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Imported furniture starts entering Bhutan again

February 12, 2014
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Imported furniture starts entering Bhutan againAs soon as the Regional Revenue and Customs Office (RRCO) formally lifted the import ban yesterday, furniture worth over Nu.300,000 were imported in two transactions.

The Cabinet had decided to lift the ban on import of furniture and alcoholic beverages on January 28. But the Phuentshogling RRCO was waiting for a formal directive from their Department in Thimphu, which came in yesterday.

Similarly, liquor dealers were seen approaching the Customs officials for brand registration and other necessary formalities.

The customs officials said imports of such products will be dealt as per the rules that were in place prior to the ban. The Head of Customs and Excise, Pema Wangchen, said will be 50 percent Customs Duty and 10 percent sales tax on furniture.

In case of alcohol, it will be 100 percent sales tax and 100 percent customs duty. “Like in the past, they will have to renew their brand registration with a fee of Nu.20, 000 per brand.” It is done on annual basis.

In addition to brand registration, there’s another fee called permit fee. On permit fee, like the existing rule, the custom officials collect Nu.30 per case for every brand of liqueur imported.

Pema Wangchen added that for the import of furniture, after the consignment enters the country, it will have to be declared at the Customs check post for taxation. For import of alcohol, like in the past, dealers will have to first obtain liquor permit to validate the import.

Meanwhile, since the ban was imposed in 2012, the Customs officials auctioned worth about Nu.1.1 million of confiscated alcoholic beverages. For furniture, the figure stood at a little over NU.0.6 million.

The Cabinet had lifted the ban because the restrictions, according to recommendations of a multi-sectoral task force, had not served the intended purpose and was not in line with bilateral and regional trading agreements

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