Excise, property owners in deadlock

RAWALPINDI:

The Director General of the Excise, Taxation and Narcotics Control Department has taken strict notice of a 56 per cent shortfall in property tax collection during the first seven months of the 2025–26 financial year, seeking performance reports from area Inspectors and Excise and Taxation Officers (ETOs).

During January, Excise Inspectors and field staff sealed 514 defaulting property units as part of enforcement operations and recovered a total of Rs11.6 million in outstanding taxes. The sealed properties will not be de-sealed until full payment of dues is made. Several defaulters have, however, obtained stay orders from the courts against the sealing actions.

The DG has warned that officers demonstrating poor performance will face transfers and show-cause notices. The department had been directed to achieve at least 75 per cent of the property tax target across all six districts of Rawalpindi Division by January 31. However, the department failed to reach even 50 per cent of the assigned target.

In contrast, the Motor Branch has achieved 82 per cent of its revenue target so far in the current financial year, with strong prospects of exceeding the prescribed target.

Significant shortfalls in property tax collection have also been recorded in Murree, Jhelum and Chakwal districts. Taxpayers have expressed strong resentment over the revised property tax bills.