KP Assembly Demands Tax on Tobacco Transported to Other Provinces

Members of the Khyber Pakhtunkhwa (KP) Assembly have urged the provincial government to impose a tax on tobacco transported to other provinces for cigarette manufacturing, highlighting concerns over economic imbalance and farmer losses. During a session chaired by Speaker Babar Saleem Swati, lawmakers pointed out that KP produces the majority of Pakistan’s tobacco, particularly flue-cured…

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Court Confirms KP’s Authority to Tax Construction Services

The Federal Constitutional Court has upheld the Khyber Pakhtunkhwa government’s authority to impose sales tax on construction services, dismissing challenges filed by contractors and service providers against the provincial law. The ruling relates to the Khyber Pakhtunkhwa Sales Tax on Services Act, 2022, which introduced a 2 percent sales tax on various construction-related services. These…

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