Online transactions: FBR regulates the process of buying and selling goods “strictly”.

ISLAMABAD: The Federal Board of Revenue (FBR) has decided to “strictly” regulate the buying and selling of goods, including digital products, through electronic transactions conducted over the Internet or other computerized (online communication) networks .

In this context, the FBR published the draft of the Import and Export of E-Commerce Rules here on Thursday.

In the absence of customs supervision of e-commerce goods, the FBR cannot fully verify the movement of such goods for an accurate determination of duties and taxes.

Monitoring of these digital products would be possible after implementation of e-commerce import and export regulations, sources added.

According to the rules, the new procedure applies to the assessment and clearance of imported or exported goods from business-to-consumer (B2C) transactions by authorized traders through the customs station designated by the list.

The FBR has also explained the responsibilities of registered courier and e-commerce exporters and importers.

According to the Regulations, “e-commerce” means the buying and selling of goods or services, including digital products, through electronic transactions conducted over the Internet or other computerized (online communication) networks.

“E-Commerce Exporter” means an exporter registered by an authorized State Bank of Pakistan (SBP) dealer in the B2C e-Commerce module in WeBOC and “E-Commerce Importer” means an importer or end consumer receiving goods intended for personal use and not for commercial purposes and who is registered with the WeBOC e-commerce portal.

These provisions do not apply to the following goods: goods requiring sample inspections, animals, perishable goods, foodstuffs including beverages, medicines of all kinds, alcoholic beverages, restricted items subject to compliance with import and export regulations under the relevant law; Prohibited under Sections 15 and 16 of the Customs Act 1969, and import and export goods destined for clearance from a customs office or airport other than that at which they arrived.

Under the new regulations, the registered courier must submit the pre-arrival manifest of e-commerce goods in the prescribed format.

The risk management system is applied at the manifest submission stage.

The consumer must provide the details of the shipping and the e-commerce importer.

Consumer e-commerce goods will be declared after providing information before the manifest or after the arrival of the goods.

The goods declaration is submitted by the registered courier on behalf of the e-commerce importer and exporter for the specified type of goods declaration for the purpose of e-commerce.

Duties and taxes are paid by the e-commerce importer and exporter in the following ways: self-payment by the e-commerce e-importer and exporter via a unique payment ID and payment by an authorized registered courier.

The registered courier, along with the e-commerce importer or exporter as the case may be, is responsible and will be treated under the relevant provisions of the Customs Act 1969, according to the FBR.

The goods will be released after inspection and evaluation by the WeBOC system, following the decision of the RMS system, the FBR added.

Copyright Business Recorder, 2020