Finance Ordinance, 2000(XXV of 2000), S.4(9)(a)(iii) at the time of mission  
this was a under:-   
  “(b) an order passed by the Collector (Appeals) under section 193;”. 
 
14. Omitted the comma and words “,as it stood immediately before the appointed day” by the 
Finance Act, 1995 (I of 1995), S.6(2)(I), page 511. 
15. The first proviso omitted by the Finance Ordinance, 2002 (XXVII of 2002), S.4(11)(a)(ii), 
page 226. At the time of omission this proviso was as under:- 
 “Provided that no appeal shall lie to the Appellate Tribunal, and the Appellate Tribunal shall 
not have jurisdiction  to decide any appeal, in respect of any order referred to in sub -section 
(1) if such order relates to – 
(a) any goods imported or exported as baggage; 
(b) any goods loaded in a conveyance for importation into Pakistan, but which are not 
unloaded at their place of destination in Pakistan; or so much of the quantity of such goods as 
has not been unloaded at any such destination if goods unloaded at such destination are short 
of the quantity required to be unloaded at that destination; 
(c) repayment of customs-duty under clause (c) of section 21; 
(d) payment of drawback as provided in Chapter VI, and the rules made thereunder :” 
16. The word “further” omitted by the Finance Ordinance, 2002 (XXVII of 2002), S.4(11)(iii), 
page 226. 
17. Substituted for the word “ten” by the Finance Ordinance, 2000 (XXI of 2000), S.4(9)(a)(iv), 
page 202. 
18. Substituted by the Finance Act, 2007. Before substitution it was as under:-  
 
 18a[(2) The Board or the Collector of Customs may, if it or, as the case may be, he is of the 
opinion that an order passed by the Collector (Appeals) under section 193 is not legal or 
proper, direct the appropriate officer to appeal on its or, as the case may be, his behalf to the 
Appellate Tribunal against such order.]        
 18a. Omitted by the Finance Ordinance, 2000 (XXI of 2000), S.4(9)(b), page 203 and 
added by the Finance Ordinance, 2002 (XXVII of 2002), S.4(11)(b), page 226. At the time of 
omission this sub-section was as under:- 
 “(2) The Board or the Collector of Customs may, if it or, as the case may be, he is of the 
opinion that an order passed by the Collector (Appeals) under section 193 is not legal or 
proper, direct the appropriate officer to appeal on its or, as the case may be, his behalf to the 
Appellate Tribunal against such order.”. 
 
19. The words brackets and figure “an appeal referred to in sub-section (2) or” omitted by the 
Finance Ordinance, 2000 (XXI of 2000), S. 
THE CUSTOMS ACT,1969 
  
227 
 
20. Substituted for the word “20a[seven hundred fifty]” by the Finance Ordinance, 2002 (XXVII 
of 2002), S.4(11)(c), page 226. 
 20a. Substituted for the words “two hundred” by the Finance Ordinance, 2001 (XXV of 
 2001), S.4(8)(b), page 307. 
21. Added by the Finance Ordinance, 2000 (XXI of 2000), S.4(9)(d), page 203. 
21a. Added by the Finance Act, 2007. 
21b. Substituted by the Finance Act, 2007.Before substitution it was as under:- 
“(1)   The Appellate Tribunal may, after giving the parties to the appeal an opportunity of 
being heard, pass such orders thereon as it thinks fit, confirming, modifying or annulling the 
decision or order appealed against or may refer the case back to the authority which passed 
such decision or order with such directions as the Appellate Tribunal may think fit, for a fresh 
adjudication or decision, as the case may be, after taking additional evidence, if necessary 
22[:]          
  23[Provided that the appeal shall be decided within sixty days of filing the appeal or 
within such extended period as the Tribunal may, for reasons to be recorded in writing fix, 
provided that such extended period shall not in any case exceed ninety days.]”                     
21c. For the word “three” the word “one” was substituted by the FA,2007. 
22. Substituted for full stop by the Finance Ordinance, 2000 (XXI of 2000), S.4(10)(I), page 203. 
23. Inserted  by the Finance Ordinance, 2000 (XXI of 2000), S.4(10(I), page 203. 
24. Substituted for the words “Collector of Customs” by the Finance Ordinance, 2000 (XXI of 
2000), S.4(10)(ii), page 203. 
25. Substituted for the words and figures “section 196 and 19G” by the Finance Act, 1997. 
25a  For the words “ relating, among other things, to the determination of any question having a 
relation to the rate of duty of customs or to the value of goods for purposes of assessment,”  
the words “deciding a case involving duty, tax, penalty or fine exceeding five million rupees” 
were substituted by the Finance Act, 2007.  
26. Substituted for the full stop by the Tax Laws (Amendment) Ordinance, 2001 (XIII of 2001). 
27. Added by Tax Laws (Amendment) Ordinance, 2001 (XIII of 2001). 
28. Inserted by the Tax Laws (Amendment) Ordinance, 2001 (XIII of 2001). 
28a. Following explanation was omitted by the FA, 2007:- 
“Explanation:- For the purposes of this sub -section, the expression “cases” means the 
matters involving decisions other than decisions in relation to a question of law under this 
Act or the Central Excises Act, 1944 (I of 1944) or as the case may be, the Sales Tax Act, 
1990.]” 
28b. Omitted  by the FA, 2007.At the time of omission it was as under :- 
(b)in any disputed case, other than a case where the  determination of any question 
having a relation to the rate of duty of customs or to the value of goods for purposes of 
assessment is in issue or is one of the points in issue, the difference in duty involved or the 
duty involved; or” 
 
28c. Substituted  by the FA, 2007.At the time of substitution it was as under :- 
 
“(c) the amount of fine or penalty involved does not exceed 29&29a[fifteen hundred 
thousand rupees].” 
 
29. Substituted for the words “one hundred thousand rupees” by the Finance Act, 2003 (I of 
2003), S.5(33), page 40.  
29a. Substituted for the word “five” by the Finance Act, 2006. 
30. Substituted by the Finance Act, 1995 (I of 1995), S.6(3), page 511.  At the time of substitution 
section 195 was as under:- 
 “195. Powers of Board or Collector of Customs to pass certain orders.- (1) The Board 
may, of its own motion, call for and examine the record of any proceeding in which a 
Collector of Customs as an adjudicating authority has passed any decision or order under this 
Act for the purpose of satisfying itself as to the legality or propriety of any such decision or 
THE CUSTOMS ACT,1969 
  
228 
 
order and may, by order, direct the Collector to apply to the Appellate Tribunal for the 
determination of such points arising out of the decision or order as may be specified by the 
Board in its orders. 
 (2) The Collector of Customs, may, of his own motion, call for and examine the record 
of any proceeding in which an adjudicating authority subordinate to him has passed any 
decision or order under this Act for the purpose of satisfying himself as to the legality or 
propriety of any such decision or order and may, by order, direct such authority to apply to 
the Collector (Appeals) for the determination of such points arising out of the decision or 
order as may be specified by the Collector of Customs in his order. 
 (3) No order shall be made under sub -section (1) or sub -section (2) after the expiry of 
one year from the date of the decision or order. 
 (4) Where in pursuance of an order under sub -section (1) or sub -section (2) the 
Collector of Customs or any officer of Customs authorised in his behalf by him makes an 
application to the Appellate Tribunal or the Collector (Appeals) within a period of thirty days 
from the date of communication of the order under sub -section (1) or sub -section (2), such 
application shall be heard by the Appellate Tribunal or the Collector (Appeals), as the case 
may be, as if such application were an appeal made against the decision or order of the 
adjudicating authority and the provisions of the Act regarding appeals including the 
provisions of sub-section (4) of section 196 shall, so far as may be, apply to such application. 
  (5) The Board, or the Collector of Customs within his jurisdiction, may call 
for and examine the record of any decision or order where the decision or order is of the 
nature referred to in the first proviso to sub -section (1) of  section 194A for the purpose of 
satisfying itself or, as the case may be, himself as to the legality or propriety of the decision 
or order passed therein by a subordinate officer and may pass such order as it or he may think 
fit: 
 Provided that no order confiscating goods of greater value, or enhancing any fine in lieu of 
confiscation, or imposing or enhancing any penalty, or requiring payment of any duty not 
levied or short levied or reducing the amount of repayment of customs duty or drawback shall 
be passed unless the person affected thereby has been given an opportunity of showing cause 
against it and of being heard in person or through a counsel or other person duly authorised 
by him: 
 Provided further that no record of any proceedings relating to any decision or order passed by 
an officer of customs shall be called for and examined after the expiry of two years from the 
date of such decision or order.”.  
31. Omitted the words “of Customs” by the Finance Act, 2003 (I of 2003), S.5(34)(I), page 41.
    
