Fixed excise duty imposed on labour visa for Gulf

ISLAMABAD: For travelers with labor visas heading to the Gulf, the federal government has imposed a fixed Federal Excise Duty (FED) of Rs5,000 on airline tickets. On Wednesday, the Federal Board of Revenue (FBR) sent a notification outlining the new tax.

In accordance with the FBR's notification, Pakistani passengers traveling to Gulf nations on labor visas will pay a set tax of Rs5,000 on their plane tickets under Clause (i) of Sub-Clause (b) of Serial Number 3 of Table Two of the First Schedule to the Federal Excise Act 2005.

The Protector of Emigrants (Bureau of Immigration) must verify if the labor visa is printed on the travelers' passports, according to the FBR.

The notification further stated that this fixed excise duty will apply to international travel from Pakistan to Gulf Cooperation Council (GCC) countries for those on labour visas, with the tax being collected per ticket.