Over the past year, high property taxes have made it difficult for investors and homeowners. New restrictions on non-filers and various tax burdens have slowed the market. To address this, the Prime Minister has formed a task force to propose reforms and boost the housing sector. Key Tax Reforms • Abolition of 7E Tax: This tax, based on wealth statements rather than income, has faced legal challenges. The government plans to abolish it, providing relief to property owners. • Non-Filer Property Transactions: Non-filers were barred from purchasing property, but they can now buy up to Rs. 1 crore without scrutiny. • Uniform Tax Rates: Currently, late filers pay higher taxes. A flat 3% tax on transactions up to Rs. 5 crore is being considered for all filers. • Easier Process for NRPs: Overseas Pakistanis will soon be able to verify their status online via NADRA, removing the need for commissioner approval. • CVT & Stamp Duty Changes: The government plans to remove Capital Value Tax (CVT) in Islamabad and standardize stamp duty across provinces. • Property Valuation Stability: Instead of unpredictable annual increases, property values will be reassessed every three years, ensuring certainty for investors. • Lower Interest Rates: The government aims to reduce the policy rate below 10% to make mortgages more affordable and encourage investment. Implementation Timeline These reforms are expected to be implemented within one to two months through the National Tax Council, ensuring a uniform tax structure nationwide. The changes aim to revive real estate by reducing tax burdens, easing processes for non-filers and NRPs, and stabilizing valuations.