Every property transfer in Pakistan carries federal advance tax: section 236K on the buyer and section 236C on the seller. The Finance Act 2026 replaced the old value-based slabs for filers with flat rates from 1 July 2026, 1.25% for buyers and 2.75% for sellers, while non-filers still pay far higher banded rates. This calculator shows both sides and the cost of not being on the Active Taxpayer List.
Figures checked by Muhammad Ahmad against FBR Withholding Income Tax Rate Card (updated to 30 June 2026, Finance Act 2026) and FBR Active Taxpayer List. Prices and rules change, so confirm with the official source before relying on them. How we check the math
How it works
The value for tax is usually the higher of the price in the deed and the FBR valuation for the area. Using the higher figure avoids a shortfall demand later.
Filers on the Active Taxpayer List pay 1.25% of that value when buying (236K) and 2.75% when selling (236C), whatever the property's price. For filers both are advance taxes: they are adjusted against the year's income tax when you file your return.
Non-filers pay far more. Buyers pay 10.5% on property up to Rs 50 million, 14.5% from Rs 50 million to Rs 100 million and 18.5% above that; sellers pay 11.5% at any value. These are FBR's published rates for tax year 2027.
Provincial charges such as stamp duty, capital value tax and registration fees, capital gains tax on the eventual sale, and section 7E deemed income on property you hold aren't included.
A worked example
On a Rs 30,000,000 property, a filer buyer pays Rs 375,000 under 236K and a filer seller Rs 825,000 under 236C. A non-filer buyer pays 10.5%, Rs 3,150,000, which is Rs 2,775,000 more than a filer, and a non-filer seller pays 11.5%, Rs 3,450,000. On most transactions, filing a return first costs far less than the non-filer premium.
Questions people ask
What is the 236K rate for filers in 2026-27?
A flat 1.25% of the property value for buyers on the Active Taxpayer List, from 1 July 2026 under the Finance Act 2026.
What is the 236C rate for filers in 2026-27?
A flat 2.75% of the sale value for sellers on the Active Taxpayer List, replacing the earlier value-based slabs.
Is 236K or 236C tax refundable?
For filers they are advance, adjustable taxes: you claim them against your annual income tax liability in your return. For non-filers they are usually a final cost.
Is there still a late-filer rate?
Published summaries of the Finance Act 2026 report that the separate late-filer rate was withdrawn. If you are not active on the ATL at transfer, expect non-filer rates. Check your status before the transfer date.
Do overseas Pakistanis pay filer rates?
Holders of a valid NICOP or Pakistan Origin Card have been allowed filer-equivalent rates under earlier Finance Acts, subject to conditions. Confirm the documents your transfer office needs.