The tax exemption for renewable energy-based power plants has been extended up to 15 years.
The investors will be entitled to a full tax exemption for the first 10 years of their operations, according to a Statutory Regulatory Order (SRO) issued by the National Board of Revenue (NBR) on November 27.
The rate of exemption will be 50 per cent for the next three years, followed by 25 per cent for the rest two years.
The power plants commencing commercial production between July 1, 2025 and June 30, 2035 will be eligible for the tax benefits.
To avail of the benefits, investors must obtain a no objection certificate from the power division, says the SRO.
Meanwhile, the excise duty on air tickets and VAT on embarkation fee as well as the passenger safety and airport security fees of Hajj travelers to Saudi Arabia have been exempted for 2025, according to a separate SRO.
It mentioned the rising costs of air travel as a concern for Hajj pilgrims, making their journey to Saudi Arabia increasingly difficult and expensive.
This measure is aimed at reducing some of that financial burden, it added.
The SROs were signed by NBR Chairman Abdur Rahman Khan.