- September 7, 2026
- Posted by: Tresmark
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The Federal Board of Revenue (FBR) recorded a significant 56.9% increase in withholding tax (WHT) collection from the sale of immovable property during fiscal year 2025-26, reflecting an increase of Rs66.7 billion compared with the previous fiscal year.
According to FBR data for FY26, withholding tax collections registered notable growth across several major categories, including contracts, imports, property sales, dividends and salaries.
Collection of withholding tax from contracts increased by 22.3%, or Rs162.3 billion, under Section 153 of the Income Tax Ordinance, 2001.
Similarly, withholding tax collection on imports rose by 16.5%, amounting to an increase of Rs69.5 billion, under Section 150 of the Income Tax Ordinance.
The highest percentage growth among the major categories was recorded in withholding tax on the sale of immovable property. Collections under Section 236C surged 56.9%, adding Rs66.7 billion during FY26.
Meanwhile, withholding tax collection from dividends grew by 18.5%, or Rs30 billion, under Section 149, while WHT collection from salaries recorded a comparatively modest increase of 3.8%, equivalent to Rs23 billion, during the fiscal year.
The figures highlight continued growth in withholding tax revenues across key sectors, with property transactions and contractual payments emerging as major contributors to the overall increase in tax collection during FY26.
