Reduction in Capital Gains Tax on property demanded

[sufiyanmahmud1987 (Sufiyan Mahmud)]

Given the recent COVID-19 pandemic, all major industries have been suffering. Pakistan’s real estate sector is no different. In light of this information, real estate stakeholders have been conducting ongoing negotiations with the federal government and the Federal Board of Revenue (FBR).

In their talks with these authorities, stakeholders demanded a reduced Capital Gains Tax (CGT) on property transactions.

As of now, the CGT tax rate is 20% for properties sold within 8 years of their purchase. The stakeholders have asked that this time limit should be reduced and no CGT should be charged on properties sold within 3 years of their purchase.

I believe that this a valid concern and demand. The economic slowdown due to the current pandemic situation is inevitable. Therefore, likewise measures should be taken to lower the impact on industries as much as possible.

[isloo001 (Isloo1)]

I’ve also read this news article in today’s papers. But noting good is expected from this utterly incompetent regime that had brought country’s economy to complete halt much before COVID-19 crises. Even in this desperate hour, their decision-making is zero, so do not keep good hopes.

[sufiyanmahmud1987 (Sufiyan Mahmud)]

I don’t think the government’s decision-making is zero. This is a global crises and the government can’t just focus on a few elements. They are forced to think about a lot of things. So yes, may be the relief will come at a slow pace, but asking not to expect it at all is a bit of an alarmist behavior. Besides, the recent cabinet meeting discussed a package for the construction sector.

[aakash.ahmad (Imtiaz)]

There are tons of examples where Decision Making is evidently 0 & that is costing negatively to the country, system, and economy.... Let me just highlight 3, rest could be coorelated.

--- Governance:

When the World after thousands of fatalities gave one simple message: Isolate & Lock downs (atleast the borders), the morons were cashing on free flow from Western Border (no stoppage and retention) and let them flow into population. Strand healthy PAK people in China but let the flood flow in from Iran without isolating them. As a litmus test: just YouTube Ashiq Awan, Chahuahn, Mirza, Buzdar, IK and the likes to know how clueless these people are.

--- Financial & Business Model:

World dropped interest rate to 0 to give state support to small business and here Hot Money disaster made these junks to drop it from 13.5 to 12.75... could you believe that...?

--- Social Order:

The president seeks fatwa from Jamia Alazhar to restrict mass prayer gathering and proudly announce that. Religious Minister comes on TV to say no worries all allowed but it needs to be locally monitored in case of patients and people above 50, as if they will carry a tag on their foreheads that they are all clear.

It's a global issues, yes we need efforts and collective actions to control. We are not comparable to the rest because:

* We got it way late than the rest but missed the golden opportunity to contain that with lack of decision and implementation. You can see this dress designer lady comes on TV appeals COAS and PM and her convicted guy is out in no time.

* I wouldnt trust official numbers from almost many countries but ones with higher numbers are universal metropoles with travelers 24x7 from across the globe and hence widespread which is not th case here...

[isloo001 (Isloo1)]

Alarmist, Lol ! ! !

I would call this realist behaviour. Someone who knows and understands what Narcissistic personality disorder (NPD) is and what to expect from someone suffering from it. Unfortunately our desi mannerism and submissive mentality is perfect breeding ground for these maniacs. We make them hero, sometimes PM.

Read about NPD.

[sufiyanmahmud1987 (Sufiyan Mahmud)]

@Imtiaz

Okay we can say that our government was not quick to respond. We did have that window where we could have taken effective measures to avoid the situation we’re stuck in today.

And your fatwa thing is also acceptable. I personally don't think any fatwa was required because of what was going on. However, I don't think Pakistan can afford to completely cut out the interest rate.

Besides all this, our people don't make things any easier either. Even now, people, and might I say quite well-educated people, are not taking things seriously.

[aakash.ahmad (Imtiaz)]

Re: Decision Making & Priorities

Rs133bn projects approved
https://www.dawn.com/news/1545176/rs133bn-projects-approved

As we speak, a pro-claimed Cash Starved State has suddenly approved PKR 133 bn, for what...? Yes for constructing the Likes of Horse Stables and Sheds, etc.

---------------------
the intention is not to turn this into and socio-political discussion but to point out where lies the priorities and preferences even in the time of disasters...