LAHORE: After increasing taxes in budget the government collected Rs62 billion at the import stage on just eight energy and cooking oil products – a 100 percent surge over the last year – and also largely a reason behind increase in their prices in the local market.
Prime Minister Imran Khan had twice approved to increase the petrol prices since July 15 and his cabinet members had claimed that he allowed the highest-ever, nearly Rs120 per litre price, due to upsurge in crude oil prices in the international market.
However, the data collected at the import stage tells a different story. The government’s decision to increase the customs duty rates on petroleum products have also significantly contributed in price determination.
The data compiled by the Federal Board of Revenue (FBR) relating to the duties and taxes collected at the import stage highlights heavy indirect taxation that has started hurting the consumers badly. The taxes that are paid on their domestic sales are over and above this collection.
In July, the FBR collected Rs62 billion in taxes at the import stage on petrol, natural gas, crude oil (a new tax), high speed diesel, bituminous coal, RBD palm oil and furnace oil, according to FBR statistics.
