Web Desk: Education will likely become much more expensive in Pakistan after the government announces the federal budget for the fiscal year 2026-27. Schooling already poses a major challenge for poor and middle-class families.
Sources familiar with the matter state that the International Monetary Fund (IMF) demanded an end to Pakistan’s 10 percent sales tax exemption on stationery. Consequently, the government plans to raise the sales tax on these items to 18 percent starting July 1.
To satisfy the global lender’s conditions, the federal government is actively reviewing this proposal to increase the tax within the Finance Bill 2026. If the government enforces this 18 percent sales tax, prices will jump significantly at the start of the new fiscal year.
This hike will directly impact the cost of notebooks, registers, pens, pencils, and other educational or office supplies. Meanwhile, the IMF already approved the sales tax increase to 18 percent. The public should expect the new tax rates to take effect across the country on July 1, 2026.
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