Excise takes over tax collection in Cantt areas

The Excise, Taxation, and Narcotics Control Department has taken full control over the collection of professional tax and luxury tax in the cantonment areas, issuing notices to 10,000 small and large shopkeepers in various markets and commercial centres of Rawalpindi Cantt and Chaklala Cantt to pay professional tax.

Additionally, 312 owners of houses measuring two kanals or more in the two cantonment areas have been issued notices to pay luxury tax. The shopkeepers have been instructed to pay professional tax ranging from Rs2,000 to Rs10,000, while the owners of two-kanal houses have been asked to pay Rs200,000 and those with larger properties will be required to pay Rs300,000 in luxury tax.

The notices for both taxes must be settled by Eidul Fitr, with instructions to pay within 10 to 15 days. Previously, the collection of these taxes was handled by the Cantonment Board administration; however, the Supreme Court (SC) directed the cessation of tax collection by the Cantonment Boards and transferred the entire system to the Excise and Taxation Department.

Following this directive, the Excise Department has launched operations for the collection of professional and luxury taxes in all eight cantonment boards of the Rawalpindi Division, including Rawalpindi, Chaklala, Wah, Taxila, Kamra, Murree, Jehlum, and Mangla.

The Excise Department expects to generate millions of rupees in additional revenue through this process. According to an official, the collection of professional and luxury taxes has been expedited, and a separate counter has been established for this purpose.

After Eid, a grand operation will be launched to enforce the collection of both taxes, which will include arrests and the sealing of property units, he adds.