After Honda United Motors also revised the prices of its products due to the FED effect on Cars. United Motors is a second auto manufacture company that has hiked its prices in the country. Recently Honda Atlas revised the prices of its cars because the government imposed FED on the cars. United Bravo hikes the price of its 800cc engine cars by PKR 30,000 and the new price of United Bravo is PKR 925,000. according to the company, the price of 800cc hatchback increase just because the government imposed FED on cars. See the below notice by United Motors:
The new price of United Bravo is inclusive of 17% sales tax. In the new FED there is only a good news for the cars 1700cc and above because in the previous Finance Budget the cars with engine displacement of 1700cc and above pay 10% FED to the government and now the cars category of cars pay 5% to 7.5% FED to the government, but on the other side that is a bad news for the cars below of this category because in previous finance budget the cars below 1700cc engine have not paid FED to the government.
On the other side, ISUZU also hikes the price of its cars the new price of ISUZU D-Max V-Cross M/T is PKR 4,650,000 and the old price was PKR 4,450,000 and the price of V-Cross A/T was PKR 4,675,000 which increased to 4,875,000.
Government divide FED on three slabs:
- lThe cars from 0 to 1000cc engine displacement the FED is 2.5% on it.
- lThe cars from 1001cc to 2000cc engine displacement the FED is 5% on it.
- lThe cars from 2001cc and above the FED is 7.5% on it.