Rawalpindi: Prime Minister (PM) Imran Khan on Friday announced a relief package for the country’s construction sector; further revealing the government’s decision to abolish withholding tax on building materials (including cement and steel), a news source reported.
To this effect, the city’s additional deputy commissioner – upon receiving the directives of the Board of Revenue Punjab – has notified a 4% reduction in stamp duty on property transactions within its jurisdiction. Instructions in this regards have been issued to the registrars (urban/rural) concerned and the seven tehsils in district Rawalpindi. As per reports, sale/purchase activity has spiked following the government’s initiative.
Additionally, the condition of being a tax filer for property sale and purchase has also been suspended in order to help revive the construction industry in the wake of COVID-19 spread. Moreover, there will be no Capital Gains Tax (CGT) upon selling of the house.
The government has set a two-week time period for the approval of residential homes and government buildings, whilst the approval duration for the high rises and commercial plazas is 45 days.