Independent Case Scrutiny Committee (Customs) Rules 2026

Government of Pakistan Revenue Division Federal Board of Revenue lslamabad, the 22n July. 2026. NOTIFICATION S.RO. I I 4 I lfyZOZO.- The following draft of certain frirther amendments in the Customs Rules, 2001- r,hich the Federal Board of Revenue ploposes to make in exercise ofthe powers conferred by section 219 of the Customs Act, 1969 (lV of 1969), is heleby published for infbrmation of all persons likel.v to be atTectr-'d thereby and. as required by sub-section (3A) of the said section 219, notice is hereby given that objections or suggestions thereon, if any, may for consideration ofthe Federal Board ofRevenue be sent within seven days ofpublication of this draft in the official Gazette. Any objections or suggestions which may be received from any person, before the expiry of the aforesaid period, shall be taken into consideration by the Federal Board of Revenue, namely: - % Draft amendment In the aforesaid rules, after Chapter XLIX, the following new chapter shall be added, namely: - "Chapter XLX Independent Case Scrutiny Committee Rules These rules shall be called the Federal 1242. Short title and commencement. - (l) Board of Revenue Independent Case Scrutin-v Committee (Customs) Rules, 2026. (2) They shall come into force at once. 1243. Definitions. ln these rules, unless there is anlthing repugnant in the subject or - context. (a) "Chairperson" means the head of the lndependent Case Scrutin.v Committee; (b) "committee" means an]' of the independent case scrutin).' committecs constituted under these rules fbr specified territorial jurisdiction: (c) "petition" means a petition to the Suprerne Court under Article 18513) of the Constitution of the Islamic Republic of Pakistan or the Federal Constitutional Coufi: (d) "reference" meals a reference to the High Court under section 196 of the Customs Act, 1969 (IV of 1969); (e) "Secretary" means an officer of Pakistan Customs Service nomimated by the Board for the purposes of the committee;

(f) "serving or Retired Member of the Committee" means a sen'ing or retired officer of Customs of Bs-20 or above. 124.1. Constitution, Jurisdiction and Functions of the committees: ['he Board through an order shall constitute the following conrmitlees w'ith polrers. functions and jurisdiction. namely: - Committee No. I (North) S.No I\'l cnr hcr Status l'unctions and Jurisdiction i. to timely eramine eaoh case belbre a I A retired Judge of Chairpetson decision is made to Ille a ref'erence the Supreme Court, b.'fore the H igh Coun. a pclition Federal Constitutional befbre the Supreme Court or F'c'deral Coun or any of the Conslitutional Courl: High Courts of ii. to r('view pending reterences and Pakistan petitiorls periodicall;- to detenrrine whether continualion of litigation is An Advocate having u,arranted: not less tl.ran fifteen iii. to maintain a database of setllc'd years' experience in lvJcnrbr'r legal questions and relevant Customs. Tax and precedents to guide luture litigation commercial litigation decisions and ensure corrsistencyl before lhe Fligh Courts and antl/or the Supreme ir. to identili slstemic issucs rerluiring Court of Pakistan legislative or administralive interventions and recornmend measures to the Board. A serving or retired appropriate -1 oflicer of Customs Mcnrb,.-r Service of Pakistan as Jurisdiction: Ret-erences to be filed defined tmder these before the High Court and CPLA to be rules tlled betbre the Supreme Court and F'ederal Constitutional Court by: i. Collectorate ol Customs (Airports) Islarnabad: (IOCO) ii. Collectorate ol Custorns Islamabad; iii. Collectorate of Customs (Enforcement), I slamabad; iv. Collectorate of Customs. Gilgit Baltistanl v. Directorate of Transit Trade, Gilgit Baltistan: vi. DirectorateP General. l&RM- Customs, Islamabad; vii. Director of I&RM, Islamabad; viii. Directorate of PCA and Intemal Audit. Islarnabad: ix. Directorate General and Director. l

