Auto sector seeks tax rationalisation

Experts have expressed grave concern about the plight of the struggling auto industry and its future outlook, while appealing to the government to control the massive influx of imported vehicles through rationalising taxes. They said such a move will revive the local market, protect the interests of local car manufacturers and ensure the sustainability of livelihoods. “The auto industry has urged the government to look into it, while taking measures in the upcoming budget for supporting the industry,” Indus Motor Company (IMC) Chief Executive Ali Asghar Jamali said while talking to a group of journalists on Wednesday. He said increasing duties (including indiscriminately implementing the regulatory duty on all types of imported used cars, instead of a selective drive) and taxes in the upcoming budget will provide an opportunity to regulate the excessive import of used cars, along with helping the local auto industry to benefit from a slightly better business climate, stable exchange rate and the foreseeable reduction in interest rate.