New fuel taxes burden masses with additional Rs25 billion

The taxes imposed by the Federal government has burdened people with additional Rs25 billion per month who are already burdened with inflation, Pakistan Today reported.

In comparison with a decline in global oil prices, the government did not provide any relief to the masses. They said the government had reduced per litre prices of petroleum products by Rs 5 instead of Rs15 litre. The government had fixed petroleum levy (PL) — imposed tex — on high-speed diesel at Rs25 per litre, which had failed to provide relief to the masses.

Tax on petrol has increased by 106pc, if the taxes weren’t increased, petrol prices could have decreased by Rs 9 per litre. Instead of giving any relief, the government has imposed an additional tax of Rs6 per litre on kerosene oil.

Furthermore, the government was likely to earn Rs60 billion per month from the taxes imposed on different petroleum products.

According to the report, the government has increased taxes to meet the demand of the International Monetary Fund (IMF)