Sales Tax on Stationery May Increase to 18%
Consumers in Pakistan may face another price shock as the government reviews a proposal to raise sales tax on stationery items.
According to official sources, the sales tax on stationery products may increase from 10% to 18% from July 1, 2026.
The proposal is reportedly linked to recommendations from the International Monetary Fund.
The IMF has suggested withdrawing the existing sales tax relief on stationery items.
If the relief is removed, essential school and office supplies may become more expensive across the country.
The proposed change is being reviewed under the Finance Bill 2026.
Final approval has not yet been announced.
However, sources say the higher tax rate is under serious consideration.
Students, Parents, and Offices Could Face Higher Costs
The proposed tax increase could directly affect students, parents, teachers, schools, and office workers.
Items such as notebooks, registers, pens, pencils, files, and other basic supplies may see a price increase.
These products are used daily in schools, colleges, universities, offices, and businesses.
A higher tax rate could increase the financial burden on families already dealing with inflation.
Parents may have to spend more on school supplies for their children.
Small businesses and office users may also face higher operational costs.
Education-related expenses could become more difficult for low-income households.
The move may also affect local shopkeepers and stationery sellers if demand falls due to higher prices.
Finance Bill 2026 May Decide Final Tax Structure
The government is expected to finalize the tax structure through the Finance Bill 2026.
If approved, the new sales tax rate will likely take effect from July 1, 2026.
The change would raise the tax burden on a category widely linked to education and daily office use.
The proposal comes as Pakistan continues talks with the IMF on revenue measures and fiscal reforms.
The government is under pressure to increase tax collection and reduce exemptions.
However, removing relief from essential items may draw criticism from parents, students, and education groups.
For now, the decision remains under review.
But if the proposal is passed, stationery prices could rise sharply at the start of the new fiscal year.
