FBR Revises Property Valuation Rates in Six Cities

The Federal Board of Revenue (FBR) has undertaken a targeted revision of property valuation tables across six major urban centers, adopting a calibrated approach rather than implementing a comprehensive revaluation exercise. The objective of these adjustments is to better align notified property values with prevailing market benchmarks for the purposes of federal taxation.

The revised valuation rates will serve as the basis for determining tax liabilities, including capital gains tax and withholding tax, with a view to reducing the disparity between officially notified values and actual transaction considerations.

The revisions apply to Islamabad, Faisalabad, Gujranwala, Multan, Bahawalpur, and Sialkot, with modifications confined to specific localities and property categories. This selective methodology reflects a departure from uniform, city-wide adjustments, focusing instead on high-value and rapidly developing areas.

In Islamabad, the valuation regime has undergone multiple iterations following stakeholder engagement. An earlier notification issued in December 2025 was suspended, after which revised rates were introduced in February 2026. Subsequently, through a notification dated April 16, further reductions ranging from 10% to 35% were granted in selected sectors, effectively recalibrating valuation benchmarks in the federal capital.

In Multan, revisions were implemented through amendments to an existing 2024 notification, with adjustments limited to designated localities while preserving the broader valuation framework. A similar approach was adopted in Faisalabad, where updates were confined to identified areas through modifications to existing valuation tables.

In Bahawalpur, revised valuations have been notified for specific developments, including DHA Bahawalpur and the Askari Housing Scheme. Likewise, in Gujranwala, adjustments have been introduced for defence housing schemes, Askari developments, and premium residential projects such as Palm City.

In Sialkot, the revisions are limited to selected entries, involving updated valuation rates for residential plots and constructed properties in designated areas.

According to officials, the exercise is intended to modernize valuation benchmarks in key urban and high-growth zones while maintaining consistency in the underlying valuation methodology, thereby improving the integrity and applicability of the tax base.