Govt Approves Reduced Tax Rate on Buying and Selling of Properties
Wire desk byline Sourced from Xinhua, Dawn, Arab News, Anadolu and Minute Mirror. Translated and abridged by the GSRRA Desk.
The federal government has approved changes in advance tax rates on property transactions while also increasing the tax burden on banks and corporate entities under the Finance Bill 2026–27.
The revised measures will take effect from July 1 with the start of the new fiscal year.
Advance tax on property transactions has been reduced. Sellers will now pay 2.75 percent advance tax on the total value of the property, while buyers will be charged 1.25 percent tax based on fair market value.
In parallel, the government has increased taxation on the corporate and banking sectors.
From July 1, banking companies and the fertilizer sector will pay 10% tax on income exceeding Rs. 150 million, while other corporate companies will be subject to 8% tax on income above Rs. 500 million.
The revised structure is part of broader fiscal adjustments aimed at balancing revenue needs with sector-wise taxation changes across the economy.
Reference Link:- https://propakistani.pk/2026/06/23/govt-approves-reduced-tax-rate-on-buying-selling-of-properties/
Zamir Ahmed Awan is the founder and Chair of the Global Silk Route Research Alliance, a think tank in Islamabad. He studied engineering at Shanghai University in the 1980s, and years later he went back to China as Pakistan's science counsellor in Beijing, from 2010 until 2016, working on science and higher education cooperation between the two countries.…
