How much tax will Pakistan charge on imported vehicles valued above $75,000 from July 2026?

ISLAMABAD – The National Assembly Standing Committee on Finance and Revenue has approved proposals to impose special excise duty on electric and luxury vehicles based on their value in US dollars. The recommendations were finalised as part of the Finance Bill 2026-27, which is scheduled to be presented in the National Assembly for approval. The committee prepared a detailed report outlining proposed changes in various areas, including vehicle taxation, consumer goods, the steel sector, mobile phone imports, and mechanisms for sharing data to detect possible tax evasion. Under the approved proposals, completely built-up imported electric cars and SUVs priced up to $75,000 will continue to remain exempt from the new tax. However, vehicles with a value exceeding $75,000 and up to $110,000 will attract a 30 percent ad valorem tax. For imported electric vehicles priced above $110,000, the proposed tax rate will increase to 40 percent. The move comes as the Federal Board of Revenue (FBR) has been assigned a revenue collection target of Rs15.264 trillion for the fiscal year 2026-27. This is higher than the revised collection target of Rs12.983 trillion set for the current fiscal year ending June 30, 2026. The committee has also approved a proposal to impose a five percent withholding tax on earnings through social media platforms. The proposed measures are part of wider budget-related reforms aimed at increasing government revenue and improving tax monitoring.