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Qanoon Digest

Finance Bill 2026: Second Schedule (Fifth Schedule), part 2

FY 2026-27Finance BillPages 101 to 115 of 115

The Finance Bill 2026: Second Schedule (Fifth Schedule) is part of the federal budget for FY 2026-27. This page reproduces the text of its 115 PDF pages, extracted automatically from the official PDF published by the Federal Board of Revenue.

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Page 101
2. 3-Wheeler (i) Following EV specific 1% The
electric loader (PCT code 8711.6060) components for assembly / manufacturing in any kit form (CKD): - (a)Batteries other than lead acid (PCT code 85.07), (b)Gear (PCT code 8483.4019), (c)Electric motor with axle (PCT code 8711.6050), (d)Controller (PCT code 8542.3100), (e)Power Switch (PCT code 8536.5029) (f)Electric auto cut (PCT code 8504.9090). (g)Battery Connection (PCT code 8544.4229) (h)Battery Charger (PCT code 8504.4020), (i)Junction Box (PCT code 8536.4910) (notwithstan ding the rate of customs duty as specified in the First Schedule to the Customs Act, 1969). concession shall be admissible to manufacturer s of 3- Wheeler electric loader on and from the 1st day of July, 2025 till 30th day of June, 2027 subject to certification and quota determination by the Engineering Development Board (EDB).
(ii)Component for Assembly / manufacturing in any kit form (CKD)- Non- Localized parts. 15% The concession shall be admissible subject to the conditions mentioned at Para-2 of SRO 656(I)/2006 dated 22.06.2006.
(iii)Component for Assembly / manufacturing in any kit form (CKD)- Localized parts. 15% plus Additional Customs Duty levied under SRO 693(I)/2006 dated 01.07.2006 Subject to the conditions mention at Para-2 of SRO 656(I)/2006 dated 22.06.2006.
Page 102
3. Electric i) Following EV specific 1% The
motorcycle (PCT code 8711.6040) components for assembly / manufacturing in any kit form (CKD): - (a) Electric Motor (PCT code 8501.3200), (b)Battery Charger (PCT code 8504.4020), (c)Switches (PCT code 8536.5029), (d)Junction Box (PCT code 8536.4910), (e)Controller (PCT code 8542.3100), (f)Converter (PCT code 8454.1000), (g)Batteries other than lead acid(PCT code 85.07) (notwithstan ding the rate of customs duty as specified in the First Schedule to the Customs Act, 1969). concession shall be admissible to manufacturer s of electric motorcycle on and from the 1st day of July, 2025 till 30th day of June, 2027 subject to certification and quota determination by the Engineering Development Board (EDB).
(ii) Component for Assembly / manufacturing in any kit form (CKD)- Non- Localized parts. 15% The concession shall be admissible subject to the conditions mentioned at Para-2 of SRO 656(I)/2006 dated 22.06.2006.
(iii) Component for Assembly / manufacturing in any kit form (CKD)- Localized parts. 15% plus Additional Customs Duty levied under SRO 693(I)/2006 dated 01.07.2006 Subject to the conditions mention at Para-2 of SRO 656(I)/2006 dated 22.06.2006.
4. Electric Buses (PCT code 8702.4090) Components in any kit form (CKD) (PCT code 8702.4010) 1% (i) The concession shall be admissible on import of
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CKD kits to manufacturer s of electric buses on and from the 1st day of July, 2025 till 30th day of June, 2027 to certification and quota determinatio n by the Engineering Development Board (EDB).
(ii) The concession shall be admissible subject to the conditions mentioned at Para-2 of SRO 656(I)/2006 dated
22.06.2006.
5. Electric Trucks (PCT code 8704.6030) g.v.w. exceeding 5 tonnes Components in any kit form (CKD) (PCT code 8704.6020) 1% (i) The concession shall be admissible on import of CKD kits to manufacturer s of electric trucks on and from the 1st day of July, 2025 till 30th day of June, 2027 subject to certification and quota determinatio
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n by the Engineering Development Board (EDB). (ii) The concession shall be admissible subject to the conditions mentioned at Para-2 of SRO 656(I)/2006 dated 22.06.2006.
6. Electric Prime Movers (PCT code 8701.2490) Components in any kit form (CKD) (PCT code 8701.2410) 1% (i) The concession shall be admissible on import of CKD kits to manufacture rs of electric prime movers on and from the 1st day of July, 2025 till 30thday of June, 2027 subject to certification and quota determinatio n by the Engineering Developmen t Board (EDB). (ii) The concession shall be admissible subject to the conditions
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mentioned at Para-2 of SRO 656(I)/2006 dated 22.06.2006.
7. (i) Electric Vehicles 4- wheelers (PCT Code 8703.8090) (ii) Electric Trucks (LCVs of g.v.w. not exceeding 5 tonnes (PCT Code 8704.6040) (iii) Electric Vans (PCT Code 8702.4090) (i) EV Specific components for assembly/manufacture in any kit-form (CKD) 1% (notwithstan ding the rate of customs duty on these items as specified in the First Schedule to the Customs Act 1969). The concession shall be admissible to manufacturer s of electric vehicles 4- wheelers till 30th June 2027, subject to certification and quota determination by the Engineering Development Board(EDB).
(ii) Components for assembly/manufacture in any kit-form (CKD) Non-localized parts. 10% The concession shall be admissible till 30th June 2027 subject to the conditions mentioned at Para-2 of the SRO 656(I)/2006 dated 22.06.2006.
(iii) Components for assembly/ manufacture in any kit-form (CKD) Localized parts. 25% The concession shall be admissible till 30th June
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2027 subject
to the
conditions mentioned at
Para-2 of the
SRO
656(I)/2006 dated
22.06.2006.

