From July 2024, the Karachi Metropolitan Corporation (KMC) began collecting municipal tax through K-Electric (KE) bills.
Municipal Utility Charges and Taxes (MUCT) vary based on KE consumers’ electricity consumption. Domestic users consuming 101 to 200 units will be charged Rs 20, those using 201 to 300 units will pay Rs 40, and Rs 100 will be charged for 301 to 400 units. Consumers using 401 to 500 units will pay Rs 125, 501 to 600 units will be charged Rs 150, 601 to 700 units will incur Rs 175, and those using above 700 units will be charged. Rs 300. Commercial and industrial consumers will pay a flat rate of Rs 400.
Mayor Karachi Barrister Murtaza Wahab stated that the revenue from this municipal tax will fund city development projects. Under the agreement between KMC and KE, the power utility will retain 7.5% of the collected amount, with 50% allocated to settle KMC’s dues, which amount to around Rs 1.5 billion.
Jamaat-e-Islami (JI) filed a contempt of court petition against Mayor Wahab for allegedly violating Sindh High Court (SHC) directives by taxing electricity bills.
