- Tax will be forced on special of new vehicles inside 90 days of purchase
- The choice has been taken to meet the duty target set for the FBR by the government
- Tax being acquainted with debilitate exchanging of vehicles, says FBR
ISLAMABAD: The Federal Board of Revenue has chosen to force charges on the selling of new vehicles inside 90 days of procurement to control ‘On Money’ practice, announced The News.
According to subtleties, the public authority has chosen to force near Rs200,000 extra retention charge on the acquisition of new vehicles.
“It is aimed at discouraging ‘On Money’ on cars,” a high ranking representative of FBR advised the publication.
For 600 to 1000cc vehicles, there will be extra WHT of Rs50,000, while for 2000cc vehicles there will be Rs100,000 charge. While WHT of Rs 200,000 will be charged on any vehicle above 2000cc.
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“This is only to avoid selling cars before 90-day period,” the authority stated, adding that it was pointed toward debilitating exchanging of cars.
However, sources told Geo News, that the choice has been taken to meet the expense target set for the FBR by the public authority. The assessment has just been endorsed by the government cabinet.
According to sources, the expense will happen from January 1, 2021, till June 30, 2021.