Property Tax Goes Up

Property Tax Increase Shocks Buyers

At the start of the new financial year (2025–26), people in Rawalpindi are facing very high property registration fees. This applies to both homes and shops. Buyers are worried and upset about these new costs.

New Map Fee Added

A new “building map fee” has also been added for property buyers.  Even though the advance tax was lowered by 1.5%, the gain tax went up by 1.5%. 

Also, Deputy Commissioners (DCs) have raised property rates by 10% to 20% in all areas.

Registry Costs Go Up a Lot

Because of the new rates and taxes:

  • Registering a 5-marla house now costs Rs350,000
  • For commercial property, the cost has gone up by Rs500,000 to Rs1 million

But even after all this, the online payment system is still not working. So far, no property has been registered this month.

Registries Stopped Since June 15

In Rawalpindi Cantonment and City Tehsil offices, all registration work has stopped since June 15.
The app used for property registration hasn’t been updated with the new DC rates. Officials say it should start working in 3 days.

Many Taxes Make It Hard for Buyers

Stamp Vendors Union leader Sheikh Mudasir said buyers now have to pay many taxes:

  • 1% Stamp Duty
  • 1% Municipal Duty
  • 4.5% Gain Tax
  • 2% Map Fee
  • 1% FBR e-Tax
  • 0.10% Online Fee
  • 1.5% Cantonment Board Fee

That means buyers who are filers pay 10.5% of the property value, and non-filers pay up to 18%.

Buyers Look for Ways to Pay Less

Hassan Shah from the Property Dealers Association said high taxes may lead to cheating.
Some buyers might say their property is old or broken (even if it’s not) just to lower the tax.
Others may avoid full registration and use power of attorney instead. This can cause tax loss for the government and more illegal deals.

Billing Delay Stops Property Sales

Even after 21 days of the new year, people in Rawalpindi and Chaklala cantonment areas have not received new property tax or water bills.

New Charges Not Added Yet

The delay is because the new system includes big increases in water and cleaning fees (up by 150% to 200%).
Without the new bills, no one can complete property sales or pay dues.

Officials Promise Bills Soon

Rawalpindi Cantonment Board spokesperson Imran Habib said the new bills are being prepared.  The delay happened because they needed to add the new charges.  He said the new bills will be ready in a few days.

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