FBR has announced to pull off the holding time exemption from collecting advance tax on transfer and sale of immovable real estate. Now authorities can collect taxes without concerning the holding time.
Therefore, the Federal Board of Revenue has canceled the sub-section (3) of Section 236-C of income tax ordinance-2001 and issued the notification. The Federal Board of Revenue will collect tax on all non-movable properties after the cancellation.
Furthermore, FBR has also increased the advance tax rate on the sale and transfer of immovable real estate from 1% to 2%. It is pertinent to note here that under the canceled tax ordinance, the state of Pakistan has given four years exemption period to sellers and buyers of the property.
For the latest Real Estate News and Blogs, visit Realtors blogs