This follows the imposition of taxes on luxury services by Islamabad
First class and business class travel in Pakistan has become more expensive following the imposition of taxes on luxury services by the government.
The Pakistani government has increased the Federal Excise Duty (FED) rate on business class and first class air tickets from PRK 10,000 (Dh 179.56) to PKR 50,000 (Dh 897.78) , according to the media. Air sources also confirmed this information.
A Pakistan International Airlines official said Khaleej times the new taxes are applicable from July 1, regardless of ticket issuance.
Confirming the development, the PIA spokesperson said the tax hike will not affect the flag carrier’s ticket prices as its planes do not have business class facilities.
However, in a notice to travel agencies from Emirates airline, which offers direct business class and first class flights to Pakistan, passengers who have already paid for their tickets issued on or after July 1, are urged to pay the taxable amount at the airport.
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