TABLE-III

[Miscellaneous]

S. Description Customs Conditions
No. duty (%)
(1) (2) (3) (4)
1. Plant and machinery specifically designed for use in manufacturing of electric vehicles. 0% (i)The concession shall be admissible on one-time basis for setting up the new assembly and/ or manufacturing facility of electric vehicles, and for expansion in the existing units, duly approved/ certified, by the Engineering Development Board (EDB). (ii)The concession shall be admissible to manufacturers of the electric vehicles specified in column (2) of Table-II above, subject to certification by EDB that the plant & machinery is specifically designed for use in setting up of electric vehicle manufacturing only.
2. Import of inputs for manufacturing of EV specific parts, as mentioned against S. No. 1, 2 and 3, of Table-II above, by vendors and OEMs of EV manufacturing . 0% (i) The concession shall be admissible to manufacturers and vendors of EV specific parts, subject to certification and quota determination by EDB. (ii) The concession shall be admissible subject to the conditions mentioned under
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SRO 655(I)/2006 dated 22.06.2006.
3. Import of CBU chargers with CKD kits for electric vehicles as specified in column 2 of Table-II above. 1% (Notwithstand ing the rate of customs duty as specified in the First Schedule to Customs Act, 1969). The concession shall be admissible on the CBU chargers, imported with CKD kits of 2-3 wheelers, 4- wheelers and HCV vehicles specified in Table-II above, subject to EDB certification.

Part-V(B)

Import of Hybrid Electric Vehicles (CBUs) Under Auto Industry Development and Export Policy (AIDEP) 2021-26

TABLE-I

S. No Description PCT Code CD% Condition
(1) (2) (3) (4) (5)
1. Hybrid Electric Vehicles (HEV) (CBU) 8702.2090 8702.3090 1% The concession shall be admissible to manufacturers on import of same variant to be assembled / manufactured locally from the date of issuance of manufacturing certificate and quota determination by Engineering Development Board (EDB).
2. Hybrid Electric Vehicles (HEV) (CBU) 8704.4100 8704.4200 8704.5100 8704.5200 1% The concession shall be admissible to manufacturers on import of same variant to be assembled / manufactured locally from the date of issuance of manufacturing certificate and quota
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determination by Engineering Development Board (EDB).

