Govt keeps petroleum levy at Rs80; cut next budget
With the petrol price in Pakistan today still shaped by high fuel taxes, Planning Minister Ahsan Iqbal ruled out an immediate petroleum levy cut under Jamaat-e-Islami pressure.
Planning Minister Ahsan Iqbal ruled out an immediate cut in the petroleum levy under Jamaat-e-Islami pressure.
The government is charging Rs80 a litre as petroleum levy, plus Rs5 climate levy and Rs20.56 customs duty—nearly Rs106 in taxes a litre.
Petroleum Minister Ali Pervaiz told the National Assembly the levy is tied to IMF Extended Fund Facility fiscal targets.
Levy collection from fiscal year 2022-23 through 2025-26 reached Rs4.4 trillion, about Rs227 billion above the government’s targets.
A joint committee with Jamaat-e-Islami will study phased levy reduction proposals for the next budget.