Property Guide

    Tax on Property in Pakistan 2026

    This page breaks down the main taxes around buying, selling, and holding property in Pakistan, with a strong focus on filer status, CGT timing, and transaction planning.

    Quick facts before a property deal

    Buyer pain point

    Non-filer advance tax can be much higher

    Seller pain point

    CGT depends heavily on purchase date and holding period

    Important valuation rule

    Taxes often use higher of declared value or notified basis

    Provincial variation

    Stamp duty and fees vary by province

    Best first check

    Confirm filer status before transaction

    Best next tool

    Use property CGT and WHT calculators together

    Buyer taxes

    TaxFilerNon-FilerCalculated on
    Advance Tax (Section 236K)3%12%Higher of FBR value or sale price
    Stamp Duty3-5%3-5%Provincial valuation basis
    CVT2%2%Relevant notified value
    Registration and related feesVariesVariesAuthority schedule

    Seller taxes

    TaxFilerNon-FilerCalculated on
    Advance Tax (Section 236C)3%6%Higher of FBR value or sale price
    Capital Gains TaxDepends on acquisition date and holding periodDepends on acquisition date and holding periodGain framework
    Section 7E contextMay apply separatelyMay apply separatelyAnnual property holding rules

    Capital Gains Tax rates by holding period

    These reference rates are useful for older acquisition-date frameworks. Always confirm which regime applies to your purchase date before relying on a holding-period table.

    Holding PeriodCGT Rate
    Up to 1 year15%
    1 to 2 years12.5%
    2 to 3 years10%
    3 to 4 years7.5%
    4 to 5 years5%
    5 to 6 years2.5%
    Over 6 years0%
    FAQ

    Frequently asked questions

    How much tax do I pay when buying property in Pakistan?+

    Buyers can face advance tax, stamp duty, CVT, and registration-related charges. The final burden depends on filer status, province, and transaction value.

    How much tax do I pay when selling property in Pakistan?+

    Sellers commonly review advance tax under Section 236C and any applicable capital gains tax based on acquisition date and holding period.

    What is Section 7E deemed income tax on property?+

    Section 7E is a separate annual property-tax concept tied to deemed income treatment and should be reviewed independently from a sale transaction.

    What is the difference between DC rate and FBR value?+

    They are different valuation references used by provincial and federal systems. Your actual tax result can depend on which notified basis applies and whether sale price is higher.

    Can non-filers buy property in Pakistan?+

    Yes, but non-filers can face materially higher advance tax and related friction compared with filers.