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FBR Has Mandated Filing a Tax Form for Immovable Properties by 31st December

  • Published On 28-Nov-2022
FBR Has Mandated Filing a Tax Form for Immovable Properties by 31st December

FBR Has Mandated Filing a Tax Form for Immovable Properties by 31st December

FBR has issued a tax form that taxpayers are required to file along with their income tax returns for the fiscal year 2022. Only those individuals who own two or more immovable properties are subjected to this imposition.

As a rule of thumb, deemed income is calculated as 5% of the fair market value of the immovable property. Taxes are imposed at a 20% rate on such incomes.

The tax form was introduced in October 2022 and now it has been mandatory for FBR to file the form. In the newly deemed form, it has been mandatory to provide information regarding the type of property let it be agricultural, commercial, residential, or industrial. Additionally, under Section 7E of the Income Tax Ordinance taxpayers also have to provide the total value of the deemed taxable property and deemed income.

The last date to file the form is 31st December 2022 and the people who have filed for the income tax return already are also subjected to this filing if they own two or more immovable properties.