Pakistan Tax Law
Made Simple
If you live abroad but have property, a bank account, or any income in Pakistan — tax rules still apply to you. We handle everything remotely. No need to visit Pakistan.
Do Pakistan's Tax Rules
Apply to You Abroad?
Many overseas Pakistanis think they are free from Pakistan's tax system — that is not true.
If you have a property, bank account, business, rent income, or received an inheritance in Pakistan — the Federal Board of Revenue (FBR) rules apply to you too.
Being a non-filer means you pay double tax on property, face higher bank charges, and risk receiving an FBR notice. Becoming a filer is the smart move.
✓ As a Filer
- ✔ Property tax only 3%
- ✔ Better bank rates
- ✔ Stronger visa applications
- ✔ Tax refunds claimable
- ✔ No FBR penalty notices
- ✔ Full property rights
✗ As a Non-Filer
- ✗ Property tax doubled to 6%
- ✗ Higher bank charges
- ✗ FBR notices & audits
- ✗ Penalties up to 100%
- ✗ Asset freeze possible
- ✗ Risk of criminal action
What is FBR?
The Federal Board of Revenue (FBR) is Pakistan's main tax authority. Under the Income Tax Ordinance 2001, if you have any Pakistan-sourced income — rent, profit, salary, or capital gain — you must file a return.
⚠ Common Penalties
- PKR 40,000 — Late NTN registration
- 0.1% per day — On unpaid tax amount
- 100% penalty — On hidden income
- Criminal case — In extreme situations
Everything You Need —
One Place, Done Remotely
From NTN to FBR Appeals — we handle it all. You stay abroad, we do the work.
NTN (National Tax Number) is your entry into Pakistan's tax system. Without it, property transfers are blocked, companies cannot be registered, and banks charge higher rates. We register your NTN in 3–5 working days — you only need to send a CNIC scan and a simple form. No Pakistan visit needed. NTN is valid for life.
Apply Now →Pakistan's tax year runs July 1 to June 30. If you have income from Pakistan — rent, bank interest, business profit, or salary — you must file a return. The usual deadline for overseas Pakistanis is October 31 or December 31. We file your return accurately on the FBR IRIS portal and send you the official acknowledgment by email.
File Return →When buying or selling property in Pakistan, three taxes apply: Capital Gains Tax (CGT), Withholding Tax (WHT), and Federal Excise Duty. As a filer, WHT is only 3% — as a non-filer it doubles to 6%. Hold the property over 4 years and CGT becomes zero. We help you plan the right way to pay the least tax legally.
Get Tax Plan →Along with your income tax return, you must submit a Wealth Statement listing all your assets — property, cash, vehicles, investments, foreign assets, and liabilities. An incorrect or incomplete wealth statement can trigger an FBR audit. We prepare yours carefully and reconcile it with previous years to keep everything consistent and clean.
Prepare Now →Pakistan has signed Double Taxation Avoidance Agreements (DTAA) with 66+ countries including UK, USA, UAE, Canada, Germany, and Australia. If you already pay tax abroad, you don't pay full tax again in Pakistan on the same income. We handle your full DTAA claim, get the treaty certification, and secure your maximum relief.
Claim Treaty →If you run a business in Pakistan, GST registration is required. The standard sales tax rate is 17%. For services, provincial rates apply (Sindh 13%, Punjab 16%). We register your GST number, file monthly returns, adjust input tax credits, and handle all FBR correspondence — while you manage everything from abroad.
Register GST →Withholding tax is often deducted upfront from bank transactions, property deals, and service payments. If you are a filer and more tax was deducted than your actual liability, you can claim that money back from FBR. We prepare the application, submit it on the FBR portal, track it, and follow up until the amount is in your account.
Claim Refund →Received an FBR notice? Don't panic. You usually have 21 days to respond. We analyze the notice, draft the correct legal response, communicate directly with FBR on your behalf, and if needed, file a formal appeal before the Commissioner or the Appellate Tribunal. Most notices are resolved without any criminal action.
Get Help Now →Pakistan has no dedicated inheritance tax. However, properly transferring inherited property (mutation/intiqal) is legally required. Gift and transfer cases also need FBR reporting. If the inherited property later earns rent or is sold for a profit, normal income or capital gains tax will apply. We handle complete documentation and compliance for you.
Get Advice →How Much Tax Do You Actually Pay?
These are the official FBR tax rates for Tax Year 2024–25 (July 2024 – June 2025).
| Yearly Income (PKR) | Tax Rate | Fixed Amount | Tax On Extra | Simple Example |
|---|---|---|---|---|
| Up to 6,00,000 | 0% | Nothing | Nothing | 6 lakh income → zero tax |
| 6 Lakh – 12 Lakh | 5% | Nothing | 5% on amount over 6 lakh | 10 lakh → PKR 20,000 tax |
| 12 Lakh – 22 Lakh | 15% | PKR 30,000 | 15% on amount over 12 lakh | 15 lakh → PKR 75,000 tax |
| 22 Lakh – 32 Lakh | 25% | PKR 1,80,000 | 25% on amount over 22 lakh | 25 lakh → PKR 2.55 lakh tax |
| 32 Lakh – 41 Lakh | 30% | PKR 4,30,000 | 30% on amount over 32 lakh | 35 lakh → PKR 5.2 lakh tax |
| Above 41 Lakh | 35% | PKR 7,00,000 | 35% on amount over 41 lakh | 50 lakh → PKR 10.15 lakh tax |
| Transaction Type | If You Are a Filer | If You Are NOT a Filer | Money Saved as Filer | Note |
|---|---|---|---|---|
| Buying Property | 3% | 6% | Save 3% 💰 | On the full value |
| Selling Property | 3% | 6% | Save 3% 💰 | On the full value |
| Capital Gain — held under 1 year | 15% | 15% | — | On the gain amount only |
| Capital Gain — held 1–2 years | 12.5% | 12.5% | — | On the gain amount only |
| Capital Gain — held 2–4 years | 10% | 10% | — | On the gain amount only |
| Capital Gain — held over 4 years | 0% | 0% | Zero tax! 🎉 | Long-term exemption |
| Bank withdrawal over 50k/day | 0.6% | 0.6% | Filer gets annual refund | Refundable for filers |
4 Easy Steps —
No Pakistan Visit Needed
It starts with a WhatsApp message and ends with your FBR certificate — all done remotely.
