Federal Tax Ombudsman (FTO) Dr. Asif Mahmood Jah assured the Association of Builders and Developers (ABAD) that their tax-related grievances would be resolved on a priority basis. Speaking during his visit to the ABAD House on Tuesday, he reaffirmed the FTO’s commitment to eliminating irregularities in the tax system, which he described as a core mandate of his office.
Dr. Jah emphasized the economic importance of the construction sector, acknowledging that ABAD members contribute significantly to national development. He noted that their activities not only generate employment for millions but also add trillions of rupees to the national treasury through taxes. To address industry concerns effectively, he announced that a representative nominated by ABAD would be appointed as an advisor to the FTO.
Encouraging ABAD members to file their complaints, Dr. Jah assured prompt resolution and proper implementation. Highlighting the FTO’s commitment to respecting taxpayers, he revealed that of the 8,963 complaints received in 2023, 8,000 had been successfully resolved. “Taxpayers are the backbone of the country, and we are dedicated to addressing their grievances with dignity,” he said.
During the meeting, ABAD Chairman Hassan Bakhshi criticized the Federal Board of Revenue’s (FBR) monitoring policies. He expressed concerns that repeated summons to builders and developers were harming the construction industry, which plays a critical role in Pakistan’s economy. Citing a State Bank of Pakistan report, he emphasized that the sector provides extensive employment opportunities and highlighted the significant contribution of overseas Pakistanis, who remit $30 billion annually—54% of which is invested in real estate and construction.
Bakhshi also voiced frustration over the growing tax burden on property transactions. He noted that the FBR already collects capital gains and income taxes during property lease and registration and has now imposed a federal excise duty on these transactions. He warned that such measures discourage foreign investors, ultimately impacting the national economy.
In response to the concerns, Dr. Jah encouraged ABAD members to submit their tax issues in writing for timely resolution. He assured them that the FTO would work diligently to address their grievances, reinforcing the commitment to creating a fair and efficient tax environment for the construction sector.
