Islamabad: The Federal Board of Revenue (FBR) has informed lawmakers that it is in discussions with the International Monetary Fund (IMF) to reduce taxes on the purchase and sale of properties in the upcoming FY2026-27 budget.
The development emerged during a meeting of the National Assembly Standing Committee on Finance and Revenue, chaired by Syed Naveed Qamar at Parliament House, where officials reviewed the macroeconomic outlook, fiscal priorities, IMF programme performance, and structural reform challenges ahead of the next federal budget.
According to officials, negotiations are underway to reduce taxes imposed under Sections 236C and 236K of the Income Tax Ordinance, which apply to property transactions. Section 236C relates to advance tax collected on the sale of immovable property, while Section 236K applies to the purchase of property.
FBR officials also informed the committee that responsibility for budget preparation has been shifted to the Tax Policy Unit under the Ministry of Finance.
The discussion around property taxation comes amid expectations that overseas Pakistanis may increase investments in the country’s real estate sector following recent regional tensions in the Gulf. Officials further noted that property valuation rates in various cities had already been revised downward.
No final decision on tax reductions has been announced, with discussions between the government and IMF still ongoing.
Samra Zulfiqar, a real estate analyst at Zameen.com, is passionate about finding projects that offer buyers the best returns. Her keen insights spotlight the market’s most promising opportunities.
