New taxes makes air travel too expensive in Pakistan

Pakistan’s new budget has imposed heavy taxes on air travel, due to which air ticket prices have increased by 150 percent.

From July 1, the increase in prices of tickets have come into effect, which will put a heavy burden on the pockets of Umrah pilgrims as well as passengers going to gulf countries, Europe, America, Canada and Australia.

Federal Excise Duty (FED) on Economy and Economy Plus tickets has been increased from 40 percent to 150 percent, while tax on economy tickets has been increased from Rs5,000 to Rs12,500.

The tax burden does not stop here, but the tax on business class, club class and first class tickets have also been increased from Rs250,000 to Rs350,000.

The prices of tickets to the Middle East and Africa after new tax have been raised from Rs75,000 to Rs105,000, while the price of business class and first class tickets in Australia, New Zealand, Canada, Indonesia, Japan and Korea have increased from Rs150,000 to Rs210,000.

Many Umrah pilgrims who have already booked the journey are facing unexpected additional expenses of Rs12,500.