IPRE 1North), Islarnabad: \ DG NNDA. Islamabad: \I. Customs Academy of Pakistan. lslamabad: \lt Directorate of National Nuclear Detection Architecture (NNDA), Islamabad; xllt Collectorate of Customs (Errforcement), Peshawaq xt! Collectorate of Customs (Apprai sement), Peshawar; Collectorate of Cutoms (Appraisement), Kohat; x\,t. Directorale of I&RM, Peshaw'ar n,ii Directorale of Valuation- Customs. Peshawac xvlll. Directorate ol Transit Trade. Peshawar: xtx. DN FBP, Peshawar; xx. Customs Enforcement School, Peshawal \\t Office of the Chief Collector AppraisementNorth. Peshawar; xxll. Office of the Chief Collector Enforcement, Islarnabad: and x\t . Otllce of the Chief Col lector Airports. lslamabad. Committce No. 2 (Central) S.No. \tcmbcr St:rtus Functions and .lurisdiction ('hairperson I A retired Judge of the i. Io timely examine each case Supreme Court. Federal belirre a decision is made to file Constitutional Courl or a ret'erence before the High any of the l'{igh Courts oi Cour1. a petition before the Pakistan Suprenre Court or Federal 2 An Advocate having not Memher Constitulional Court: less than fifteen years' ii- 1o revie*,pending relbrences and experience in Custonrs" petitions periodicall,v'' to detemrine Tax and Commercial uhether continuation of litigation litigation belbre the High is rvarranted: Courts and/or lhe iii. to maintain a database of settled Supreme Court of legal questions and relevant Pakistan precedents to guide future ensure3 A serving or retired litigation decisions and olllcer ol Customs Mcnrber colrsistency: and issucs Serv'ice of Pakistan as iv. to idcntill systenric deflned under these rules rcquiring legislative or administrative interventions and recornrnend appropriate measures to tlre Board: Jurisdiction: Relerences to be filed betbre High Couft and CPLA to be filed l

before lhe Supreme Court and Federal Constitutional Court by'. l i. Collectorate of Customs (Enforcement). Lahore: ii. Collectorate of Customs ( Enforccnrcnt ). Sargodha: iii. Collectorate of Customs (Airports). Lahore; iv. Collectorate of Customs (Sambrial). Sialkotl v. Collectorate of Customs (IOCO). [-ahore: vi. Collectorate of Customs, Appraisernent-Faisalabad: vii. Collectorate ol Customs Appraisement-Wes1. Lahorel viii. Collectorate of Customs (Enforcernent), Multan: ix. Directorate of l&RM-Customs, Lahore; x. Directorate of PCA and [nternal Audit lCentral). Lahore; xi. Directorale ol NNDA, Lahore; xii. Director IPRE (Central), Lahore; xiii. Directorate of Valuation-Customs. Lahore; xiv. Directorate ol Trar.rsit Trade. Lahore: xv. Offrce of the Chief Collector Central, Punjab; and xvi. Collectorate of Customs Enforcement. lndus. (lommittee No.3 (South-l ) S.No. \Iembcr Status Fu nctions and J urisdiction l A retired Judge of the Chairperson i to timel) exarnine each case before Supreme Court, Federal a decision is made to file a rel-erence Constitutional Court or betbre the I ligh Court. a pelitiorl an1' of the High Courts of belore the Supreme Court or Federal Pakistan Constitutir-rnal Courl: An Advocate having not . to review pending references and less than fifteen years' petitions periodically to determine 2 Member experience in Custorns. whether continualion of litigation is Tnx and Commercial warranted: litigation before the High l to maintain a database of settled Courts and/or thc legal qucstions and relevant Supreme Courl ol precedents to guide future litigation Pakistan decisions and ensure consistency A sen'ing or retired and issues requiring., officer of Customs Mernber to identit_v systemic Sen'ice of Pakistan as legislative ol adminislralive defined under these rules interventions and reconrmend appropriate measures to the Board:

JurisdicJion: References to be liled belbre High Court and CPLA to be filed befbre the Supreme Cout and Federal Clonstitutional Court by: I Collectorate of Customs (Entbrcement). Quettal It Collectorate of Customs (Enfbrcement), Gadani; llr Collectorate of Customs. Appraisement. Quettal Collectorate of Customs (Apprai sement), Gwadar; Collectorate ol Customs (Appraisement). Taftan; \t Directolate of I&RM-Customs, Quetta: \ The Direclor, Valualion-Customs, Quetta: \lll Directorale o{ Transit Trade. Quetta; tx. Collectorate of Clustoms (Enforcement), Karachi; Collectorate of Customs (Enforcement). Hyderabad; xl Collectorate of Custon.rs (Airports), Karachi: x . Directorate of NNDA, Quetla; x l. DNFBPs, Quetta; xiv. Office of the Chief Collector Appraisenent, Balochistan. Committeo No. 4 (South-II) S,No, l\tember Status Functions & Jurisdiction 1 A retired .Tudge of the Chairperson to timely exarnine each case belbre Supreme Cour1. Federal a decision is made to lile a Constitutional Court or ret-erence before the lligh Court, a any of the High Courts of petition before the Suprenie Court Pakistan or Federal Constitutioral Court: An Advocate having not . to revierv pending refbrences and .) less than fifteen y- ears' petitions pcriodically to detcrmin.' Nlember experience in Custon.rs, slrether continuation of litigation is q,arrauted: Tax and Commercial litigation betbre the High |ll to maintain a database ol settled Corms and/or the legal questions and relevant Supreme Court of precc-dents to guide future Iitigation Pakistan decisions and ensure consistency; A sening or retired and olllcer of Customs to id.'ntify sl sternic issucs rcquiring Member Serv'ice- of Pakistan as legislatire ot ad rn inistralir e defined under these rules interventions and recommend appropriate measures to the Board:

