In the amended Finance Bill of FY 2023–24, the Federal Government decided to increase excise duty on air tickets for all international flights.
Excise duty will be increased on Business and Club class tickets, and rates are varied according to the routes.
The increased country-wise rate on individual tickets is proposed as follows:
- Middle East and African countries, including Dubai and Saudi Arabia, will pay 105,000
- For the USA and Canada, travelers will pay 100,000 in duty.
- For North America and Latin America, duty will be 350,000.
- For European countries, duty has been increased from 60000 to 2100000.
Economic and economic plus class tickets will pay a duty of $12,500.
These rates will be applicable from July 1 onwards.