How is capital gains tax calculated on selling shares in Pakistan?

Question

I sold shares through the Pakistan Stock Exchange this year. How do I calculate and pay CGT, and does the broker deduct it automatically?

Answer 1

Capital Gains Tax (CGT) on shares sold through the Pakistan Stock Exchange is calculated on the difference between the sale price and purchase cost of the shares.
The Pakistan Stock Exchange (PSX) calculates CGT for all trades executed through registered brokers.
Your broker reports these transactions to the National Clearing Company of Pakistan Limited (NCCPL).
The NCCPL deducts CGT automatically from your account on behalf of the FBR each month.
You can view your CGT details and statements by logging into the NCCPL CGT system.

Comments

The rate of CGT (capital gains tax) varies according to the holding period of the shares being sold.
Losses on sale of shares are off set against gains and can be carried forward if there is no gain in the tax year.