Send a WhatsApp or call. Tell us about your situation — property, income, or FBR notice. We understand your case quickly.
Send CNIC scan, income details, and any property documents via WhatsApp or secure email. Everything is 100% confidential.
Our tax experts process your NTN, income tax return, or GST registration on the FBR IRIS portal — professionally and accurately.
We email you the FBR acknowledgment, filer certificate, and confirmation you are now on the Active Taxpayer List.
You Live Abroad —
Here's What Matters Most
🏦 Sending Money to Pakistan — Is It Taxed?
ترسیلات زر پر ٹیکس
Good news — money you send through official banking channels (wire transfer or Roshan Digital Account) is completely exempt from income tax in Pakistan. But if that money is invested and later generates income — like rent or business profit — that income will be taxable. We help you set up the right structure to stay compliant.
🏦 Roshan Digital Account (RDA)
روشن ڈیجیٹل اکاؤنٹ
The State Bank of Pakistan's RDA is a special account designed for overseas Pakistanis. Key benefits:
- 0% tax on Naya Pakistan Certificates (for non-residents)
- Lower withholding tax on stock market investments
- Profit can be sent back abroad freely
- Opened entirely online — no Pakistan visit needed
🎁 Inheritance — Is There a Tax?
وراثت پر ٹیکس
Pakistan has no dedicated inheritance or estate tax. However, properly transferring inherited property (mutation/intiqal) is a legal requirement. If the inherited property later earns rent or is sold for a profit, income or capital gains tax will apply. We handle all inheritance documentation and FBR compliance for you.
🏗️ Buying Property in Pakistan From Abroad
پاکستان میں پراپرٹی خریدنا
Overseas Pakistanis can legally buy property. What you need:
- NTN is mandatory before buying
- Payment must go through official banking (wire or RDA)
- Withholding Tax: 3% if you're a filer, 6% if not
- A lawyer is needed for mutation — we handle this for you
- Using RDA unlocks extra tax benefits
🌍 Countries with Pakistan Tax Treaty (DTAA)
Pakistan has signed Double Taxation Avoidance Agreements with these countries. If you live in one of them, you won't be taxed twice on the same income.
Important Deadlines —
Don't Miss These Dates
Missing these deadlines leads to automatic penalties. Mark them now.
Pakistan's tax year runs July 1 to June 30. From this date, start keeping records of all your Pakistan-related income and transactions for the year ahead.
Business owners must pay advance tax quarterly. September 30 is the first installment deadline. Missing it means 0.1% extra tax added per day on the amount due.
If you receive a salary from a Pakistan-based company, your income tax return must be filed by October 31. FBR sometimes gives an extension — but don't rely on it.
This is the most important deadline for overseas Pakistanis with rental income, business income, or any other non-salaried Pakistan-sourced income. Miss this and FBR applies a PKR 40,000 automatic penalty.
If your business is GST-registered, a monthly sales tax return must be filed by the 15th of every month. Late filing carries a PKR 10,000 per month penalty plus interest on unpaid tax.
Questions Overseas Pakistanis
Ask Most Often
Clear, simple answers — no legal jargon.
جی ہاں — پاکستان سے آمدنی ہو تو ریٹرن فائل لازمی ہے۔
NTN بنوانے کے لیے پاکستان آنا ضروری نہیں۔
ڈبل ٹیکسیشن ٹریٹی کے تحت ریلیف ملتا ہے۔
گھبرائیں نہیں — پچھلی ریٹرنز فائل ہو سکتی ہیں۔
پراپرٹی فروخت پر ود ہولڈنگ اور کیپیٹل گینز ٹیکس لگتا ہے۔
فوراً رابطہ کریں — 21 دن میں جواب لازمی ہے۔
پراپرٹی خریدنے کے لیے NTN اور بینکنگ چینل ضروری ہے۔
ترسیلات زر پر پاکستان میں انکم ٹیکس نہیں لگتا۔
What Overseas Pakistanis
Say About Us
"I've lived in the UK for 8 years and had never registered an NTN. My NTN was done in 4 days and 3 years of overdue returns were filed too. The FBR notice issue was also sorted. Very professional and fast service."
"I needed to sell my property in Pakistan and had no idea about the tax involved. They explained everything clearly, planned my tax properly, and even reduced the withholding tax. Real experts — all done on WhatsApp."
"I was paying tax in both the US and Pakistan on the same income. They filed the double taxation treaty claim and now I only pay tax once. Saved over PKR 2 lakh. Highly recommended for any overseas Pakistani."
Get Tax Compliant —
Start Right Now
Talk to our tax experts for free — just 15 minutes to understand your case. No Pakistan visit needed.