FBR Property Valuation Rates 2026: Guide for All Buyers Now

Introduction

If you are about to pay a token or sign a sale agreement, the FBR valuation of the property is one of the few numbers that can change your cash requirement overnight. It is not the price you negotiate. It is the value the tax system uses for federal taxes on the transfer, and it can differ from the DC rate, the price on the deed and what the market will bear.

2026 has been an unusual year. Instead of one nationwide revaluation, the Federal Board of Revenue (FBR) has notified separate changes for Islamabad, selected localities in five Punjab cities, DHA Lahore, DHA Rawalpindi and Quetta. At the same time, the Finance Act 2026 changed the advance tax rates that are applied to those values from 1 July 2026.

This guide is written for buyers. It explains what the rates are, what changed this year, how they feed into Section 236K tax, why your filer status matters, and what to verify before you commit. For the step-by-step method of looking up and calculating the value of a specific plot, use our companion guide on how to check FBR property valuation rates for your area.

Quick Answer

FBR property valuation rates are the fair market values the Federal Board of Revenue notifies under Section 68 of the Income Tax Ordinance, 2001. For buyers, they set the value on which Section 236K advance tax is worked out: 1.25% for Active Taxpayer List filers in FY 2026-27, against 10.5% to 18.5% for non-filers.

• Each city has its own notification, and several were amended during 2026.
• The FBR value is for federal taxes. Stamp duty and registration charges are provincial and use a different basis.
• Your filer status changes your tax far more than any valuation revision.
• Always check the notification and its amendments on the day you pay.

What FBR Property Valuation Rates Are (and Are Not)

The legal basis: Section 68

Under Section 68(4) of the Income Tax Ordinance, 2001, the FBR may notify, by Gazette notification, the fair market value of immovable property in the areas it specifies. These notifications are issued as SROs. A city table lists localities and property categories, such as residential open plot, commercial open plot, or built-up apartment or shop, with a rate per square yard, marla or square foot depending on the notification.

Where the FBR has not notified a value for an area, Section 68(5) treats the value fixed by the District Officer (Revenue) or the provincial authority for stamp duty as the fair market value. Section 68(6) then makes the notified or deemed value a floor for specified purposes, including the capital gains computation under Section 37 and valuation under Section 111. The Ordinance also states that these values apply for the purposes of the Ordinance only.

Section references are to the Ordinance as published on the FBR website. Confirm against the latest consolidated text before relying on a clause for a specific dispute.

FBR rate vs DC rate vs market price

These three numbers are often confused, and a single transaction can involve all of them.

The practical lesson: a lower FBR value does not make the property cheaper. It changes only the tax computed on it.

What Changed in 2026: Valuation Notifications Buyers Should Know

There is no single 2026 table for Pakistan. Many city tables still date from 29 October 2024 and were amended or replaced in parts. This is the sequence we could confirm from FBR's own notifications and from reporting by Dawn and Business Recorder.

Dawn described the April exercise as targeted adjustments in selected areas rather than a blanket revaluation, with the broader 2024 framework kept in place. For other cities, including Karachi and Peshawar, we did not identify a 2026 citywide revision. That does not rule out a locality-level amendment, so open your city's page on the FBR website and read every related SRO listed there.

What this means for a buyer

• The date matters. The rate that applied in January may not be the rate that applies when your transfer is registered.
• A base table is not enough. In several cities the current value for your locality sits in an amendment, not the original table.
• Third-party rate lists age quickly. Screenshots and forwarded PDFs are often out of date by the time you use them.

FBR Valuation by City: What to Check Before You Buy

The city decides which notification applies, so start with the right page on the FBR website.

How the Valuation Affects What You Pay

Section 236K advance tax for buyers, FY 2026-27

Section 236K is advance tax collected from the buyer when immovable property is registered or transferred. FBR's withholding tax rate card for Tax Year 2027, updated up to 30 June 2026 under the Finance Act 2026, lists these rates:

The card shows only two columns, filer and non-filer, so the separate late-filer tier that applied in earlier years no longer appears. The card itself notes that the Ordinance prevails if there is any conflict, so treat it as a reference, not a legal substitute.

A note on conflicting figures: the FBR salient features published with the budget described the buyer's rate as 1.5%, while the rate card updated to 30 June 2026 shows 1.25%. If you see 1.5% quoted online, it probably comes from an earlier summary. For the full picture, see our Section 236C and 236K guide for 2026-27 and our withholding tax rate chart.

Which value is taxed?

Section 236K is expressed on the fair market value, while Section 236C, the seller's tax, is expressed on the gross consideration received. Section 68 makes the notified value a floor for certain purposes. In practice, buyers should plan on the FBR value being used where it is higher than the declared price. Because the exact base can depend on the transaction and on how the registering authority applies it, confirm the figure with your adviser before you commit cash. Our FBR tax calculator guide and withholding tax calculator help you test scenarios first.

