Last Updated on February 15, 2023 by Galaxy World
Government of Pakistan, Ministry of Finance and Revenue, Revenue Division issued a Notification on 14-02-2023 in connection with Revised Rates of Sales Tax 2023 Pakistan. The details are as under:
Amended / Revised Rates of Sales Tax 2023 Pakistan
The economical conditions in Pakistan for the past years are getting worse day by day. The inflation in Pakistan seems to get even stronger. The debt of the IMF is one more factor that is effectively making conditions harder for the Pakistani Nation. The government needs to increase the income to meet the expenditures accordingly. The government is making different plans to control the economic conditions. The rates of Petroleum and electricity are being increased in this regard. Different kinds of taxes are being implemented. The government of Pakistan also increases the sale tax.
Notification by the Ministry of Finance and Revenue about the Sales Tax Rate
Ministry of Finance and Revenue, Revenue Division issues a Notification to inform about the increase in Sales Tax. Let’s take a look at the Notification. The Context of the Notification is as under.
“In exercise, if the powers conferred by clause (b) of Sub-section of 3 of the Sales Tax Act, 1990, the Federal Government is pleased to enhance the rate of sales tax in respect of taxable goods falling within the purview of sub-section of (1) of section 3 from seventeen percent under subsection 3 of the Sales Tax Act, 1990 to eighteen percent.”
As per the above Notification, the Ministry of Finance and Revenue increase the Sales Tax Rate from seventeen to eighteen percent. The increase of the Sales tax is being implicated in the goods falling within the purview of subsection (1) of section (3).
How far is the increase in Tax helpful?
In these inflation-like conditions, when Pakistan needs more income than usual, this will help a little to Government of Pakistan to meet expenditures. It will impact positively the economy of Pakistan if the implementation is valid and proper. This is also a need for time, to make economic conditions in Pakistan stable.
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