Islamabad, June 29: The Finance Bill 2024 introduced significant amendments today, unveiling additional taxation measures aimed at generating Rs1.761 trillion amidst fiscal challenges. Notably, a 10 percent surcharge has been imposed on individuals and associations of persons with taxable incomes exceeding Rs10 million under Division-I of Part-I of the First Schedule. Furthermore, a 10 percent sales tax has been levied on stationery items excluding exercise and textbooks. Adjustments in Federal Excise Duty (FED) include an increase from Rs 3 to Rs 4 per kg on cement, following an earlier rise from Rs 2 to Rs 3 per kg in the budget (2024-25).
Additionally, a FED of Rs15 per kg on white crystalline sugar supplied to manufacturing entities was introduced. The amendments also entail Capital Value Tax (CVT) on farmhouses and residential houses in Islamabad Capital Territory based on area, ranging from Rs500,000 to Rs1,500,000. Excise duties on air travel tickets have been revised, impacting various destinations globally, with rates increasing notably for business and club class tickets. Notably, benefits for hybrid vehicles have been extended with revised rates applicable until June 30, 2026.
