| Islamabad: The Federal Board of Revenue (FBR) has increased withholding tax for immovable properties with effect from July 1, in accordance with the Finance Act 2023, a news source reported on July 4.
Read: FBR shares Income Tax Return forms for SMEs
As per the details, the board has increased the rates for buyers and sellers of immovable properties. The recently implemented Finance Act 2023 has brought increase in withholding tax for immovable properties for income tax filers and non-filers in relation to the sale, transfer, purchase, or transfer of immovable property.
Under section 236C, the rate of withholding tax has increased from 2% to 3% for filers and from 4% to 6% for non-filers.
Read: FBR to set up International Centre of Tax Excellence
Similarly, under section 236K, the withholding tax rate has risen from 2% to 3% for filers and from 7% to 10.5% for non-filers. These adjustments have been made as per the instructions provided by the FBR. |
|
