The Punjab government has amended the law governing private educational institutions to bring home-based tuition centers, coaching centers and academies operating in residential areas under the tax regime.

Under the Punjab Private Educational Institutions Act 2026, tuition centers operating from homes, including those run by women and girls, along with small coaching centers and neighborhood academies, will now be formally classified as private educational institutions.

The amendment means properties used by these institutions will fall under the property tax regime. Their electricity and water connections will also be treated as commercial.

Small private schools operating from residential areas will similarly be brought into the tax net, whether they are registered or unregistered.

The move has faced opposition from the All Pakistan Private Schools Colleges Association, which has called on the Punjab government to withdraw the amendment.

The association said the changes could particularly affect women and girls who teach a small number of children from their homes as a way to supplement their household income.

It argued that treating small home-based tuition centers as commercial establishments would increase property taxes and utility costs and potentially add to the financial burden on low-income families.

The association has urged the provincial government to reconsider commercial taxes and property-related charges on home-based tuition centers and withdraw the amendment.