Advance Tax on sale or transfer of immovable Property
Advance Tax on sale or transfer of immovable Property: Finance Act, 2024 — Explanation regarding Important Amendments made in the Income Tax Ordinance, 2001
Important amendments made in Income Tax Ordinance, 2001 (“the Ordinance”) through Finance Act, 2024 are explained in the subsequent paragraphs.
Advance Tax on sale or transfer of immovable Property
Exemption on advance tax under section 236C has been extended to a war wounded person while in service of Pakistan Armed Forces or Federal or , Provincial Government or an ex-serviceman and Serving personnel of armed forces or ex-employees or serving personnel of Federal or Provincial Government, on first sale of immoveable property allotted or acquired from the Government.
The rates of ‘tax collection under section 236C have been made progressive and specified in the Division X of Part IV of First Schedule as under:
No. Gross Amount of Consideration Received Tax Rate
(1) (2) (3)
Where the gross amount of consideration received does not exceed Rs. 50 million = 3%
Where the gross amount of consideration received exceeds Rs. 50 million but does not exceed Rs. 100 million = 3.5%
Where the gross amount of consideration received exceeds Rs. 100 million = 4%
Read full text of Explanation of Finance Act, 2024 Amendments made in the Income Tax Ordinance, 2001 for more updates on taxes from FBR click here.
