+- Pakistan Real Estate Times - Pakistan Property News (https://www.pakrealestatetimes.com)
+-- Forum: Pakistan Real Estate / Property News (/forumdisplay.php?fid=1)
+--- Forum: Latest Pakistan Property & Economic News (/forumdisplay.php?fid=4)
+--- Thread: CM defers property tax revision (/showthread.php?tid=12845)
CM defers property tax revision - Lahore_Real_Estate - 03-17-2011 12:11 PM
LAHORE, March 16: Chief Minister Shahbaz Sharif is learnt to have deferred the revision of property tax mainly aimed at expansion of its base, to avoid public outcry under the prevailing circumstances.
Sources informed Dawn on Wednesday that the revised property tax plan was presented in the cabinet meeting held on Monday for approval but it was deferred by the chief minister reportedly on the ground that time was not ripe for such an initiative that could provoke a public already burdened with rising cost of living.They said property tax revision was linked to an Asian Development Bank tax reform loan or a $150 million grant.
The excise department had been working on the plan for the last three years which it submitted for cabinet approval after giving it final touches, the sources claimed.
They said the proposed revision was aimed at reducing the tax rate by 10 per cent, increasing the rebate on one-time payment of the tax from the existing five to 10 per cent and to revise the valuation table so as to also include “C” categories of residential areas of all cities in the province in the tax net.
The officials estimated that the reduced tax rate and the enhanced rebate would lower the revenue collection. But, the expansion in the base would increase the overall collection from the existing Rs2.8 billion per annum to Rs5 billion per annum.