32. Inserted by the Finance Act, 2003 (I of 2003), S.5(34)(ii), page 41. 
32A. Omitted the words “or the Collector of Customs (Adjudication)” by the Finance Act, 2006. 
33. Omitted by the Finance Act, 2000 (XXI of 2000), S.4(11), page 203.  At the time of omission 
section 195-A was as under:- 
 “33a[195-A. Revision by the Federal Government. - (1) The Federal Government 
may, on the application of any person aggrieved by any order passed under section 193, 
where the order is of the nature referred to in the first proviso to sub -section (1) of section 
194-A annual or modify such order. 
 (2) An application under sub-section (1) shall be made within thirty days from the date 
of the communication to the applicant of the order against which the application is being 
made: 
THE CUSTOMS ACT,1969 
  
229 
 
 Provided that the Federal Government may permit the filing of application after the expiry of 
relevant period referred to in sub-section (2) if it is satisfied that there was sufficient cause for 
not presenting it within that period. 
 (3) An application under sub -section (1) shall be in such form and shall be verified in 
such manner as may be specified by rules made in this behalf and shall be accompanied by a 
fee of two hundred rupees. 
 (4) The Federal Government may, of its own motion, annual or modify any order 
referred to in sub-section (1). 
 (5) No order enhancing any penalty or fine in lieu of confiscation or confiscating goods 
of greater value shall be passed under this section -- 
 (a) in any case in which an order passed under section 193 has enhanced any penalty or 
fine in lieu of confiscation or has confiscated goods of greater value; and (b) in any other 
case, unless the person affected by the proposed order has been given notice to show cause 
against it within one year from the date of the order sought to be annulled or modified. 
 (6) Where the Federal Government is of the opinion that any duty of customs has not 
been levied or has been short levied or has been erroneously refunded, no order levying or 
enhancing the duty shall be made under this section unless the person affected by the 
proposed order is given notice to show cause against it within the time limit specified in 
section 32.]” 
 33a. Substituted for section 196 by the Finance Act, 1989. 
34. Substituted by the Finance Ordinance, 2002 (XXVII of 2002), S.4(12), page 227. At the time 
of substitution this proviso was as under:-, 
 “Provided that, where in any particular case  the Appellate Tribunal is of opinion that the 
deposit of duty demanded or penalty levied would cause undue hardship to such person. the 
Appellate Tribunal may dispense with such deposit subject to such conditions as  it may 
deem fit to impose so as to safeguard the interests of revenue:  
35. Added by the Tax Law (Amendment) Ordinance, 1999.   
36. Inserted by the Finance Act, 2004 (II  of 2004), S.3(20), page 17 
36a. By the Finance Act, 2006 the word “Alternate” were substituted . 
36b. Substituted by the Finance Act, 2007. Before substitution it was as under:- 
“(1) Notwithstanding any other provision of this Act, or the rules made there under, any 
aggrieved person in connection with any matter of Customs pertaining to liability of customs 
duty, admissibility of refund or rebate, waiver or fixation of penalty or fine, confiscation of 
goods, relaxation of any time period or procedural and technical condition may apply to the 
Central Board of Revenue for the appointment of a committee for the resolution of any 
hardship or dispute mentioned in detail in the application 36c[:] 
 
36c[Provided that only those disputes which are under litigation, in any court of law or an 
appellate authority, shall be entertained for dispute resolution under the provisions of this 
section.] 
 
(2) The Central Board of Revenue, after examination of the application of an aggrieved 
person, shall appoint a committee consisting of an officer of customs and  two persons from a 
notified panel of 37[retired District and Sessions Judge and retired Judges of High Court or] 
Chartered or Cost Accountants, Advocates Tax Consultants or reputable taxpayers for the 
resolution of the hardship or dispute.” 
36c. Substituted/Added by the Finance Act, 2006 
37. Inserted by the Finance Act, 2006. 
38. Inserted by the Finance Act, 2006. 
38a. For the words “forty-five”, the word “sixty” was substituted by the FA,2007. 
39. Substituted for the full stop by the Finance Act, 2006. 
40. Added by the Finance Act, 2006. 
41. Inserted by the Finance Act, 2006. 
THE CUSTOMS ACT,1969 
  
230 
 
42. Omitted by Finance Act, 2005. 
43. Substituted “Sections 196 to 196G” by the Finance Act, 1997 (XXII of 1997), S.5, page 1219.  
At the time of substitution these sections were as under:- 
 “196. Statement of case to High Court. - (1) The Collector of Customs, or the other 
party may, within thirty days of the date upon which he is served with notice of an order 
under section 194-B (not being an order relating among other things, to the determination of 
any question having a relation to the rate of duty of customs or to the value of goods for 
purposes of assessment), by application in such form as may be specified by rules made in 
this behalf, accompanied, where the application is made by the other party, by a fee of two 
hundred rupees, require the Appellate Tribunal to refer to the High Court any question of law 
arising out of such order and subject to the other provisions contained in this section, the 
Appellate Tribunal shall, within one hundred and twenty days of the receipt of such 
application, draw up a statement of the case and refer it to the High Court:  
 Provided that the Appellate Tribunal may, if it is satisfied that the applicant was prevented by 
sufficient cause from presenting the application within the period herein before specified, 
allow it to be presented, within a further period not exceeding thirty days.  
  
 (2) On receipt of notice that an application has been made under sub -section (1), the 
person against whom such application has been made, may, notwithstanding that he may not 
have filed such an application, file, within forty -five days of the receipt of the notice, a 
memorandum of cross -objectives verified in such a manner as may be specified by rules 
made in this behalf against any part of the order in relation to which an application for 
reference has been made and such memorandum shall be disposed of by the Appellate 
Tribunal as if it were an application presented within the time specified in sub -section (1).
      
 (3) If, on an application made under sub -section (1), the Appellate Tribunal refuses to 
state the case on the ground that no question of law arises, the Collector of Customs, or, as 
the case may be, the other party may, within one hundred twenty days from the date on which 
he is served with notice of such refusal, apply to the High Court and the High Court may, if it 
is not satisfied with the correctness of the decision of the Appellate Tribunal, require the 
Appellate Tribunal to state the case and to refer it, and on receipt of any such requisition, the 
Appellate Tribunal shall state the case and refer it accordingly.   
   
 (4) Where in the exercise of the powers under sub -section (3), the Appellate Tribunal 
refuses to state a case which it was required by an applicant to state, the applicant may, 
within thirty days from the date on which he receives notice of such refusal, withdraw his 
application and, if he does so, the fee, if any, paid by him shall be refunded. 
 196-A. Statement of case to Supreme Court in certain cases.- If, on an application made 
under section 196, the Appellate Tribunal is of the opinion that, on account of conflict in the 
decision of High Court in respect of any particular question of law, it is expedient that a 
reference should be made direct to the Supreme Court, the Appellate Tribunal may draw up a 
statement of the case and refer it through the Chairman direct to the Supreme Court. 
 196-B. Power of High Court or Supreme Court to require statement to be amended. - 
If the High court or the Supreme Court is not satisfied that the statement in a case referred to 
it is sufficient to enable it to determine the questions raised thereby, the court may refer the 
case back to the Appellate Tribunal for the purpose of making such additions thereto or 
alterations thereto or alterations therein as it may direct in this behalf. 
 196-C. Case before High Court to be heard by not less than two Judges.- (1) When any 
case has been referred to the High Court under Section 196, it shall be heard by a Bench of 
not less than two Judges of the High Court and shall be decided in accordance with the 
opinion of such Judges or of the majority, if any, of such Judges. (2) Where there 
is no such majority, the Judges shall state the point of law upon which they differ and the 
case shall then be heard upon that point only by one or more of the other Judges of the High 
THE CUSTOMS ACT,1969 
  
231 
 
Court designated by the Chief Justice, and such point shall be decided according to the 
opinion of the majority of the Judges who have heard the case including those who first heard 
it. 
 196-D. Decision of High Court or Supreme Court on the case stated. - (1) The High 
Court or the Supreme Court hearing any such case shall decide the question of law raised 
therein, and shall deliver its judgment thereon containing the grounds on which such decision 
is founded and a copy of the judgment shall be sent under the seal of the Court and the 
signature of the Registrar to the Appellate Tribunal which shall pass such orders as are 
necessary to dispose of the case in conformity with such judgment.   
      (2) The costs of any 
reference to the High Court or the Supreme Court, which shall not include the fee for making 
the reference, shall be in the discretion of the Court. 
 196-E. Appeal to Supreme Court.- An appeal shall lie to the Supreme Court from – 
(a) any judgment of the High Court delivered on a reference made under section 196 in 
any case which, on its own motion or on an oral application made by or on behalf of the party 
aggrieved, immediately after the passing of the judgment, the High Court certifies to be a a fit 
one for appeal to the Supreme Court, or 
(b) any order passed by the Appellate Tribunal relating, among other things, to the 
determination of any question having a relation to the rate of duty of customs or to the value 
of goods for purposes of assessment. 
 196-F. Hearing before Supreme Court. - (1) The provisions of the Code of Civil 
Procedure, 1908 (V of 1908), relating to appeals to the Supreme Court shall, so far as may be, 
apply in the case of appeals under section 196 as they apply in the case of appeals from 
decrees of a High Court: 
  Provided that nothing in this sub-section shall be deemed to affect the provisions of 
sub-section (1) of section 196 or section 196G.  
(2) The cost of the appeal shall be in the discretion of the Supreme Court. 
(3) Where the judgment of the High Court is varied or reversed in the appeal, effect 
shall be given to the order of the Supreme Court in the manner provided in section 
196 in the case of a judgment of the High Court. 
 196-G. Sums due to be paid notwithstanding reference etc. - Notwithstanding that a 
reference has been made to the High Court or the Supreme Court or an appeal has been 
preferred to the Supreme Court, sums due to the Government as a result of an order passed 
under sub -section (1) of section 194 -B shall be payable in accordance with the order so 
passed.”.  
44. Substituted sub-section(1)of section 196 by the Finance Act, 2006 At the time of substitution 
the sub-section (1) was as under:-. 
“(1) Within ninety days of the communication of order of the Appellate Tribunal under sub-
section (3) of section 194B, the aggrieved person or the Collector may prefer an application, 
in the prescribed form along with a statement of the case, to the High Court, stating any 
question of law arising out of such order.”  
44a. Inserted by the Finance Act, 2007. 
45. Inserted by the Finance Act, 2006. 
46. Added by the Finance Act, 1989 
47. Substituted and inserted  by the Finance Act,2008(I of 2008) (Page-46). 
48. The word “ninety” substituted with the word “one hundred and twenty” by FINANCE 
ACT,2009. 
49. The words “ninety” substituted with the word ”Sixty” by Finance Act,2009. 
 50.  Inserted by Finance Act,2009. 
 51. This proviso “Provided further that such extended period shall in no case exceed ninety  
  days.] “ substituted by Finance Act,2009. 
 52. The proviso “Provided further that any Bench referred to in clause (a) shall not hear the  
  matters involving question of law.” Omitted by Finance Act,2009. 
 53. The word “ten” substituted with the word “five” by Finance Act,2009. 
 54. The word “sixty”  substituted with word “ninety”  by Finance Act,2009.  
THE CUSTOMS ACT,1969 
  
