Starting today, the Sindh government has raised the Sales Tax on services by 2%. This affects hotels, farmhouses, restaurants, caterers, and wedding halls, increasing their Sales Tax from 13% to 15%.
The tax hike will also impact guest houses, clubs, and other similar services. This change is part of the new financial measures for the fiscal year 2024-25. The government is expanding the General Sales Tax (GST) to cover more sectors to increase revenue.
Additionally, new taxes have been introduced on both domestic and international air tickets. Travelers will now have to pay extra taxes when booking flights, whether within Pakistan or abroad.
These changes aim to boost government revenue but are expected to raise costs for businesses and consumers. Hotels, restaurants, and other service providers will face higher taxes, which could lead to increased prices for their customers. Travelers will also experience higher costs due to the new taxes on air tickets.