FBR to implement real estate rules as per FATF action plan

ISLAMABAD: Following the Financial Action Task Force’s (FATF) decision to extend the deadline for Pakistan to complete its 27-point action plan, the Federal Board of Revenue (FBR) is determined to step up monitoring of real estate, gems and jewellery sectors.

Implementation of rules in the aforementioned areas will reportedly take place in a few days in a bid to curb money laundering and terrorism financing.

The recommended rules will be applicable to housing authorities or sub-registrar offices where property exchanges are attested. The property agents will, however, be exempted from these rules.

In order to address the concerns of terror financing parked in the real estate sector, revision of the provinces’ valuation table rates to bring them closer to the market value is also under consideration.

“We have asked the provinces to revise DC rates closer to market value,” said a senior FBR official, who further said that the tax rates would be decreased to counterbalance its tax impact.

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