Adviser to the Prime Minister on Finance and Revenue Shaukat Tarin has assured land developers that the federal government will extend the exemption on wealth reconciliation statement for first-time home buyers beyond Dec 31.
Speaking at the groundbreaking ceremony of Naya Nazimabad Hospital on Sunday, Mr Tarin said it’s “everyone’s right to receive a tax break” when they purchase their first home. “We’ll definitely consider it,” he said after real estate developer Arif Habib demanded in his address that the exemption be extended for first-time home purchases of less than Rs50 million.
Mr Habib acquired Javedan Corporation, a cement factory on the outskirts of Karachi, when it was privatised in 2006 and turned its 1,300 acres of land into a housing project under the name of Naya Nazimabad.
“I won’t ask you to waive the requirement of a wealth reconciliation statement for developers when they buy land for housing projects. They’ve already benefited from quite a few amnesties. But please continue the fixed tax regime and wealth reconciliation exemption for first-time home buyers beyond 2021,” he said, noting that most developers are now getting their payments from allotees through cheques instead of cash.
