Many people are asking: Is There a New 18% Tax on Solar Power Users? Recent discussions on social media created concern that the government had introduced a fresh 18 percent sales tax on solar consumers. However, officials have now cleared up the confusion.
What Did the Federal Board of Revenue Say?
The Federal Board of Revenue (FBR) has confirmed that no new 18% tax has been introduced specifically for solar power users.
According to the official statement, the standard sales tax already applies to electricity bills for all domestic consumers, including those who use a solar system. This tax has been part of the existing tax framework for years.
صرف ایک کلک، اور ہر اہم خبر سب سے پہلے آپ کے موبائل پر
ابھی جوائن کریںIn simple words, there is no additional tax targeting solar users.
Understanding the 18% Sales Tax
Here is what consumers need to know:
- The 18 percent sales tax applies to regular electricity consumption.
- It is included in the billing structure of utility companies.
- Solar users who remain connected to the grid are treated like other domestic consumers.
This means the tax is not new and not created because of recent policy changes.
Where Did the Confusion Start?
The confusion began after a tweet by Miftah Ismail, the former finance minister, mentioned possible impacts of new tax rules related to gross metering.
Some people interpreted this as a sign that a fresh tax was being imposed on solar energy Pakistan users. However, FBR officials clarified that the comment referred to billing adjustments under gross metering, not to any new tax levy.
صرف ایک کلک، اور ہر اہم خبر سب سے پہلے آپ کے موبائل پر
ابھی جوائن کریںThe misunderstanding spread quickly, leading many to believe their utility bills would suddenly increase due to a special solar tax.
What Is Gross Metering?
Under gross metering, electricity generated by a solar system is calculated differently compared to net metering. However, this is about how energy is measured and paid for — not about adding a new 18% sales tax.
The revenue authority has made it clear that no separate tax has been introduced for renewable energy users.
What Does This Mean for Solar Consumers?
- There is no new 18% tax.
- The existing sales tax on electricity continues as before.
- No special tax is being imposed only on solar users.
Consumers should rely on verified updates from the Federal Board of Revenue (FBR) or official government notifications to avoid misinformation.
Conclusion
To answer the question clearly: Is There a New 18% Tax on Solar Power Users? The answer is no. The 18 percent sales tax mentioned in discussions is the same tax already included in electricity billing for all users.
Solar consumers are not being targeted with any new tax. Understanding the difference between tax regulations and changes in energy policy can help avoid confusion in the future.
