ISLAMABAD: The federal government has proposed to introduce a new system of capital gains tax in the budget of the next financial year 2024-25 and to increase the property tax for filers and the tax rate for non-filers to 45 percent.
According to the details, the government has proposed to introduce a new system of Guinness tax in the budget of the next fiscal year 2024-2025, while the capital gains tax on real estate and securities has been amended.
According to the Finance Bill, capital gains on immovable property are taxed on the basis of holding period for both filers and non-filers in the existing law, proposed to levy tax at the rate of 15% irrespective of the holding period. While the non-filer tax rate is proposed to be increased to 45% under various slabs.
The government believes that this move will help document the economy, thereby eliminating speculation from the housing sector and help in providing affordable housing to the public while also introducing a new capital gains tax regime on securities. Currently, capital gains on securities are taxed on the basis of holding period for both filers and non-filers in existing law.
According to the document, the tax regime on capital gains is being changed, after July 1 it is proposed to increase the tax rate to 15% for filers irrespective of the holding period and 45% for non-filers under various slabs.
