KARACHI - The Pakistan Real Estate Investment Forum (PREIF) has submitted its proposals for the upcoming budget 2017-2018 to National Assembly's Standing Committee on Finance with the hope that the suggestions will be given high importance. In a statement, Shaban Elahi, President of PREIF, said that implementation of the proposals would not only pave the way for enhancement of local and foreign investment but also play a role in increasing the revenue manifold.

Demanding a friendly federal budget for the real estate sector, Elahi urged the provincial governments to reduce taxes such as stamp duty, Capital Value Tax (CVT), Town Tax and registrar fee in order to minimise transaction costs. "It will not only benefit consumers but also a large number of people will opt for documented transactions instead of resorting to General Power of Attorney, which prompts disputes," he added.

He said that at present, rate of provincial taxes on stamp duty is two percent, CVT 2.5 to 3 percent, town tax one percent and tax on registrar fee is also one percent. "The total rate of taxes in the province is around 7 percent, which needs to be brought down," he said.

The PREIF president also drew the attention of the federal government to the anomalies detected during the property valuation in some areas of country, including SITE Industrial Area, Landhi Industrial Area, Port Qasim Authority, DHA City, Anmol Cooperative Society, Lahore, some areas of Faisalabad and DHA Valley Islamabad.