Capital value tax imposed on farmhouses in Islamabad

ISLAMABAD: Capital value tax has been imposed on farmhouses in Islamabad, as per the Finance Bill 25-2024 approved by the National Assembly. Farmhouses spanning from 2 to 4 thousand square yards will face a capital value tax of Rs500,000.

Those exceeding 4 thousand square yards will be taxed at Rs1 million. Residential houses ranging from 1 to 2 thousand square yards will also incur a capital value tax of Rs1 million.

Homes exceeding 2 thousand square yards will be subject to a capital value tax of Rs1.5 million according to the Finance Bill.

Read more: Federal budget — what items will become more expensive?

The National Assembly has approved the federal budget for the next fiscal year 2024-25, set to take effect from July 1.

According to the budget, 10 per cent sales tax has been imposed on animal feed and other solid residues, including soybeans, juices, poultry feed, cattle feed, and sunflower seed feed.

Similarly, an 18 per cent sales tax has been imposed on imported mobile phones worth less than $500, while a 25 per cent sales tax will apply to those worth more than $500.