TABLE-II

Import of Parts for Hybrid Vehicles Under Auto Industry Development and Export Policy (AIDEP) 2021-26

S. No. Description of Imported Good PCT Code CD % Condition
(1) (2) (3) (4) (5)
1. Following parts for Hybrid Electric Vehicle: - Respective headings 4% The concession shall be admissible to manufacturers of
1.Battery pack and its parts: (i) thermistor (ii) resistor (iii) capacitor (iv) bus bar Hybrid electric vehicles subject to certification and quota determination by the Engineering Development Board
2.Cooling system for battery packs including blower, tubes, hoses, pump (EDB).
3.Sensor hybrid vehicle battery voltage 4.Inverter assembly with converter (Power control unit)
5.Electric motor and generator for Transaxle assembly 6.Battery charging system / inlet connectors
7.Hybrid system control unit / hybrid ECU
8.Junction box
2. Following parts for Plug-in-Hybrid Electric Vehicle:- Respective headings 3% The concession shall be admissible to manufacturers of
1.Battery pack and its parts: (i) thermistor Plug-in Hybrid electric vehicles subject to certification and quota
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(ii) resistor (iii) capacitor (iv) bus bar determination by the Engineering Development Board
2.Cooling system for battery packs including blower, tubes, hoses, pump (EDB).
3.Sensor hybrid vehicle battery voltage
4.Inverter assembly with converter (Power control unit)
5.Electric motor and generator for Transaxle assembly
6.Battery charging system / inlet connectors
7.Hybrid system control unit / hybrid ECU
8.Junction box
9.Charger
10.Charging port”

Part V(C) Import of Agricultural Tractors TABLE

S. No. Description PCT Code Customs Duty%
(1) (2) (3) (4)
1. Agricultural Tractors, having an engine capacity exceeding 26 kW but not exceeding 75kW 8701.9220 8701.9320 15%
2. Agricultural Tractors (other than mentioned at S. No. 1 above) 8701.9100, 8701.9400 8701.9500 10%

Part-VI

Imports of Aviation Related Goods i.e. Aircrafts and Parts etc. by Airline Companies/Industry under National Aviation Policy 2023 Note: - For the purposes of this Part, the following conditions shall apply besides the conditions as specified in column (5) of the Table below: -

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  • (i) The exemption shall be admissible to Maintenance, Repair & Overhaul Companies (MROs) and Aircraft Maintenance Organizations (AMOs) duly authorized by the Defence Division, and the Airline Companies having valid registration and license from the Pakistan Civil Aviation Authority under the Pakistan Civil Aviation Act, 2023 duly shared with the Customs Computerized System or Pakistan Single Window to the effect that the intending importer is operating in the country or intends to operate in the country in the airline sector;

  • (ia) The list of imported items is duly approved by the Pakistan Airports Authority, Defence Division, Government of Pakistan for every consignment imported by MRO or AMO in line with Policy Framework approved by the Government of Pakistan;

  • (ii) The Chief Executive, or the person next in hierarchy duly authorized by the Chief Executive or Head of the importing Company shall certify that the imported goods/items are the company's bonafide requirement and shall be used for the purpose as defined/notified by the Defence Division, Government of Pakistan under the Aviation Policy. The importer shall declare all relevant information to the Customs while claiming exemption regarding genuineness of the claim through Customs computerized system or Pakistan single window; and

  • (iii) In case of deviation from the above stipulations, the Collector of Customs shall initiate proceedings for recovery of duty and taxes under the relevant laws.

TABLE

S. No. Description of goods PCT Code Customs duty Special Condition
(1) (2) (3) (4) (5)
1. Aircraft 8802.4000 0% Whether imported or a on wet or dry lease. In M/s Pakistan Inter Airlines Corporation exemption shall be adm cquired case of national this issible.
2. Spare parts Respective headings 0% For use in aircraft, aircraft and simulators. trainer
3. Maintenance Kits Respective headings 0% For use in trainer (8802.2000 & 8802.300 aircraft 0).
4. Machinery, equipment, tools, kits and parts Respective headings 0% For setting up Maint Repair & Overall workshop and for overh aircrafts by MRO comp Aircraft Main Organization (AMO) rec by Defence Division. enance, (MRO) auling of any and tenance ognized
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5. Machinery, equipment, operational tools, furniture& fixture Respective headings 0% On one-time basis for exclusive use of New/ Greenfield airports by company authorized by Defence Division.
6. Aviation simulators Respective headings 0% On one-time basis for aircrafts by airline company recognized by Defence Division.
7. Aircraft engine 8407.1000 0% For use in aircraft and trainer aircraft.

