ISLAMABAD: In a significant development for the real estate sector, the Senate Standing Committee on Finance has proposed key amendments to the Finance Bill 2025-26, potentially reshaping the landscape of property investment in Pakistan.
One of the most impactful proposals is the recommendation to increase the purchase limit for tax filers from 130% to 400% of their declared wealth, directly benefitting individuals engaged in property investment in Pakistan. The move is expected to enhance liquidity and investor confidence across the real estate market.
Senator Mohsin Aziz advocated for the change, emphasizing that tax-compliant citizens should be allowed to invest freely, with some suggesting a property purchase ceiling of Rs50 million for those declaring Rs10 million in assets.
The committee also approved new taxation measures targeting luxury private clubs, aiming to increase fiscal transparency and expand the national tax net. Meanwhile, a proposed tax on e-commerce platforms was rejected, but taxation on online academies—some generating up to Rs20 million per month—was approved.
Read More:Property Tax Reduced: Pakistan Government Abolishes 3% FED
In a further boost for the housing sector, Finance Minister Muhammad Aurangzeb introduced a mortgage facility for houses up to 2,000 sq. ft., along with a tax credit of up to 30% of total income, enhancing access to affordable home financing and encouraging property investment in Pakistan.
Experts believe that these legislative shifts could lead to a surge in demand for both residential and commercial plots, further solidifying the appeal of property investment in Pakistan for both local and overseas investors.
Multiworks continues to monitor developments to keep stakeholders informed of changes impacting property investment in Pakistan and the broader real estate ecosystem.
