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The Punjab Revenue Authority (PRA) has raised the Punjab Sales Tax on several service sectors from 5 percent to 8 percent, including restaurants, cafés, coffee shops, food chains, and other dining establishments.

With the revised rate now in effect, customers paying through credit or debit cards at restaurants will be charged 8 percent Punjab Sales Tax, up from the previous 5 percent.

The higher tax also covers a broad range of service providers, including marriage halls, catering companies, event management firms, travel and tour operators, rent-a-car services, fitness centers, apartment management companies, and property dealers.

In addition, the revised 8 percent tax rate applies to sectors such as architectural services, warehouses, and cold storage facilities, among others. The PRA has instructed all affected businesses to update their invoicing, billing, and tax compliance systems accordingly.

According to the authority, the increase is intended to boost provincial revenue, expand the tax net, and improve documentation of the economy.

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