Part-VII Miscellaneous [Omitted]

Part-VIII

Imports of specific Goods allowed at Joint Border Sustenance Markets

In order to ensure smooth functioning and operationalization of Border Markets in specific border areas, the imports under this part shall be subject to following conditions, namely.

  • (i) Border markets will be functional for two days each week and total allowance per day for the visitor will be $100.

  • (ii) The Customs Value of imported goods will be displayed for ascertaining the admissible quantities of imported goods.

  • (iii) The visitor will purchase goods from any category up to US $50 on concessional rate of leviable duty/taxes as mentioned in column (4) of the Table.

  • (iv) In case, a visitor chooses to purchase goods of value more than $50 from a specific category, it will be considered as commercial quantity being liable to duty/taxes on statutory rates.

  • (v) The Customs staff posted at the border market will make an entry via electronic system for the goods purchased by the visitor on the prescribed format as notified by the Board.

  • (vi) A system generated receipt will be issued to the visitor bearing his Name & CNIC No. by the Custom Officer in respect of goods purchased along with payable Customs Duty.

Table

S. Description PCT Customs
**No. ** Code Duty (%)
(1) (2) (3) (4)
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Category-I

1 Seed(potatoes) 0701.1000 5
2 Tomatoes,fresh or chilled. 0702.0000 5
3 Onions and shallots 0703.1000 5
4 Garlic 0703.2000 5
5 Other 0704.9000 5
6 Carrots and turnips 0706.1000 5
7 Cucumbers andgherkins fresh or chilled. 0707.0000 5
8 Peas(pisum sativum) 0708.1000 5
9 Beans(vigna spp., phaseolus spp.) 0708.2000 5
10 Other leguminous vegetables 0708.9000 5
11 Peas(Pisum sativum) 0713.1000 5
12 Grams(dry/whole) 0713.2010 5
13 Other 0713.2090 5
14 Beans of the species Vigna mungo (L.) Hepper or Vigna radiata (L.) Wilczek 0713.3100 5
15 Small red (Adzuki) beans (Phaseolus or Vigna angularis) 0713.3200 5
16 Kidneybeans including white beans 0713.3300 5
17 Bambara - vigna subteranea or vaahdzeia subterrea 0713.3400 5
18 Cowpeas(Vigna unguiculata) 0713.3500 5
19 Other 0713.3990 5
20 Lentils(drywhole) 0713.4010 5
21 Broad beans (Vicia faba var. Major) and horse beans (Vicia faba var. Equina, Vicia faba var. Minor) 0713.5000 5
22 Pigeonpeas(cajanus cajan) 0713.6000 5
23 Other 0713.9090 5
24 Vanilla(Neither crushed norground) 0905.1000 5
25 Cinnamon 0906.1100 5
26 Other(cinnamon and cinnamon tree flowers) 0906.1900 5
27 Neither crushed norground(Cloves) 0907.1000 5
28 Crushed orground(Cloves) 0907.2000 5
29 Neither Crushed norground(Nutmeg) 0908.1100 5
30 Crushed orground(Nutmeg) 0908.1200 5
31 Neither crushed norground(Maze) 0908.2100 5
32 Crushed orground(Maze) 0908.2200 5
33 Large(cardamoms) 0908.3110 5
34 Small(cardamoms) 0908.3120 5
35 Crushed orground(Cardamoms) 0908.3200 5
36 Neither crushed nor ground (Coriander) 0909.2100 5
37 Crushed orground(Coriander) 0909.2200 5
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38 Neither crushed norground(Seeds of Cumin) 0909.3100 5
39 Crushed orground(Seeds of Cumin) 0909.3200 5
40 Neither crushed nor ground (Seeds of Anise, Badian, Caraway, Fennel etc) 0909.6100 5
41 Crushed or ground (Seeds of Anise, Badian, Caraway, Fennel etc) 0909.6200 5
42 Thyme;bayleaves 0910.9910 5
43 Barley (seeds) 1003.1000 5
44 Other(barley) 1003.9000 5
45 Sunflower seeds,whether or not broken 1206.0000 5
46 Locust beans 1212.9200 5
47 Cereal straws and husks 1213.0000 5
48 Animal Fats and Oil and their fractions 1516.1000 5
