Daily Times

The Punjab government has introduced a new property tax system to streamline processes, eliminate complexities, and enhance transparency.

According to Secretary Excise, Taxation and Anti-Narcotics Masood Mukhtar, the new system had become effective from January 1, 2025, and property taxes would now be determined based on the DC table of the respective district for all types of properties.

Under the revised system, property tax assessment will shift from being based on rental value to capital value. Property owners would be empowered to self-assess the value of their properties for tax purposes, and their declared valuation will be accepted as valid for tax collection.

Highlighting the significance of these reforms, Masood Mukhtar stated, “This marks a major shift in property tax assessment after 65 years, aimed at simplifying the taxation process, ensuring uniformity and promoting transparency. These changes are designed purely for public benefit and should not be viewed as an additional financial burden.”

Director General Excise and Taxation Punjab, Umar Sher Chattha elaborated on the incentives accompanying these reforms. He announced that current taxpayers will not be charged additional taxes under the new system until June 30, 2025. Moreover, individuals entering the tax net for the first time will receive up to a 50% concession on their outstanding dues. New taxpayers will also benefit by paying only 25% of the total tax for the upcoming six months.

These reforms underscore the government’s commitment to facilitating taxpayers while enhancing transparency and accountability. They are expected to play a pivotal role in boosting the province’s economic development.