Punjab to Introduce New Tax on Residential Properties

The Punjab government is set to introduce a new property tax on residential homes, adding to the financial pressures faced by residents. According to a private news channel, the Punjab Excise and Taxation Department has been directed to compile a detailed list of all residential properties in the province by next month. This new tax will apply to homes that are 5 marlas or larger, with rates based on the assessed value of the property. Properties valued over Rs. 5 million will fall under this tax bracket. The move is part of the government’s efforts to increase revenue through property-related taxes. It is also worth noting that the Punjab cabinet’s standing committee has already approved a garbage tax for both residential and commercial properties across the province. In rural areas, the garbage tax rates are Rs. 20 per month for a 5-marla house, Rs. 40 for a 10-marla house, and Rs. 300 to Rs. 1,000 for businesses of varying sizes. In urban areas, the rates range from Rs. 300 for a 5-marla house to Rs. 5,000 for houses larger than 1 kanal. This new property tax, along with the recently approved garbage tax, reflects the government’s strategy to generate additional revenue from property owners in both rural and urban settings.