Punjab government plans framework for rural taxation
Pakistan
Housing schemes developed in villages will be brought under tax net
LAHORE (Dunya News) - The Punjab government unveiled a new framework for local government taxation for rural areas.
Under the proposed Punjab Local Government (Amendment) Act 2024, housing schemes developed in villages will now be brought under the tax net. Previously, land developers in rural areas had managed to evade taxation, but under the new amendments, property tax will be levied in accordance with the Urban Immovable Property Tax Act 1958.
The primary objective of the bill is to align taxation policies with the Punjab Finance Act 2024. The scope of property taxation will also be expanded within urban areas, ensuring that all immovable properties within city limits fall under the tax net.
The tax assessment will be based on property valuation and other prescribed criteria, with collection handled by the designated provincial authority.
Revenue generated from this taxation will be transferred to local governments, enabling them to fund infrastructure development and community welfare projects in their respective areas.
