Federal board of Revenue (FBR) has released six new notifications after which a significant reduction in land property prices will occur. FBR decided to revise the 2016 policy which was initiated by then finance minister Ishaq Dar.
Overall, an increase of 25-30% occurred in six to seven major cities of Pakistan during the past few months. Increased property values meant FBR was on the way to collect more revenue through taxes. However, latest decision by the Board will see decreased property rates in following cities of Pakistan.
FBR Misses Revenue Collection Target by Over Rs. 21 Billion
Islamabad, Rawalpindi, Lahore and Karachi
In the Federal Capital, property rates will fall by 14 percent in the residential areas to stand at Rs 15,309 per square yard. For I-15 and I-16 there will be a huge decrease as property value will fall by 54.5% and 36.2% respectively.
The expensive residential areas in Rawalpindi including DHA and Bahria Town will also see a dip in the rates. Overall there will be a decrease of 57.2% in the prices.
Defense Housing Authority: Prices in DHA Phase I will be slashed by 39% to stand at Rs 335,000 per marla. In DHA-II land prices will decrease by 37.5% and per marla cost will be Rs 255,000. In DHA phase 2 extension rates come down to Rs 95,000 per marla after a 45.7% decrease. DHA Phase III will also see a decrease in land value with per marla cost of Rs 90,000 after a 40% dip. A marla in DHA IV will cost Rs 110,000 after 51.55% decrease.
Bahria Town: Rates in Bahria Town will be revised as follows:
- Phase-1: Rs 280,000 per marla after 25.33% decrease.
- Phase-1 Extension: Rs 165,000 per marla after 56% decrease.
- Phase-II: Per marla cost Rs 160,000 after 54.2% decrease.
- Phase-II Extension: Rs 150,000-Rs 200,000 per marla after a 57.2% decrease.
- Executive Meadows Phase-III: Rs 270,000 per marla after 55% decrease.
In Lahore seven different locations will see revised property rates. A decrease of 4.1%-51.5% will occur in different areas of Punjab’s capital. In EME society and Allama Iqbal Town per marla rate will be Rs 562,500 after a cut of 32.8%. For Gujjar Pura China Scheme and Shalimar Town per marla rate will stand at Rs 363,000 after 51.5% decrease.
Karachi will also fall under FBR’s new policy. In Karachi, property value in DHA will decrease by 17.5% to stand at Rs 7,500 per square yard. Industrial plots will also see a cut of 20% to stand at Rs 9,603 per square yard. Prices of built-up industrial parks will be Rs 1,905 square yard after a 36.5% decrease.