Islamabad Laws & Regulations

G-13 and G-14 Property Tax: FGEHA or MCI, Who Do You Pay?

Property tax in Islamabad's G-13 and G-14: why FGEHA and MCI both send bills, what each side says, what the courts have ruled, and how to protect yourself.

Construction cranes over sector G-13, Islamabad, with the Margalla Hills behind
Photo: M. Ahabb Sheraz / Wikimedia Commons, CC BY-SA 4.0

In short

FGEHA says it owns G-13 and G-14 and provides municipal services, so it should collect property tax. Residents say they have paid FGEHA for about six years. MCI says the Islamabad local government law lets it levy property tax, and that services are paid for through other charges. No published court ruling settling this dispute was found. FGEHA says the matter is in litigation. Separately, MCI said in August that FY2026-27 bills would come with a 5% early-payment rebate, counted from the bill's issue date. Keep every bill and receipt, check any notice with the office that sent it, and settle the position before you buy or sell.

Property tax in Islamabad usually means one bill from one office. In sectors G-13 and G-14 it now means two. Residents told Dawn on 30 September 2026 that both the Federal Government Employees Housing Authority (FGEHA) and the Metropolitan Corporation Islamabad (MCI) are "simultaneously demanding property taxes from them". This post sets out what each side says, what the courts have decided so far, and practical steps if you own or are buying in these sectors. It is not legal advice.

Why two bodies are billing the same homes

G-13 and G-14 were developed about two decades ago by the Federal Government Employees Housing Foundation. According to Dawn, the foundation became an authority in 2020 and then "started collecting property tax from residents". Before that, residents say, the CDA collected the tax.

MCI was set up in 2015-16 as an offshoot of the CDA, and the two share a revenue directorate. Dawn reports that residents now describe "a turf war" between the CDA side and FGEHA over who collects.

FGEHA owns six sectors, according to Dawn: G-13 and G-14 (developed), F-14 and F-15 (under development), and F-12 and G-12 (undeveloped). The rest of Islamabad's sectors belong mostly to the CDA, where MCI's billing is not in dispute.

What each side says

FGEHA. An FGEHA officer, Faiz Umer Sial, told Dawn that both sectors belong to the authority and "we provide all types of municipal services and thus we are supposed to collect taxes". He added that "there is a litigation in this regard and FGEHA is pleading this case vigorously."

MCI. MCI's director of revenue, Kashif Niaz, told Dawn that the "Local Government Act empowers MCI to levy property taxes". He said services have nothing to do with property tax, because other charges are levied for them.

Residents. Ambassador Javed Hafeez, a resident since 2010, called it "avoidable duplication" causing "confusion and anxiety". Others said they were "confused and bewildered", complained about water shortages and FGEHA services, and said that senior citizens were tired of shuttling between offices and courts.

What the courts have said

There are two kinds of claims here, and it helps to separate them.

Claims about G-13 and G-14 specifically. Residents told Dawn that the Islamabad High Court and the Wafaqi Mohtasib (Federal Ombudsman) had both accepted that FGEHA could collect the tax because it performs municipal functions there. Dawn did not cite a case, and we could not find a published judgment or ombudsman decision. MCI's revenue director said, "as per his knowledge", that the ombudsman had let residents choose whether to pay MCI or FGEHA. Treat both accounts as unconfirmed until you see the order.

Rulings on MCI's property tax in general. These are published:

  • In December 2020, the IHC held that under the ICT Local Government Act 2015 "only the MCI has the legal authority to levy property tax", and struck down a 2018 CDA notification (as reported by ProPakistani).
  • In September 2025, the IHC annulled MCI's property tax notification of 23 January 2024. ProPakistani reported that MCI "can only collect property tax at pre-2018 rates until a fresh notification is issued in full compliance with the law."
  • On 17 June 2026, APP reported that the IHC suspended an individual MCI bill in a petition challenging the March 2024 gazette notification and an April 2026 bill. The hearing was adjourned. We could not confirm the current status of that case.

None of these rulings deals with FGEHA's claim over G-13 and G-14.

FY2026-27 bills and the rebate

On 30 August 2026, MCI said it would issue FY2026-27 property tax bills "within 10 working days" while its billing system was upgraded (reported by APP and Minute Mirror on 31 August). It said the additional 5% rebate for early payment "will remain applicable from the date of issuance of the bill until its due date."

MCI's helplines, as published in that statement, are 9252823 and 9253057 for residential property and 9252498 and 9252461 for commercial property. It advised using only official MCI channels.

Other FGEHA dues are a separate matter

On 29 September 2026, ProPakistani reported that FGEHA gave residents of G-13 and G-14/4 a final 15 days to clear outstanding occupancy, water and conservancy charges, warning of "suspension of ownership rights" for non-payment. Those are service charges, not property tax. Even if the tax question is unresolved, unpaid service charges can still cause problems when you transfer the property.

Prices are indicative as of October 2026.

What owners and buyers can do

  1. Keep every document. File each bill, notice and payment receipt from both FGEHA and MCI. If the dispute is settled later, these show what you paid and to whom.
  2. Check before you pay. Confirm any bill or notice with the office that issued it, using its official contact details, not a number printed on a forwarded message.
  3. Ask for the order. If either side or a neighbour says a court or the ombudsman has ruled, ask for the case number and a copy before acting on it.
  4. Clear service charges. Occupancy, water and conservancy dues to FGEHA are separate from the tax dispute.
  5. If you are buying, ask the seller for the last few years' tax receipts from both bodies and FGEHA's dues clearance, and write into the sale agreement who pays any arrears that turn up later.
  6. Get advice for disputed amounts. If you receive a demand you think is wrong, a tax lawyer can tell you whether to pay under protest, apply to the ombudsman, or join existing litigation.

For buying checks in the capital, see our guide to CDA approved housing societies in Islamabad and more Islamabad property guides.

Frequently asked questions

Who collects property tax in G-13 and G-14?

Both FGEHA and MCI are currently demanding it, according to Dawn (30 September 2026). FGEHA says it owns the sectors and provides services; MCI says the local government law gives it the power. The dispute is in litigation.

Has a court decided whether FGEHA can collect the tax?

Residents say the IHC and the Federal Ombudsman sided with FGEHA, but no published order has been found. The IHC did rule in 2020 that only MCI can levy property tax under the 2015 local government law, without addressing FGEHA's sectors.

Do I get a rebate for paying MCI early in FY2026-27?

MCI said the additional 5% early-payment rebate applies from the date the bill is issued until its due date.

Are FGEHA's water and conservancy charges the same as property tax?

No. FGEHA's 29 September notice was about occupancy, water and conservancy charges. Those are separate from the property tax dispute.

Should I pay both bills?

That is a decision to take with proper advice. At minimum, keep records of anything you pay, check each demand with the issuing office, and ask for any court or ombudsman order in writing.

Sources

  1. Dawn: Islamabad's G-13, G-14 residents in a fix as FGEHA, MCI seek taxes (30 September 2026) dawn.com
  2. Bloom Pakistan: G-13, G-14 residents face double property tax demand (30 September 2026) bloompakistan.com
  3. ProPakistani: FGEHA gives residents of 2 Islamabad sectors 15 days to clear dues (29 September 2026) propakistani.pk
  4. APP: MCI to issue property tax bills within 10 working days (31 August 2026) app.com.pk
  5. Minute Mirror: MCI to issue 2026-27 property tax bills within 10 days (31 August 2026) minutemirror.com.pk
  6. APP: IHC suspends MCI property tax bill (17 June 2026) app.com.pk
  7. ProPakistani: IHC strikes down property tax notification (25 September 2025) propakistani.pk

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