Buying Property Tax for overseas Pakistanis

Question

I am a non-resident/overseas Pakistani, and an Active filler in Pakistan as well.
I bought an apartment in Karachi and now want to transfer the lease in my name.
The fair value of the property is Rs 1 crore 60 lac.

My question is:

Is there any exemption of a reduced tax rate for overseas Pakistanis?

What types of tax do I have to pay, and when (at which stages)?

Thanks.

Answer 1

There is no exemption for overseas Pakistanis in taxes while purchasing or selling properties in Pakistan. However, overseas Pakistanies are not required to be active and taxes at the rate of active tax-filers. 

The Federal Board of Revenue (FBR) now allows streamlined tax challan generation and reduced tax rates for non-resident individuals. Here’s a comprehensive step-by-step guide to help you generate an online property tax challan and benefit from the latest tax relief initiatives.

Property buyers in Pakistan are subject to pay advance tax and other fees depends on type and value of properties. It should be noted that payments exceeding PKR 5 million for property transactions must be made through banking channels as per section 75A.

Comments

Thanks, Hayat, for the quick reply.