ISLAMABAD – Pakistan’s new government is rolling out new measures tabled by International Monetary Fund (IMF) as talks underway for final tranche of bailout funds, and now non-filers will be slapped with more taxes on buying and selling of plots.
Sources familiar with the development revealed that the apex tax collection authority FBR has decided to to introduce new taxes on sale and purchase of plots on the directions of International Monetary Fund (IMF) of incorporating the real estate sector into the tax framework.
In order to document the real estate sector, it has been proposed to use banking channel instead of cash transactions. All records, including cutting and purchasing, of plots in housing societies will be registered.
The new stern measures would be taken in upcoming budget to end undocumented transactions in the real estate sector, sources revealed.
In first phase, the government mulls introducing seven per cent withholding tax for non-filers and four per cent gain tax on sale and purchase of plots.
Federal Board of Revenue (FBR) reportedly shared tax revenue plan with the International Monetary Fund (IMF) delegation during second review talks. Members of IMF team are currently in Pakistan for the second review under the SBA loan programme.
The delegation was also briefed about structural reforms in the FBR and hoped to achieve a tax collection of Rs 9,415 billion.
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