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FED on business class international travellers slashed

By Our Correspondent
June 13, 2026
An undated image of people standing at the Jinnah International Airport in Karachi. — AFP/File
An undated image of people standing at the Jinnah International Airport in Karachi. — AFP/File

ISLAMABAD: The government has proposed a reduction in Federal Excise Duty (FED) on business class international travelers in the Finance Bill 2026-27.

The levy on tickets to North, Central, and South America has been cut down to Rs50,000 from Rs350,000. Rates on tickets to the Middle East and Africa have been lowered to Rs25,000 from Rs105,000, while business class travel to Europe now attracts Rs40,000 instead of Rs210,000.

The same reduction applies to tickets for the Far East and Australia, where the duty has been brought down to Rs40,000 from Rs210,000.