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FBR Refutes Fake Media Reports of Withholding Tax on Bikes & Rickshaws

The Federal Board of Revenue (FBR) has rejected the reports that the government has imposed withholding taxes amounting tens of thousands of rupees on auto-rickshaws and motorbikes, calling such news baseless.

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The FBR spokesperson has issued a statement in this regard. He stated that as per the Income Tax Ordinance 2001, taxes are levied on cars. Moreover, the FBR has not raised the existing taxes imposed on motor vehicles under Sections 231B, i.e., advance tax on private motor vehicles and 234, tax on motor vehicles under the Income Tax Ordinance 2001.


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The statement maintained that the FBR is not planning to impose taxes on motorbikes or auto-rickshaws. “Government will provide every facility it can to the lower-income group,” said the statement.

The statement has come in response to the speculations circulating on media that the FBR has slapped withholding tax on motorbikes and the auto-rickshaws after which the registration fee has exceeded Rs.20,000.

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