The Directorate General of Intelligence and Investigation Inland Revenue, Federal Board of Revenue, has identified all investors, including both buyers and sellers, who have invested in DHA Islamabad, but doing business without obtaining any tax identifier – National Tax Number (NTN). Sources told Business Recorder here on Saturday that the directorate has completed a detailed exercise for taxing investment in the real estate sector-DHA Islamabad.
The agency has provided the details of all such un-documented buyers and sellers to the Commissioner Broadening the Tax-Base FBR House Islamabad for documentation of buyers and sellers in the real estate sector. The department would ensure that the investors must file their wealth statements disclosing details of their investment for documentation. According to the details, the Directorate General I&I-IR has initiated various projects aimed at digging out large scale tax evasion and non-compliance in the different sectors of the economy. One such project is the collection of information about investments in the real estate sector especially in prominent and expensive housing/commercial schemes.
As part of this exercise, information was collected about the investors (both sellers and purchasers) in the DHA Islamabad. The acquired information was cross-matched with the FBR data and cases of the investors not on the tax roll were filtered. List of such investors is available in the soft format for appropriate action by the Commissioner BTB FBR. Following aspects may be given due consideration to ensure proper incidence of tax in these cases: Firstly, the cases should be immediately brought on tax roll by initiating proceedings” under the relevant provisions of law.
Sources said that the sale/purchase value of the plots mentioned in the acquired information seems to be on the lower side and efforts are needed to ascertain the actual sales/purchase value. Enforcing wealth statements and obtaining bank statements could prove beneficial for achieving this end. This could also lay bare other investments/incomes of the investors in the DHA. The information contains particulars of both the sellers and purchasers of the plots and action is required to be initiated against both, sources added.
Copyright Business Recorder, 2013