Finance Bill 2024 Regulatory Duty Hikes and New Vehicle Tax System

According to the Statutory Regulatory Order (SRO), the regulatory duty has been increased on various items ranging from 5% to 55% under Finance Bill 2024, including

Milk and cream (25%),

Yogurt, butter, and nuts (20%),

Natural honey (30%),

Dates, figs, pineapples, and oranges (25%),

Cherries (35%),

Apples and lemons (45%),

Corn (30%),

Perfume and makeup (55%),

Shaving cream and soap (50%),

Overcoats, jackets, and trousers for men and women (10%),

Track suits, rompers, shawls, mufflers, and ties (10%),

Waterproof shoes, leather shoes, Bathroom fixtures and toilet accessories (regulatory duty increased),

Jewelry (45%).

IMF says budget 2024 approval ‘not enough’ and demands Pakistan to ‘Do more’

In a separate development earlier today, new tax rate were introduced in the budget 2024-25 on locally manufactured vehicles among many others, will come into effect today (July 1).

This change marks a shift from a fixed tax rate to a value-based tax system, as outlined in the Finance Bill 2024-25.

Under the new tax regime introduced in budget 2024-25, the tax on vehicles is no longer a fixed amount but varies according to the vehicle’s value.