FBR Slaps 25% Sales Tax on Imported Luxury Items

The Federal Board of Revenue (FBR) has slapped a 25 percent sales tax on the import and local supply of a wide range of luxury goods covering aerated water/juices, confectionary items, crockery/footwear, furniture, home appliances, jewelry, cosmetics, cigarettes, vehicles in Completely Built Up (CBU) condition and locally manufactured/assembled vehicles having engine capacity of 1400cc and above. The FBR has imposed a 25 percent sales tax on luxury goods from March 8, 2023, under the S.R.O. 297(I)/2023 issued on Wednesday. The FBR has imposed a 25 percent sales tax on the import and local supply of The local supply of the following items would be subjected to the 25 percent sales tax: