Rawalpindi, Pakistan – Property owners in Rawalpindi are bracing for a significant increase in their property taxes, with rates set to rise by up to 300% starting January 1, 2025.
The Department of Excise, Taxation, and Narcotics Control has announced the new tax rates following the approval of revised property tax regulations. The updated DC rate lists for both residential and commercial properties will be implemented for the financial year 2024-25.
The sharp increase in property taxes is a direct result of the severe economic challenges faced by Punjab. The government has revised the property tax structure to create four taxpayer categories and has expanded the operational zones of the excise department to ensure efficient tax collection.
Property owners in Rawalpindi can expect to receive their new tax bills between September 15 and October 15. The distribution process is expected to conclude by December 15, with the new rates taking effect on January 1, 2025. Express Tribune
The substantial increase in property taxes is likely to place a significant financial burden on property owners. While the previous annual increase was around 10%, the new rates range from 20% to 300% depending on the area.
The revised property tax structure includes four categories for residential properties (A-plus, A, B, and C) and four new categories for commercial areas. This new categorization aims to better reflect the economic standing of different properties.
The excise department has directed its officials to meet quarterly property tax collection targets. The implementation of these new tax rates is expected to have a significant impact on property owners in Rawalpindi.
