For Govt. if the problem is for the Black Money that being used in the real state business then the best solution is to pass a rule that all the transactions for the property business should be carried out through banks in the form of pay-order etc and it should be verified at the time of property transfer by keeping a xerox copy. It will not only help SBP to gather fee against pay-orders but will also ensure that the money is now the white money even if it was the black money before. I am saying all this because, no doubt, the huge black money is being used in property business but at least in Pakistan; otherwise all this black money would be diverted to the Foreign countries; hence a great loss for banks and for govt. to generate revenue because tax collection will be very weak in the era of slump. So, at least, a first and last chance should be given to make the black money as a white money.
Govt should believe in the concept of Mutualism not in Parasitism because the so called current decision of Govt. is not even referred to the concept of Commensalism.
Above all, if govt. comes up with a solution something like I shared above then the property trading will be kept continued by the big investors and now their money would be the white money during every transaction. I parallel, the banks and govt. will also keep enjoying the benefits. At last but not least, a tiny investor like me can also make hay when sun shines. Regards.
asad replied on Monday, July 18, 2016 06:07 PM
well said sir |
ShahzadQamar® replied on Monday, July 18, 2016 08:41 PM
Not a solution at all. why somebody will carry out bank transaction at market value. Fake low value bank transaction will seal the deal and rest money will be paid by other means. The systematic approach is to increase DC rates at what the property is transferred but Govt does not want to drastically increase DC rates because in that case it shall become highly costly for Govt to purchase land from public for Sharief leage roads as Govt mainly buy on DC rates. |
Arif M® replied on Tuesday, July 19, 2016 04:02 AM
In my understanding, majority of transactions are already done via banking mode. I don't understand how it is a solution for gain tax or market evaluation, white money prove etc. Agree with views of Shahzad. |
Malik replied on Tuesday, July 19, 2016 05:56 AM
The solution is good, if it is implemented by filling up some loop holes. It will help to identify how a filer who shows less income can purcahse costly property. So u catch him and non filer will have to pay bank fee. Payorder system must be the mandatory one without allowing any other option where there is no fee deduction. Now e.g one caror amount through pay order can generate nearly 60000 fee for bank and trading will be kept continued and government will keep enjoying taxes. |
Malik14236 replied on Tuesday, July 19, 2016 05:57 AM
The solution is good, if it is implemented by filling up some loop holes. It will help to identify how a filer who shows less income can purcahse costly property. So u catch him and non filer will have to pay bank fee. Payorder system must be the mandatory one without allowing any other option where there is no fee deduction. Now e.g one caror amount through pay order can generate nearly 60000 fee for bank and trading will be kept continued and government will keep enjoying taxes. |
Ahmed Khan replied on Tuesday, July 19, 2016 03:26 PM
well personally i feel good as the market will take a dip & will then buy but will it be good as a whole , the answer is No, well right now it is good for buyers as the govt will not listen as they want money from any tom ,dick or harry.This is purely my speculation. |
