Pak Suzuki Announces Increase in Advance Tax On Its Cars

Pak Suzuki Motor Company (PSMC) has confirmed an increase in the Advance Tax on its cars in response to the changes in the Annual Budget (Finance Bill) 2022-23. According to the details, the new budget has doubled the Advance Tax on vehicles for filers and non-filers, which means a significant increase in the cost of these vehicles for the consumer.

Suzuki Advance Tax, Suzuki Cars, Suzuki Tax — Pak Suzuki Announces Increase in Advance Tax On Its Cars

Furthermore, the revised Advance Tax shall become applicable on all pending booking orders yet to be delivered and invoiced from 1^st July 2022.

Model	Advance Tax (Pre-Budget) Non-Filer/Filer	Advance Tax (Post-Budget) Non-Filer/Filer	Difference (PKR) Non-Filer/Filer
Alto	15,000/7,500	30,000/10,000	15,000/2,500
Wagon R	30,000/15,000	60,000/20,000	30,000/5,000
Cultus	30,000/15,000	60,000/20,000	30,000/5,000
Swift	50,000/25,000	75,000/25,000	25,000/5,000
Bolan	15,000/7,500	30,000/10,000	15,000/2,500
Ravi	15,000/7,500	30,000/10,000	15,000/2,500

Source: PakWheels

Moreover, the Government has also imposed a capital value tax (CAT) of 1% on vehicles above 1300cc engine capacity. This is also going to negatively impact the auto industry as it will increase prices of vehicles for most consumers.

However, the Capital Value Tax (CAT) will not affect Pak Suzuki Motor Company (PSMC) as it is not offering any vehicles above 1.3 litre engine capacity and even the recently launched Suzuki Swift carries a 1.2L engine.

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