Lahore: The Excise & Taxation (E&T) Department has completed its paperwork ahead of its survey to determine the value of property located along major highways and motorways in Punjab, a news source reported. As per officials, the department will use the survey findings to assign property tax rates to the said properties.
By imposing the new rule, the Excise Department aims to bring in an additional 800,000 properties into the tax net. Furthermore, this will also increase the revenue collected from the property sector. For this purpose, the department has set a revenue target between PKR 4 billion to PKR 25 billion.
Sources within the department have revealed that owners of a 1-kanal property located on any national highway or motorway in Punjab will be subject to the payment of annual property tax ranging between PKR 5,000 to PKR 8,000.
Sources have also revealed that property value of these units will be determined according to their respective Deputy Collectors’ rate. The department has, however, extended tax exemptions on properties owned by widows.
The new taxes are likely to be enforced from January 1, 2020 onwards.
Samra Zulfiqar, a real estate analyst at Zameen.com, is passionate about finding projects that offer buyers the best returns. Her keen insights spotlight the market’s most promising opportunities.
