Govt reduces sales tax on petroleum products

Islamabad: The government has reduced the sales tax rate on petroleum products, the tax rate on petrol prices has been reduced from 8.27% to 1.43%.

According to the notification issued, the sales tax rate on petrol was 8.27% which has been reduced to 1.43% while the sales tax on high speed diesel has been fixed from 10.32% to 6.75%.

The GST rate on kerosene will remain at 6.70% while the sales tax rate on light diesel oil will remain at 0.20%. 

The new sales tax rate on petrol has been implemented from November 5.

It is pertinent to remember that on November 5, the government had increased the price of petrol to Rs 145 per liter with an increase of Rs 8.3

The price of high speed diesel was increased by Rs 8.14, after which the new price of HSD reached Rs 142.62 paise.

In addition, the price of kerosene was increased by Rs 6.27 rupees while the price of light diesel oil was increased by Rs 5.72, after which the price of kerosene is now Rs 116.53 rupees while the price of LDO is Rs 114.7.