The Government of Punjab has issued a notification abolishing stamp duty on property transfers resulting from corporate mergers in the province, marking a significant relief for the corporate sector.
The notification was issued following a decision by the Lahore High Court, Rawalpindi Bench.
According to the notification, merger schemes approved by the court and the Securities and Exchange Commission of Pakistan (SECP) will be exempt from stamp duty. In cases of amalgamation under the Companies Act, property transfers will qualify for exemption, and no stamp duty will be imposed on transfer of assets resulting from such mergers.
Officials said the move is expected to remove a longstanding financial hurdle in corporate restructuring and facilitate ease of doing business in the province.
Meanwhile, the SECP welcomed the decision, stating that the measure would promote investment and enhance business activities. The regulator expressed gratitude to the court and the Punjab government, noting that the removal of stamp duty would eliminate a major obstacle in corporate restructuring and support economic growth.
