ISLAMABAD (Mudassar Ali Rana) – The Federal Board of Revenue (FBR), fulfilling a long standing demand of the business community, has issued a notification revising property valuation rates in the federal capital reducing values by 30 to 60 percent across various sectors.
According to the notification, FBR has revised valuations for residential and commercial plots at 68 locations. Under the new rates the valuation of possessed plots in Sector B 17 has been reduced from Rs50,000 to Rs30,000 per square yard, while non-possessed plots have been cut from Rs40,000 to Rs15,000 per square yard.
As per the notification, SRO 163 will now be considered replaced by SRO 2390 dated December 12, 2025, which will serve as the applicable valuation benchmark.
In Islamabad’s most expensive sectors, significant reductions have also been made. In Sector E-7, valuation has been reduced from Rs600,000 to Rs225,000 per square yard. In Sectors F-6 and F-7, rates have been cut from Rs500,000 to Rs210,000 per square yard. Sector F-8 has seen a reduction from Rs450,000 to Rs200,000 per square yard, while Sector F-10 has been revised from Rs350,000 to Rs175,000 per square yard.
Similarly, the valuation in Sector F-11 has been lowered from Rs350,000 to Rs160,000 per square yard. In Sector G-6, the rate has been reduced from Rs350,000 to Rs140,000 per square yard, while in Sector D-12 it has been cut from Rs250,000 to Rs130,000 per square yard.
Other reductions include Sector E-11, where the valuation has been decreased from Rs190,000 to Rs70,000 per square yard; Sector G-8 from Rs180,000 to Rs130,000; Sector G-9 from Rs180,000 to Rs120,000; and Sector G-10 from Rs160,000 to Rs125,000 per square yard. Sector G-7 has been assigned a valuation of Rs120,000 per square yard, while in Sector C-14 the rate has been fixed at Rs30,000 per square yard.
For agricultural properties, the maximum valuation of a one-kanal farm in Chak Shahzad has been maintained at Rs11.2 million. Similarly, the valuation of a one-kanal farm in the Orchard Scheme has been kept unchanged at Rs14 million.
According to the FBR, the objective of this initiative is to bring the declared value of properties closer to actual market prices. The revised rates will be used to determine the fair market value of immovable properties in residential, commercial, and rural areas of Islamabad. The board stated that the implementation of the new valuation rates is expected to enhance transparency in property transactions and may lead to an increase in tax revenue from the real estate sector. Real estate developers, investors, buyers, and sellers will now be required to comply with the new valuation tables, while ensuring full adherence to relevant legal and tax regulations.