ISLAMABAD, Jan 18: The Central Board of Revenue (CBR) has worked out various proposals for withdrawal of ban on import of second-hand auto parts aimed at curbing the smuggling of the products.

A senior customs official told Dawn on Tuesday that a summary in this regard had been prepared, which would soon be submitted to the federal cabinet. The final decision would be taken at the recommendation of the commerce ministry.

Elaborating further, the official said that it was proposed to levy customs duty on the used auto parts, which should be equivalent to that of the duty levied on import of the new auto parts.

The customs authorities have also proposed rationalization of import duty on scrap, which was currently subjected to the 5 per cent customs duty. The officer said that most of the auto-parts were imported in bulk of the scraps, which was not easier for the custom officers to separate it from other metals.

According to the official, the rationalization of duty on auto-parts would to a great extent discourage the smuggling of the auto-part, which resulted into a revenue loss to the national kitty.