Auto sector urges government to reduce sales tax to 18 percent

The auto industry has called on the government to lower the sales tax rate from the current 25 percent to 18 percent in the upcoming policy cycle, familiar with the matter. Industry representatives argue that the existing sales tax rate is placing significant pressure on the sector, which has already been facing various challenges.

Stakeholders from the auto sector have formally approached relevant authorities with their request for a reduction in the sales tax. They believe that a lower tax rate would help revive demand and support the industry's recovery efforts.

The auto sector's proposal is being considered as part of discussions for the next policy cycle. Industry representatives maintain that the current 25 percent sales tax is unsustainable and has contributed to a slowdown in sales and production.

The request for a reduction to 18 percent is aimed at making vehicles more affordable for consumers and encouraging growth within the sector. Sources indicate that the industry is hopeful that the government will take their concerns into account when formulating future tax policies.

Officials have not yet commented publicly on the proposal, and it remains to be seen whether the requested sales tax cut will be included in the next policy cycle. The auto sector continues to advocate for measures that would ease the tax burden and stimulate market activity.