Jrisdiction: Relerences to be filed before High Court and CPLA to be filed before the Suprenre Court and Federal Constitutional Court by: I Collectorate of Customs (Exports-PMBQ), Karachi; II Collectorate olCustoms (Export). Karachi; Collectorate of Customs (Appraisement-East). Karachi Collectorate of Ctstoms (AppraisenenrWest), Karachi: Collectorate of Customs { Appraisernent-SA PI ). Karachi: Collectorate of Customs (Appraisement-PMBQ), Karachi; ! Collectomte of Customs (IOCO). Karachi: vlll Directorate of I&RM-Customs" Karachi: lx. Directorale oi PCA and Intemal Audit (South). Karachi: \ I)irectorate of NN DA, Karachi: ll. Directorate of IPRE (South). Karachi; xll Directorate General of Custorrs Academl ol Pak istan. Karachi: llll Dircctorate General of Valuation- Customs, Karachi; x,\' Directorate Ceneral of Transit Trade (liQ), Karachi & directorate of T'ransit '['rade (Operalions). Karachi: Directorate of Relbrms and Automation-Custorns. (R&A). Karachi: xvl Office ol'the Chief Collector (Appraisernent-South ). Karachi : and x\ Oftice of the Chief Collector Exports & IOCO (Hqr), Kalachi. '['he 1245. Search Committee. - Board. for tl.rc- purpose of identifying suitable candidates, may constitule a search comnitlee, the con.rposition" Iems ol refbrence and procedure whereofshall be determined by the Board. 1246. Procedure, Secretariat, Confidentiality, Scrutiny and Review. --(1) Prnceedings and records placed before ihe comrnittr-e shall be confidential. (2) The Chairperson or ar1"v Member hal,ing a contlict of interest i11 a n.ratter shall recuse himself and such recusal shall be recorded in the minutes. ln an.v-' such case. the Chairperson or Member from any other jurisdiction as a replacement shall be appointed by the Board.

(3)'fhe Secretary shall convene rneetings, circulate agenda, maintain minutes and a case register or docket and conrmunicate thc'committee's reconrmendations to the Member (l.egal & Accounting-Customs) and the ChielCollector or Director General, concerned. (4) The Member (Legal & Accounting-Customs) or Member (Customs-Operations) or Chief Collector or Director General shall refer a case for pre-filing scrutiny and any pending reference or petition for review, including consideration ol rvithdrawal or non-pursrnnce. and the Secretary shall immedialell place such cases belore the committee, accordingly. (5) The Member (Legal & Accounting-Customs) may, for reasons to be recorded in writing, transfer the jurisdiction ofa case from one case scrutiny committee to another. 1247. Mandatory pre-filing scrutiny. - No rel-erence belore a High Court or pctition betbre the Supreme Court or lrederal Constitutional Coun- aftcr thc issuance of thcse rules" shall be filed unless the case has been placed belore the concemed committee and the commiltee's recommendation is on record. 1248. Referral and Proceedings of the Committee. - ( I ) The enlire process ol referral of cases to the committee, proceedings and conrmunication of its recommendation. shall be conducted through a dedicated portal by PSW or through such moditications as may be nrade to the existing WeBOC system for the said purpose. (2) Notwithstanding anlthing contained in sub-rule (l), until the said portal is operationalized, relerrals and proceedings may be made through mantnl mode in such lbnn and manner as the Member lLegal & Accounting-Customs) may determine. (3) The referral shall contain all material particulars including the manner ofq reference. documents required. revenue implications involved, questions of larv requiring interpretation. precedents and settled law. basis ofthe case, lhe original decision. the appellate decision u,here applicable, and the reconrmendatiorr ol the Chiel Collector or Director General concemed or Member (Customs-Operations) / Member (Legal /Accounting-Customs) where applicable. and all relevant documents shall be attached thereto. ( I ) The committee shall meet as 12.19. Meetings, quorum and decision-making. - often as necessary to discharge its functions effectively. However, unless the workload pending is zero at any given day, the committee shall convene on daily basis. The proceedings of the committee may be in person or through video link. (2) The quorum for a meeting shall be three Members. including the Chairperson and the Advocate Member. (3) The decision shall be by majoritl'vote and recorded in the minutes rvith brief reasons; an-v dissenting opinion. if recorded by a Mc'nrber. shall tbmr part of the official record. 1250. Withdrawal or non-pursuance. -Where the conmittee recommends withdrau'al or no n -pursuance ofany case, the Secretary shall infonn the ret'erring authority accordingly under intimation to the Member (t,egal and Accounting Custorns) and Member Customs - (Operations). 'I'he 1251. Calling for record. - comnrittee may call tbr any record. brief. or clariiication fiom any office or field lbrmation through the Secretary. committee shall endeavol to decide each case 1252, Timelines for decision. - (l)'fhe placed belbre il within fifteen days of the receipt ofthe case. (2) In case the Committee lails to flnalize its recommendations within fifteen days. I

