Islamabad: The Federal Government will likely change the laws related to Changing Tax Residency for NRPs (non-Resident Pakistanis). The changes are expected in the upcoming fiscal budget 2023-2024.
According to the details, it is stated that Capital Value Tax and Income Tax under Income Tax Ordinance’s Section 7E apply to Pakistan residents. According to Pakistani law, a Pakistani national living in the country for over 183 days or an employee of the government posted in a foreign country is considered a resident of Pakistan only.
However, the law will be changed to add others to the tax pool as many people deliberately stay outside the country for over six months to avoid taxes. The proposed amendment states that property owned by Non-Resident Pakistanis will be disposed of in the year they become non-resident.
To avoid disposal, the person must pay tax on capital gains, which will be calculated systematically. Therefore, it will be considered tax changes for NRPs under section 75 (Disposal and Acquisition of Assets).For the latest Real Estate News and Blogs, visit Realtorspk blogs.