Sales Tax On Petroleum Products Jacked up by 5%

Sales Tax On Petroleum Products Jacked up by 5%

The prices of the petroleum products including petrol and diesel are to be increased as the government raised the sales tax from 17% to 22% on Tuesday.

Oil price down
According to the notification issued by the Federal Board of Revenue (FBR), the General Sales Tax (GST) on import and supply of petroleum products has been increased to 22%. The additional 5% tax will be charged on petroleum products including HOBC, motor sprit, kerosene oil, light diesel oil and high speed diesel oil. The notification will be applicable from January 1st, 2015.

The relief the consumers were to enjoy will be reduced in the beginning of the new year. OGRA had earlier prepared a summary of reducing petroleum products of up to Rs 17 per liter; however, the reduction is only possible by up to Rs 11-12 per liter.