Summary The sales tax on kerosene and light diesel remains pegged at zero percent.
ISLAMABAD (Dunya News) – The Federal Board of Revenue has trimmed the sales tax on petrol and high speed diesel, effective from June 1, 2017, following the government’s decision to cut the prices on both the products.
According to the notification of the FBR, sales tax on petrol has been cut by 0.5 percent to 19.5 percent, and on high speed diesel it has been reduced by 1 percent to 33.5 percent. The sales tax on kerosene and light diesel remains pegged at zero percent.
The government on Wednesday reduced petrol price by Rs1.20 to Rs72.80 per liter, and high speed diesel price by Rs1.60 to Rs81.40 per liter.
The government, since reduction in global crude oil price, has been passing the benefit while retaining some of the amount to cushion revenue collection. If the government had retained the benefit, the revenue collection would have shot up by Rs20 billion to Rs30 billion during the current fiscal year.
