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FBR Increases Property Tax in KP

Peshawar: According to recent news sources, the Federal Board of Revenue has increased property taxes as well as taxes on the sale and purchase of the real estate in a number of Khyber Pakhtunkhwa (KP) localities. Peshawar, the capital of the province, Dera Ismail Khan, Mardan, Abbottabad, and Mansehra are among the cities.

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In Peshawar Saddar, the tax on residential and commercial property has raised by Rs500,000 per marla and Rs1.2 million per marla, respectively, as a result of the new tax policy. In Ander Shahr Bazaar, the tax on residential property has increased from Rs1.36 million to Rs2.84 million per marla, while the tax on commercial property has gone from Rs5.61 million to Rs10 million per marla.

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According to sources, the finance department has hiked the property tax by 100% in 38 of the nation’s largest cities. FBR, however, has added more cities, bringing the total to 40.

Mujeeb-ur-Rehman, the president of the Khyber Pakhtunkhwa Traders Union (KPTU), bemoaned this new action and rejected the FBR’s increased charges. The coronavirus pandemic and terrorism have already had a negative impact on enterprises in KP, he has claimed, and this new tax scheme will have a similarly negative impact. According to him, FBR’s action will ruin the province’s real estate industry and result in the unemployment of millions of people.

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