Lahore: Punjab Finance Minister Makhdoom Hashim Bakht on Tuesday announced that the property tax will now be calculated upon rental value rather than the area, according to the news source. He also hinted that the proposal to diminish the gap between personal use and tenancy in commercial real estate will be reviewed.
Minister Bakht shared these comments while chairing a meeting of the Ministerial Committee for Resource Mobilization 2021-22. During the meeting, he also mentioned that amendments in the Punjab Urban Immovable Property Tax Act 1958 are imperative to improve local government, municipal taxation and service delivery – while the municipal services will be defined in the Local Government Act before the amended law is implemented.
The said meeting was attended by Punjab Board of Revenue Minister Malik Anwar, Punjab Industry and Commerce Minister Mian Aslam, Punjab Irrigation Minister Mohsin Leghari Punjab Agriculture Minister Hussain Jahanian Gardezi, Punjab Revenue Authority Chairman, Punjab Finance Secretary, Punjab Excise and Taxation Secretary, Member of the Board of Revenue, and other related authorities.
Mian Aslam Iqbal was of the view that instead of depending on the excise and taxation officer for the property value determination, arbitrators be appointed to determine the rental value. He also said that the property owners evade tax by relying on the area while their rental value increases yearly.
To choose the best course of action finance department was directed to review the tax exemptions offered based on area, and the property taxation calculated on rental value.
Hazafa reveres the art of writing and has been turned into a property enthusiast by profession. Her daily survival kit includes; tea, coffee, keyboard and paperbacks.
