Sindh Government Increases Sales Tax on Services to 15%

The Sindh government has raised the sales tax on services by 2%, effective today, increasing the Sindh Sales Tax (SST) rate from 13% to 15%.

This new rate applies to hotels, farmhouses, restaurants, caterers, wedding halls, guest houses, and clubs. The tax hike coincides with the start of the new financial year, which has also seen an increase in petrol prices.

Additionally, the scope of the SST has been expanded to cover several new sectors, including domestic and international air tickets.

This change is part of the new financial policies for the fiscal year 2024-25, aiming to broaden the tax base and increase revenue for the province.

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