By Fakhar Hayat Jutt
ISLAMABAD, Jun 11, Diplomatic Star (DS): Federal Minister for Finance and Revenue Shaukat Tarin Friday said the government was encouraging the manufacturing and use of electric vehicles to address environmental issues and reduce reliance on gasoline besides provision of cheaper source of transportation to public.
In his budget speech, the minister said that for the purpose, various tax exemptions and concessions were proposed, which include tax exemption on import of CKD kits for local manufacturing of electric vehicles,
reduction in sales tax rate on locally manufactured electric vehicles from 17 percent to one percent,
withdrawal of value addition tax on import of electric vehicles and CKD kits and withdrawal of federal excise duty on 4-wheelers electric vehicles.
