Karachi: The Sindh Assembly on Monday passed the Sindh Finance Bill 2020 to abolish the capital value tax (CVT) imposed on the province’s construction and real estate sectors, a news source reported. According to details, the provincial government aims to promote the two sectors by helping around 40 ancillary businesses.
Sindh Revenue Minister Mehboob Uzaman stated that the provincial government had waived off PKR 5 billion in taxes for the construction and real estate sectors from its revenue collections. On the other hand, Pakistan Tehreek-i-Insaaf (PTI) member Firdous Shamim Naqvi said that the construction sector needed the executive’s support. He added that the government should focus on issues of Hyderabad and Larkana, along with waiving off tax on construction of small houses.
Muttahida Qaumi Movement (MQM) member Khawaja Izhar-ul-Hasan opined that the following the abolishment of CVT on construction and real estate sectors, the government should scale back the rate of withholding tax to benefit tradespersons. He further appealed to the federal government for abolishing withholding tax.
