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The federal government is considering a 4% sales tax on ride-hailing services operating in Islamabad as part of the FY26 budget, sources told NetMag. Currently, no such tax exists in the capital, though provinces like Punjab, Sindh, and Khyber Pakhtunkhwa already charge 5% on these services.

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The Federal Board of Revenue (FBR) had previously proposed this tax for the current fiscal year, but it was removed from the final finance bill.

Popular ride-hailing platforms in Pakistan include InDrive, Careem, Bykea, Jugnoo, and Yango. InDrive currently holds about 60% of the market share.