Income from property under section 155
Income from property under section 155: The Finance Bill has proposed to enhance the gross rent limit for taxation purpose from 200,000 to 300,000. Now there would be no withholding of income tax on rent if gross amount of rent does not exceed 300,000. Revised table for withholding of income tax on property income is attached:
| Sr. No Gross amount of rent Proposed Rate of tax | ||
| -1 | -2 | -3 |
| 1 | Where the gross amount of rent does not exceed Rs.
300,000 |
Nil |
| 2 | Where the gross amount of rent exceeds Rs. 300,000 but
does not exceed Rs. 600,000 |
5 percent of the gross amount
exceeding Rs. 300, 000 |
|
3 |
Where the gross amount of rent exceeds Rs. 600,000 but
does not exceed Rs. 2,000,000 |
Rs. 15,000 plus 10 percent of the
gross amount exceeding Rs. 600, 000 |
|
4 |
Where the gross amount of rent exceeds Rs. 2,000,000 |
Rs. 155,000 plus 25 percent of the
gross amount exceeding Rs. 2,000, 000 |
For more information on FBR’s new regulations / circulars/ SROs/ amendments in taxation laws in Pakistan please visit https://www.fbr.gov.pk/
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