Custom Duty Exemption on import of Aircraft & related items.

Imports of Aviation Related Goods i.e. Aircrafts and Parts etc.by Airline Companies/Industry under National Aviation Policy 2015

S. No.	Description of goods	PCT Code	Customs Duty	Special Condition
(1)	(2)	(3)	(4)	(5)
	Aircraft	8802.4000	0%	Whether imported or acquired on wet or dry lease. In case of M/s Pakistan International Airlines Corporation this exemption shall be admissible on and from the 19^th March,2015
	Spare parts	Respective headings	0%	For use in aircraft, trainer aircraft and simulators
	Maintenance Kits	Respective headings	0%	For use in trainer aircraft (8802.200 & 8802.300).
	Machinery, equipment & tools	Respective headings	0%	For setting up Maintenance, Repair & Overall (MRO) workshop by MRO company recognized by Aviation Division.
	Machinery, equipment, operational tools, furniture & fixture	Respective headings	0%	On one-time basis for exclusive use of New / Greenfield airports by company authorized by Aviation Division.
	Aviation simulators	Respective headings	0%	On one-time basis for aircrafts by airline company recognized by Aviation Division.
	Aircraft engine	8407.1000	0%	For use in aircraft and trainer aircraft.

ii. Special Classification Provisions

PCT Code	Description	CD (%)
(1)	(2)	(3)
9911	(iii) Goods imported for aircrafts, not registered in Pakistan and under distress, for repair or maintenance, subject to authentication by Civil Aviation Authority of Pakistan	0
9931	Ground handling equipments, service and operation vehicles, catering equipment and fuel trucks not manufactured locally, imported by domestic airlines or by any other service company to which a licence has been issued by the Civil Aviation Authority for such purposes.	0

Sources:

Table, Part VI of the Fifth Schedule to the Pakistan Custom Act 1969, as mentioned in Finance Act 2021

https://download1.fbr.gov.pk/Docs/2021751375221891FinanceAct2021.pdf

Chapter 99, Special Classification Provisions, SUB-CHAPTER-VII MISCELLANEOUS and SUB-CHAPTER–II IMPORT OF RELIEF GOODS, GIFTS, SAMPLES

https://download1.fbr.gov.pk/Docs/20201161411157676Chapter-99.pdf

Details

i. Custom Duty is exempted on import of Aircraft acquired lease, engine, simulators, spare parts, maintenance kits, equipment required for setting up Maintenance, Repair & Overall (MRO) workshop, Machinery, equipment, furniture & fixture imported for establishment of new airport.
ii. Customs Duty is exempted on import of Ground Handling equipment and on goods for repair and maintenance of aircraft not registered in Pakistan under distress.