Business

KARACHI – After an amendment to Section 68 of the Income Tax Ordinance 2001 through the Finance Act 2016, a panel of approved valuers will determine the fair market value of immovable properties.

According to State Bank of Pakistan (SBP) notification, fresh applications for placement of valuers’ name on the approved panel can be submitted to the Director Banking Policy & Regulations Department, State Bank of Pakistan, I.I Chundrigar Road.

Read More: Real estate sector to be brought inside tax net

Under the new amendment, the property evaluation rate set by the provincial governments will no longer remain relevant. After that, all investors will have to get their properties evaluated through the valuers of the State Bank of Pakistan (SBP) under a new mechanism.

One or more valuers of the SBP will fix the real market value of the immovable property and refer it to the FBR Inland Revenue Department. This amendment will do away with the informal economy or black economy in the real estate sector to a great extent.