ISLAMABAD: The International Air Transport Association (IATA) dispatched a formal correspondence to the federal finance minister articulating grave apprehensions regarding the recent augmentation in taxation on international airfare.
IATA urged the government to rescind the tax hike on air travel with immediate effect.
“The latest fiscal policy in Pakistan has abruptly escalated the tax on international flight tickets by up to 150 percent,” the letter stated.
“This measure is anticipated to significantly deter travel and tourism to Pakistan. It is imperative to engage all relevant stakeholders several months prior to implementing such tax increments,” the letter further elaborated.
IATA insisted that the Pakistani government retract the decision to increase the tax on air travel tickets, emphasizing that the elevated tax rates would detrimentally impact the operations of travel agencies and airlines.
The letter also mentioned that, according to IATA, the sudden tax increase contravenes international civil aviation regulations.
