FBR Increases Property Tax For Buyers and Sellers

The Federal Board of Revenue (FBR) has increased the Withholding Tax (WHT) for both buyers and sellers of immovable property in line with the new Finance Act 2023, which has become applicable from 1st July 2023.

Property Tax, WHT Immovable Property, Tax Property, Withholding Tax Property — FBR Increases WHT on Immovable Property

According to the details, the rate of Withholding Tax (WHT) under Sections 236C (Advance Tax on Sale or Transfer of Immovable Property) and 236K (Advance Tax on Purchase or Transfer of Immovable Property) have been increased with the new Budget 2023-24.

The new WHT on sale or transfer of immovable property for Filers has been increased from 2 percent to 3 percent, while Non-Filers will now have to pay 6 percent WHT, which is up from 4 percent.

Meanwhile, the rate of Withholding Tax (WHT) on purchase of of immovable property has been increased from 2 percent to 3 percent for Filers, while Non-Filers will now be charged 10.5 percent WHT on purchase of an immovable property, which is up from 7 percent.

Read more: NEPRA Increases Power Tariff.

Follow INCPAK on Facebook / Twitter / Instagram for updates.