ISLAMABAD: The business community has categorically rejected the Federal Board of Revenue’s (FBR) decision to substantially increase property valuation rates in the federal capital and announced a protest demonstration and sit-in outside the FBR House on December 22 if the notification was not withdrawn. The unanimous stance was announced by President of the Islamabad Chamber of Commerce and Industry (ICCI), Sardar Tahir Mahmood, while addressing a press conference at the Chamber House on Monday evening. Under the FBR’s notification, official residential and commercial property values in Islamabad have reportedly been increased by up to a maximum of 1,700 percent. According to him, property values increased from 200 percent to a maximum of 1,700 percent. He said DC rates are usually re-valued by a certain percentage, but when FBR officials wake up after years, they introduce unrealistic and unjustified valuation additions. He added that the business community was strongly protesting against this move, stating that property values had been increased without proper assessment. Mahmood warned that the trader community would stage a strong protest and sit-in in front of the FBR on December 22 if the notification was not withdrawn. He said doing business in Pakistan had effectively become a crime, adding that the FBR had overnight raised property valuations in Islamabad by up to 1,700 percent without consulting stakeholders. He noted that as a result, property transfer fees had surged from around Rs 4 million to as high as Rs 10 million. He said that despite extremely unfavourable conditions, the business community was struggling to keep businesses alive. He pointed out that an SRO regarding property value tax was issued in November 2025, following which property transfer fees were increased drastically. Mahmood said that the business community was even ready to hand over properties to the FBR at prices lower than the revised valuations, terming the increase irrational. He said that due to incompetence and poor decision-making, property transfers had come to a halt, resulting in zero tax collection for the national exchequer over the past four days. He further pointed out that the country was already facing a shortage of nearly 20 million housing units. Offering a challenge to FBR officials, he said that the business community was ready to sell properties at half the revised valuation rates, terming the increase as around 50 percent higher than prevailing market prices and completely unacceptable. Sounding the alarm, the ICCI president said such coercive measures would choke trade and industry in the region, leading to massive unemployment, business closures, economic instability, and the relocation of industries to other regions and countries. He added that the sudden, unilateral increase in property valuations in the real estate sector had shaken investor confidence and dealt a severe blow to ease of doing business. Calling for immediate intervention, Mahmood appealed to Prime Minister Shehbaz Sharif and Chief of Defence Forces Field Marshal Asim Munir to take notice of the gravity of the situation and safeguard the country’s broader economic interests. He termed the FBR’s move a conspiracy against the Prime Minister’s tireless efforts to revive industry and create a business-friendly environment, expressing regret that certain elements were attempting to undermine these initiatives. Chairman of the ICCI Founder Group, Sheikh Tariq Sadiq, fully endorsed the decision to hold protests and a sit-in. President of the All Pakistan Anjuman-e-Tajiran, Ajmal Baloch, announced that the entire city would participate in the December 22 protest. He also demanded an end to corruption under the guise of the Point of Sale system imposed on small shopkeepers and called for strict action against those involved. Additionally, he demanded the immediate removal of Federal Finance Minister Muhammad Aurangzeb. Business leader Ahsan Malik also addressed the press conference, voicing serious concerns over the negative impact of the increased valuations on economic activity and questioning why the FBR had kept property valuation revisions in Islamabad pending for the past one and a half years. Earlier, a consultative meeting was held at the ICCI with active participation from representatives of trade, industry, real estate, construction sectors, and residents of the federal capital. Speakers, including Sardar Tahir Mahmood, Sheikh Tariq Sadiq, Chaudhry Abdul Rauf, Kashif Chaudhry, Ajmal Baloch, Israr Mishwani, and others, unanimously termed the notification unilateral, irrational, and anti-business, demanding its immediate withdrawal. They warned that such abrupt measures without meaningful consultation would harm investment, real estate activity, and overall economic confidence, stressing that erosion of trust at this critical juncture could further deepen the country’s economic challenges. Senior Vice President Tahir Ayub, Vice President Irfan Chaudhry, former presidents Mian Akram Farid, Muhammad Ijaz Abbasi, Mian Shaukat Masood, executive committee members, and a large number of trader leaders were also present on the occasion. Trader leader Ajmal Baloch announced that if the valuation table was not withdrawn by the 22nd of the month, traders would stage a protest outside the office of the Chairman of FBR. He said that while the Prime Minister was seeking foreign investment, not a single investor was coming due to such policies. He alleged that the Finance Minister had destroyed the business environment and demanded his immediate removal. Copyright Business Recorder, 2025