Import & Export
How to calculate customs duty in Pakistan (2026-27), with a worked example
How Pakistan import taxes stack up: customs duty, ACD, regulatory duty, 18% sales tax, 3% VAT and income tax, with a full 2026-27 worked example.
Import & Export · Business & Trade
Find your 8-digit PCT code with FBR's online tariff search or the 2026-27 Customs Tariff PDF. How codes work, an example, and penalties for a wrong code.
AI Summary
Pakistan classifies goods with 8-digit PCT codes: the first six digits are the international HS code and the last two are Pakistan's own. To find yours, use FBR's Search Customs Tariff to look up goods by description, or download the Pakistan Customs Tariff 2026-27 PDF. For example, smartphones in CKD/SKD form are PCT 8517.1310. A wrong code can cost a penalty of up to twice the goods' value even by mistake. For certainty, apply for a binding advance ruling, decided within 90 days.
Pakistan classifies goods with 8-digit PCT codes: the first six digits are the international HS code, and the last two are Pakistan’s own. To find yours, use FBR’s Search Customs Tariff to look up goods by description, or download the Pakistan Customs Tariff 2026-27 PDF. The code decides your duty, so getting it wrong is costly: up to twice the goods’ value in penalties, even for an honest mistake.
Take smartphones in kit form, 8517.1310:
| Digits | Level | Example |
|---|---|---|
| 85 | Chapter | Chapter 85 |
| 85.17 | Heading | Telephone sets, including smartphones |
| 8517.13 | Subheading (international HS, 6 digits) | Smartphones |
| 8517.1310 | Pakistan tariff line (8 digits) | In CKD/SKD condition |
The HS is the World Customs Organization’s system, used by over 200 countries for about 98% of world trade. Pakistan adds the last two digits to set its own duty rates.
PSW also lists Tariff & SROs and a duty calculator among its public tools.
In the 2026-27 tariff, under heading 85.17, both 8517.1310 (smartphones, CKD/SKD) and 8517.1390 (other smartphones) show customs duty of Rs 250 per set. Cotton yarn under 5205.1100 shows 5%.
The budget for 2026-27 cut customs duty on 92 tariff lines and reduced additional customs duty and regulatory duty on thousands more, so last year’s rates may be out of date.
The WCO’s General Rules for Interpretation decide it, in order:
Declaring the wrong code is treated under section 32 of the Customs Act:
| Situation | Penalty |
|---|---|
| Genuine error that short-paid duty | Up to Rs 50,000 or 2× the goods’ value, whichever is greater |
| Knowingly false declaration | Up to Rs 1 lakh or 3× the value, confiscation, and up to 3 years in prison on conviction |
Customs can raise short-paid duty for up to three years after an error, or five years if the statement was false. Nothing happens if the shortfall is under Rs 20,000, or if you pay it in full voluntarily before an audit or inquiry starts.
HS codes are revised every 5 to 6 years; the next edition, HS 2028, starts on 1 January 2028.
More guides: Import & Export, import/export checklist.
The HS code is the World Customs Organization's international 6-digit code. Pakistan's PCT code adds two national digits to make 8, and duty rates are set at the 8-digit level in the Pakistan Customs Tariff.
FBR publishes it as a PDF on its Customs Tariff page, along with earlier years and the Fifth Schedule to the Customs Act.
Yes. FBR's Search Customs Tariff lets you find a description by PCT code, or a PCT code by description. PSW also lists Tariff & SROs and a duty calculator among its public utilities.
If duty is short-paid by genuine error, the penalty can be up to Rs 50,000 or twice the goods' value, whichever is greater. A knowingly false declaration risks up to Rs 1 lakh or three times the value, confiscation and up to three years in prison.
Apply for an advance ruling under section 212B of the Customs Act. It must be decided within 90 days and binds Customs for three years, unless the law or facts change.