Lahore: According to news reported on April 2, the Federal Board of Revenue (FBR) and provincial government would work together to calculate the new values of immovable assets, which will be announced in the upcoming fiscal year (FY) 2023–24.
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It has been announced that starting on July 1, 2023, the tables for immovable property in major cities would be updated upward. The FBR announced on Saturday (April 1) that committees were to be formed for the assignment, which must be finished by May 15 in order to notify customers of revised tariffs beginning July 1.
The process of amending the valuation tables that were previously notified under Section 68, Subsection (4) of the Income Tax Act, 2001, is to be started by the Regional Tax Offices (RTOs), in accordance with the plan.
The committees’ terms of reference (TORs) will be as follows:
- Refresh the rates previously communicated by the board, highlighting any over- or undervaluation.
- Provide recommendations for rates for regions and localities where the board has not yet established fair market values for new residential developments, commercial endeavors, and apartment complexes. If market rates are available, they may be incorporated in the draught valuation tables, keeping in mind their availability.
- “Square yard” shall be used as the standard measuring unit.
- Speak with the real estate associations in specific areas and the stakeholders who file complaints with the aforementioned area association.
- The Federal Tax Ombudsman’s (FTO) advice/recommendations about the current valuation may be taken into account for the new valuation.