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| Registry Charges in Punjab Pakistan 2022-23 |
In the name of ALLAH, the most beneficent, the most
merciful
Registry Charges in Punjab Pakistan 2023– Propety Transfer–
Calculate expenses
(Updated in January 2023)
In this article, I am
going to explain what are the expenses on a registry of a property/ Registry
Kharcha (جائیداد کی رجسٹری پرخرچہ) either Plot or a House
in
After reading this
article completely, I am sure that you would be definitely able to calculate
the property transfer charges or registry expenses on your property. The
Expenses on a registry (Sale Deed) of a property depend on different things
like:
1. Whether property is an open Plot or a
House?
2. What is covered area of house?
3. Whether property is situated in a rural
area or urban area?
4. Whether
property is situated in within limits of District Council, Metropolitan
Corporation or Cantonment Board?
5. Whether Purchaser is filer or non filer?
Means his name is appearing on Active Tax Payer list or not in FBR record?
6. Whether Seller is Filer or non Filer?
Means his name is appearing on Active Tax Payer list or not in FBR record?
7. What is the total Value of property?
8. Whether map of property is approved or
not.
9. Many other factors, which may impact on
the expenses on registration of land/ registry etc.
Now let’s take a look at
different expense on registry of a property in
Stamp Duty on transfer of
Property
The percentage of stamp duty may depend on
whether the property is located in Rural Area or Urban Area. If property is
situated in urban area, the stamp duty shall be paid @ 1% (November
2022) (Earlier
in 2022 same was 2% but now reduced to 1%) on the total value of property,
however in any other case i.e if property is situated in Rural
Area etc, then stamp duty shall be charged @ 3% of
the total value of the property.
Registration Fee for
Registry /
The registration fee also depends on the price
of the property being sold. If the value of property does not exceed Rs.
5,00,000/-, then Rs. 500/- only is required to be paid as
registration fee. However, if the price of the property exceeds Rs. 5,00,000/-,
then Rs. 1,000/-is required to be paid as registration fee.
TIP Tax (Transfer of
Immovable Property Tax)
The TIP Tax on
transfer of a property depends on whether the property is situated in rural area
or urban area, whether property falls within limits of District
Council (Zilla Council) or Metropolitan Corporation or Cantonment
Board. If property is situated in rural area or falls within limits of
Metropolitan Corporation, then TIP Tax shall be charged @ 1% of
the total price / value of the property, however, if the property falls within
limits of Cantonment Board, TIP tax shall be collected @ 3% of
the total price of the property.
Advance Tax payable by purchaser
under section 236K of Income Tax Ordinance 2001
The advance tax under section 236K of
Income Tax Ordinance is payable by the purchaser of property.
This Tax is paid to Federal Board of Revenue (FBR). At present, two factors are
involved with regard to calculation of payment of advance tax under section
236K of Income Tax Ordinance. If purchaser is appearing in Active Tax
Payer List (ATL) / means he is filer, he is liable to pay 2% of
the price/ value of the property; however, if purchaser is not appearing
in Active Tax Payer List (ATL), he is liable to pay 7% of
the price/ value of the property.
It is highlighted here that before amendment in
Income Tax Ordinance, advance tax under section 236K was @ 1% for filer and 2%
for non filer
Advance Tax payable by
Seller under section 236C of Income Tax Ordinance 2001
The advance tax under section 236C of
Income Tax Ordinance is payable by the Seller of property.
People usually call / speak this tax as Gain Tax. Sometimes this tax is also
called Withholding Tax. For calculation of tax under section 236C, two factors
are involved which must be kept in mind. If seller is appearing in
Active Tax Payer List (ATL) / means he is filer, he is liable to
pay 2% of the gross price/ value of the property; however, if
seller is not appearing in Active Tax Payer List
(ATL), he is liable to pay 4% of the gross price/
value of the property.
It is pointed out that earlier, Advance Tax
under section 236C of Income Tax Ordinance was not applicable to every
registry/ transaction because there was condition with regard to holding period
of property. For example, if property was being sold within a period of 04
years of its purchasing, then seller was liable to pay advance tax
under section 236C. However, if the holding period of property was more than 04
years like 5 years or 6 years, then seller was not liable to pay advance tax
under section 236C.
At present, the condition of holding
period of property has been removed from section 236C and seller of property
is liable to pay advance tax under section 236C irrespective of holding period
of property.
Additional Charges on
Stamp Duty, if Map of property is not approved
If at the time of registry of property, the map
of property is not approved by competent authority, additional charges
of 2% will be required to be paid. This will be included in
online Challanform
32-A, which you are going to fill for payment of stamp duty.
Miscellaneous expenses/
charges on registry of property
Besides paying of Government dues/ taxes, other
expenses with regard to Deed Writing of a Registry by lawyer or Waseeqa Navees
or any other professional, verification and photos of seller, purchaser and
witnesses, photocopying of relevant documents etc are also required to be
borne.
The bribe (Rishwat) giving is neither good nor
permitted in Islam, but it is very sad to say that it has become practice to
give bribe to the officials involved in registry process, which practice must
be avoided, because officials involved in registry process are not in any way
entitled to get such kind of bribe. We should raise our voice against bribe
giving in registry process. What you say about this? Please leave a comment on
this. Thanks.
I have provided
following detailed chart explaining current and previous percentage, rate of
taxes on property transfer/ registry for your easiness.
|
Stamp Duty
|
1% (If property is situated in Urban
area) (Updated November
2022) Note:
Earlier in 2022, 2% was fixed for urban areas but now 1%
(November 2022) So make calculations accordingly. Remaining taxes
are same as mentioned in this article) 3 % (If property is situated in rural
areas) Old
rates 1 % (If property is situated in Urban
area) 3 % (If property is situated in rural
areas) |
|
Registration Fee |
If Price of Property up to PKR 5,00,000/-,
then, Rs. 500/ If Price of Property more than PKR
5,00,000/-, then Rs. 1000/- Old
rates Price of Property Up to 5,00,000/- Rs.
500/ More than to 5,00,000/- Rs.
1000/- |
|
TIP |
|
|
District Council |
1% Old Rates 1% |
|
Metropolitan Corporation |
1% Old
rates 1% |
|
Cantonment Board |
3% Old Rates 3% |
|
Advance Tax (236K-FBR ) (Purchaser’s responsibility to pay
this tax) |
2 % (For Filer) 7 % (for non Filer) Old 2 % (For Filer) 5 % (for non Filer) Further
old 1% (for Filer) 2% (for Non Filer) |
|
Advance Tax (236-C-FBR), People calls it Gain Tax (Seller’s responsibility to
pay this tax) |
2 % (For Filer) 4 % (for non Filer) All sellers on every transaction
are bound to pay) Old
Rates 1% (for Filer) 2% (for Non Filer) In
case was being sold, within 04 years Otherwise, no tax was applicable
to be paid |
|
If map is not approved |
2% (Additional) |
|
Miscellaneous Expenses |
Registry writing, service charges
of lawyer etc (You may contact on whatsapp 0303-5829907 for
Registry writing or any other case) |
Click here for calculating Land Registry Charges online
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