The seller's tax, and why a buyer should care

For Section 236C, FBR's card shows 2.75% for filers and 11.50% for non-filers on the gross consideration received, with no value bands. The seller bears it, but it affects negotiation. If the seller is a non-filer, their tax cost is far higher, and some sellers try to shift it to the buyer. Agree in writing who bears each tax before you pay the token.

Provincial charges are separate

Stamp duty, registration and mutation fees are set by provinces and local authorities, and a society or development authority may charge its own transfer fee. These are not worked out on the FBR table in the same way, so budget them separately and confirm them with the registrar or the authority concerned.

Two illustrative examples

Example 1: filer vs non-filer. A buyer purchases a plot for a declared Rs 30,000,000, and the FBR value under the applicable table is Rs 34,000,000.

• Filer: Rs 34,000,000 x 1.25% = Rs 425,000.
• Non-filer (value up to Rs 50 million): Rs 34,000,000 x 10.5% = Rs 3,570,000.
• Difference: Rs 3,145,000 on the same property.

Example 2: a table revision. A 10 marla plot is valued at Rs 2,000,000 per marla in the old table, giving Rs 20,000,000. A revision lowers it to Rs 1,500,000 per marla, giving Rs 15,000,000.

• Filer: advance tax falls from Rs 250,000 to Rs 187,500, a saving of Rs 62,500.
• Non-filer: it falls from Rs 2,100,000 to Rs 1,575,000.

The saving is real, but the seller's asking price does not change automatically. Use the revision as a reason to recalculate your total cost, not as proof that the price should fall.

Your Filer Status Matters More Than the Table

In the examples above, the gap between filer and non-filer is far larger than the effect of any valuation change. That makes the Active Taxpayer List the first thing a buyer should check, before the plot size or the table.

• Check your status early. Use our guide to checking the Active Taxpayer List, and read the ATL overview if you are unsure how inclusion works.
• Understand the categories. Our guides on filer vs non-filer differences and late filer, non-filer and active filer explain the status you need.
• Fix inactive status before a deal. If you have filed but are not on the list, see how to remove inactive ATL status.
• Not registered yet? You will need an NTN and a return first. See NTN registration for individuals and the benefits of becoming a tax filer.
• Know the wider restrictions. Non-filers face limits beyond higher rates. Read Section 114C and non-filer restrictions before planning a purchase.

Overseas Pakistanis buying from abroad should also read our guides on tax rules for overseas Pakistanis and income tax returns for overseas Pakistanis.

A Buyer's Checklist Before You Pay a Token

1. Confirm the property details. City, exact locality, sector or phase, category (residential or commercial), open plot or built-up, and land and covered area.
2. Download the notification and every amendment. Use the FBR property valuation page for your city, and save the PDFs with the date you downloaded them.
3. Match the row and the unit. Check whether the rate is per square yard, marla or square foot, and read the notification's own notes before converting.
4. Calculate the value. Land rate multiplied by area, plus covered area at the built-up rate where the table values the structure separately. Islamabad's table, for example, distinguishes built-up rates.
5. Compare with the DC rate and the price. Know all three numbers before negotiating.
6. Check your own ATL status and the seller's. Do this before the token, not at the registrar's counter.
7. Build a full cost sheet. Section 236K, provincial stamp duty and registration, society or authority transfer fees, and professional fees.
8. Agree who bears each tax in writing. Include it in the sale agreement.
9. Pay only through a correctly generated PSID. Our PSID payment guide shows how.
10. Keep a transaction file. Notification, calculation, payment proofs, sale deed and the source of funds.

Check the unit before you calculate

A correct rate multiplied by the wrong unit gives a wrong tax figure. Tables use per square yard, per marla or per square foot, and some cities mix units. DHA Lahore uses marla, while DHA Rawalpindi uses square feet.

• 1 kanal is 20 marla.
• 1 square yard is 9 square feet.
• The size of a marla is not the same everywhere. Read the unit definition in the notification or in the society’s allotment documents instead of assuming a standard size.

For the full lookup method, see our guide on how to check FBR property valuation rates for your area. Then test your numbers in the withholding tax calculator.

Residential, Commercial and Built-Up Property: How Valuation Differs

FBR tables are not one flat rate per locality. Within the same locality, the notified value can depend on the category of the property.

• Residential open plots. Usually valued on a land rate multiplied by the plot area.
• Commercial open plots. Often carry a separate and higher rate than residential plots in the same area, and some tables vary the rate by distance from a main road.
• Built-up residential property. Some tables value land and structure separately. Others list apartments or flats on a per-square-foot basis.
• Shops, offices and plazas. Commercial built-up rates are usually listed separately, and some tables separate categories of shop or shopping centre.
• Age of the building. Some tables vary the built-up rate by building age, so check the notes under the table.

A residential rate applied to a property that is classified or used as commercial is one of the most common calculation errors. If the category is unclear, confirm it with the society, the development authority or your adviser before you calculate. Our guide on capital gains tax on property explains why the category matters again when you sell.

Documents to Gather Before the Transfer

Requirements differ between registrars, provinces and housing authorities, so use this as a working checklist and confirm the final list with the office handling your transfer.

