NBR for ending duty-free car imports for MPs


Staff Reporter :
The National Board of Revenue (NBR) is proposing to scrap the duty-free car import benefit for Members of Parliament (MPs) starting from the next fiscal year (2024-25).

Currently, MPs can import vehicles for personal use without paying any customs duty, sales tax, or other fees. The NBR plans to replace this with a duty ranging from 5% to 25% on imported vehicles by lawmakers.

This proposal comes after a meeting between NBR Chairman Abu Hena Md. Rahmatul Muneem and Finance Minister Abul Hasan Mahmud Ali. The Finance Minister reportedly approved the proposals, which were also recommended by the International Monetary Fund (IMF).

If approved by the Prime Minister, the new duty structure will be included in the upcoming national budget.


According to NBR data, over 100 cars worth ?300 crore (around $3.5 million) have been imported duty-free by MPs since the current government took office. Critics argue that this benefit is unfair, as ordinary citizens pay significantly higher duties on imported vehicles – up to 850% in some cases.

An SRO issued in 2022 allowed MPs to import a variety of vehicles duty-free, including hybrid or gasoline-powered cars up to 2,000 cc, microbuses up to 2,000 cc (both hybrid and gasoline), hybrid or diesel-powered jeeps up to 4,500 cc and electric vehicles.

Previously, MPs enjoyed duty-free privileges on vehicles including gasoline-powered cars up to 1,650 cc, diesel-powered vehicles up to 1,800 cc and gasoline or diesel-powered jeeps up to 4,500 cc Under the current system, an MP can import one vehicle per term duty-free.