Prime Minister Imran Khan on Thursday announced further incentives for the construction sector and said that the fixed tax regime for the construction sector which was introduced earlier this year has been extended to Dec 31, 2021.
The premier during the live address to the nation said that he wants to give the construction sector good news for the new year and has extended the fixed tax regime to Dec 31, 2020
He said this had been a big demand from the construction industry which was why they were given an “extra year”. He further said that the projects worth Rs186 billion have been registered with the FBR (Federal Board of Revenue) under the incentives we had given for construction in April.
“The projects that are in the process of registration amount to Rs116bn,” he said.
“We believe that the economic activity that this will generate only in Punjab will be equivalent to Rs1,500bn and will result in 250,000 jobs. Similar projects have also been started in Khyber Pakhtunkhwa, Karachi, and Balochistan.”
Talking about the incentives his government has given so far, the PM said: “We gave packages for low-cost housing for salaried people who were earlier unable to afford houses. Its first success was the foreclosure law. For the first time in Pakistan, banks are financing houses. Banks have vowed to allocate Rs378bn for construction activity till Dec 31, 2021. was addressing the media following a weekly review meeting of the country’s high priority economic sectors.
During the address, the premiere also extended other exemptions, including the exemption from Section 111 of the Income Tax Ordinance, 2001 for builders which empowered tax authorities to inquire about the sources of a person’s assets or cash. He said that this has extended that to June 30, 2021.
Addressing to the addressing the nation PM said that the deadline for projects that were due to be completed by Sept 30, 2023 has been extended for another year. We have also extended the exemption for the law that requires buyers to disclose sources of income to March 31, 2023.”
I am very happy that banks are “far ahead in-house financing”, he said.
He said that for the first time since the 1960s, the PTI-led government is working for industrial development. The government is committed to taking up industries so that Pakistan’s debts can be repaid and further employment opportunities could be generated.