NEV levy: all vehicle categories' prices surge
According to the details, the NEV levy covers all vehicle categories from basic motorcycles to luxury SUVs.
Atlas Honda has released new prices after NEV implementation. The CD70 now costs Rs 159,900 compared to its previous price, with the NEV levy adding Rs 1,500. Higher-end models like the CB150F face levies of up to Rs 4,720. All major car manufacturers have also adjusted their pricing, which are going to be revealed in a day or two.
FBR imposes new levy on locally-made, imported vehicles
The policy exempts new energy vehicles (electric and hybrid cars), vehicles manufactured exclusively for export, diplomatic mission vehicles, and those belonging to international organizations with diplomatic privileges.
'This levy is designed to encourage the adoption of cleaner transportation alternatives while generating revenue for the federal government,' said a senior government official, speaking on condition of anonymity. However, consumers are now expected to face difficult choices between conventional vehicles and exploring electric and hybrid alternatives, he added.
Copyright Business Recorder, 2025
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Recorder
37 minutes ago
- Business Recorder
Sazgar records ‘second-highest' 4-wheeler sales in June 2025
The Sazgar Engineering Works (SAZEW) reported on Friday that it had sold 1,349 units of its 4-wheelers in June 2025, a number that a local research house said was the company's second highest in a month. The company anticipated in March 2025 that the demand for automobiles would boost in the wake of economic stabilisation and reduced interest rates in Pakistan. SAZEW rolled out its first four-wheeler in August 2022 in Pakistan under a joint venture with Great Wall Motor (GWM) of China. Sazgar Engineering profit jumps 105% to Rs6.23bn in 3QFY25 According to a notification SAZEW sent to the Pakistan Stock Exchange (PSX), its sales in the month of June were notably higher compared to production of the vehicles reported at 985 units in the month under review. In a brief commentary, Topline Research said, 'SAZEW records second highest 4-wheeler sales in June 2025'. The sales hit 1,349 units in June 2025, surging by 47% compared to the previous month of May. The sales jumped 2.55-time in June compared to the same month of the last year. With this, the company's sales doubled in a year, rising to 10,844 units in FY25 compared to FY24, according to the research house. The company sold 2,435 units of 3-wheelers in June 2025 that remained significantly high compared to the production of 1,420 units of the vehicle in the month, according to the notification. According to the third quarterly financial statement of the company of March 2025, it sold a total of 8,313 units of 4-wheelers in the first nine-month (Jul-Mar) of FY25 that were 159% higher compared to 3,205 units sold in the same period of FY24. 'Auto sector is gradually recovering and progressing towards higher sales volume in line with economic stabilisation. Lower interest rates are expected to boost the auto financing and demand of vehicles in the country,' financial statement read. Sazgar plans NEV rollout by FY26, ups CapEx to Rs11.5bn At present, SAZEW is marketing around six cars including a hybrid electric vehicle (HEV) Haval at present in Pakistan. It is expected to roll out NEV [New Energy Vehicles] into the Pakistani market in the latter part of FY26, as the automaker announced to raise the capital expenditure (CapEx) of its NEV facility by 155%. On Friday, Sazgar's share price hit an intra-day high at Rs1,248.85/share from opening at Rs1,172/share. It, however, closed at Rs1,192.32 on the close of the trading session, limiting day-to-day gains at Rs28.87 or 2.48%.
Express Tribune
9 hours ago
- Express Tribune
PSX continues rally, hits new high above 131,000 points
The Pakistan Stock Exchange (PSX) continued its bullish trend on Friday, with the benchmark KSE-100 index gaining 489.75 points, current index at 131,176.40 — an increase of 0.37% during intra-day trading. The index reached an intraday high of 131,411.40 and a low of 130,716.10 during the trading session. Trading volume stood at 73.6 million shares, with a total value of over Rs 7.7 billion, reflecting sustained buying activity across various sectors. Friday's session followed a similar bullish trend seen the previous day, when the index closed at 130,686.65. Earlier on Thursday, KSE-100 index extended its upward trajectory to close at a new all-time high with addition of 342.63 points. Read: Stocks continue bull-run, reach fresh peak The rally was led by index-heavy sectors, particularly oil and gas, banking and power. However, overall trading remained mixed. Among major triggers, Pakistan's foreign exchange reserves jumped $5.1b to $14.5b by the end of FY25. "Stocks closed higher at a new all-time high after the government slashed NSS (National Savings Scheme) rates, which will push investors towards equities, and the State Bank's forex reserves hit $14.5b," said Arif Habib Corp MD Ahsan Mehanti. Arif Habib Limited (AHL) reported that the KSE-100 index experienced two-way volatility around the 130,000 level but it managed to hold the key level at close. Some 53 shares advanced while 46 declined. Major contributors to the index gains were Oil and Gas Development Company (+2.77%), UBL (+1.32%) and Hub Power (+2.26%). On the flip side, the biggest laggards were Bank AL Habib (-4.14%), MCB Bank (-2.46%) and Meezan Bank (-1.6%), it said. WorldCall Telecom was the volume leader with trading in 49.5m shares, falling Rs0.02 to close at Rs1.59. It was followed by Image Pakistan with 36.7m shares, rising Rs2.87 to close at Rs32.47 and The Bank of Punjab with 35.1m shares, losing Rs0.02 to close at Rs11.52. Foreign investors sold shares worth Rs909m, the National Clearing Company reported.
