To keep smoking affordable in the region, the Pakistani government has quietly raised the threshold for higher taxes on reputable cigarette brands.
However, to introduce a few expensive brands into the lower tax bracket, the government has increased the taxable threshold for top brand cigarettes from Rs 5,960 per 1,000 sticks to Rs 6,660.
According to The Express Tribune, the change was made on the eve of the National Assembly’s budget approval. brand taxable price threshold, as this would have discouraged smoking in the area. According to the SPDC report, the threshold for determining the low tax rate was up to Rs 5,960 before, but now it has reached Rs 6,660.
Prime Minister Shehbaz Sharif voiced his dissatisfaction with the Fed’s proposed rate hike as he prepared for a cabinet meeting on June 10, urging that the tax burden be increased by 25 billion rupees over the course of the year. new exercise.
In the meantime, Finance Minister Miftah Ismail also assured the Pakistan People’s Party, the main coalition partner, that he would keep the tobacco industry paying 225 billion rupees in taxes, up from 150 billion rupees in the newly concluded financial year. According to SPDC estimates, Pakistan was one of the countries with the lowest tobacco tax rate, which not only reduced income but also put people’s well-being at risk, according to the Express. Grandstand.
According to the government, the tax rate for the salaried class rose to Rs 235 billion over the next financial year, against a target of Rs 200 billion. (The Time Bureau)