CGT on immovable property gains. Acquisitions on or after 1 July 2024 are taxed at a flat 15% for filers regardless of holding period.
Pakistan's property CGT regime split into two halves in July 2024. Properties acquired before 1 July 2024 still follow the old holding-period schedule under Section 37(1A) - tax rates fall as you hold longer, and after a long-enough holding period the property becomes exempt entirely. Open plots become exempt after 6 years, constructed properties after 4 years, and flats after 2 years. This is why so many investors are sitting on plot files - they're waiting out the exemption clock.
Properties acquired on or after 1 July 2024 face the new flat regime. Filers pay 15% on the gain regardless of holding period. Non-filers pay the higher of 15% or their marginal slab rate, which can hit 45% in the top bracket. The exemption-after-six-years escape route is gone for new acquisitions - hold a plot for ten years and you still owe 15%.
The gain is sale price minus cost - but both sides are floored by the FBR's notified valuation table. If you sold a 1-kanal plot in DHA Lahore for PKR 50 million but the FBR valuation table for that locality says fair market value is PKR 80 million, the FBR treats the sale price as PKR 80 million for tax purposes. You can't undervalue your way out of CGT. The valuation tables are published per city per locality and updated annually - get the latest from the FBR website before you sell.
On the cost side, you can add documented improvements - construction, boundary walls, fittings - if you have receipts and the work increased the property's value. You cannot add maintenance, repainting, or annual upkeep. Brokerage and transfer fees you paid on acquisition are part of cost basis; brokerage on disposal reduces the sale proceeds.
Bought a 10-marla plot in Bahria Town in September 2025 for PKR 12 million. Sold in February 2026 for PKR 16 million. FBR valuation for the locality says fair market value at disposal was PKR 17.5 million.
The FBR treats sale price as PKR 17.5M (the higher of declared and valuation table). Gain = 17.5M − 12M = PKR 5.5M. Filer rate (acquired post-July 2024) is 15%. CGT = PKR 825,000. On top of this you'll also pay Section 236C advance tax (3% of gross consideration for filers, 6% for non-filers) and the buyer will pay 236K. CVT and provincial stamp duty are layered on top by the provincial authority.
Pakistanis often conflate three separate property taxes - they're not the same and they apply at different events.
Section 37 / Section 37(1A) CGT is the gains tax this calculator computes. It applies at sale and is paid on the profit (sale price − cost). The seller owes it.
Section 7E deemed-income tax is an annual tax (charged at 20% on 5% of the property's fair market value, effectively 1% of FMV) levied on the holding of capital assets above a threshold (currently PKR 25 million in fair market value, with various exemptions for your one personal residence and certain other categories). You pay this every year you hold the property, not just when you sell.
Section 236C advance tax is collected at transfer time on the gross consideration - 3% for filers, 6% for non-filers. It's an adjustable advance, meaning it gets credited against your overall income tax liability for the year (not against CGT specifically). The matching Section 236K is collected from the buyer.