Karachi: The residents of Karachi have been ensnared in the web of taxes as the city government has decided to impose toll tax on every vehicle traversing the roads. The City Council has approved agreements to levy taxes on vehicles using highways and bridges, as well as to collect municipal taxes through electricity bills.
Despite reservations from the opposition, the ruling party has unanimously approved the agreement to collect municipal taxes through electricity bills. During the City Council session, it was agreed to impose a toll tax on vehicles using highways and bridges in Karachi. However, the method of toll tax collection is yet to be finalized, while municipal taxes will be levied through electricity bills.
For monthly bills ranging from 101 to 200 units, a municipal tax of Rs. 20 will be imposed, and for bills up to 300 units, a monthly tax of Rs. 160 will apply. Approximately three out of four billion rupees collected will be allocated to council members for developmental projects, while the remaining funds will be utilized by the municipal corporation for larger initiatives.
Mayor Karachi, Murtaza Wahab, stated that Rs. 70 crores will be generated from toll taxes and, apart from municipal taxes, an additional Rs. 4 billion will be collected. On this decision, opposition leader Saifuddin Advocate remarked that burdening the public with toll taxes is equivalent to daylight robbery.
During the City Council meeting, six agreements were approved, sparking uproar among opposition members. Subsequently, the session was adjourned indefinitely. The Sindh High Court has issued a stay order on the collection of this tax. However, during the previous hearing, the court stated that the City Council has the authority to collect taxes from citizens and should first ratify the agreement for this tax.
