FBR Imposes Excise Duty on E-Liquids, Vaping Products to Get Costlier
At a glance
- FBR imposed Rs16,500/kg excise duty on e-liquids.
- Vaping products are expected to become more expensive.
- The move is part of a new taxation policy and efforts against youth vaping.
Story so far
The Federal Board of Revenue (FBR) has for the first time imposed a Federal Excise Duty (FED) on e-liquids, setting it at Rs16,500 per kilogram. This new levy, introduced through amendments to the Federal Excise Act, 2005, is part of a broader shift in taxation policy aimed at discouraging vaping, particularly among youth. The move is anticipated to raise the prices of e-cigarettes and vaping products, with industry stakeholders expressing concerns about potential impacts on consumer demand and businesses. This development also comes as the vaping industry in Punjab is involved in an ongoing legal battle, where a court previously granted relief to retailers against provincial crackdowns.
Latest development
The Federal Board of Revenue (FBR) has imposed a Federal Excise Duty (FED) of Rs16,500 per kilogram on e-liquids, a measure expected to significantly increase the cost of vaping products across Pakistan.
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