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People face further inflation as govt increases sales tax rate from 17% to 18%

People face further inflation as govt increases sales tax rate from 17% to 18%
February 15, 2023 Web Desk

ISLAMABAD (92 News) - The government has increased the sales tax rate from 17 to 18 percent on the dictation of the International Monetary Fund (IMF).

Owing to an increase in the sales tax, people will have to face further inflation. As a result, the prices of all packaged food items, including edible oil, biscuits, jam, jelly and noodles will be raised. In addition, prices of children's milk, toys, chocolates and coffees will be increased.

Prices of cosmetic items will also further go up. Sales tax has also been increased on shampoos, creams, lotions, soaps and toothpastes. Hair colour, gel, perfumes, shaving foam, gel, cream and blades will also be more expensive.

On the other hand, the rates of technology items will also go beyond the reach of the common man. Moreover, the sales tax on computers, laptops and gadgets will be increased to 18%, raising the average price by 10 to 25%. Additional sales tax will also be applicable on mobiles, smart phones, iPods. TV, LED and LCD will also be more expensive.

Prices of hundreds of home appliances will be increased. Public will also bear the extra burden of the cost of construction materials, auto parts, tyres and oil. Rates of agricultural drugs, chemicals, tractors, threshers and levelers will also increase.

The people will also bear the brunt of the increase in the private education sector, the cost of school fees and stationery will also increase. The government will receive at least Rs1,000 billion as a result of the increase in the sales tax.