Lahore: The Punjab government has proposed significant changes to property tax regulations through Finance Bill 2024-25. The bill aims to introduce new procedures and penalties aimed at streamlining and modernising the tax framework, as reported on June 14.
According to the details, the revised Punjab Urban Immovable Property Tax Act, 1958, stipulates that property taxes in urban areas will now be assessed based on the capital value (DC rate) instead of the traditional rental table method. Property owners will have the option to self-assess the value of their properties, with the assessment authority empowered to audit these valuations to ensure accuracy and compliance. To deter underpayment and tax evasion, the bill proposes strict penalties. If a taxpayer underpays or attempts to evade tax, they will face fines. Furthermore, if a property owner fails to conduct a self-assessment, the authority will provide a two-week window to complete the process.
These new measures are designed to enhance transparency, fairness, and efficiency in the property tax system, reflecting the government’s commitment to improving the fiscal framework and ensuring equitable tax practices across the province.