49 Vegetable Fats and their fractions 1516.2010 5
50 Vegetable Oils and their fractions 1516.2020 5
51 Knives and cutting blades for paper and paper board 8208.9010 5
Category-II
1 Of a fat content, by weight, not exceeding 1 % (Milk and Cream) 0401.1000 10
2 Of a fat content, by weight, exceeding 1 % but not exceeding 6 % (Milk and Cream) 0401.2000 10
3 Of a fat content, by weight, exceeding 6 % but not exceeding 10% (Milk and Cream) 0401.4000 10
4 Of a fat content, by weight, exceeding 10 % (Milk and Cream) 0401.5000 10
5 Leeks and other alliaceous vegetables 0703.9000 10
6 Cauliflowers and headed broccoli 0704.1000 10
7 Brussels sprouts 0704.2000 10
8 Cabbage lettuce (head lettuce) 0705.1100 10
9 Other 0705.1900 10
10 Witloof chicory (cichorium intybus var.foliosum) 0705.2100 10
11 Other 0705.2900 10
12 Other 0706.9000 10
13 Fruits of the genus Capsicum or of the genus Pimenta 0709.6000 10
14 Figs 0804.2000 10
15 Fresh (grapes) 0806.1000 10
16 Dried (grapes) 0806.2000 10
17 Watermelons 0807.1100 10
18 Other 0807.1900 10
19 Apples 0808.1000 10
20 Green tea 0902.1000 10
21 Other green tea 0902.2000 10
22 Crushed or ground (Ginger) 0910.1200 10
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23 Turmeric (curcuma) 0910.3000 10
24 Other 0910.9990 10
25 Lactose (sugar ) 1702.1110 10
26 Lactose syrup 1702.1120 10
27 Other 1702.1900 10
28 Caramel 1702.9020 10
29 Oilcake and other solid residues, whether or not ground or in the form of pellets, resulting from the extraction of soya bean oil. 2304.0000 10
30 Other (animal feed) 2309.9000 10
31 For sewing (thread) 5204.2010 10
32 For embroidery (Thread) 5204.2020 10
33 Spades and shovels 8201.1000 10
34 Other (Tools for masons, watchmakers, miners and hand tools nes) 8205.5900 10
35 For kitchen appliances or for machines used by the food industry 8208.3000 10
36 Other 8208.9090 10
Category-III
1 Yogurt 0403.2000 20
2 Other (potatoes) 0701.9000 20
3 Sweet corn 0710.4000 20
4 Mixtures of vegetables 0710.9000 20
5 Fresh (dates) 0804.1010 20
6 Dried (dates) 0804.1020 20
7 Apricots 0809.1000 20
8 Sour cherries (Prunus cerasus) 0809.2100 20
9 Other 0809.2900 20
10 Peaches, including nectarines 0809.3000 20
11 Plums and sloes 0809.4000 20
12 Strawberries 0810.1000 20
13 Kiwi fruit 0810.5000 20
14 Neither crushed nor ground (Ginger) 0910.1100 20
15 Other (Durum wheat (excl. Seed for sowing)) 1001.1900 20
16 Other (Wheat and meslin (excl. Seed for sowing, and durum wheat)) 1001.9900 20
17 Of wheat (flour) 1101.0010 20
18 Of meslin (flour) 1101.0020 20
19 Vermicelli 1902.1920 20
20 Other (packed cake) 1905.9000 20
21 Homogenised preparations 2007.1000 20
22 Citrus fruit 2007.9100 20
23 Other 2007.9900 20
24 Organic surface-active products and 3401.3000 20
preparations for washing the skin, in the form of
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liquid or cream and put up for retail sale, whether or not containing soap
25 Preparations put up for retail sale 3402.5000 20
26 Other 3402.9000 20
27 Others (Tableware and kitchenware of porcelain or china) 6911.1090 20
28 Other (Household articles nes & toilet articles of porcelain or china) 6911.9000 20
29 Other (Glassware for table or kitchen purposes (excl. Glass having a linear c) 7013.4900 20
30 Other (Glassware nes (other than that of 70.10 or 70.18)) 7013.9900 20
31 Spoons 8215.9910 20
32 Other (Tableware articles not in sets and not plated with precious meta) 8215.9990 20
33 Bicycles and other cycles (including delivery tricycles), not motorised. 8712.0000 20
34 Vacuum flasks 9617.0010 20
35 Other 9617.0020 20”.