The federal government has notified a reduction in sales tax on various petroleum products, including kerosene oil and high and light speed diesel. In a press release issued on Saturday, Caretaker Federal Minister for Energy Syed Ali Zafar was quoted as saying that sales tax on motor spirit and kerosene oil had been reduced from 17 percent to 12 percent, for light diesel from 17 percent to nine percent, and for high diesel from 31 percent to 24 percent.
“The caretaker government was fully aware of the problems being faced by the people and was determined to reduce the public’s suffering,” he said, adding that the federal government was confident that the relief in petroleum prices would not only provide much-needed respite to the masses but also reduce the cost of production and give a boost to economic activity. He said the federal government would bear an estimated loss of Rs10 billion due to the reduction in prices. The new rates would be applicable from the midnight on Saturday.
Published in Daily Times, July 8th 2018.
