The taxable profit of any individual receiving income from the construction and sale of residential and commercial structures will be subject to a charge by the federal government.
The development and sale of residential, commercial, or other plots, as well as the building and sale of residential, commercial, or other buildings, will also be subject to the tax, as per the modified Finance Bill.
A taxable profit of 10% of gross proceeds from the “construction and sale of residential, commercial, or other buildings” has been recommended by the government.
Additionally, 15% of gross receipts from the “development and sale of residential commercial or other plots” and 12% of gross receipts from the aforementioned enterprises will be subject to a taxable profit.The government has made it clear that the provisions of the section only apply to revenue that results from the gross receipts of the activities included in the enterprises described above. They do not apply to income derived from any other source or falling under any other category.