the Chairperson under intimalion to Member (i.egal & Accounting-Customs), may extend this time for further ten days. (3) Ilttre committee does no1 r!-nder a decision rvithin the prescribed timc-line (including any extension under sub-rule 121 above), the case shall be dt'emed to have been cleared for liling, subject to compliance with all other applicable legal requirements and the secretary shall record in w ling that the prescribed period has been lapsed and intimale the Mernber, or Chief Collector or Director General concemed to proceed accordingly'. 1253. Emergency and urgent references/petitions. - (1) Where the period of limitation for filing a relerence or petition is expiring within fifteen days. or where there is imminent and substantial revenue loss or for any other reason highlighted by the referring authority, requiring urgent intervention, the matter may be placed before the Chairperson as an emergency case. (2) The Chairperson may, after prima facie satisfaction of the urgency, approve a fast track decision before the expiry ofthe period of limitation for filing a reference or petition. (3) Any emergency approval granted under this rule shall be subject to post-facto review by the full committee within thirty days. 1251. Publication and transparency, - (l) The cornmittee shall cause to recomrnendalions exclLrding publish, on a 1'earll basis, anonymized summaries of its confidential commercial infonnation and taripayer identif,ving details. \ra' criteria (2)applied,The publishedand the recommendationsun.rmaries shallmade.include the questions of larv considered. the decision (3) The committee shall maintain a searchable database of published decisions for reference by field formations and to ensure consistency in future decisions. The Chairperson and the members shall hold otilce ibr a temr ol'one 1255. Tenure. - year. extendable for a fuilher tcml of one year, on continued fitness and satisfactory performance, as may be decided b,v'' the Board. The Chairperson or any member n.ray resign. in 1256. Resignation and removal. - (l) rvriting, tluough an application addressed to the Board rvith thirt,v- days'notice. (2\ The Chairpersorl or an.v mernber may be removed by the Board on grounds ol' corrupt practices, conflict of interest, misconduct. breacl.r of coniidentiality'. or inabilit-r.' to perform firnctions. after providing an opportunity ofbcing heard. ( I non-serving Members of each ) The 1257. Remuneration and allowances. - committee shall be paid Fees as follows: - (a) the Chairperson shall be entitled to a monthly Fee of twelve hundred thousand rupees, and in addition thereto, a per case Fee of twenty-five thousand rupees in respect of which a recommendation is made, whether in favour of filing or otherwise, subject to a maximum of twenty sases per month: (b) the Advocate Member shall be entitled to a monthly Fee of eight hundred thousand rupees, and in addition thereto, a per case Fee of twelve thousand and five hundred rupees in respect of which a recommendation is made, whether in

favour of filing or otherwise, subject to a maximum of twenty cases per month: (c) the Member who is retired lrom Customs service, shall be entitled to a monthly Fee of eight hundred thousand rupees. and in addition thereto, a per case Fee of twelve thousand and five hundred rupees in respect of which a recommendation is made, whether in favour of filing or otherwise. subject to a maximum of twenty cases per month: and (d) the remuneration ofthe support staffshall be determined by the Board. (2) The serving officer of Customs being member of the committee and the Secretary, shall not be entitled to additional remuneration; however, they may be granted a cash reward,/honorarium for work undertaken for the purposes of the committee, under relevant rules. (3) The Chairperson and all Members excluding serving Members of BS-20, shall be entitled to TA"/DA for official travel as admissible to a grade 21 offrcer of the Federal Govemment. The committee shall 1258. Annual reporting and performance evaluation. - (1) submit an annual report to the Board by the 3 I st of March each year, covering the preceding financial year and shall consist of,- (a) the number of cases reviewed, and recommendations made (to file, not to file, or to withdraw); (b) the outcome of filed references and petitions (decided in favour, against, pending, or seftled); (c) analysis of success rate and factors contributing to favorable or unfavorable outcomes; (d) revenue implications of decisions made pursuant to committee recommendations; (e) identification of recurring legal issues and systemic problems requiring Iegislative or administrative intervention; (0 Recommendations for improving litigation management and enhancing the effectiveness ofthe committee. [('.No.2(7) r_ & P/20]61 (Zubair Shah) Secretary' llaw & Procrture)