New tax affecting car sales in Pakistan
23 July, 2024 12:54
The Pakistan automobile sector is reeling from a severe crisis following the implementation of a new tax on cars in the federal budget 2024-25.
The tax at a rate of 0.2% on vehicle invoices has significantly increase car prices in the country, which is affecting car dealers and the business overall.
The dealers are expressing their frustration and concern over the new tax.
The increase has not only affected the sale of new vehicles, but also the prices of existing inventory, putting a strain on their businesses.
“Earlier, there was a fixed tax, but now it has been added to the invoice. Although it is 0.2%, it varies for each vehicle and is not negligible,” a car dealer said.
The withholding tax already imposed has also been increased, which has had an adverse effect on the business, he added.
The once-thriving market for both new and old vehicles has come to a near standstill, with only a handful of buyers are able to coupe up with the increased prices.
Catch all the Breaking News Event and Trending News Updates on GTV News
Join Our Whatsapp Channel GTV Whatsapp Official Channel to get the Daily News Update & Follow us on Google News.
Must Read