232 
 
 55. The colon  substituted with the words full stop  and proviso “Provided that the period of  
  38a[sixty] days stipulated for making the recommendations may be extended by the Board for 
  another 38a[sixty] days on specific request of the committee”, omitted by Finance Act,2009. 
 56. Inserted by Finance Act,2009. 
 57. Inserted by Finance Act,2009. 
58. The words “Excise and Sales Tax”, omitted by Finance Act,2010. 
59. Added by Finance Act,2010. 
 60. Substituted for the word s “(1) Any person 3 [other than] an officer of customs aggrieved by 
any decision or order passed under 4[sections 79, 80 and 179 of this Act by an officer of 
customs not below the rank of an Assistant Collector ]     5[*****] may prefer appeal to the 
Collector (Appeals) within thirty days of the date of communication to him of such decision 
or order: 
Provided that an appeal preferred after the expiry of thirty days may be admitted by the 
Collector (Appeals) if he is satisfied that the appellant had sufficient cause for not preferring 
the appeal within that period.” by Finance Act, 2012 
61. Inserted by Finance Act, 2012. 
62. Inserted by Finance Act, 2013. 
63. Substituted for the words “Customs and Excise Group” by Finance Act, 2014. 
64. Substituted for the word “five” by Finance Act, 2014. 
65. Added vide Finance Act, 2016. 
66. Inserted by Finance Act, 2017, At the time of substitution the position was : 
 "an order passed by the Board or the Collector of Customs under section 195"  
67. Inserted by Finance Act, 2017. 
68 Inserted by Finance Act, 2018. 
69. Inserted by Finance Act, 2019. 
70. Substituted by Finance Act, 2019. At the time of substitution the words was “one hundred 
and twenty” 
71. Substituted by Finance Act 2019. At the time of substitution the section was: 
[194. Appellate Tribunal.-  (1) The Federal Government shall constitute an Appellate Tribunal to be 
called the Customs 58[Omitted] Appellate Tribunal consisting of as many judicial and technical members as it 
thinks fit to exercise the powers and discharge the functions conferred on the Appellate Tribunal by this Act.       
 7[(2) A judicial member shall be a person who has been a Judge of the High Court, or is or has been 
a District Judge and is qualified to be a Judge of High Court, or is or has been an advocate of a High Court 
and is qualified to be a Judge of a High Court.]       
 7a[(3) A technical member shall be an officer of 63[Pakistan Customs Service] equivalent in rank to 
that of a Member of the Board or Chief Collector of Customs or Director General or a senior Collector with 
64[three] years experience in that position.]  
    (4) The Federal Government shall appoint one of the members of the Appellate Tribunal to be the 
Chairman thereof.            
    (5) The terms and conditions of appointment of the Chairman and judicial and technical members 
shall be such as the Federal Government may determine. 
 8[* * * * * * * ].        
 
72. Inserted by Finance Act, 2019 
73. Substituted by Finance Act, 2019. At time of substitution the words was “Collector of 
Customs (Adjudication)”. 
74. Added by Finance Act, 2019. 
75. Substituted by Finance Act, 2019. At the time of substituteion the 195C section was : 
[195C. 36a[Alternative] Dispute Resolution.- 36b[(1) Notwithstanding anything  in this Act, or the rules made 
there under, any aggrieved person, in connection with any dispute pertaining to liability of customs -duty, 
admissibility of refund or rebate, waiver or fixation of penalty or fine, confiscation of goods, relaxation of any 
THE CUSTOMS ACT,1969 
  
233 
 
time period or procedural and technical condition which is under litigation in any Court of law or an Appellate 
Authority, except in the cases where first information reports (FIRs) have been lodged or criminal proceedings 
have been initiated or where interpretation of question of law having larger revenue impact in the opinion of the 
Board is involved, may apply to the Board for the appointment of a Committee for the resolution of dispute in 
appeal.  
 (2)    Subject to the provision of sub -section (1), the Board, after examination of the application of an 
aggrieved person, may appoint a committee, within thirty days of receipt of such application, consisting of an 
officer of customs [not below the rank of Collector]  
and two persons from a notified panel of retired District and Sessions judge and retired judges of High Court or 
Chartered or Cost Accountants, Advocates, Tax consultants or reputable taxpayers for the resolution of the 
hardship or dispute.] 
 (3) The committee constituted under sub-section (2) shall examine the issue and may, if it deems 
necessary, conduct inquiry, seek expert opinion, direct any officer of customs or any other person to conduct an 
audit and make recommendations 38[, within 38a, 54[ninety] days of its constitution,] in respect of the resolution of 
dispute as it may deem fit 39, 55[.] 
 
40, 55[Omitted] 
 
 56[(3A) If the Committee constituted under sub -section (2) fails to make recommendations within a 
stipulated period of ninety days, the Board may dissolve the committee and constitute a new committee which 
shall decide he matter within a further period of ninety days, and after expiry of that period, if the dispute is not 
resolved, the matter shall be taken up the by the appropriate forum for decision.]   
 (4) The Board may, on the recommendation of the committee, pass such order, as it may deem 
appropriate 57[,within 65[ninety] days of the receipt of recommendations of the committee] 65[; 
 Provided that if such order is not passed within the aforesaid period, recommendations of the committee 
shall be treated to be an order passed by the Board under this sub-section.] 
 47[4A Notwithstanding anything contained in sub -section (4), the Chairman and a member 
nominated by him may, on the application of an aggrieved person, for reasons to be recorded in writing and on 
being satisfied that there is an error in the order or decision, pass such order as may be deemed just and 
equitable.] 
 (5) The aggrieved person may make the payment of customs duty and other taxes as determined 
41[if any] by the Board in its order under sub-section (4) 65[or as per recommendations of the committee in terms 
of proviso to sub-section (4), as the case may be,] and all decisions, orders and judgments made or passed shall 
stand modified to that extent and all proceedings under this Act or the rules made thereunder by any authority 
shall abate: 
 Provided that, in case the matter is already sub -judice before any authority, or tribunal or the court, an 
agreement made between the aggrieved person and the Board in the light of recommendations of the committee 
shall be submitted before that authority, tribunal or the court for consideration and order as deemed appropriate.
 42[(6) Omitted. 
 (7) The Board may, by notification in the official Gazette, make rules for carrying out the 
purposes of this section.] 
 
 
76. Finance Act, 2020 (Second amendment(30th March) 
77. Inserted by Finance Act, 2021 (June) 
78. Inserted through Ordinance No.XXII (15.09.2021) 
79. Substituted by Finance Act, 2022 (June) 
80. Substituted/Inserted by Finance Act, 2023(June) 
81. Substituted/Inserted by Finance Act, 2024(June) 
82. Substituted/inserted by Finance Act, 2025 (June) 
 
 
THE CUSTOMS ACT,1969 
  
234 
 
1[CHAPTER XIX-A 
SETTLEMENT OF CASES 
2[196K Omitted. 
196L Omitted. 
196M Omitted. 
196N Omitted. 
196O Omitted. 
196P Omitted. 
196Q Omitted. 
196R Omitted. 
196S Omitted. 
196T Omitted. 
196U Omitted.] 
LEGAL REFERENCE 
 
1. Inserted by the Finance Act, 1996 (IX of 1996), S.4(5), page 471. 
2. Omitted by the Finance Ordinance, 2000 (XXI of 2000), S.4(13), page 204.  At the time of 
omission section 196-K to 196-U were as under: 
 
“Chapter XIX-A 
SETTLEMENT CASES 
 
196K. Indirect Taxes Settlement Commission.- (1) The Federal Government shall 
appoint an Indirect Taxes Settlement Commission to exercise the powers and discharge the 
functions conferred on it under this Chapter. 
(2) The Commission shall consist of a Chairman and as many members as 
may be necessary, and shall function within the Division of the Federal Government dealing 
with revenue. 
  (3) The members of the Commission shall be appointed by the Federal 
Government from amongst persons of integrity and outstanding ability having special 
knowledge of, and experience in, matters relating to customs, central excise and sales tax 
laws and procedures, and having not less than twenty -two years of service in the customs, 
central excise or sales tax departments: 
  Provided that the Federal Government may also appoint suitable number of 
associate member, not exceeding one associate member for each bench of the Commission, 
from amongst persons of integrity and outstanding ability having not less than twenty years 
experience as chartered accountants, cost accountants, industrial engineers, or advocates of 
High Court or Supreme Court. – 
THE CUSTOMS ACT,1969 
  
235 
 
  (4) The terms, conditions and tenure of service of associate members shall be 
determined by the Federal Government. 
  (5) The Federal Government shall appoint the senior most member of the 
Commission to be the Chairman thereof. 
 196L. Definitions.- In this Chapter, unless the context otherwise requires:- 
 
 (i) “associate member” means an associate member appointed under proviso to sub -
section (3) of section 196-K; 
 (ii) “case” means any proceedings initiated under section 193, 194 -A or 195 -A and 
pending with any authority, court or tribunal on the date of making the application under sub -
section (1) of section 196-N: 
  Provided that the proceedings relating to smuggling of narcotics or narcotic and 
psychotropic substances shall not be proceedings within the meaning of this clause: 
  Provided further that where an appeal or application for revision has been filed 
after the period of limitation and which has not been admitted, such appeal or application for 
revision shall not be deemed to be a proceeding pending within the meaning of this clause; 
 (iii) “Chairman” means the Chairman of the Commission; 
(iv) “Commission” means the Indirect Taxes Settlement Commission appointed under 
section 196-K; and 
(v) “member” means a member of the Commission and includes the Chairman thereof. 
  
