LAHORE: The Federal Board of Revenue (FBR) made two significant announcements regarding the real estate sector. Firstly, the issuance of new valuation tables for immovable properties, which were originally scheduled for August 2023, has been postponed until the following month. The FBR intends to collaborate with committees established in each city to determine these new property values.
Secondly, the FBR has decided to introduce an online facility in the updated “IRIS” system, allowing all citizens to either claim exemption or pay a 1 percent tax under section 7E on immovable properties.
This new system will eliminate the need for taxpayers to physically visit the Commissioner Inland Revenue (FBR) and thereby alleviate concerns of corruption while obtaining exemption certificates.
The decisions were made during a meeting between the FBR Chairman, Amjad Zubair Tiwana, and representatives from the real estate sector at the FBR Headquarters.
It is essential to highlight that previously, all sellers of immovable properties were required to obtain an exemption certificate from the Commissioner Inland Revenue or pay a 1 percent tax as per section 7E of the Income Tax Ordinance.
