Lahore Division

Lahore | ReNews Pakistan Punjab has introduced sweeping reforms to the province’s land record system, significantly reducing the authority of patwaris in property sale and transfer matters. The changes, officially notified by the Board of Revenue, Punjab, aim to improve transparency, curb corruption, and simplify land transactions across the province. Under the new system, patwaris will no longer handle documentation for land sales or transfers. Their role has been redefined to maintaining land records, assisting in revenue collection, and providing judicial records when needed. The responsibility for processing property sale and transfer documentation has shifted to designated Arazi Record Centers (ARCs) or authorised e-Facility Centers, which will oversee verification, Fard-e-Bay issuance, and registration of deeds. This centralisation is intended to remove outdated practices, such as reliance on witnesses or informal procedures, and ensure that all transactions are legally documented and verifiable. Mutations based solely on oral claims are not permitted, except in recognised inheritance cases. The reform was officially notified on 31 December 2025, with implementation taking effect in early January 2026. Buyers and sellers are now required to obtain the Fard-e-Bay from ARCs or e-Facility Centers before proceeding to authorised stamp vendors for deed registration. Once documents are verified, the tehsildar is mandated to approve registration on the same day, provided all requirements are met. This ensures faster, more transparent transactions and reduces opportunities for disputes or malpractice. These reforms mark a significant departure from traditional practices, where patwaris historically initiated mutations and processed property sale documents. By centralising functions at ARCs and e-Facility Centers and holding officials accountable for timely approvals, Punjab seeks to modernise its land administration, align property transactions with digital systems, and improve public trust in land dealings. Early responses indicate that the new system could reduce delays, confusion, and corruption in land transfers. However, its long-term effectiveness will depend on consistent application across all districts. The initiative reflects Punjab’s ongoing commitment to modernising property governance, providing a clearer, user-friendly framework for landowners, buyers, and real estate participants throughout the province.

Lahore | ReNews Pakistan The Punjab Revenue Authority (PRA) Appellate Tribunal has recently ruled that the sale of developed plots is not a taxable service under provincial sales tax, providing clarity and relief for real estate transactions across the province. Developed plots refer to land where infrastructure such as roads, utilities, and basic amenities has already been established. The ruling overturns previous interpretations that treated such transactions as taxable services, which added an extra financial burden on sellers and buyers. * PRA Appellate Tribunal issued the ruling to provide legal clarity * Developed plots are now classified as property sales, not taxable services * Relief affects housing schemes, developers, and individual buyers Previously, the sale of developed plots was considered a service under provincial sales tax rules, requiring sellers to pay additional charges. The tribunal clarified that preparing land with infrastructure does not constitute a separate service; instead, it is part of the property itself. Transfers of immovable property are governed federally, not provincially, making them exempt from provincial sales tax. * Buyers face reduced transaction costs * Sellers benefit from simplified compliance and lower tax obligations * Developers can price plots more competitively, encouraging new projects The ruling also addresses past transactions. Tax charges, surcharges, and penalties applied under the previous interpretation may now be adjusted or refunded. This provides financial relief to property owners who had paid provincial sales tax on developed plots and ensures fairness in property transactions. * Previous tax demands may be adjusted or refunded * Legal clarity strengthens confidence in property transactions * Developers and investors can plan new projects with reduced uncertainty Analysts anticipate that the ruling could stimulate activity in Punjab’s property sector. Removing the provincial sales tax burden may encourage more plot sales, support new housing developments, and contribute to more stable pricing. The decision also reinforces the distinction between services taxed provincially and property transactions regulated federally. * Potential increase in housing development and investment * Simplified pricing and transaction processes for buyers and sellers * Greater clarity in tax obligations across the real estate sector. The Punjab Revenue Authority (PRA) Appellate Tribunal ruling marks a significant step for legal certainty and transparency in the province’s land market. Exempting developed plots from provincial sales tax reduces costs, encourages investment, and simplifies transactions for buyers, sellers, and housing developers throughout Punjab.

Lahore | ReNews Pakistan Pakistan Railways has launched new measures to make its land holdings across the country a more effective source of income. Leasing land and reclaiming illegally occupied areas are being implemented to ensure assets are preserved while increasing non-fare revenue. This strategy is considered a key step for financial stability and better utilisation of railway land. * Land is used for commercial, agricultural, residential, and industrial purposes * Leasing and recovery initiatives focus on balancing financial and operational outcomes * The goal is to increase revenue and optimise land use Recently, around 14,893 acres of land were leased through open competitive processes for private and government use. The leased properties include agricultural land, commercial plots, warehouses, and land near railway tracks. This approach has activated previously idle land, generating income while maintaining ownership. At the same time, actions have been intensified to remove illegal occupations. Approximately 13,972 acres of railway land across the country are reportedly encroached, including urban, semi-urban, agricultural, and commercial areas. The recovery process is being carried out through legal and administrative measures. * Leasing focuses on transparency and competitive allocation * Recovery of encroached land follows legal notices and procedural steps * Social and legal aspects are considered in reclaiming occupied land Legal notices of 14 days have been issued to ensure occupied land is vacated. These measures are carried out with support from railway police and local authorities to maintain a balance between legal enforcement and practical implementation. From a financial perspective, income from land has become a significant source of non-fare revenue. Earnings from passenger and freight services alone are insufficient to cover operational costs, making land leasing a stable long-term revenue solution. * Non-fare revenue is increasingly critical * Long-term leases provide sustainable income * Ownership of land remains with the state Land use by Pakistan Railways also affects urban planning and real estate markets. Decisions on leasing and reclaiming land influence property values, investment trends, and local economies. Overall, the land leasing and recovery strategy represents a fact-based, pragmatic approach to improving revenue, land use efficiency, and transparency. If implemented effectively, it can ensure financial stability while enhancing the management and legal status of railway land.