Buyers of New Cars have Good News and Bad News.

In Pakistan, there has been substantial discussion over the fiscal budget for 2023–24. It doesn’t matter much for the automobile industry.

The government will proceed with the current strategy under the Automotive Industry Development and Export Policy (AIDEP) 2022–26, according to the specifics. This indicates that new auto taxes won’t change or rise.

With that in mind, there will likely be some good news and some negative news for automobile owners. First off, increases in advance income tax, capital value tax, and customs duties on new autos in Pakistan were anticipated in the budget.

Thankfully, there are no such provisions in the tax form. The good news is that the potential increases in the aforementioned tax rates won’t lead to a rise in automobile pricing.

Second, because of the protracted economic crisis, the government has done almost nothing to assist the car industry. The bad news is that there won’t be any price reductions for cars anytime soon.

The upcoming fiscal year is expected to be difficult for the sector as carmakers fight to survive. Any fresh launches or developments appear improbable under these conditions.