Luxuries proposed to be taxed to enhance revenue collection – Alfalah Securities Limited

Karachi, June 07, 2012 (PPI-OT): A new proposal has been floated by FBR to generate additional revenue from rich persons by collecting extra income tax on consumption of above 1,000 units of electricity on monthly basis.

According to Alfalah Securities Limited, such consumers would mostly cover rich persons having air conditioners at their residential places and have the capacity to pay.

The committee also recommended enhancement of duty slab on import of all vehicles above 1,800cc from 150% to 160% from July 1, 2012 and recommended that annual luxury vehicle duty of PkR 100,000 to be imposed on luxury vehicles. These measures, if implemented, would be directed to generate additional tax from the rich only and also discourage lavish use of electricity and import of luxury vehicles.

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