Everyday News

Govt orders new taxes of Rs440bn on real estate sector

ISLAMABAD: The federal government has implemented new taxes of Rs440 billion on the real estate sector, in the budget for fiscal year 2022-23. 

invest with imarat

Islamabad’s emerging city centre

Learn More

Federal Board of Revenue (FBR) Chairman Asim Ahmad stated in a media briefing that the new taxes include custom duties of Rs34 billion, sales tax and federal excise duty of Rs90 billion, and income tax of Rs316 billion. 

The FBR has also proposed to provide a tax relaxation of Rs85 billion in the next fiscal year. The net effect of the taxes would be Rs355 billion. 

There will be a 5% tax on income on non-productive immoveable and un-utilised residential, commercial, or industrial plots and farmhouses. 

The FBR will allow an exemption of a single property but it will deduct Rs25 million for other open plots, which will generate Rs30 billion. 

Capital gains tax will also increase to 15% and the holding period will extend to 6 years, which will create a revenue of Rs40 billion. 

The chairman said that FBR has also recommended an increase in advance tax on the purchase of immovable property: from 2% to 5% for non-filers and 1% to 2% for filers. Through this proposal, the board will be able collect Rs65 billion next year. 

Pakistanis living abroad will be subject to a 1% capital value tax on their foreign immovable properties and foreign liquid assets. This will bring about an estimate of Rs18 billion in tax revenue. 

Minaal Shamimi

As an editor and writer, Minaal recognises the importance of a well-crafted and compelling narrative. With several years of experience and a thorough understanding of SEO practices, her focus is on producing content that can provide different perspectives and create real value.

Recent Posts

Garha Mor: A Notable Landmark in Vehari City

Garha Mor, a notable landmark in Vehari, Punjab, Pakistan, is significant in its location, accessibility,…

1 day ago

Aslam Market Wah Cantt: Pleasure of Shopping & Dinning

Located in the center of Wah Cantt, Aslam Market is a vibrant commercial hub that…

2 days ago

Abid Market Lahore: An Iconic Shopping Landmark

Located in the bustling heart of Lahore, Abid Market is a landmark shopping area well…

3 days ago

CDA Chairman Urges Rapid Completion of Major Islamabad Interchanges

ISLAMABAD, Nov 16 (APP): The Chairman of the Capital Development Authority (CDA), Muhammad Ali Randhawa,…

3 days ago

IMARAT Announces Launch of Pakistan’s Largest Sharia-Compliant REIT – A New Era of Real Estate Investment

Islamabad, Pakistan— IMARAT Group, a leading real estate developer and innovator in Pakistan, announces the…

3 days ago

Amma Tower: A Landmark in Urban Living & Commerce

Amma Tower, located in the bustling area of Saddar in Karachi, is a unique blend…

4 days ago