ISLAMABAD: Government is expected to introduce scheme for declaration of benami properties in foreign countries, citing sources. Ahead of budget, it was learnt that government made asset declaration mandatory in Income Tax particulars. Sources told that government received recommendations to end Capital Gain Tax to filers for hiding new properties.

Filers will have to mention their new properties in wealth statements within one year after new budget. In upcoming budget, government started preparations to toughen conditions for documentation of real estate transactions.

Sources said that Capital Gain right will not be awarded to filers who hid their new properties, adding, filers enjoyed facility of legally hiding their properties for three years. It had also been recommended to extend licences for Real Estate Investment Trust (REIT) in new budget. REIT licences are going to expire on June 30, 2023. However, government is expected to give facility to filers to declare foreign benami assets. It was also recommended to register agents involved in dealing with plots in housing societies.

Additionally, taxes would be increased on non-filers who purchased plots, whereas, taxes would also be imposed on transactions for files in property sector.

Sources within FBR said that taxes would be imposed on registered property agents for making transactions of property files. Taxes on non-filers would be doubled who are trading plots.

Published in The Daily National Courier, June, 05 2023

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