FPCCI backs proposed tax incentives for real estate sector

February 06, 2025 (MLN): To facilitate investments into the real estate and construction sectors by the general public, Atif Ikram Sheikh, President of The Federation of Pakistan Chamber of Commerce and Industry (FPCCI), supports the proposed tax measures.

The 4% tax rate on the sale and purchase of property has been a major obstacle in the development and commercial activities, he added.

The FPCCI Chief proposed that taxes on the housing and real estate sectors should be reduced to single digits, according to the press release issued.

The government should provide all possible incentives for acquiring low-cost and affordable houses, with complete tax exemption given for building or buying a house for the first time by any Pakistani across the board.

Atif Ikram Sheikh added that the real estate sector has been stagnant for the past few years.

He emphasized that the government should present a comprehensive plan for its revival and rejuvenation, so that buying houses becomes affordable and viable for the masses.

Atif Ikram Sheikh maintained that commercial banks should be encouraged to facilitate housing finance on a priority basis.

He also emphasized that the housing package should include exempting overseas Pakistanis from withholding tax (WHT).

Additionally, three floors of residential houses should be allowed in view of the housing needs of a population of 250 million.

President FPCCI stressed that the government should move towards vertical development and high-rise buildings to provide decent housing to the masses with decent civic amenities in an efficient time frame.

Copyright Mettis Link News