ISLAMABAD: The Federal Board of Revenue (FBR) has reduced the valuation of immovable properties by 10% to 30% in five major cities, aiming to align official rates with market values and revive real estate activity.
The revised valuations, effective April 22, apply to Faisalabad, Sialkot, Multan, Bahawalpur, and Gujranwala, according to separate notifications issued by the tax authority.
The move follows an earlier downward revision in Islamabad, bringing the total number of cities with adjusted property valuations to six.
Under the new notifications, the FBR issued S.R.O. 650(I)/2026 for Multan, S.R.O. 651(I)/2026 for Faisalabad, S.R.O. 652(I)/2026 for Bahawalpur, S.R.O. 653(I)/2026 for Gujranwala, and S.R.O. 662(I)/2026 for Sialkot, outlining updated valuation tables for immovable properties in these urban centers.
Officials said the revisions were based on prevailing market trends and fair value assessments, noting that previously notified rates were often higher than actual market prices. This mismatch had been identified by stakeholders as a key factor slowing property transactions.
By narrowing the gap between official and market values, authorities aim to promote documentation in the real estate sector, improve tax compliance, and support growth in construction and housing activities.
Pakistan’s real estate sector has remained subdued in recent years due to higher taxation, rising input costs, and economic uncertainty. Analysts believe the latest reduction in valuation rates could help restore investor confidence and increase transaction volumes in the short term.
The FBR indicated that further revisions in other cities may be considered based on market conditions and stakeholder feedback.
