A separate block of taxation of capital gain on the sale of immoveable property is available under the Ordinance. The gain arising on the disposal of immovable property for more than 4 years, is not taxable. The capital gain arising on the disposal of immovable properties is taxable to extent of 100%, 75%, 50% and 25%, if property is sold within 1, 2, 3 and 4 years respectively. The gain so calculated on the basis of holding period was taxable at the rates ranging from 2.5% to 10%. Now these rates have been slightly enhanced through changes in Division VIII of Part I of First schedule of the Ordinance, however, the holding period concession remains intact.
