PESHAWAR: The Khyber Pakhtunkhwa government has significantly increased the wedding hall tax and has now established new fixed rates for wedding halls across the province. Khyber Pakhtunkhwa Revenue Authority (KPRA) announced that wedding halls will be classified into three categories and thus, tax will be levied based on the size of the event.
The new tax policy was brought into effect on July 1 as part of the provincial budget, with the primary objectives of raising revenue and meeting the financial needs.
The wedding halls of category A, which accommodate more than 500 guests, will now have their fixed tax doubled. The tax charge on wedding halls capable of accommodating 500 guests and above will be raised from 25,000 rupees to 50,000 rupees.
Also wedding halls in category B can hold 300 to 500 guests and will incur a tax of 20,000 rupees per event, which is an increase of 5,000 rupees over the previous rate.
Additionally, the tax on wedding halls in category C remains the same, so they will continue to be charged 10,000 rupees per event.
Moreover, the KPRA spokesperson stated that in the case of non-payment of fixed tax by wedding halls, a 15% service tax will be imposed instead.
The officials claimed that the rising wedding hall tax is only one of the tactics of the provincial government to ensure its financial stability and create more revenue. All relevant authorities have been directed to closely monitor the implementation of the new tax regulations.
