The federal government reduced the period of sales tax exemption on the imported vehicles of Saudi Mission, reported 24News HD TV Channel on Monday.
According to the sources, the Pakistani government has made some important decisions in favour of Saudi Arabia after receiving two billion dollars from the brother Islamic country.
The sources said the government has decided that a one-year reduction in the tax exemption period will be given under a special category.
Earlier, there was a facility for tax exemption on the sale of the vehicle after 3 years but now imported vehicles of Saudi Mission will be exempted from tax on sale after 2 years.
The sources said there will be a 100 per cent tax on selling vehicles within two years.
The sources said it will be applied to Saudi Embassy in Islamabad and Consulate General in Pakistan as the Saudi ambassador had requested a reduction in the tax exemption period.
According to the sources, the federal government has also made a decision to allow flights to two airlines of Saudi Arabia named Riyadh Air and Flyadeal.
The sources said the approval given to Riyadh Air and Flyadeal on the Pak-Saudi route was obtained through the circulation of three separate summaries from the Federal Cabinet.