 196M. Powers and functions of the Commission. -(1) The powers and functions of the 
Commission may be exercised and discharged by benches constituted by the Chairman from 
amongst the members and associate members. 
     (2) A bench shall, ordinarily, consist of two members and an associate 
member and shall be prescribed  over by the Chairman: 
 Provided that where the applicant makes an application under section 196-N, in writing, for 
decision of his case without the associate member, the bench shall be so consumed: 
 Provided further that, where the Chairman is not a member of the bench, the Chairman may 
authorise any member to discharge his functions on the bench. 
(2) No act or proceeding of the Commission shall be invalid merely on the ground 
of existence of any vacancy of an associate member on the bench. 
(4) Subject to the provisions of this Act, the Commission shall have the 
power to regulate its own procedure; and the procedure of benches in all matters arising out 
of the discharge of its functions, including the places at which the benches shall  hold their 
sittings. 
  (5) If the members of a bench differ in opinion as to the decision to be given 
on any issue,- 
(a) the issue shall be decided according to the opinion of the majority, if there is a 
majority; 
(b) if the members are equally divided and the Chairman of the Commission is not 
himself a member of the bench, the case shall be referred to the Chairman and the 
decision of the Commission shall be expressed in terms of the opinion of the 
Chairman; and 
(c) if the members are equally divided and the Chairman of the Commission is himself 
a member of the bench, the opinion of the Chairman shall prevail, and the decision  
of the Commission shall be expressed in terms of opinion of the Chairman. 
  (6) In addition to the powers conferred on the Commission under this 
Chapter, it shall have all the powers which are vested in an officer of customs for the proper 
discharge of its functions under this Chapter.  
  
 196N. Application for settlement of cases. - (1) Any person aggrieved by any order or 
decision may, at any stage of his case, make an application in such form and in such manner 
as may be prescribed, containing full and true disclosure of his circumstances and the facts 
which he may not have disclosed earlier, the manner in which he evaded or avoided payment 
of duty, the additional amount of duty payable in this regard and such other particular as may 
THE CUSTOMS ACT,1969 
  
236 
 
be prescribed, to the Commission to have the case settled, and any such application shall be 
disposed of in the manner provided hereinafter: 
  Provided that no such application shall be made unless the total amount of duty 
payable exceeds one hundred thousand rupees. 
  (2) Every application made under sub -section (1) shall be accompanied by 
such fee as may be prescribed by the Commission.   
 (3) An applicant, once having made an application under sub -section (1), shall not be 
entitled to withdraw it. 
 
 196O. Disposal of applications by the Commission. -(1) The Commission may, before 
disposing of any application, call for such particulars as it may require in respect of the 
application brought before it, or cause further enquiries to be made by the Collector of 
Customs and the basis of his report and having regard to the nature and circumstances of the 
case, it may, by order, allow the application to be proceeded with or reject the application: 
 
 Provided that an application shall not be rejected under this sub -section unless an opportunity 
of being heard is provided to the applicant. 
 
 (2) Notwithstanding anything contained in sub -section (1), an application shall not be 
proceeded with under that sub-section if the Collector of Customs objects to such application 
on the ground that the particulars of evasion on the part of the applicant or perpetration of 
fraud by him for evading customs duty under this Act and the rules made thereunder has been 
established or is likely to be established by an Officer of Customs: 
 Provided that where the Commission does not agree with the objections raised by the 
Collector, it may, after giving the Collector an opportunity of being heard, accept the 
application to being proceeded with under sub-section (1). 
 
 (3) Where an application is allowed to be proceeded with under sub-section (1), the 
Commission may call for the relevant records from the Collector of Customs, and after 
examination of such records, if the Commission is of the opinion that any further inquiry in 
the matter is necessary, it may direct the Collector to make or cause to be made such further 
enquiry and furnish a report on the matters within such time as it may fix. 
(4) After examination of the records and report of the Collector received under sub -
section (1) or sub  section (3), and after giving an opportunity to the applicant and to the 
Collector to be heard, in person or through their authorized representatives, and after 
examining such further evidence as may be placed before it or obtained, the Commission 
may, in accordance with the provisions of this Act and the rules made thereunder, pass such 
order as it thinks fit on the matters stated in the application and reported to it by the Collector 
under sub-section (1) or sub-section (3). 
  
 (5) Every order passed under sub -section (4), shall provide for the terms of settlement, 
including any demand of duty, regulatory duty, additional duty, surcharge, penalty, fine in 
lieu of confiscation or prosecution proceedings and the manner in which any sum due under 
the settlement shall be paid, and all the matters to make the settlement effective and shall also 
provide that the settlement shall be void if it is subsequently found by the Commission that it 
has been obtained by fraud or misrepresentation. 
 (6) Where a settlement becomes void, the proceedings with respect to the matters 
relating to the settlement shall be revived from the stage at which the application was 
allowed, except the maters pending in appeal or revision before making an application under 
sub-section (1) of section 196 -N, and the concerned officer of customs may, notwithstanding 
anything contained in any other provision of this Act and the rules made thereunder, 
complete such proceedings. 
 (7) The Commission may, if it is of the opinion that any person who made an 
application under section 196 -N does not cooperate with the Commission in the proceedings 
before it, send the case back to the Officer with whom such case was pending at the time 
application under that section was made, who shall thereupon dispose of the case in 
THE CUSTOMS ACT,1969 
  
237 
 
accordance with the provisions of this Act and the rules made thereunder, as if no application 
under section 196-N had been made. 
 
 196P. Recovery of sums due under an order of settlement. - Any sum specified in an 
order of settlement passed under sub -section (4) of section 196 -O shall, subject to such 
conditions as may be specified therein, be recovered, and any additional duty or penalty for 
default in making payment of such sum, may be imposed and recovered in accordance with 
the provisions of this Act and the rules made thereunder by the officer of customs having 
jurisdiction in the case. 
 
 196Q. Bar on subsequent application for settlement in certain cases.- No fresh 
application for settlement shall  be made where – 
(i) an order of the settlement passed under section 196-O provides for the imposition 
of a penalty on 
 the person on the ground of evasion of customs duty; or 
(ii) a person is convicted of any offence under section 156(1); or 
(ii) a case is sent back to the officer of customs by the Commission for assessment or 
re-assessment for any reason; or 
(iii) the settlement becomes void under this Chapter. 
  
 196R. Order of Settlement to be conclusive. - Every order of the Commission passed 
under section 196-O shall be conclusive as to the matter stated therein and no matter covered 
by such order shall, save as otherwise provided in this Chapter, be re -opened in any 
proceeding under this Act or under any law for the time being in force. 
  
 196S. Power of the Commission to re -open proceedings. - If the Commission is, for 
reasons to be recorded in writing, of the opinion that for the proper disposal of the case 
pending before it, it is essential to re-open any proceedings connected with the case but which 
have been completed under this Act by any officer of customs before the application under 
section 196 -N was made, it may, with the concurrence of the applicant, re -open such 
proceedings and pass such order thereon as it thinks fit, as if the case in relation to which the 
application for settlement had been made by the applicant under that section covered such 
proceedings as well: 
 
  Provided that no proceedings shall be re -opened by the Commission under this 
section if the period between the finalization of such proceedings and the date of application 
for settlement under section 196-N exceeds one year. 
  
 196T. Proceedings before the Commission to be judicial proceeding. - Any 
proceedings before the Commission shall be deemed to be judicial proceedings within the 
meaning of sections 193 and 228 of the Pakistan Penal Code (Act XLV of 1860), and for the 
purpose of section 196 thereof. 
  
 196U. Communications of orders. - The Commission shall communicate its order to the 
applicant, the Collector, the adjudicating officer and the officer incharge of the Agency which 
detected the evasion or seized the goods.”.   
THE CUSTOMS ACT,1969 
  
238 
 
CHAPTER XX 
MISCELLANEOUS 
197. Customs control over conveyances and goods. -  The appropriate officer 
shall, for the purposes of this Act, have control over all conveyances and goods in a 
customs-area.       
198. Power to open packages and examine, weigh or measure goods. -  The 
appropriate officer may open any package or container and examine, weigh or 
measure any goods brought to the customs -station for importation or exportation and 
may for that purpose unload any such goods from the conveyance on which they 
have been imported or are to be exported 1[:]          
 2[Provided that the Collector may, for reasons to be recorded in writing, defer 
the examination of goods or class of goods belonging to a particular importer or class 
of importers, exporters or class of exporters and cause it to be performed at a 
designated place he deems fit and proper.] 
199. Power to take samples of goods. -  (1) The appropriate officer may, on the 
entry or clearance of any goods or at any time while such goods are being passed 
through the customs -area, take samples of such goods in the presence of the owner 
thereof or his agent 3[or where the Customs Computerized System is operational in 
the presence of the custodian of the goods], for examination or testing or for 
ascertaining value thereof or for any other necessary purpose.       
 (2) After the purpose for which a sample was taken is carried out, such 
sample shall, if practicable, be restored to the owner, but if the owner fails to take 
delivery of the sample within one month of the date on which he is asked in writing 
to take its delivery, it may be disposed of in such manner as the Collector of Customs 
may direct. 
 (3) In the case of goods which consist of drugs or articles intended for 
consumption as food, and in respect of which the taking of samples for the purposes 
of this sub -section may have been authorised by a general or special order of the 
Provincial Government, the appropriate officer may also in like circumstances take 
samples thereof for submission to, and examination by, such officer of  Government 
or of a local authority as may be specified in such order.  
200. Owner to make all arrangements and bear all expenses. - Any opening, 
un-packing, 3[weighing], measuring, repacking, bulking, sorting, letting, marking, 
numbering, loading, unloading, carrying, or lading of goods or their containers for 
the purposes of, or incidental to, the examination by an officer of customs, removal 
THE CUSTOMS ACT,1969 
  
