The federal government has decided to take measures for the documentation of land developers.
According to the budget document, the land developer before filing an application for approval to the regulator is proposed to be registered with the Federal Board of Revenue (FBR) and also having files prescribed documents.
At the time of approval of the project by the regulator, the regulator will collect 7.5 percent of FMU as advance tax. The developer after approval and within one month will integrate electronically with FBR and obtain a QR code for all transactions of files sales, transfers, payments, etc.
FBR electronic portal for pre-upload of initial and subsequent sale, purchase or transfer, payment of installment, etc. based on a unique QR Code to be printed on the document. The existing schemes will also be integrated.
The structured penalty of Rs. 10 million to Rs. 100 million for non-compliance is proposed along with the sealing of business premises/sales office/development site for up to 6 months. The land developer will have to face prosecution in case of repeated default.