Last Updated on: 5th July 2023, 08:03 pm
Buying A House in Pakistan is Becoming More Expensive As The Federal Govt Increases Taxes
The cumulative tax for buyers and sellers who do not register the sale of real estate in the country reached a record 18.5%.
The tax on the sale of houses, land, or apartments will be increased from July 1st. If you are not a reportable buyer, you now have to pay 10.5% tax when buying a property instead of 7%, while the seller of the property has to pay 6% instead of 4%.
These taxes include a one percent stamp duty and a one percent council tax on the value of the property.
According to Imran Migrani, head of the Association of Real Estate Dealers, an input tax of 3.3% instead of 2.2% is charged on a buyer’s or seller’s declaration.
An agreement between taxpayers results in an 8% tax for the federal and provincial governments, combined with a 1% stamp duty and a 1% local tax.
Also Read: Employees Protest Across The Country Against High Taxes in The Budget 2023