ISLAMABAD: The Federal Board of Revenue (FBR) has decided to reduce the duration and the percentage of withholding tax on the purchase of a property.
According to media details, the government will announce the duration and the rate of property tax on Sunday.
Currently, there is no tax if the property is held for more than three years, but a property tax will be imposed if is sold within the span of three years.
No tax imposed will be imposed on a house or a flat if sold after four years, however, a five percent sales tax will be imposed on the property worth Rs5million if sold before four years.
15 percent tax will be imposed on property sold within 10 years of ownership, after June 30.
The finance bill 2019-2020 has proposed a 10-year period during which there will be no interest rate to sell the property.
