FBR Property Valuation Tables and Tax Impact Guide (Pakistan, 2026)

When you buy or sell property in Pakistan, federal taxes are worked out on the FBR's notified valuation for that location or the price in your deed, whichever is higher. That value is the base for the seller's advance tax under section 236C, the buyer's advance tax under section 236K, and the sale price used for capital gains tax (CGT). This guide explains how FBR valuation tables work, how they differ from DC rates, and what they mean for your tax on a sale, a purchase and rental income. The exact rates change from budget to budget, so check them on the current FBR withholding tax card before you transact.

FBR valuation tables vs DC rates

Pakistan uses two sets of official property values:

• DC rates (Deputy Commissioner rates) are set by the provincial and district authorities. They have usually been well below market prices, and they are used for provincial levies such as stamp duty and capital value tax (CVT).
• FBR valuation tables are notified by the Federal Board of Revenue for major cities. The FBR has issued its own tables since 2016 to bring taxable values closer to what property actually sells for. They are used for federal taxes: property withholding tax, CGT, and the deemed income rules for certain property.

FBR values are generally higher than DC rates but can still sit below the market price in prime areas. Some provinces also refer to FBR values, or whichever value is higher, when charging their own duties, so it is worth checking both before you budget for a transfer.

How the tables are organised

FBR valuation tables are city-specific. Within a city, areas are grouped into zones or categories, and each has a notified rate per square yard or per square foot. Separate rates usually apply to:

• open residential and commercial plots
• constructed residential and commercial property
• apartments and flats
• location within an area, such as main road, secondary road or inner street

A commercial plot on a main boulevard will carry a far higher notified rate than a residential plot on an inner street in a less developed area of the same city.

Where to find the current value

The FBR publishes valuation tables on its official website, fbr.gov.pk, as notifications (SROs) listed by city. To look up a property you need its exact location (city, sector, phase or block) and type. A tax adviser or property lawyer can confirm which table and category apply if your property does not fit neatly into one.

The core rule: FBR value or deed price, whichever is higher

This single rule drives most of the tax impact:

• If you sell for more than the FBR value, tax is based on your actual price.
• If you sell for less than the FBR value, tax is still based on the FBR value, even though you received less.

So when FBR tables are revised upwards, the tax on a transaction can rise even if the agreed price has not changed. Buyers know this too, and many will look at the FBR value when negotiating because it affects their own advance tax.

Advance tax on sale: section 236C (seller)

When a property is transferred, the registering authority collects advance tax from the seller under section 236C. It is charged as a percentage of the FBR value or the sale price, whichever is higher.

• For tax year 2027 (transactions from 1 July 2026), the Finance Act 2026 set a flat rate of 2.75% of the gross sale consideration for sellers on the Active Taxpayer List (ATL), replacing the earlier value-based tiers.
• Non-filers pay substantially more: sellers not on the ATL pay 11.5% of the gross consideration under section 236C (Tenth Schedule, rule 1, third proviso).
• For individuals, this advance tax is adjustable: you claim it against your final tax liability, including CGT on the sale, when you file your return.
• The transfer will not normally be registered until the tax is paid.

Advance tax on purchase: section 236K (buyer)

Buyers pay advance tax under section 236K when the property is registered or transferred into their name. It is again calculated on the FBR value or the purchase price, whichever is higher.

• For tax year 2027 (transactions from 1 July 2026), the Finance Act 2026 set a flat rate of 1.25% of the fair market value for buyers on the ATL, replacing the earlier value-based tiers.
• Buyers not on the ATL pay more, tiered by the property's fair market value: 10.5% up to Rs 50 million, 14.5% above Rs 50 million and up to Rs 100 million, and 18.5% above Rs 100 million.
• For individuals, the tax is adjustable against the buyer's income tax liability for the year, so keep the challan or deduction record and claim it in your return.
• Budget for it upfront. It is paid on top of the price, alongside provincial stamp duty, CVT and registration charges.

For how to claim withholding tax credits in your return, see our withholding tax rates and claiming guide.

Capital gains tax on sale of property

CGT is charged on the gain you make when you sell immovable property. In simple terms:

Capital gain = sale consideration − cost of acquisition

The FBR value matters here too. If you declare a sale price below the notified value, the sale consideration for tax purposes is normally taken at the FBR value, which increases the taxable gain. Keep records of everything that forms part of your cost: the purchase deed, payment proof, stamp duty and registration fees you paid, and documented improvement costs.

Which regime applies depends on when you bought

The date you acquired the property decides which CGT rules apply. The date you sell it does not.

