The Federal Board of Revenue (FBR) has announced new tax measures aimed at enhancing revenue collection and encouraging tax compliance. The changes primarily affect non-filers and individuals involved in property transactions.
Non-filers withdrawing more than Rs. 50,000 per day from their bank accounts will now face a 0.8% withholding tax, up from the previous 0.6%.
This tax will be deducted in advance by all banking institutions and will be adjustable later.
The increased rate applies only to individuals not included in the Active Taxpayers List (ATL).
Changes in Property Transaction Taxes
For Buyers (Relief Measures):
Up to Rs. 50 million property: Tax rate reduced from 3% to 1.5%
Up to Rs. 100 million property: Tax rate reduced from 3.5% to 2%
Over Rs. 100 million property: Tax rate reduced from 4% to 2.5%
This reduction aims to ease the burden on buyers and stimulate the real estate market.
For Sellers (Capital Gain Adjustment):
Withholding tax has been increased by 1.5% across all slabs for those selling or transferring immovable property.
This adjustment is aimed at covering the capital gains from property sales more accurately.
Legal Adjustments
Revisions have been made to Section 236C and 236K of the Income Tax Ordinance, which govern taxes on property transactions and cash withdrawals.
