FBR introduces electronic auctions for seized, confiscated goods under new sales tax rules

The Federal Board of Revenue has set up an online process to auction seized and confiscated goods, under changes to the Sales Tax Rules, 2006 published on October 22. Profit by Pakistan Today reported that bidders must pay a one-time registration fee of at least Rs25,000, while online bidding will run for 72 hours from the first offer.

A valuation committee will set reserve prices, taking factors such as condition and shelf life into account. If a lot fails to sell in three successive auctions, the committee can lower its reference reserve price by up to 10% at a time. Successful bidders must pay the accepted amount and applicable charges within seven days; goods are released only after payment is verified.