As a result of the new mini-budget, the price of Gold Flake cigarette in Pakistan has been nearly doubled as increased Federal Excise Duty (FED) and General Sales Tax (GST) in being charged on tobacco products.
According to the details, the Federal Government has hiked the General Sales Tax (GST) on cigarettes from 17% to 25% since these are considered a luxury item in the country. Furthermore, the Government has increased Federal Excise Duty (FED) has been imposed on all cigarettes.
As a result, all famous cigarette brands like Gold Flake, Capstan, Dunhill, and Gold Leaf have increased their price in Pakistan to account for the additional General Sales Tax (GST) and Federal Excise Duty (FED).
Gold Flake Price in Pakistan
The price of Gold Flake cigarette in Pakistan is Rs. 220 as per the official price list of the Pakistan Tobacco Company (PTC).
Complete Price List
Read more: Cigarette Prices in Pakistan After Increase in Govt Taxes.
Impact of Increased Taxes
According to an international tobacco firm in Pakistan, Philip Morris Pakistan Ltd, the increased FED on cigarettes will have a negative impact on the economy as it will reduce Government’s revenue.
A spokesperson of the company said that FED on cigarettes has been raised by over 150%, which will result in a price increase of more than 150% compared to the previous fiscal year.
“The hike in taxes for tax-paying tobacco companies will effectively favor the already vast illicit cigarette market in Pakistan.” the spokesperson added. “This will lead to a shortfall in Government revenue as business will shift from tax-paid sector to non-tax-paid sector” he added.
What do you think about the new Gold Flake cigarette price in Pakistan? Let us know in the comments below.
Follow INCPAK on Facebook / Twitter / Instagram for updates.
