ISLAMABAD: The Federal Board of Revenue (FBR) has announced a suspension of the newly revised property valuation table for tax assessment in Islamabad, following objections from the business community. The suspension will remain in effect until January 31, 2026, or until a new SRO for fair market values of immovable properties is issued, whichever comes first.
The decision came after the Islamabad Chamber of Commerce and Industry (ICCI) called for a protest on December 22, 2025, outside the FBR House, demanding the withdrawal of the notification. The business community has expressed strong opposition to the new rates, which, according to ICCI, could increase property values by up to 1,700%, resulting in a sharp rise in property transfer fees. Previously, transfer fees ranged between Rs 4 million to Rs 10 million due to the new valuation.
The FBR had initially issued the revised valuation table on December 8, 2025, under SRO 2392/2025. However, following complaints from real estate associations about inflated property values in certain areas, the FBR reviewed the objections and acknowledged their validity. As a result, the revised rates for Islamabad have been put on hold pending a re-evaluation.
Since 2016, FBR has been responsible for determining the fair market prices of properties in major urban centers, with provincial valuations typically handled by district collectors. The revised tables were set to be used for calculating federal taxes such as capital gains tax (CGT) and withholding tax.
The decision to delay the implementation of the new rates comes as a relief to many in the real estate sector, who had voiced concerns over the potential negative impact on property transactions.
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