FGEHA decides to seek tax exemption for five years

Published Updated

ISLAMABAD: The Federal Government Employees Housing Authority (FGEHA) has decided to request the government for an income tax exemption for five years.

It said the FGEHA is a ‘statutory public sector welfare organisation’ and deserved tax exemption.

Officials in the FGEHA told Dawn that the authority was operating on a no-profit, no-loss basis for provision of affordable housing to serving and retired government officials.

“Authority sustains its development through installment receipts, service charges and transfer fee etc, which are utilised exclusively for operational and development purposes rather than commercial gain,” said an official of FGEHA.

Govt granted tax exemption to authority from 2020 till June 30, 2024, says official

He said the authority had decided to request the government for income tax exemption up to June 2030. In the past, the federal government had granted tax exemption to the authority from 2020 till June 30, 2024. The officer said recently the issue was placed before the executive board of the FGEHA, which approved the proposal and directed that a request should be made to the government.

“The board approved the proposal to request the government for extension of income tax exemption for another five years from July 1, 2024 to June 30, 2029, through Ministry of Housing and Works and to seek incorporation of necessary provisions in relevant tax laws, including Income Tax Ordinance, 2001,” the official said.

Land acquisition regulations 2026

FGEHA officials said the board recently also passed land acquisition (land sharing basis) Regulations 2026. They said that during the meeting, the board members inquired about the distinction between CDA regulations and that of the FGEHA.

“The board was informed that proposed FGEHA framework provides greater operational flexibilities in determining land-sharing ratio. Unlike standardised approach adopted under CDA regulations, land sharing ratio under FGEHA regulations shall be determined on a project basis and approved by board, taking into account unique requirements, financially viability and development considerations of each project.”

To this, officials said: “Board approved FGEHA Land Acquisition (Land Sharing Basis) Regulations 2026. The board observed that draft disposal of commercial property regulations, 2026, required further examination and directed the matter be submitted separately for consideration in upcoming board meeting,” the official said.

Naming of a road in G-14

The officials said that in the meeting of the board, the issue of naming road number 804 in G-14 as Syed Chan Shah Kazmi Road (a revered late spiritual figure of local area) was taken up. The late Kazmi was spiritual leader and substantial portion of land in sector G-14 had been acquired from members of his family/community.

“Therefore, the board approved naming of Road No 804 as Chan Shah Kazmi Road in recognition of his historical, cultural and spiritual association with area. FGEHA was directed to process the case through the Ministry of Housing and Works for submission to the federal cabinet for a final decision,” the officials said.

It is relevant to note here that several projects of FGEHA have been facing inordinate delays and recently the Senate Standing Committee on Housing and Works was told that the Ministry of Housing had placed a ban on the authority from launching new schemes until the ongoing projects were completed.

However, development work in two sectors — F-14 and F-15 — continues at a full pace.

Published in Dawn, July 27th, 2026

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