Active Filer vs Late Filer vs Non-Filer Tax Rates (2026)
Detailed Federal Board of Revenue (FBR) withholding tax matrix comparing tax rates across property transactions, banking profit on debt, motor vehicle registration, and cash withdrawals.
Pakistan Withholding Tax (WHT) Comparison Matrix
| Transaction Type & FBR Section | Active Filer (On-Time ATL) | Late Filer (Rule 1AB / Surcharge) | Non-Filer (Tenth Schedule) |
|---|---|---|---|
| Property Sale / Transfer Section 236C (Advance Tax on Seller) | 3.0% of gross value | 6.0% (100% Surcharge applied) | 10.0% – 45.0% (Tiered by property value) |
| Property Purchase / Acquisition Section 236K (Advance Tax on Buyer) | 3.0% of gross value | 6.0% – 10.0% (Increased WHT tier) | 12.0% – 20.0% (Punitive buying tax) |
| Banking Profit on Debt Section 151 (Savings / Profit Accounts) | 15.0% final tax rate | 30.0% (Double deduction penalty) | 30.0% – 35.0% (Tenth Schedule rule) |
| Motor Vehicle Registration & Transfer Section 231B (Based on Engine Capacity / cc) | Standard Base Rate (e.g. Rs 10k–500k / 3%) | 2x Base Rate (100% Penal surcharge) | 3x – 4x Base Rate (Up to 12% car value) |
| Cash Withdrawals (> Rs. 50,000 / Day) Section 231AB (Commercial & Personal Banks) | 0% (Completely Exempt) | 0.6% on total daily withdrawal | 0.6% – 0.9% on total daily withdrawal |
Understanding FBR Tax Status Classifications
1. Active Filer Status
An Active Filer is an individual or business entity listed on the FBR Active Taxpayer List (ATL) who filed their annual Income Tax Return (IT-1) on or before the official statutory due date (typically September 30th of the tax year, or as extended by FBR). Active Filers enjoy statutory baseline withholding tax rates, complete exemption from daily cash withdrawal tax, and 50% to 75% lower tax liabilities on property and vehicle transactions.
2. Late Filer Status (Rule 1AB & Tenth Schedule)
Introduced in recent Finance Acts, a Late Filer is a taxpayer who successfully submitted their annual tax return but did so after the statutory deadline had elapsed. Under Rule 1AB of the Tenth Schedule of the Income Tax Ordinance 2001, Late Filers receive ATL status but are subjected to specific penal surcharges—such as a 100% rate increase (6% instead of 3%) on Section 236C property transfers and double tax on bank interest—until the next tax cycle.
3. Non-Filer Status
A Non-Filer is any citizen or entity that has failed to file an annual income tax return with the Federal Board of Revenue. To restrict non-documented economic activity, FBR imposes heavy punitive withholding tax rates on Non-Filers, including up to 45% on property sales, 20% on property purchases, 35% on bank interest, 0.6% on cash withdrawals above Rs 50,000, and mobile SIM blockages or electricity disconnection notices under Section 114B.
Frequently Asked Questions
What is the difference between an Active Filer, Late Filer, and Non-Filer in Pakistan?
An Active Filer filed their annual return by the official FBR due date and appears on the Active Taxpayer List (ATL) with baseline WHT rates. A Late Filer filed after the deadline and is subject to Rule 1AB / Tenth Schedule penal surcharges (often 100% higher rates). A Non-Filer has not filed a return and pays the highest punitive withholding tax rates (up to 3x to 4x higher or 45% on property).
What is the Section 236C and 236K tax rate on property transactions?
Under Section 236C (Property Advance Tax on Sellers), Active Filers pay 3%, Late Filers pay 6%, and Non-Filers pay 10% to 45% depending on property value tiers. Under Section 236K (Property Advance Tax on Buyers), Active Filers pay 3%, Late Filers pay 6%-10%, and Non-Filers pay 12% to 20%.
How much tax is deducted on bank profit on debt for non-filers?
For Active Filers, profit on debt (Section 151) is taxed at 15%. For Late Filers and Non-Filers, the rate increases to 30% (a 100% penal surcharge under the Tenth Schedule of the Income Tax Ordinance).
Is there a cash withdrawal tax for Active Filers in Pakistan?
No. Active Filers are 100% exempt from Section 231AB cash withdrawal withholding tax. However, Non-Filers and Late Filers are charged a 0.6% withholding tax on aggregate cash withdrawals exceeding Rs. 50,000 in a single day.