239 
 
or warehousing thereof shall be done, and any facilities or assistance required for any 
such examination shall be provided, by or at the expense of the owner of goods 5[:] 
  6[Provided that at customs -stations with the operational Customs 
Computerized System all the above functions shall be performed by the custodian of 
the cargo and the importer 48[or exporter] shall bear all expenses.]  
201. Procedure for sale of goods and application of sale proceeds. -  (1) Where 
any goods, other than confiscated goods, are to be sold under any provision of this 
Act, they shall be sold after due notice to the owner  7[or his agent or custodian of 
the goods] by public auction 55[omitted].   
 41[(1A) The goods m ay be sold under sub -section (1)  through electronic 
means, as prescribed by the Board under the rules.] 
       (2) The sale proceeds shall be applied to the following purposes in their 
respective order, namely:-    
  (a) first to pay the expenses of the sale; 
  (b)  then to pay the freight or other charges, if any, payable in 
respect of the goods, if notice of such charges has been given 
to the person holding the goods in custody; 
(c) then to pay the customs -duty, other taxes and dues payable to 
the 8[Federal Government] in respect of such goods; 
 (d) then to pay the charges due to the person holding such goods 
  in custody.             
 (3) The balance, if any, shall be paid to the owner  of the goods, provided 
he applies for it within six months of the sale of the goods or shows su fficient cause 
for not doing so 52[: 
 Provided that, in case wherein goods declaration has been filed, the share of 
importer in sale proceeds shall not exceed the declared value of the goods.]     
 55[(4) No court shall stay the auction proceedings unless the person obtaining 
stay order furnish pay order or bank guarantee not less than fifty per cent of the 
reserve price of the goods before the nazir of the court.] 
9[202.  Recovery of Government dues. - (1) When, under this Act or under any 
other law for the time being in force, which provides for any tax, duty or other levy 
being collected in the same manner as customs -duties are collected, a penalty is 
adjudged against, or notice or demand is served upon, any person calling for the 
THE CUSTOMS ACT,1969 
  
240 
 
payment of any amount unpaid which may be payable by way of penalty or by way 
of duty, tax or other levy or under any bond 10[,guarantee] or other instrument 
executed under  this Act or such other law or the rules made there under, the 
appropriate officer-          
(a) may deduct or require any other officer of Customs, 49[or Inland 
Revenue] to deduct such amount from any money owing to such 
person which may be under the control of the Customs, 49[or Inland 
Revenue] authorities; or  
(b) if it cannot be so recovered, may recover, or may require any other 
officer of Customs, 49[or Inland Revenue] to recover, such amount by 
detaining and selling any goods belonging to such person which are 
under the control of the Customs, 49[or Inland Revenue]  authorities 
10a[:] 
10a[Provided that notwithstanding anything contained in any other law for the 
time being in force, if a defaulter sells or transfers ownership of his assets, 
the defaulted amount of duty and taxes shall be the first charge on the 
business so transferred.] 
 (2) If the amount cannot be recovered from such person in the manner 
provided in sub -section (1), the appropriate officer may serve upon the defaulter a 
notice in the prescribed form requiring him to pay the amount specified in the notice 
within such time as may be so specified.         
 (3) If the amount referred to in the notice under sub-section (2) is not paid 
within the time specified therein or within the further time, if any, allowed by the 
appropriate officer, the appropriate officer may proceed to recover from the defaulter  
the said amount by one or more the following modes, namely:- 
 (a) attachment and sale of any movable or immovable property of the 
defaulter; and  
 11[(b) may recover, or may require any other officer of Customs, 49[or 
Inland Revenue] to recover, if it cannot be so re-covered, such amount 
by detaining and selling an goods belonging to such person which are 
under the control of the Customs, 49[or Inland Revenue] authorities; or  
(a) may recover such amount by attachment and sale of any movable and 
immovable property of the guarantor, person, company, bank or 
financial institution, where a guarantor or any other person, company, 
bank or financial institution fails to make payment under such 
guarantee, bond or instrument 12[; or] 
THE CUSTOMS ACT,1969 
  
241 
 
 13[(d) arrest of the defaulter and his detention in the prison for a period not 
exceeding fifteen days: 
 Provided that this mode shall not be applied unless the period of limitation 
prescribed for filing appeal has expired, or an appeal is pending.]       
 14[(3A) A    warrant of arrest issued against a defaulter in sub -section (3)(d) 
shall not be executed if the arrears due from him are paid or the defaulter furnished 
security to the satisfaction of appropriate officer.       
 (3B) Any defaulter who under sub-section (3) is being kept under detention 
shall forthwith be set at liberty on  the arrears due from him being paid.]  
     (4) For the purposes of recovery of duty, or other levy under 15[sub-
sections(1) and (3)], the appropriate officer shall have the same powers which, under 
the Code of Civil Procedure, 1908 (Act V of 1908), a civil court has for the purpose 
of the recovery of an amount due under a decree.   
 (5) The Board  may make rules regulating the procedure for recovery of 
duty, tax or other levy under this section and any other matter connected with or 
incidental to the operation of this section 14a[:] 
 
  14a[Provided that if any arrears which may be payable by way of duty, 
surcharge, fee, service charges, fine or penalty or any other amount which is 
adjudged or payable under any bond, guarantee or other instrument executed under 
this Act or the rules made thereunder, cannot be recovered, the Board or any officer 
not below the rank of Collector authorized by the Board, may for reasons to be 
recorded, write off the arrears in the manner as may be prescribed by rules.]  
 
16[202A. Levy of surcharge .- Notwithstanding anything contained in this Act and 
without prejudice to any other action that may be taken thereunder, if any person 
fails to pay the arrears within the prescribed time, he shall, in addition to the arrears, 
be liable to pay surcharge at the rate of 40[KIBOR plus three per cent per annum] , of 
the total amount of arrears. 
 
Explanation.- For the purpose of calculating surcharge, the period of default shall be 
reckoned from the day following the due date on which the arrears were required to 
be paid to the day preceding the date on which the same are actually paid.] 
 
4253[202B. Reward to officers and officials of Customs and law Enforcement 
Agencies.-(1) In cases involving evasion of customs -duty and other taxes and 
confiscation of goods, cash reward shall be sanctioned to the Officers of Customs 
Service of Pakistan, as defined under the Occupational Groups and Services 
(Probation , Training and Seniority) Rules, 1990 and officials including officers and 
THE CUSTOMS ACT,1969 
  
242 
 
officials of other law enforcement agencies, who assist Customs officers and 
officials or are actually instrumental in seizure of smuggled goods and vehicles as 
confirmed by the respective Collector of Customs, for their meritorious conduct in 
such cases, and to the informer providing credible information leading to such 
confiscation or detection, as may be prescribed by rules by the Board, only after 
realization of part or whole of the duty and taxes involved in such cases.] 
 
(2).    T he Board may, by a notification in the official Gazette, prescribe the 
procedure in this behalf and specify the apportionment of reward sanctioned under 
this section for individual performance or to collective welfare of the personnel of 
45[Customs Service of Pakistan, as defined under the Occupational Groups and 
Services (Probation, Training and Seniority) Rules, 1990.] 
203. Wharfage or storage fees. -   The Collector of Customs may from time to 
time fix the period after the expiration of which goods left in any custom -house, 
custom area, wharf or other authorised landing place or part of the custom -house 
premises, shall be subject to payment of fees, and the amount of such fees  50[as 
provided under the rules prescribed by the Board].      
16a[203A.    Power to authorize expenditure. - The Board may authorize and 
prescribe the manner in which fee and service charges collected including by 
ventures of public-private partnership under section 18D are expended. ] 
204. Issue of certificate and duplicate of customs document.-  A  certificate or a 
duplicate of any certificate, manifest, bill or other custom’s document may, on 
payment of a fee not exceeding 17[one hundred] rupees, be furnished, at the 
discretion of an officer of customs not below the rank of an Assistant Collector of 
Customs, to any person applying for the same, if the said officer is satisfied that no 
fraud has been committed or is intended to be committed by the applicant.             
 
205. Amendment of documents.- Except in the case provided for by sections 29, 
45, 53 and 88, an officer of customs not below the rank of an 18/18A[Assistant 
Collector] of Customs may, in his discretion, upon payment of a fee of  19[one 
hundred] rupees, authorise any document , after it has been presented at the custom -
house to be amended. 
206. Correction of clerical errors, etc.-  Clerical or arithmetical errors in any 
decision or order passed by the 8[Federal Government], the Board or any officer of 
customs under this Act, or errors arising therein from accidental slip or omission 
may, at any time, be corrected by the 8[Federal Government], the Board or such 
officer of customs or his successor in office, as the case may be.                 
207. Customs-house agents to be licensed.-    No person shall act 20[on behalf of 
any principal] for the transaction of any business 21a[21[****] relating to the entrance 
THE CUSTOMS ACT,1969 
  
243 
 
or departure of any conveyance  21b[or any customs clearance related activity]  or the 
import or export of goods or baggage at any customs -station unless such person 
holds a license granted in this behalf in accordance with the rules 22[as a customs 
agent 47[or a shipping agent].          
23[208. Person to produce authority if required. - (1) When any person licensed 
under section 207 applies to any officer of Customs for permission to transact any 
specified business with him on behalf of any principal, such officer may require the 
applicant to produce a written authority from the principal on whose behalf such 
business is to be transacted, and in default of the production of such authority refuse 
such permission. 
 (2) Where the principal chooses to transact business directly without 
using an agent licensed under section 207, he may do so himself or may authorize an 
employee or representative that may transact business generally at the customs -port, 
airport or land customs-station or custom-house for such principal:        
  Provided that the appropriate officer may refuse to recognize such an 
employee or representative unless such a person produces an authority in writing 
duly signed by the principal 54[: 
  Provided further that the Board may make rules regarding eligibility 
of a person for self-filing of goods declaration as provided under sub-section (2) read 
with section 155C of this Act.]  
24[209. Liability of principal and agents. - (1) Subject to the provisions of section 
207 and 208, anything which the principal is required or empowered to do under this 
Act may be done by any person expressly authorized by the principal for the 
purpose. 
(2) Where this Act requires anything to be done by the principal and if any such 
thing is done, by an employee or representative expressly authorized by the principal 
under sub-section (2) of section 208, unless the contrary is proved, shall be deemed 
to have been done with the knowledge and consent of such principal so that in any 
proceedings under this Act, the principal shall be liable as if the thing had been done 
by himself.  
 (3)       When any customs agent is expressly authorized by the principal to be 
his agent under sub-section (1) of section 208 in respect of such goods for all or any 
of the purposes of this Act, such agent shall, without prejudice to the liability of the 
principal, be deemed to be the principal of such goods for such purposes: 
THE CUSTOMS ACT,1969 
  
244 
 
 Provided that where any duty is not levied or is short -levied or erroneously 
refunded on account of any reason other than willful act, negligence or default of the 
agent, such duty shall not be recovered from the agent.]          
210. Liability of agent appointed by the person -in-charge of a conveyance. -  
(1) Anything which the person-in-charge of a conveyance, is required or empowered 
to do under this Act may, with the express or implied consent of the person-in-charge 
and the approval of the appropriate officer, be done by his agent.           
 (2) An agent appointed by the person-in-charge of a conveyance, and any 
person who represents himself to any officer of customs as an agent of any such 
person-in-charge and is accepted as such by that officer, shall be liable for the 
fulfillment in respect of the matter in question of all obligations imposed on such 
person-in-charge by or under this Act or any law for the time being in force, and to 
penalties (including confiscation) which may be incurred in respect of that matter.      
 
