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FBR’s proposal to make physical inspection of goods auctioned mandatory

ISLAMABAD: The Federal Board of Revenue (FBR) has proposed making physical inspection of the goods auctioned mandatory for bidders before they participate in Customs auctions or re-bidding. The move is aimed at reducing post-auction disputes and ensuring greater transparency in the disposal of confiscated and other auctionable goods. The FBR, through draft S.R.O. 1277(I)/2026 issued on Monday,…

FBR’s proposal to make physical inspection of goods auctioned mandatory

ISLAMABAD: The Federal Board of Revenue (FBR) has suggested making physical inspections of goods necessary before bidders can take part in Customs auctions or re-bidding. This change aims to minimize troubles after auctions and promote greater openness in the sale of seized and other auctioned items. The FBR, through a proposed rule (draft S.R.O.

1277(I)/2026) released on Monday, has suggested additional changes to the Customs Rules of 2001, specifically in Chapter V, which covers auction procedures. These suggested changes have been released under the authority granted by section 219 of the Customs Act of 1969, along with related sections of the Sales Tax Act of 1990, the Federal Excise Act of 2005, and the Income Tax Ordinance of 2001.

The FBR has asked for comments and ideas from anyone who might be affected by the proposed changes. These comments or ideas can be sent to the board within 10 days of the draft amendments being published in the official Gazette. Ensuring inspection of goods The suggested amendment to rule 61 of the Customs Rules, 2001, states that the person organizing the auction must make sure the goods up for auction are available for inspection by people wanting to bid at least three days before the auction date.

This measure intends to give people who might bid a chance to look at the goods in person and check their state before they decide how much to offer.

Written by urgent.news from Business Recorder's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

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