ISLAMABAD – Pakistan’s parliament passed budget for FY25 despite opposition walkout, with several new taxes imposed on property sale purchases and transfers.
The tax rates have been set for the allotment or transfer of commercial property and the initial allotment or first transfer of open plots or residential property by any developer or builder, in accordance with the methods, conditions, and restrictions outlined by the board.
New Duty Rates on Property Transfers
For buyers listed on the active taxpayer list under section 181A of the Income Tax Ordinance, 2001, at the time of property acquisition, the duty rate stands at three percent of total amount.’
| Taxpayer Status | Duty Rate on Allotment or Transfer of Commercial Property |
| Active taxpayer | 3% of the gross amount |
| Filed income tax return by due date but not on ATL | 5% of the gross amount |
| Not appearing on ATL | 7% of the gross amount |
For buyers who have not filed their income tax return by the due date specified in Rule 1A of the Tenth Schedule to the Income Tax Ordinance, 2001, the duty rate is five percent of the total consideration amount.
If the buyer is not on the active taxpayer list under section 181A of the Income Tax Ordinance, 2001, at the time of property acquisition, the duty rate is seven percent of the total consideration amount.