25[211. Maintenance of record . 43[All importers, exporters and claimants of duty 
drawback, refunds or any notified concessions, terminal operators, owners of the 
warehouses, customs agents and the licensed customs bonded carriers, transport  
operators and tracking companies, carrying out business under this Act or rules made 
thereunder or under any other law, directly or indirectly, relating to international 
trade, shall be required to maintain and keep records and correspondence concerning 
import, export and transit trade transactions.] 
 
   (2) The records required under sub-section (1) shall be kept for a period not 
less than 25a[five] years in such form as the Board may by notification in the official 
gazette, specify. 
 
    (3) The provision of sub -section (1) shall not be applicable to the baggage 
of the passengers and crew of the conveyance and to the recipients of gifts.] 
 
26[211A.   Access to the premises and records by the officers of Customs. - The 
appropriate officer may, at any time after giving a notice in writing, visit any 
business or manufacturing premises where any raw materials, components, 
assemblies or sub -assemblies etc., imported at a notified reduced rate of the duties 
and taxes are manufactured, processed or stored, and inspect the goods, stocks, 
documents or records, data etc., and also take stock of the goods imported, 
manufactured, processed or stored, and the quantity thereof.] 
212. Regulation of business in gold, etc. - The 8[Federal Government] may, by 
notification in the official Gazette, regulate business in, or connected with, gold or 
silver or precious stones or ornaments made of gold or silver or precious stones, 
within fifteen miles of the frontier or coastline of Pakistan.      
THE CUSTOMS ACT,1969 
  
245 
 
 
47[212A.- Authorized economic operator programme .- (1) The Federal 
Government may, by notification in the official Gazette, devise authorized economic 
operator programme to provide facilitations relating to secure supply chains of 
imported and exported goods through simplified procedures with regard to 
regulatory controls applicable thereon.  
 
(2) The Board may, 51[Omitted], prescribe rules on matters pertaining to 
authorized economic operator programme.] 
52(3) Notwithstanding anything contained in this Act or any other law for 
the time being in force, the Board may, subject to such conditions, limitations or 
restrictions as it thinks fit to impose, grant benefits to the authorized economic 
operators, in such manner as may be provided under the rules made, including- 
 
(a) laying down any procedure or mode for collection of customs 
duties, fee, surcharge, penalty or any other levy under this Act 
or any other law; 
(b) deferring collection of customs duties, fee, surcharge, penalty 
or any other levy either in whole or in part; 
(c) condoning or substituting whole or part of the bank guarantee 
or pay order of a scheduled bank required under this Act with 
any other financial instrument as deemed appropriate.] 
 
52[212B. Advance Ruling. - (1) An applicant desirous of Advance Ruling may 
make an application in such form and in such manner as may be prescribed under the 
rules, stating any of the questions as contained in sub -section (2) hereinafter on 
which the Advance Ruling is sought. 
 
(2) The question on which advance ruling is sought shall be in respect of, 
- 
(i) classification of goods under the first schedule to this Act; 
(ii) determination of origin of the goods under the rules of origin notified 
for bilateral and multilateral agreements; or 
(iii) 54[Omitted] 
(iv) any other matter as the Board may specify by notification in the 
official Gazette. 
 
(3) The proceedings for issuance of advance ruling shall be completed 
within ninety days. 
 
(4) The Ruling issued under sub -section (1) shall be binding on the 
applicant. 
 
THE CUSTOMS ACT,1969 
  
246 
 
(5) The Ruling issued under sub -section (1) shall be binding on the 
Customs for a period of 53[three years] unless there is a change in law or facts or 
circumstances on the basis of which the advance ruling was pronounced. 
 
(6) The appeal against the Ruling issued under sub -section (1) shall lie 
with the Member Customs (Policy) within thirty days of issuance of Ruling: 
  Provided that during the appeal period of thirty days, the operation of 
Ruling shall remain suspended unless the applicant accepts the Ruling.] 
213. Recovery of money upon certain documents. -  If any person knowingly 
makes or brings into Pakistan, or causes or authorizes or is otherwise concerned in 
the making or bringing into Pakistan of any invoice or paper used or intended to be 
used as an invoice for the purposes of customs, in which any goods are entered or 
charged at a price or value higher or lower than that actually paid or intended to be 
paid for them, or in which goods are falsely described, no sum of money shall be 
recoverable by such person, his representatives or assigns, for the price of such 
goods or any part thereof, nor shall any sum of money be recoverable upon any bill 
of exchange, note or other security made, given or executed for the whole or part of 
the price of such goods unless such bill of exchange, note or other security is in the 
hands of a bona fide holder for consideration without notice.    
214.  Remission of duty and payment of compensation to the owner in certain 
cases.- Where, on prosecution by the owner of any goods, an officer of customs is 
convicted of an offence connected with the removal of such goods from the 
warehouse without payment of duty, the whole of the duty on such goods shall be 
remitted, and, the Collector of Customs, shall, in accordance with the rules, pay to 
the owner due compensation for the damage caused to the owner by such offence.        
215. Service of order, decision, etc. - Any order or decision passed or any 
summons or notice issued under this Act shall be served-       
(a) by tendering the order, decision, summons or notice or sending it by 
registered post 27[or the c ourier service or by any other mode of 
transmission subject to acknowledgement receipt] 28[***] to the 
person for whom it is intended or to his agent; or 
(b) if the order, decision, summons or notice cannot be served in any 
manner provided in clause (a), by affixing it on the notice board of the 
custom-house 29[;or] 
30[(c) in case of electronic orders, decisions, notices or summons, when 
these have been sent to the recipient from the Customs Computerized 
System.]  
THE CUSTOMS ACT,1969 
  
247 
 
216. No compensation for loss or injury except on proof of neglect or willful 
act.-  No owner of goods shall be entitled to claim from any officer of customs 
compensation for the loss of  such  goods or  for damage  done to them at any time  
while they remain or are lawfully detained  in any custom -house, customs area, 
wharf or landing place under the charge of any officer of custom, unless it be proved 
that such loss or damage was occasioned by gross negligence or willful act of such 
officer. 
217. Protection of action taken under the Act. - 31[(1) No suit, prosecution or 
other legal proceeding shall lie against the 8[Federal Government] or any public 
servant for anything which is done or intended to be done in good faith in pursuance 
of this Act or the rules 32[and notwithstanding anything in any other law for the time 
being in force no investigation or enquiry  shall be undertaken or initiated by any 
governmental agency against any officer or official for anything done in his official 
capacity under this Act, rules, instructions or directions made or issued thereunder 
without the prior approval of the  31a[Board] ].           
  33[(2) No suit shall be brought in any civil court to set aside or modify any 
order passed, any assessment made, any tax levied, any penalty imposed or 
collection of any tax made under this Act.]  
218. Notice of proceedings. - No proceeding in a court other than a suit shall 
be commenced against any officer of customs or any other person exercising any 
powers conferred or discharging any duties imposed by or under this Act for 
anything purporting to be done in pursuance of the provisions of this Act or the rules 
without giving to such officer or person a month’s previous notice in writing of the 
intended proceeding and of the cause thereof; or after the expiration of one year from 
the accrual of such cause 34[:]       
 35[Provided that this section shall not be deemed to apply in the case of the 
prosecution of an officer of customs or such other person for an offence punishable 
under this Act.]    
219. Power to make rules. - (1)  The Board may, by notification in the official 
Gazette, make rules for carrying out the purposes of this Act 36[, including for 
charging of fees for processing the customs documents and preparation of copies 
thereof]. 
 (2) Without prejudice to the generality of the foregoing provision, rules 
may be made on matters enumerated in the 37[Third Schedule]. 
THE CUSTOMS ACT,1969 
  
248 
 
 (3) No rules relating to matters enumerated at items 19 and 22 of the 
37[Third Schedule] shall be made without previous approval of the 8[Federal 
Government] in writing. 
 
 47[(3A)  Rules made under this section shall be subject to the condition of 
previous publication.] 
 (4) All rules under this section shall, as soon as may be, be laid at the 
table of the National Assembly. 
 (5) All such rules for the time being in force shall be collected, arranged, 
and published at intervals not exceeding two years and shall be sold to the public at a 
reasonable price. 
 
46[219A.  Power to enter into mutual legal assistance agreements on 
customs matters.- (1) The Board may, of its own motion or upon request from an 
international organization, a foreign customs administration or any other foreign 
competent authority, enter into memorandum of understanding pertaining to mutual 
legal assistance in customs matters or in pursuance of any bilateral or a multilateral 
agreement, undertake activities, which, inter alia, include-  
 
(a) coordinated border management; 
(b) information and data sharing;  
(c) bilateral and multilateral international special operations, including, 
  by the method of controlled delivery;  
(d) capacity building and technical assistance initiatives; and  
(e) any other matter to which both or all parties agree.  
 
 (2)  Notwithstanding anything contained in any other law, for the time 
being in force, the Board may, on behalf of the Federal Government, request an 
international organization, a foreign customs administration or any other foreign 
competent authority for legal assistance on any matter or offence under this Act or 
upon request received therefrom. 
 
 (3)  The Board may, by notification in the official Gazette, prescribe the 
rules for any of the matters enumerated in this section.] 
 
38[220. Omitted. 
 
