Finance Minister Muhammad Aurangzeb announced that FED will be imposed on imported vehicles above 2000 CC and 3000 CC.
The government also decided to continue tax incentives for electric motorcycles, rickshaws, cars, and buses in the upcoming fiscal year.
Muhammad Aurangzeb said the government will continue to support electric vehicles to reduce fuel imports and control environmental pollution.
He further proposed a one per cent sales tax on imported electric trucks to promote electric technology in the transport and logistics sector.
However, he said that FED will be imposed on very expensive imported luxury electric vehicles costing above Rs. 20 million.
The minister said the government’s focus is on supporting the general public and local industry, not luxury imports.
He added that efforts will continue for sustainable growth of the auto sector, promotion of local manufacturing, and expansion of eco-friendly transport in the country.
