The Federal Board of Revenue (FBR) on Thursday rejected the reports of imposing withholding tax on motorcycles and rickshaws in Sindh. No new withholding tax has been imposed on motorcycles and rickshaws in Sindh. All reports airing on different media outlets are baseless, said FBR in a statement.
According to income tax ordinance 2001, no change has been made in motor vehicle tax, said FBR spokesperson adding that the FBR has no intentions of imposing any new tax on motorcycles and rickshaws. He further said that government is committed to providing all necessary facilities to the lower class.
Earlier it was revealed that FBR had sent a letter to the Sindh Excise and Taxation Department on July 22, asking to collect the withholding tax.
The current registration fee of a motorcycle is Rs3,400, whereas, the current registration fee of the rickshaw is Rs3,100.