The Capital Development Authority (CDA) in Islamabad has taken the step to increase property taxes citywide, aiming to bolster revenue collection, according to a report by The News on Saturday. Previously, property taxes were confined to certain sectors, but now a uniform flat rate has been introduced across the entire city.
Under the new taxation scheme, the CDA is extending a 10% concession on taxes to workers affiliated with private and government enterprises registered with the Employees’ Old-Age Benefits Institute. This concession also applies to any arrears paid by September 30 each year.
While exemptions are granted to public hospitals, educational institutions, libraries, and government organizations, semi-government entities are still liable to pay property taxes.
Tax rates vary based on the size and location of the property. For instance, houses spanning 140 square yards in model towns and PHA Kurri Housing Scheme in Sector E-11 will be subject to an annual tax of Rs24,000, while owners of 4,000 square yard houses in the same area will owe Rs200,000 annually.
Similar variations apply to other areas, with taxes ranging from Rs20,000 to Rs1.2 million annually based on factors such as property size and location within housing schemes like DHA, Bahria Town, and Bahria Enclave.
