ISLAMABAD- Pakistan government today increased sales tax on petroleum products by five percent, largely depriving public of an estimated Rs56 billion worth of comfort following the fall of crude oil prices across the world.

The increase in General Sales Tax on some petroleum products was notified through a notification issued today by the Finance Ministry.

According to sources, sales tax will be charged at the rate of 22 instead of 17 percent on High-speed Diesel oil, Light Diesel Oil, Kerosene, and Motor spirit including HOBC from January 1, 2015

The measure to increase GST on the petroleum products was taken by the federal government to offset a shortfall in revenue of FBR.