ISLAMABAD: The Municipal Corporation of Islamabad (MCI) has notified new increased rates of property tax for commercial properties, semi-commercial properties, marquees, petrol pumps and private educational institutions.
For owners of buildings being used by private educational institutions, the MCI has imposed Rs7.5 per square yard and in case of covered area, a property tax of Rs18 per square foot.
Similarly, the MCI has imposed Rs10 per square yard on plots and Rs15 square foot on covered area of commercial property located on either side of IJP Road.
The MCI has also imposed Rs180 per square yard property tax on plots of petrol pumps and CNG stations, private hospitals Rs12 per square yard on plots and Rs22 per square foot on covered area, plots of marquees and marriage halls Rs10 per square yard on plot and Rs20 per square foot on covered area.
Similarly, the property tax on commercial plots up to 1,000 square yards on Islamabad Expressway (Faizabad to Rawat), will be Rs7 per square yard on plot and Rs11 per square foot on covered area, in case of hotels on plot over 10,000 square yards, the property tax rate will be Rs30 per square yards and Rs44 per square foot on covered area.
The property tax on industrial plots, cold storage, timber fruit and vegetable market will be Rs7 per square yards and Rs12 per foot on covered area.
The new rate of property tax is still less than property tax which is being charged from owners of commercial properties in the Punjab province. The Excise and Taxation Department of Punjab imposes Rs100 per square foot on properties’ owners who receive rent of commercial property.
However, there is at least 50 percent discount on property tax if commercial property is in use of the owner himself.