Federation of Realtors’ delegation calls on CM Sindh; urges cut SRB tax to 2 percent

Author: Staff Report

Karachi: Federation of Realtors Pakistan (FORP) has urged Chief Minister Sindh to bring down SRB taxes for real estate services from existing 10 percent to 2 percent in the province and take steps to address issues faced by the real estate industry to increase tax collections.

A high level delegation of the federation headed by its President Maj. Retd. Rafiq Hasrat called on the Chief Minister Syed Murad Ali Shah at chief minister’s house here on Tuesday. Other members of the delegation included federation Vice President Sindh Mohammd Bashir Memon, Vice President Balochistan Syed Faizan Shah and Mian Ather.

During the meeting, Maj. Retd. Rafiq Hasrat apprised the chief minister of difficulties faced by realtors in Sindh province. He demanded a reduction in taxes on services of real estate agents as they are already overburdened by FBR taxes and resulting in fewer collections. A regulatory authority should be established for the real estate industry. Realtors are ready to pay rational taxes but recovery of their two percent of deal commission should also be ensured and be legally binding, he added.

Vice President Sindh Mohammad Bashir Memon informed Syed Murad Ali Shah said that realtors in Sindh are being issued notices and realtors feel harassed by Sindh Revenue Board which should be stopped. There is a decrease of 70 percent in transactions of real estate due to FBR taxes, SRB services tax a high rate, ban on ground plus two story buildings and compulsion of completion certificate in Sindh, he told.

He urged the chief minister to take appropriate steps to improve this situation and for providing a business friendly environment.

Talking to delegation members, Syed Murad Ali Shah lauded the formation of the Federation of Realtors Pakistan and hoped it will play its important role for the betterment of this industry. By facilitating office bearers of the federation, chief minister said the real estate industry is vital in a country’s economy and its role can’t be ignored, even in the development of Sindh.

Chief Minister directed SRB officials to hold meetings with the federation officials to solve all issues amicably. Government of Sindh will try its best to facilitate this industry and in solving its issues.

Published in Daily Times, January 3rd 2018.

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