221. Savings.- (1) Notwithstanding anything contained in section 6 of the 
General Clauses Act, 1897 (X of 1897), anything done, or any action taken under the 
repealed enactments in so far as it is not inconsistent with the provisions of this Act 
THE CUSTOMS ACT,1969 
  
249 
 
shall, without prejudice to anything already done or any action already taken, be 
deemed to have been done or taken under this Act: 
 
 Provided that nothing in this Act shall be so construed as to have the effect of 
enhancing the punishment of an offence committed before the commencement of this 
Act: 
 Provided further that where the period of limitation for the submission of an 
application or the filing of an appeal or revision prescribed under any of the repealed 
enactments had expired or had begun to run before the commencement of this Act 
the provisions of those enactments shall continue to apply to such limitation. 
 
 (2) The provisions of the General Clauses Act, 1897 (X of 1897), in 
particulars, section 6, section 8 and section 24 thereof, shall apply to the repeal and 
re-enactment of the said enactments by this Act, subject to the provisions of sub -
section (1). 
  
 (3) Nothing in this Act shall affect any law for the time being in force 
relating to the constitution and powers of the trustees of any port or other port 
authority.   
 
46[221-A.  Validation.-47[(1)]  All notifications and orders issued and notified in 
exercise of the powers conferred upon the Federal Government, before the 
commencement of Finance Act, 2017 shall be deemed to have been validly issued 
and notified in exercise of those powers.] 
 
47[(2) Notwithstanding  any order or judgment of any court,  a High Court 
and the Supreme Court, the regulatory duty already levied, collected and realized in 
exercise of any powers under this Act, before the commencement of the Finance Act, 
2018 and after the commencement of the Finance Act, 2017, shall be deemed to have 
been validly levied, collected and realized under this Act, in exercise of the powers 
conferred on the commencement of the Finance Act, 2018, and where any such 
regulatory duty has not been levied, collected or realized, the same shall be 
recoverable in accordance with the provisions of this Act.] 
 
222. Removal of difficulties. - If any difficulty arises in giving effect to the 
provisions of this Act, particularly in relation to the transition from the enactments  
repealed by this Act to the  provisions of this Act, the 5[Federal Government] may, 
by general or special order made during the period of one year from the 
commencement of this Act, direct such action to be taken as it considers necessary or 
expedient for the purpose of removing the difficulty. 
 
THE CUSTOMS ACT,1969 
  
250 
 
39[223. Officers of Customs to follow Board’s orders, etc.- All officers of customs 
and other persons employed in the execution of this Act shall observe and follow the 
orders, instructions and directions of the Board: 
 
 Provided that no such orders, instructions or directions shall be given so as to 
interfere with the discretion of the appropriate officer of customs in the exercise of 
their quasi-judicial functions. 
 
224. Extension of time limit. - The Federal Government, the Board or the 
appropriate officer of customs, may, upon  being approached by an aggrieved party if 
satisfied that the delay was beyond the control of the applicant and that by granting 
such extension there is a possibility of some loss or hardship to the applicant being  
mitigated or prevented,  44[condone the delay and extend the time limit laid down in 
this Act or the rules made thereunder.] 
 
55[225. Establishment of Customs Command Fund (CCF). - (1) There shal l be 
established a fund to be called the Customs Command Fund. 
 
 (2)  Allocation for the Customs Command Fund shall be made by the 
Federal Government from the sale proceeds of auction of smuggled goods, for 
supporting anti-smuggling activities, as per the share notified by the Board with the 
concurrence of the Finance Division. 
 
Explanation.-  Sale proceeds shall become part of the Federal Consolidated Fund 
before budgetary allocation of amount to the Customs Command Fund established 
under this section. 
 
(3)  The Board may prescribe the manner for utilization of the funds received 
in the Customs Command Fund and impose any condition s, limitations or 
restrictions as it may deem necessary. 
 
226. Digital Enforcement Station. -  (1) The Board may, by a notification in the 
official Gazette, declare places to be Digital Enforcement Stations at such locations 
as deemed appropriate for the prevention of smuggling and illicit trade. The Board 
may notify any existing customs check-post as Digital Enforcement Station. 
 
 (2) The Board, may by notification in the official Gazette, make rules for 
staffing, operations and technological enablement of Digital Enforcement Station. 
 
 (3) The Board may subject to rules hire retired junior -commissioned 
officers and soldiers of the armed forces against the available posts of customs on 
contract for the purpose of this section.]  
THE CUSTOMS ACT,1969 
  
251 
 
LEGAL REFERENCE 
 
1. Substituted for the full stop by the Finance Act, 2005. 
2. Added by the Finance Act, 2005. 
3. Inserted by Finance Act, 2004. 
4. In the original text the word is “waiving”.  This does not give any sense, hence the change. 
5. Substituted for the full stop by the Finance Act, 2003 (I of 2003), S.5(35), page 41 
6. Added by the Finance Act, 2003 (I of 2003), S.5(35), page 41. 
7. Inserted by the Finance Act, 2006. 
8. Substituted for the words “Central Government” by the Finance Ordinance, 1972 (XXI of 
1972), S.3, page 56 and Second Schedule, S.1, page 76. 
9. Substituted by the Finance Act, 1989 (V of 1989), S.5(7), page 119.  At the time of 
substitution section 202 was as under:- 
 
 “202. Recovery of Government dues. - (1) When, under this Act, a penalty is adjudged 
against any person or notice or demand is served upon any person calling for the payment of 
any amount unpaid which may be payable by way of duty or under any bond or other 
instrument executed under this Act or the rules, the appropriate officer- 
(a) may deduct or require any other officer of customs to deduct such amount from any 
money owing to such person which may be under the control of the customs 
authorities; or 
(b) if it cannot be so recovered, may recover or may require any other officer of 
customs to recover such amount by detaining and selling any goods belonging to 
such person which are under the control of the customs authorities. 
(2) If the amount cannot be recovered from such person in the manner 
provided in sub -section (1), the  appropriate officer may send to the Collector of the District 
in which such person resides or owns any property or carries on his business a certificate 
signed by him and specifying the amount recoverable from such person: and such Collector 
shall on receiving such certificate proceed to recover the amount specified in the certificate as 
a public demand or an arrear of land revenue.”.   
10 Inserted by the Finance Act, 1994 (XII of 1994), S.6(4)(a), page 254. 
10a. Added by the Finance Act, 2007. 
11.  Substituted by the Finance Act, 1994 (XII of 1994), S.6(4)(b), page 254. At the time of 
substitution this was as under:- 
 “(b) appointment of a receiver for the management of the movable or immovable 
property of the defaulter.”.  
12. Substituted for the full stop by the Finance Act, 1999 ((IV of 1999), S.10(12)(I), page 769. 
13. Added by the Finance Act, 1999 (IV of 1999), S.10(12)(I), page 769. 
14. Inserted by the Finance Act, 1999 (IV of 1999), S.10(12)(ii), page 769. 
14a. Added by the Finance Act, 2007. 
15. Substituted for the word, brackets and figure “sub-section (3)” by the Finance Act, 1994 (XII 
of 1994), S.6(4)(c), page 254. 
16. Added new section 202A by the Finance Act, 2006. 
16a. Inserted by the Finance Act, 2007. 
17. Substituted for the word “ten” by the Finance Ordinance, 2002 (XXVII of 2002), S.4(14), 
page 227. 
18. Substituted for the words “Assistant Collector” by the Finance Act, 1996 (IX of 1996), S. 
18A. By the Finance Act, 2006 the words ”or Deputy Collector” were omitted. 
19. Substituted for the word “five” by the Finance Ordinance, 2002 (XXVII of 2002), S.4(15),
 page 227. 
20 Substituted for the words “as an agent” by the Finance Act, 2003 (I of 2003), S.5(36)(a), 
page 41. 
21. Inserted the words” or issuance of bill of lading” by Finance Act, 2005. 
21a Omitted the words” or issuance of bill of lading” by Finance Act, 2007. 
21b. Inserted by the Finance Act, 2007. 
22. Added by the Finance Act, 2003 (I of 2003), S.5(36)(b), page 41. 
THE CUSTOMS ACT,1969 
  
252 
 
23. Substituted by the Finance Act, 2003 (I of 2003), S.5(37), paged 41. At the time of 
substitution section 208 was as under:- 
 “208. Agent to produce authority if required. - (1) When any person applies to any 
officers of customs for permission to transact any specified business with him on behalf of 
any other person, such officer may require the applicant to produce a written authority from 
the person on whose behalf such business is to be transacted, and in default of the production 
of such authority refuse such permission. 
 (2) the clerk, servant or agent of any person or mercantile firm may transact business 
generally at the custom-house on behalf of such person or firm: 
 Provided that the appropriate officer may refuse to recognize such clerk, servant or agent 
unless such person or a member of such firm identifies such clerk, servant or agent to the 
appropriate officer as empowered to transact such business and deposits with the said officer 
an authority in writing duly signed, authorizing such clerk, servant or agent to transact such 
business on behalf of such person or firm: 
 Provided further that the Central Board of Revenue may, by an order, published in the official 
Gazette, prohibit transaction with customs of any specified business through a clerk, servant 
or agent.”. 
 
24. Substituted by the Finance Act, 2003 (I of 2003), S.5(38), page 42. At the time of substitution 
section 209 was as under:- 
 
 “209. Liability of principal and agent.- (1) Subject to the provisions of sections 207 and 
208, anything which the owner of any goods is required or empowered to do under this Act 
may be done by any person expressly or impliedly authorized  by the owner for the purpose. 
(2) Where this Act requires anything to be done by the owner, importer or exporter of 
any goods, any such thing done by an agent, clerk or servant of the owner, importer or 
exporter of any goods shall, unless the contrary is proved, be deemed to have been done with 
the knowledge and consent of such owner, importer or exporter so that in any proceedings 
under this Act the owner, importer or exporter of the goods shall also be liable as if the thing 
had been done by himself. 
(3) When any person is expressly or impliedly authorised by the owner, importer or 
exporter of any goods to be his agent in respect of such goods for all or any of the purposes 
of this Act, such person shall, without prejudice to the liability of the owner, importer or 
exporter, be deemed to be the owner, importer or exporter of such goods for such purposes: 
 Provided that where any duty is not levied or is short-levied or erroneously refunded or 
account of any reason other than willful act, negligence or default of the agent, such duty 
shall not be recovered from the agent.”.  
 
