KP to bring construction industry under tax net

The Khyber Pakhtunkhwa (KP) government has decided to bring the construction industry of the province under provincial tax net.

The communication and works (C&W) department has sought guidance from the KP Revenue Authority (KPRA) on the registration and payment of taxes by the institutions and individuals associated with the construction industry.

The KP government believes that the provincial exchequer will earn billions of rupees in revenue annually after the imposition of taxes on construction companies, including importers and exporters associated with the construction sector.

However, the official sources said the issue of registration with KPRA of all the construction companies and individuals associated with the sector is not yet clear.

Therefore, guidance has been sought from KPRA regarding the registration of individuals and entities associated with the construction sector. 

The authority will provide guidance to C&W department in this regard, after which importers, institutions and individuals attached to the construction sector will be directed to follow the standard guidelines.