The Federal Board of Revenue (FBR) has announced plans to auction 527 kanals and 10 marlas of land in Tehsil Murree owned by Bahria Town as part of ongoing efforts to recover billions in unpaid taxes. The auction is scheduled for February 16, 2026, under enforcement measures linked to the company’s outstanding tax liabilities.
The FBR’s latest move forms part of a broader crackdown to recover approximately Rs26 billion from Bahria Town in outstanding tax dues. Earlier auctions have already been held, including a high-value plot on Park Road in Islamabad, which generated Rs2.05 billion for the national exchequer.
According to the tax authority, the government has also issued public notices for the upcoming auction of Bahria Town Tower land in Karachi, indicating that the recovery actions will span multiple cities across Pakistan. The FBR has prohibited any sale, purchase or transfer of seized Bahria Town properties in Karachi without prior approval from the tax body, warning that unauthorized transactions will be treated as invalid.
The land scheduled for auction in Murree was previously attached by the FBR in late 2025 as part of the revenue collection process. The plot, identified as 527K-10M at Mouza Kathar Sharqi, Angori Road, was attached due to a default on tax liabilities amounting to Rs26.46 billion, according to earlier tax notices.
Bahria Town’s development footprint extends across Pakistan, including major gated communities in the Twin Cities, Lahore and Karachi. The group is a privately-owned company led by founder Malik Riaz and is known for large-scale real estate projects featuring residential, commercial, and hospitality developments.
Despite its major presence, the company has faced legal and financial challenges in recent years. The FBR and other government bodies have intensified enforcement actions against the developer for both tax and accountability cases. Some observers note that Bahria Town’s asset auctions follow a string of legal actions, including auction sales conducted by the National Accountability Bureau (NAB) in 2025 to recover defaulted funds via court-approved plea bargain agreements tied to properties in Rawalpindi and Islamabad.
The FBR has invited objections or claims related to the seized properties, which can be submitted to the Large Taxpayer Office in Islamabad under existing tax laws. Authorities have emphasized that all such claims will be reviewed before auctions proceed, giving stakeholders an opportunity to present their cases.
Real estate market analysts say the auction could draw interest from local and institutional investors, particularly given Murree’s appeal as a hilly tourist destination with strong residential and commercial potential. However, uncertainties remain around legal clearances and the property’s valuation once tax dues and legal encumbrances are factored in.
The FBR’s aggressive auction strategy marks one of the most significant tax-recovery drives against a private real estate giant in recent Pakistani history. As the process unfolds, it could set a precedent for how tax enforcement intersects with high-value property assets in the country.
