Airline fares surge after govt imposes super tax

KARACHI: The airline fares have jacked up for passengers travelling abroad following the imposition of a 10pc direct tax in the form of a ‘super tax’ by the incumbent coalition government, ARY News reported on Saturday.

Prime Minister Shehbaz Sharif imposed a super-tax of 10 percent on large-scale manufacturers and industries in the country in order to address the economic woes of the country.

The prime minister, while announcing the tough decisions in the wake of the ongoing economic situation, said that industries related to steel, cement, sugar, oil and gas, fertilizers, energy and terminal, and textile will face a 10 percent tax.

According to a notification, the government has increased international airfares for passengers travelling via first class and business class.

“The Federal Excise Duty (FDA) RG tax has been increased from Rs10,000 to 50,000 on all first and business tickets for travel with effect from July 1, 2022,” the notification stated.

It further stated that the difference will be collected on all tickets issued prior to July 2022 at the time of check-in.