25. Substituted by the Finance Act, 2006. At the time of substitution section 211 was as under:- 
 
 “211. Principals and agents to maintain records.-  All principals and agents transacting 
business under this Act, except those importing or exporting goods for bonafide private or 
personal purposes, shall, for a period of not less than [three years] maintain records in such 
form as the Board may, by notification in the official Gazette, specify.” 
25a. For the word “three” the word “five” was substituted by the Finance Act, 2007. 
26.. Inserted section 211A by the Finance Act, 2006. 
27. Inserted by the Finance Act, 2005. 
28. The word “acknowledgement due” omitted by the Finance Ordinance, 1982 
29. Substituted for the full stop by the Finance Act, 2003 (I of 2003), S.5(40)(a), 
30. Added by the Finance Act, 2003 (I of 2003), S.5(40)(b), page 43.  
THE CUSTOMS ACT,1969 
  
253 
 
31. Re-numbered as sub-section (1) by the Finance Act, 1992 (VII of 1992), S.6(6), page 114 and 
substituted by the Finance Act, 2003 (I of 2003). 
 “(1) No suit, prosecution or other legal proceeding shall lie against the 5[Federal 
Government] or any public servant  for anything which is done or intended to be done in  
good  faith in pursuance of this Act or the Rules.”. 
31a. For the word “Central Board of Revenue” the word “Board” was substituted by the Finance 
Act, 2007. 
32. Inserted by the Finance Act, 2003 (I of 2003), S.5(41), page 43. 
33. Added by the Finance Act, 1992 (VII of 1992), S.6(6), page 114. 
34. Substituted for the “full stop” by the Prevention of Smuggling Act, 1977. 
 35. Added by the Prevention of Smuggling Act, 1977 (XII of 1977), S.51(viii), page 229.  
36. Added by the Finance Act, 1994 (XII of 1994), S.6(5), page 254. 
37.  Substituted for the words “First Schedule” by the Finance Act, 1975 (L of 1975), 
38. Omitted by the Federal Laws (R&D) Ordinance, 1981.  At the time of omission section 220 
was as under:- 
 “220. Repeals and amendments.- The enactment specified in the 38a[Fourth Schedule] 
are repealed or amended to the extent specified respectively in columns 3 and 4 thereof.”. 
38a.  Substituted for the words “second Schedule” by the Finance Act, 1975. 
39.. Added by the Finance Act, 1975 (L of 1975),S.7(7), page 10. 
40. The words “one and a half per cent per month” substituted with the words KIBO plus three 
per cent per annum” by Finance Act,2009. 
 41. Inserted by Finance Act, 2012. 
42. Inserted by Finance Act, 2012 
43. Substituted for the word “ (1) All importers, exporters and claimants of duty drawback, 
refunds or any notified concessions, terminal operators, owners of the warehouses, customs 
agents and the licensed customs bonded carriers, carrying out business under this Act or any 
other law, directly or indirectly, relating to international trade, shall be required to maintain 
and keep records and correspondence concerning import and export transactions” by the 
Finance Act, 2012. 
44. Substituted for the word “extend the time limit laid down in any section” by the Finance Act, 
2012. 
45. Substituted for the words “Pakistan Customs Service” by Finance Act, 2013.  
46. Inserted by Finance Act, 2017 
47. Inserted by Finance Act, 2018. 
48. Inserted by Finance Act, 2019.  
49. Substituted by Finance Act, 2019. At the time of substitution the words was “Central Excise 
and Sales Tax” .  
50. Inserted by Finance Act, 2019. 
51. Omitted the Finance Act, 2019. At the time of omission the words was ”with approval of 
Federal Government” 
52. Inserted/substituted by Finance Act, 2020 (June) 
53. Inserted by Finance Act, 2021 (June) 
54. Inserted/Substituted by Finance Act, 2023(June) 
55. Inserted/substituted by Finance Act, 2025 (June) 
THE CUSTOMS ACT,1969 
  
254 
 
THE FIRST SCHEDULE 
(See section 2(16) 
(See Finance Act, 2022) 
4[THE SECOND SCHEDULE] 
(See section 18) 
THE THIRD SCHEDULE 
(See section 219) 
1. Regulation of proceedings for the detention and confiscation of the prohibited 
goods imported or intended to be exported, including verification of 
information relating to such goods, notices to be given to the owner or other 
parties, security for the custody or release of such goods, examination of 
evidence, reimbursement by the informant of expenses and damages caused 
by incorrect information supplied by him. 
2. Cases in which the goods or material imported with a view to subsequent 
exportation, or to be used in the production, manufacture, processing, repair 
or refitting of goods specified in the rules may be delivered without payment 
of the whole or part of the duty; and repayment of duty on such goods and 
material. 
3. Valuation of the goods imported or intended to be exported, submission by 
the importer or exporter of information necessary for the proper valuation of 
the goods; and production of the relevant books and documents by him, 
furnishing of information by the importer relating to the sources, nature and 
amount of the funds or assets by which the goods were acquired or the 
consideration for which and the manner in which it was disposed of. 
4. Determining denatured spirit, and testing and denaturing of spirit. 
5. Matters pertaining to drawback; drawback in respect of used goods, the 
amount of duty which shall be repaid as drawback on such goods; prohibition 
of drawback on any specified goods or class of goods; conditions for the 
payment of drawback; limiting the period during  which such goods must be 
exported; limiting the time during which drawback may be claimed.  
6. The extent to which and the conditions subject to which drawback may be 
allowed on the imported material used in the manufacture of goods in 
Pakistan which are exported. 
7. Matters relating to port clearance or to departure of conveyances; grant of 
special pass permitting bulk to be broken; conditions relating to the grant of 
port clearance  to the master of a vessel when the agent furnishes security for 
the delivery of export manifest and other documents. 
8. Sealing of conveyances carrying transit goods and in other cases.  licensee; 
conditions and restrictions applying to the license including furnishing of 
THE CUSTOMS ACT,1969 
  
255 
 
security; circumstances in which license may be suspended or revoked; 
appeals against the suspension or revocation of the license. 
9. Matters pertaining to any business for the regulation of which a notification 
may be issued under section 212; the accounts and records to be maintained , 
and the information to be furnished, by persons engaged in such business. 
10. Expenses to be charged when customs officer is specially employed to 
accompany the owner to the warehouse under section 93; fees to be charged 
for permitting the owner of any goods to deal with them as provided in 
section 94. 
11. Matters pertaining to the manufacturing and other operators carried on in the 
warehouse. 
12. Transshipment and prohibition and regulation and restriction of 
transshipment; transshipment of goods without payment of duty; powers of 
officers of customs in that behalf; and the fees for transshipment. 
13. Export of frustrated cargo under section 138. 
14. Transport of goods from one part of Pakistan to another foreign territory; 
conditions as to the due arrival of such goods at the destination. 
15. Conditions and restrictions applying to the transit of goods to a foreign 
territory without payment of duty. 
16. 1[Goods declaration] 
17. Baggage of passengers and the crew, definition, declaration, custody, 
examination, assessment and clearance of such baggage, transit and 
transshipment of such baggage; circumstances and conditions under which 
such baggage or any specified class of goods included in such baggage would 
be exempt from duty; extent of such exemption. 
18. Matters pertaining to the import or export of goods by post; examination, 
assessment, clearance, transit or transshipment of the goods so imported or to 
be exported. 
19. Prevention of the taking out of Pakistan of any coastal goods the export of 
which is dutiable or prohibited under this Act or any other law; prevention of 
the substitution of imported goods or export goods by coastal goods on board 
a vessel; prohibiting the conveyance of any specified class of goods 
generally; or to or between specified ports in a coasting vessel. 
20. Powers to be exercised by an officer stationed at a factory or building under 
section 176. 
21. Licensing of agents; the form of the license and fee payable therefore; the 
authority competent to grant the license; the period of validity of the license; 
THE CUSTOMS ACT,1969 
  
256 
 
qualifications of the licensee; conditions and restrictions applying to the 
license including furnishing of security; circumstances in which license may 
be suspended or revoked; appeals against the suspension or revocation of the 
license. 
22. Matters pertaining to any business for the regulation of which a notification 
may be issued under section 212; the accounts and records to be maintained , 
and the information to be furnished, by persons engaged in such business. 
2[22A. Registration, and regulating the conduct, of the customs -practitioners 
appearing before any officer of customs, the Central Board of Revenue or the 
Federal Government in connection with any proceedings under this Act or the 
rules made thereunder.] 
 3[22B. The form in which the memorandum of appeals shall be made under Chapter 
XIX, the manner in which appeals shall be verified and matters relating to 
hearing of appeals, revisions and references under the said Chapter which are 
not provided for or not sufficiently provided for in the Act.] 
5[22C. Matters pertaining to Authorized Economic Operator (AEO) programme, 
including criteria for granting status of AEO to an applicant, suspension and 
revocation of the AEO status; and the extent of benefits under AEO 
programme.] 
23. Any other matter necessary for giving effect to the provisions of this Act.      
   
6[THE FOURTH SCHEDULE] 
(See section 219) 
7[THE FIFTH SCHEDULE] 
(See section 4 (30) 
(See Finance Act, 2025) 
LEGAL REFERENCES 
1. Substituted the words” Bill of Export” by the Finance Act, 2006. 
2. Inserted by Finance Act, 1977 (XXX of 1977), S.9(3), page 301.   
3. Added by Finance Act, 1989 (V  of 1989), S.5, Part-III, page 174. 
4. Omitted by Finance Act, 2012. 
 5. Inserted by Finance Act, 2018 
6. Omitted by the Federal Laws (Revision & Declaration) Ordinance, 1981 (XXVII of 1981), 
S.3 and Second Schedule w.e.f. 8th July, 1981.  
7. Inserted by Finance Act, 2014 
 
 
 
 
 
 
 
 
THE CUSTOMS ACT,1969 
  
257