The price of Gold Flake cigarettes in Pakistan has nearly doubled as a result of the new mini-budget, as increased Federal Excise Duty (FED) and General Sales Tax (GST) are being charged on tobacco products.
The Federal Government increased the General Sales Tax (GST) on cigarettes from 17% to 25% because they are considered a luxury item in the country, according to the details. Furthermore, the government has increased the Federal Excise Duty (FED) on all cigarettes.
As a result, all well-known cigarette brands in Pakistan, including Gold Flake, Capstan, Dunhill, and Gold Leaf, have raised their prices 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
According to Philip Morris Pakistan Ltd, an international tobacco company in Pakistan, the increased FED on cigarettes will harm the economy by reducing government revenue.
According to a company spokesperson, FED on cigarettes has been increased by more than 150%, resulting in a price increase of more than 150% over 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.