Property acquired on or after 1 July 2024: filers who are on the ATL on the date of disposal pay a flat 15% on the capital gain, however long they have held the property. The holding-period discount that applied to older acquisitions does not apply. If you're not on the ATL on the date of disposal, the gain is taxed at your normal income-tax slab rate (the individual/AOP or company rate, as applicable) instead of the flat rate, but never below 15% of the gain.

Example (ATL filer, acquired after 1 July 2024): bought for Rs 10,000,000 and sold for Rs 12,000,000, with the FBR value at sale below the sale price. Capital gain = Rs 2,000,000. CGT at 15% = Rs 300,000. Any section 236C advance tax collected at the transfer is adjusted against this.

Property acquired before 1 July 2024: older acquisitions keep the holding-period schedule that applied when they were bought. Broadly, the rate starts at 15% in the first year of holding and steps down the longer you hold the property, reaching 0% once the relevant number of years has passed, with plots, constructed property and flats stepping down over different periods. Confirm the exact schedule for your acquisition date and property type with the current law or a tax adviser before you set your asking price.

Inherited property

Inheriting property is not itself a CGT event. If you later sell an inherited property, the gain on that sale is taxable. How the cost and holding period are worked out for inherited property depends on the facts, so take advice before selling.

Rental income

Rent from property in Pakistan is taxable income and must be declared in your return, with the property itself shown in your wealth statement.

• Withholding by tenants: companies, government bodies and certain other tenants must deduct tax from the rent they pay you and deposit it with the FBR. Filers on the ATL get lower withholding rates than non-filers. Collect the deduction certificates and claim the tax in your return.
• Records: keep tenancy agreements, rent receipts and bank credits, and records of any expenses you intend to claim. The deductions and rates that apply to rental income depend on your situation and on the current Finance Act. The sources we reviewed conflict on both, so we have not listed them here.
• FBR values and rent: declaring a rent far below what similar property in the area earns can draw questions, because the FBR has valuation data for your locality.

Deemed income on property (section 7E)

FBR values also feed into section 7E, which treats a percentage of the FBR value of certain non-exempt property as deemed income each year. Whether it applies to you depends on the value and use of the property and on a list of exemptions. We cover it in detail in our section 7E guide.

Filer vs non-filer: why it matters so much for property

Across 236C, 236K and CGT, non-filers pay considerably more than people on the ATL. For anyone planning to buy or sell property, filing a return and appearing on the ATL before the transaction is usually the single biggest tax saving available. Check your status and how to get on the list in our ATL guide.

Practical checklist

Before you buy

1. Look up the current FBR value for the exact location and property type.
2. Work out the 236K advance tax on the higher of that value and your price, using the current withholding tax card.
3. Add provincial stamp duty, CVT and registration charges from your province's current schedule.
4. Make sure you are on the ATL before the transfer date.
5. Be ready to show the source of the purchase money in your wealth statement. See wealth statement reconciliation.

Before you sell

1. Find your acquisition date and cost documents. They decide your CGT regime and your gain.
2. Check the current FBR value, because it may set the minimum sale consideration for tax.
3. Estimate the 236C advance tax and your final CGT, and remember that the advance tax is adjusted against the CGT.
4. Declare the gain in your return for the tax year of sale, and update your wealth statement.

Frequently asked questions

What is the difference between DC rates and FBR values?

DC rates are provincial or district values, generally lower, and used for stamp duty and CVT. FBR values are federal and closer to market prices, and they are used for federal taxes such as 236C, 236K and CGT.

What happens if I sell below the FBR value?

Federal taxes are still worked out on the FBR value, because tax is based on the FBR value or the actual price, whichever is higher.

Is advance tax on property a final tax?

For individuals, the advance tax collected from sellers under 236C and buyers under 236K is adjustable. You claim it against your tax liability when you file your return.

Does the 15% flat CGT apply to property I bought years ago?

No. The flat 15% for ATL filers applies to property acquired on or after 1 July 2024. Older acquisitions follow the holding-period schedule for their acquisition date.

Can I challenge an FBR valuation?

Challenging the notified tables themselves is difficult. If a specific assessment uses the wrong category or location for your property, raise it with the Inland Revenue office with supporting documents. A tax adviser can tell you whether an objection or appeal is worthwhile.

To see how a capital gain or rental income would affect your overall tax for the year, try the TaxWizard income tax calculator.

This is general information. Rules and rates change, so check FBR's current notifications or consult a tax adviser about your case.