The federal government has unveiled its budget for the upcoming financial year 2023-24, and it’s causing quite a stir. With a whopping volume of 14.46 trillion rupees, the budget has left the nation divided on whether it’s a bargain or a burden.
A decision has been made to impose a hefty duty of 2,000 rupees per unit on traditional fans, while old-fashioned bulbs will face a 20% increase in regulatory duty. Even the cost of glass will soar.
But it’s not all doom and gloom. Solar panels, on the other hand, are set to become cheaper. Customs duties on raw materials for solar panel manufacturing have been abolished, and there will be no customs duty on imported solar panel machinery.
The financial bill also brings relief to the battery industry. Duties on raw materials used in battery production have been eliminated, as well as on inverters. However, luxury items like shoes, jackets, and perfumes are going to burn a hole in our pockets. The government has raised sales tax from 12% to a staggering 15%, and textile products will also see a rise in prices. London shopping sprees, on the other hand, just got a little more affordable.
Toilet fittings, tiles, showers, and taps are going to see a decrease in prices. Even the cost of diapers will witness a decline as the government has abolished customs duties on sanitary, diaper, and nipple raw materials.
The proposal includes exempting customs duties on raw materials used in the production of molds and dyes. After exempting customs duties on mining machinery, rice mill machinery, and machine tools, these items will become more affordable.
In Islamabad, dining in hotels is about to become a wallet-friendly affair. The government has reduced the tax rate from 13% to a mere 5%, and those using debit cards will also reap the benefits.
Heavy commercial vehicles have received a 5% reduction in the already reduced 10% customs duty for non-localized parts. Tax capping on vehicles above 1,300cc has been completely abolished. Special paper, art cards, and the publication of the Holy Quran have been granted an exemption from customs duties.