In order to bring an end to a general outcry in the aftermath of the recently notified Revised Property Valuation By The Federal Board of Revenue (FBR) whereby increasing manifold the property valuation rates, the federal revenue body has suspended its new valuation table till the mid of January next year and decided to revisit the issues identified by the market stakeholders. The FBR on December 1 had raised the valuation rates to manifold in the 40 major cities of the country to collect more taxes but the market stakeholders had altogether rejected the decision of FBR and termed it excessive and unacceptable. The Senate Standing Committee on Finance and Revenue had also directed the FBR to revise the decision within 15 days after consultation with the stakeholders.
The official statement of the FBR said that all the Chief Commissioners Inland Revenue would constitute Valuation Review Committees (VRCs) in this regard, “It has decided to review and revisit the notified Re-valuated Tables of Immovable Properties by FBR, wherever overvaluation or undervaluation is pointed out by the stakeholder including real estate agents and town developers,” said the official “All chief commissioners Inland Revenue shall constitute valuation review committees (VRCs), and notify them by December 10, 2021.” The official of the apex revenue body also said that all the stakeholders can approach the VRCs by December 15, 2021.
The office memorandum of FBR issued on Tuesday gives detailed instructions for the review of the valuation. It states, “Although, the notified valuations have been arrived at by FBR field formations through a rigorous consultative process and wherefore have largely been well-received, yet the possibility of error cannot be ruled out, and the same cannot be taken as carved in stone. “The official document states that the Chief Commissioners will go through a consultation process with the stakeholders and would engage SBP’s approved valuers for value determination, which could be either more or less than the value notified on December 1, 2021. According to the officials of FBR, the Value Review Committees would look into the matter and give their recommendations by January 10 and forward the same to FBR for notification. The recommendations made by VRCs will be re-notified on January 15 and will come into effect from January 16, 2022.
