The Federal Constitutional Court has declared Section 7E of the Income Tax Ordinance null and void, rejecting all appeals filed by the Federal Board of Revenue (FBR) seeking restoration of the provision.
Lt Col Khalid Hussain Laid to Rest After Martyrdom in Balochistan Operation
Section 7E had imposed taxes on immovable properties, including undeveloped and unused plots, triggering widespread legal challenges from citizens and the real estate sector across the country.
Earlier, the Peshawar High Court and Balochistan High Court had ruled the provision unconstitutional, while the Islamabad High Court and Lahore High Court had upheld its validity.
The constitutional court accepted appeals filed by affected citizens against the Islamabad and Lahore High Court verdicts. The reserved judgment, announced by Amin-ud-Din Khan, stated that all actions taken by the FBR under Section 7E would now be considered void.
The ruling is expected to provide significant relief to Pakistan’s real estate sector and property owners affected by the tax provision.
