The Federal Board of Revenue (FBR) has raised valuation rates for residential and commercial properties in the Islamabad Capital Territory by 15 to 75 percent, while excluding the Defence Housing Authority (DHA) from the new tables. This change has been implemented through SRO 163(I)/2026, superseding the previous notification SRO 2392(I)/2025. The revised tables were prepared after consultations with real estate stakeholders to align official rates closer to market values.
Under the new notification, the superstructure value for buildings up to five years old has been set at Rs 3,000 per square foot. The increase will lead to higher capital gains tax, withholding tax, and stamp duty in non-DHA areas, potentially making property transactions more expensive. DHA valuations will remain as per previous rates, while a separate notification is expected for Rawalpindi. Experts believe this step will broaden the tax net but may create temporary pressure on the real estate market. Citizens have given a mixed response to the development.
