ISLAMABAD: The Federal Board of Revenue (FBR) has notified that real estate valuation rates were revised downward in 16 areas of the six major cities of the country.

An official announcement on Tuesday said that of all localities, only one (Hayatabad) out of 335 residential localities in Peshawar was readjusted and one (Eden Orchids) in 395 from Faisalabad.

It further revealed six localities namely Gujarpura, Anmol Cooperative Housing Society, Attari Saroba, Balhar, Dev Khurd Kalan and EME Society from 1234 localities of Lahore and three sectors of I-15, I-16 and E-12 in the 64 localities of the federal capital to be recalibrated.

Similarly, only three out of 195 localities in Karachi and only two localities in Rawalpindi have been adjusted because of what the FBR calls “anomalies” in the previous valuation rates.

According to the statement, “the adjustment in real estate valuation rates in selected areas of these major urban centers of the country is aimed at providing level playing field to all and is likely to boost revenue collection and promote healthy growth of the real estate sector in the long run.”

The FBR rates have been revised at the behest of various real estate agents’ associations in view of the negative impact previous FBR notified rates were having on the volumes in property transactions which dealers claimed in certain cases were in excess of true market rates or in few cases reached up to 70 to 80 per cent of the market rates, added the announcement.

Published in Dawn, January 17th, 2018