Complete 2026 Guide
Filer or non-filer decides your transfer tax bill. The DHA worked example, the missed-deadline recovery routes, Form ATL-U, Section 7E gone, and the sanitation fee NOC check.
On a property transfer in Pakistan, being a filer is worth lakhs. A filer buyer pays 1.25 percent and a filer seller pays 2.75 percent. A non-filer seller pays about 11.5 percent, and a non-filer buyer rate climbs with the property value. Check your filer status before you agree a price, because the tax gap is often larger than the discount you negotiated.
This guide is general information, not tax or legal advice. Confirm the current rates with FBR and your lawyer before you pay anything.
The transfer tax on a property deal in Pakistan is charged under sections 236K for the buyer and 236C for the seller. The rate depends on whether each side is on the Active Taxpayers List. The table below is the whole story in one place.
| Who pays | Filer | Non-filer |
|---|---|---|
| Buyer, under 236K | 1.25% | Rises with value, up to 18.5% above PKR 10 crore |
| Seller, under 236C | 2.75% | About 11.5% |
Take a property worth PKR 1 crore changing hands in DHA Lahore. The filer and non-filer bills on the same deal are far apart, and the gap is the reason filer status is checked first in every serious negotiation.
| Transfer tax on PKR 1 crore | Filer | Non-filer |
|---|---|---|
| Buyer pays, 236K | PKR 125,000 | Higher, rate rises with value |
| Seller pays, 236C | PKR 275,000 | About PKR 11,50,000 |
| Combined transfer tax | PKR 4,00,000 | About PKR 11,50,000 plus the higher buyer rate |
Stamp duty and the DHA transfer fee sit on top of these figures, and their amounts vary by society, so confirm them in writing with the society office before you agree the final price. The point of the example is not the last rupee, it is the scale: on the same PKR 1 crore deal, the seller tax alone is PKR 275,000 as a filer and about PKR 11,50,000 as a non-filer. That gap is usually larger than any discount either side is negotiating.
If you missed the filing deadline and dropped off the Active Taxpayers List, you have two ways back. Both work. Which one is right depends on whether you have a property deal in hand.
First, the surcharge route. Pay the Section 182A surcharge and your filer status is restored. The surcharge is Rs 25,000 for an individual, Rs 50,000 for an association of persons, and Rs 100,000 for a company. This route keeps your right to buy property immediately, so it is the right choice for anyone with a deal in hand.
Second, the Form ATL-U route. FBR issued Form ATL-U on 5 November 2026. A late filer submits it through IRIS 2.0 and signs an undertaking not to acquire property for six months, and filer status is reinstated automatically, without paying the Rs 25,000 surcharge. It costs nothing, but the six month condition is real: if you sign it and then buy a property inside six months, you have broken the undertaking. Choose the surcharge route if you plan to buy soon.
Log in to the FBR IRIS 2.0 portal and open the Declaration tab. Form ATL-U sits there, not in the old surcharge payment flow. If you cannot see it, confirm you are on IRIS 2.0, not the older IRIS version.
Fill in Form ATL-U with your tax details and submit it. This is the form FBR issued on 5 November 2026 specifically for late filers who want their Active Taxpayers List status back.
Sign the undertaking that you will not purchase, acquire or obtain ownership rights to any property for six months. This is the condition of the ATL-U route, and it is binding.
Once the form is submitted successfully, your filer status is activated automatically. There is no Rs 25,000 surcharge to pay on this route.
If you have a property deal in hand, or you plan to buy within six months, ATL-U is the wrong route for you, because the undertaking blocks any purchase. In that case pay the surcharge instead and keep your right to buy.
Section 7E, the tax on deemed rental income from property, was struck down by a court ruling on 7 May 2026 and omitted by the Finance Act 2026. It is gone, and it is not charged on 2026 transfers. If a dealer, agent or even a society office quotes a Section 7E amount on a current deal, the figure is outdated. Ask for the current FBR position in writing and do not pay a tax that no longer exists.
Capital gains tax applies when you sell a property at a profit. The rate depends on how long you held the property and whether you are a filer, so there is no single CGT figure to quote for every sale. Work out the gain from your purchase and sale documents, confirm the current FBR CGT rates for your holding period before you agree the sale price, and keep the purchase record, because the gain is measured against what you actually paid.
Run this checklist in order. A transfer that skips a step usually stalls at the last one, when fixing it costs the most.
| Check | Why it matters |
|---|---|
| Seller CNIC matches the FBR record | The name on the tax record must match the seller, or the transfer tax is charged at the wrong rate. |
| Filer status of buyer and seller confirmed | Decides the 236K and 236C rates, and the gap is lakhs on a normal deal. |
| Fard or registry checked | Ownership must match the seller before any tax is paid on the deal. |
| Outstanding dues cleared | Dues and development charges survive the sale if they are not cleared first. |
| Stamp duty and society transfer fee confirmed | These sit on top of the transfer tax and vary by society. |
| Sanitation fee cleared before the NOC | Since October 2026, Punjab excise requires the new sanitation fee to be cleared before it issues the NOC for a property transfer. |
| Section 7E not charged | Gone since the 7 May 2026 ruling. Any 7E amount on a 2026 bill is outdated. |
| Late filer route chosen before transfer | Surcharge route if you have a deal in hand, Form ATL-U route if you can wait six months. |
A filer on the Active Taxpayers List pays far less on a property transfer. Under sections 236K and 236C, a filer buyer pays 1.25 percent and a filer seller pays 2.75 percent. A non-filer seller pays about 11.5 percent, and a non-filer buyer rate rises with the property value, reaching up to 18.5 percent above PKR 10 crore.
As a filer buyer you pay 1.25 percent under 236K, which is PKR 125,000 on PKR 1 crore. As a filer seller you pay 2.75 percent under 236C, which is PKR 275,000. Stamp duty and the DHA transfer fee sit on top of these, and their amounts vary by society, so confirm them in writing before you pay.
There are two routes. Pay the Section 182A surcharge, Rs 25,000 for an individual, and your filer status is restored. Or submit FBR Form ATL-U through IRIS 2.0, which restores filer status without the surcharge, in exchange for a signed undertaking not to acquire property for six months.
Form ATL-U was issued on 5 November 2026. A late filer submits it through IRIS 2.0 under the Declaration tab and signs an undertaking not to purchase, acquire or obtain ownership rights to any property for six months. Filer status is then reinstated automatically, without paying the Rs 25,000 surcharge.
No. Section 7E was struck down by a court ruling on 7 May 2026 and omitted by the Finance Act 2026. It is gone. If anyone quotes a Section 7E charge on a 2026 transfer, the figure is outdated and you should ask for the current FBR position in writing.
Since October 2026, the Punjab excise department requires the new sanitation fee to be cleared before it issues the NOC for a property transfer. Clear the sanitation fee first, keep the receipt, and only then apply for the NOC, or your transfer will stall at the last step.
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