Pakistan Govt’s New Real Estate Rules: Fines and Jail for Violations

The government is making new rules to stop tax evasion and illegal property deals. A special authority, called the Real Estate Regulatory Authority, will be set up to check these issues. Under this law, people breaking the rules can be fined up to Rs. 1 million or even sent to prison for up to three years.

If someone does real estate business without registration, they will have to pay a fine between Rs. 50,000 and Rs. 500,000. Real estate agents who give false information may be fined between Rs. 200,000 and Rs. 500,000. If a property is transferred illegally, the fine could be Rs. 500,000 to Rs. 1 million. Also, if someone does not submit the required documents, they might be fined Rs. 50,000 to Rs. 200,000.

These strict rules are being made because the International Monetary Fund (IMF) has asked Pakistan to improve tax collection. The government is now having meetings with the IMF to discuss these matters. These discussions will continue for two weeks, after which the IMF team will send its recommendations to the Executive Board.

A final decision about releasing the next $1.1 billion loan will be made by the end of March or early April. The government may also take steps to increase electricity prices and make other changes in the economy.

With these new rules, the government wants to make the real estate sector more transparent and ensure that everyone follows the law. This will help reduce tax fraud and illegal activities, leading to a stronger economy for the country.