The Federal Board of Revenue (FBR) has implemented upward revised rates on buyers and sellers of immovable properties from July 1, 2023, under the Finance Act 2023.
The rates of withholding taxes under sections 236 C (Advance Tax on Sale or Transfer of Immovable Property) and 236 K (advance tax on Purchase or Transfer of immovable property) have been increased.
The rate of withholding tax for filers of income tax returns has been increased from 2 percent to 3 percent under section 236 C (Advance Tax on sale or transfer of immovable Property).
The rate of withholding tax for non-filers filers of income tax returns has been raised from 4 percent to 6 percent under section 236 C (Advance Tax on sale or transfer of immovable Property).
The rate of withholding tax for filers has been increased from 2 percent to 3 percent under section 236 K (advance tax on purchase or transfer of immovable property).
The rate of withholding tax for non-filers filers has been further raised from 7 percent to 10.5 percent under section 236 K (advance tax on purchase or transfer of immovable property).
Under the Finance Act 2023, by virtue of amendment made through the Finance Act 2023, changes have been made in the rates of advance income tax collected under sections 236C and 236K of the Income Tax Ordinance 2001.
As per FBR’s instructions, under section 236(c) of the rate of advance tax would be 3 percent for filers and 6 percent for non-filers.
The new rates under section 236K, the advance tax at the rate of 3 percent would be collected from filers and 10.5 percent from non-filers.
FBR has also asked the field formations to apply the new rates from July 1, 2023.
FBR is itself confused and creating confusion every day by changing tax laws
Imported Govt Beggars cannot be choosers so they are licking the boots of IMF & trying to please them by burdening the poor people of Pakistan