Karachi: The federal government looks to introduce a fixed tax regime for builders and developers to further the development of the country’s construction sector — a news source reported. In this regard, the government is expected to hold consultations with the International Monetary Fund (IMF) to negotiate the launch of the new framework.
The move will also allow the government to lift the ban on high-rise buildings in Karachi. Association of Builders and Developers (ABAD) wrote a letter on the matter to IMF to request a separate meeting for this purpose. ABAD aims to clarify to the IMF that a fixed tax regime will allow the government to collect greater revenue than it currently does.
The Federal Board of Revenue (FBR) and other stakeholders had already been in discussion on a fixed taxation regime for the construction sector, but the authorities had to put it on hold due to the IMF programme.
Additionally, Prime Minister Imran Khan recently formed a committee to consider the possibilities of introducing a fixed tax regime in the country. The committee is set to meet today (December 30) to discuss the matter further.
