pakistan
Auto policy to make hybrid cars expensive in Pakistan?
Key takeaways
- The revised tax rates will apply to hybrid and plug-in hybrid vehicles.
- Meanwhile, sales tax on all imported and locally assembled plug-in hybrid vehicles has been raised sharply from 1 percent to 18 percent.
- The change follows the implementation of the Finance Bill, which also abolished Pakistan’s five-year automotive policy.
Why this matters: local context for readers following news across Pakistan and the region.
Add ARY News on Google AAResize ISLAMABAD: Hybrid vehicles assembled in Pakistan are expected to become significantly more expensive after the government increased the sales tax on them from 8.5 percent to 18 percent, a measure that came into effect with the start of the new fiscal year on 1 July 2026.
The revised tax rates will apply to hybrid and plug-in hybrid vehicles.
Meanwhile, sales tax on all imported and locally assembled plug-in hybrid vehicles has been raised sharply from 1 percent to 18 percent.
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