Islamabad: The Federal Board of Revenue (FBR) has decided to impose a 5% penalty on non-filers who will purchase property in the new fiscal year starting July 1, a news source reported.
The board will be able to impose and collect the fine only after the parliament approves the Finance Bill 2019-20. The same bill has proposed the imposition of a 1% withholding tax on filers (of income tax returns) who will purchase property in FY2019-20.
Furthermore, the FBR has also decided to complete the procedures required for the implementation of new valuation tables shared for 18 cities, June 30. These valuation tables will be used for calculation and collection of Advance Income Tax (also known as withholding tax) and Capital Gains Tax.
As pre reports the concerned administration from all provinces have refused to implement the new DC rates from July 1 onwards. The DC rate helps determine the taxes applicable at provincial level. Not to mention that the valuation table shared by the FBR for immovable property in Lahore, Islamabad, Rawalpindi, Peshawar, Hyderabad, Multan, Faisalabad, Gujranwala, Jhang, Jhelum, Bahawalpur, Sukkur, Abbottabad, Sahiwal, Sialkot, Mardan, Sargodha and Gujrat will be applicable from July 1, 2019.
Reportedly, the FBR has received feedback it invited from the stakeholders on the proposed valuation tables. Based on this feedback, the board has started to make the needed amendments in the tables.
