Lahore: The Punjab Assembly has approved the budget for the financial year 2024-25, highlighting the exemption of residential properties valued up to PKR 5 million from property tax, effective from July 1 onwards.
According to the details, the budget was passed along with the Finance Bill during a session presided over by Speaker Malik Muhammad Ahmad Khan and presented by Provincial Finance Minister Mian Mujtaba Shuja ur Rehman. In its first annual budget, the current government allocated PKR 842 billion for the Annual Development Programme (ADP). The budget includes several modifications to property taxes along with excluding residential real estate up to PKR 5 million from tax.
A 0.07% tax will be levied on the total price of commercial properties. Residential and commercial properties valued between PKR 10 million and PKR 25 million will incur a 0.08% tax, while properties worth over PKR 25 million will have a 0.09% tax.
The budget reflects no new taxes but a restructuring of existing ones to enhance efficiency and revenue generation. This comprehensive financial plan aims to support the development and economic growth of Punjab while providing relief to property owners and facilitating vehicle registrations.
The exemption of residential properties valued up to PKR 5 million from property tax is seen as a significant move to provide relief to low and middle-income families. By reducing the financial burden on these households, the government aims to improve living standards and promote home ownership. This initiative is expected to stimulate the housing market, encouraging more people to invest in residential properties.
In addition to property tax adjustments, the budget includes provisions for the expansion and improvement of infrastructure, healthcare, and education. A substantial portion of the PKR 842 billion ADP has been earmarked for the construction of new roads, hospitals, and schools, as well as the upgrade of existing facilities. These developments are anticipated to create job opportunities and contribute to the overall economic growth of the region.
Provincial Finance Minister Mian Mujtaba Shuja ur Rehman emphasized the government’s commitment to fiscal responsibility and sustainable development. He highlighted that the budget was designed to balance the needs of economic growth with social welfare, ensuring that all segments of society benefit from the province’s resources.
The passage of the budget marks a significant step towards achieving the government’s vision of a prosperous and developed Punjab. By prioritizing key sectors such as infrastructure, healthcare, and education, and by providing tax relief to property owners, the government aims to create a more equitable and thriving society.
