LAHORE: To increase the resources of local governments, the Punjab government has decided to make an amendment in the relevant law; this will translates in to additional revenue of Rs 3 billion annually for the local governments.

This was decided in the first meeting of the Resource Mobilization Committee for the financial year 2022-23, which was chaired by Punjab Finance Minister Makhdoom Hashim Jawan Bakht here on Thursday.

While addressing the meeting, Punjab Finance Minister said that they intend to increase the local governments share in urban immovable property tax from 85 percent to 95 percent, which will enhance the resources of local governments.

“This decision has been taken in view of increasing and consolidating the revenue of local governments. The provincial government is willing to transfer its share of revenue to local governments,” he added.

He urged the district governments to use development funds for improving services delivery at the local level.

He told the meeting that for the collection of property tax in the future a new valuation table will be prepared and added that they are considering making changes in the policy relating to property tax valuation.

Copyright Business Recorder, 2021