Express Tribune
15 hours ago
- Express Tribune
Salaried class paid Rs555b in FY24
Listen to article Salaried individuals have paid a staggering Rs555 billion in income tax in the last fiscal year, which were Rs188 billion more than the preceding year and also 100% more than the combined taxes paid by retailers and real estate sector. The record-high contributions by people, who pay income tax on the gross salaries without having the luxury to adjust their expenses, substantially reduced the home-take salaries of a larger segment of society. According to provisional figures compiled by the Federal Board of Revenue, the salaried persons paid Rs555 billion in income tax during the fiscal year 2024-25. The unwilling contributions were 51% or Rs188 billion more than the taxes collected from the salaried persons in the preceding fiscal year. In the fiscal year 2023-24, the government had collected Rs367 billion from the salaried persons. The government of Prime Minister Shehbaz Sharif had phenomenally increased the tax burden of the salaried class and claimed it would generate only Rs75 billion in additional income taxes. The highest ever contributions by the salaried persons in a single year showed how the voiceless people have been discriminated against the powerful sectors of the country. Last month, the government marginally reduced the tax burden of the people earning up to Rs3.2 million annually, which it said would give them a benefit of Rs56 billion. This nominal benefit of Rs56 billion compared to the current contributions is like a drop in the bucket, which would not address the fiscal woes of the salaried individuals. Despite putting enormous burden on the salaried class, the FBR missed its annual collection target by a margin of around Rs1.2 trillion. The details showed that non-corporate sector employees paid Rs236.5 billion income tax in the last fiscal year, which is higher by Rs67 billion or 40%. Corporate sector employees paid Rs165 billion in income tax, also higher by Rs54.6 billion or 49%. Employees of the provincial governments paid Rs99.5 billion in taxes, which was up by Rs49 billion or 98%. The federal government employees paid Rs54.2 billion, higher by Rs17 billion or 45%. Total income tax payments during the last fiscal year were Rs5.8 trillion and the salaried class paid Rs1 out of every Rs10 collected from the entire country under the head of income tax. In contrast to Rs555 billion paid by the salaried persons, the retailers, mostly unregistered, have contributed only Rs38 billion on account of withholding income tax on their purchases. The amount of tax that traders paid under section 236-H was 1,360% less than taxes paid by salaried persons. Besides, wholesalers and distributors also paid Rs25 billion withholding tax in the last fiscal year and almost half of them were unregistered with the FBR, said the sources. PM Sharif could not live up to his promise of collecting due taxes from the retailers. The Tajir Dost scheme failed to yield desired results and the government has not announced any new measure in the budget to bring the retailers in the tax net. Its biggest enforcement measure to ban the economic transactions by ineligible persons has become effectively useless after the government exempted more than 90% transactions from the purview of the new law. The government has allowed the ineligible persons, those having not enough declared resources, to buy up to Rs7 million worth of a car, Rs50 million worth plot and Rs100 million commercial property. In the budget, the government had imposed 2.5% withholding tax on traders, in the hope that this would force them to come into the tax system. Though the increase in the rate did help collect Rs21 billion more from the traders, the intended objective could not be achieved. The traders passed on the cost of the additional tax to the end consumers. In the last budget, the government had also substantially increased the tax burden of the real estate sector by increasing the rates for the non-filers and also introducing a new category of late filers in the budget. As a result, during the last fiscal year, the government collected Rs237 billion on sales and purchase of properties. This helped increase collection by 19% compared to the previous fiscal year but it was still below the mark. The combined taxes paid by both retailers and the real estate sector were 100% less than the total contributions by the salaried persons. On the sale of properties, the government collected Rs119 billion on account of withholding taxes, which were one-fourth more than the preceding fiscal year. On the purchases of the plots, the government collected another Rs118 billion, also higher by 14%. In the new budget, the government has abolished the federal excise duty on the real estate sector. The net taxes on the sales and purchases remained unchanged, although the government shifted higher burden towards the sellers by increasing their withholding tax rates.
