ISLAMABAD: A record 9.5% withholding tax has been proposed to be imposed on non-filers selling property worth Rs100 million or more by the Government of Pakistan, as part of the newly proposed Finance Bill 2025-26, ARY News reported.
According to details, the decision to impose withholding tax on non-filers was proposed during the session of the National Assembly’s Standing Committee on Finance, chaired by Naveed Qamar.Federal Board of Revenue (FBR) authorities revealed that the withholding tax rate for non-filers would surge from 8% to 9.5% for high-end property deals. Properties valued below Rs100 million will have 8.5% tax, while those under Rs50 million will incur a 7.5% rate.
A series of rigorous controls has been mentioned in the Finance Bill 2025-26, focusing on non-filers, especially withholding tax on non-filers. The main purpose of the proposal is to expand the tax base and meet International Monetary Fund (IMF) benchmarks.The tax burden on property buyers will be slightly decreased, and the relief will be compensated by transferring the financial responsibility to sellers, mainly those operating outside the formal tax framework.
In addition, the recent lawmaking extends tax exemptions for the former FATA and PATA regions, excluding sales tax, for an additional year