• The seller’s ownership record and the previous title documents.
• The sale agreement and the draft sale or transfer deed.
• CNIC copies for buyer and seller, and any power of attorney if someone signs on a party’s behalf.
• Proof of your Active Taxpayer List status. See how to check ATL status and NTN verification online.
• Any society or authority clearance letters and transfer-fee receipts.
• The FBR notification and amendments you relied on, with your calculation.
• Proof of payment of the tax, through a correctly generated PSID.
• Evidence of the source of funds, which you will need when you reconcile your wealth statement.

If you do not yet have an NTN, see the documents required for NTN registration.

Situations Buyers Ask About

My locality is not in the table

Check first for a later amendment, because new entries are sometimes added by SRO. If the area is still not covered, Section 68(5) points to the value fixed for stamp duty. Do not borrow a neighbouring locality's rate on your own assumption. Confirm the applicable value from the notification or with the concerned tax office.

Rural areas of Islamabad

Reporting on the February 2026 notification noted that rural parts of the Islamabad Capital Territory continue to use rates notified by the Additional Deputy Commissioner (Revenue) or the District Collector, and that the higher valuation applies where more than one rate exists. Check which category your land falls under.

Apartments, shops and built-up property

Tables treat these differently. Some list built-up apartments or shops per square foot of covered area; others value land and structure separately. Read the column headings and notes rather than assuming a plot rate covers the building.

Declaring a lower price

Declaring a lower price than the market price does not remove the FBR value from the picture, and it can create questions later. Section 111 valuation cannot fall below the notified value, and your wealth statement must reconcile the money you used. See our guides on source of income and Section 111 and the wealth statement under Section 116.

Company and business buyers

If a company or firm is buying, the tax position and the paperwork depend on the buyer’s status and on how the deal is structured. Confirm the buyer’s registration and filing status before the transfer. See our guides on registering a private limited company and partnership registration, and our private limited company registration service.

Joint, inherited and under-construction purchases

These cases depend on the facts: who holds the title, how the property was acquired, and what the table says about built-up or under-construction units. We do not recommend estimating them from a generic example. Get the transaction reviewed first, and keep your records ready for your wealth statement.

If you think the notified value is wrong

Valuation tables can be revised, and they have been challenged. In December 2025, objections from real estate bodies led the FBR to hold its new Islamabad table in abeyance and re-evaluate it. For an individual transaction, do not simply pay a figure you cannot support. Compare the entry with the notification, check for an amendment, and ask your adviser how to raise the matter. If an assessment is made against you, read how to appeal a tax assessment and how to respond to an FBR notice.

Existing owners

A revised table generally matters when a transaction triggers a provision, such as a transfer or a capital gains computation. It does not by itself create a new annual bill for someone who simply holds property. The earlier deemed-income provision, Section 7E, is covered in our guide on Section 7E for tax year 2026-27.

If you plan to sell later

The buyer's tax today becomes part of your acquisition story tomorrow. Keep your purchase records, because they matter when you compute gains. Our capital gains tax guide for property and capital gains calculator cover holding periods and rates. If you plan to rent it out, see rental income tax in 2026.

Common Mistakes Buyers Make

• Relying on a forwarded rate list instead of the FBR notification.
• Reading the 2024 base table and missing the 2026 amendment.
• Choosing a residential rate for a commercially classified property.
• Mixing units, such as marla and square yard.
• Assuming the FBR value is the price, or the DC rate.
• Discovering a non-filer rate at the counter.
• Forgetting to treat advance tax correctly in the next return. Our guide to filing your income tax return explains the process.
• Ignoring an FBR notice after the deal. See how to respond to an FBR notice and common reasons for FBR notices. If you disagree with an assessment, see how to appeal.

After the Transfer: Records, Return and Follow-Up

The purchase does not end at the registrar’s counter.

1. Keep the file. Store the notification, calculation, PSID receipt and deed together.
2. Declare the property. Reflect it correctly in your next return and wealth statement. See how to file your income tax return and, if you have not set up your account, the FBR IRIS registration guide.
3. Check how the advance tax is treated. Ask your adviser how Section 236K is reported and adjusted in your return, and do not assume it is a sunk cost.
4. Fix errors early. If you spot a mistake in a filed return, see how to correct mistakes in an FBR income tax return and revised return vs rectification.
5. Watch deadlines. Late filing carries penalties. See how to avoid late filing penalties and the tax filing deadline for 2026.

What to Watch Next

The FBR does not appear to follow a fixed annual revaluation calendar. In 2026 changes arrived city by city and often locality by locality, so a table you read in October can be amended before you pay. The sensible habit is to re-check the city page on the day of payment. For the wider budget picture, see our summary of the top tax changes in Budget 2026-27 and the FBR's own budget salient features.

Frequently Asked Questions

What are FBR property valuation rates?

They are fair market values notified by the FBR under Section 68(4) of the Income Tax Ordinance, 2001 for specified areas and property categories, used for federal tax provisions on property transfers.

Are FBR rates the same as DC rates?

No. DC rates are set by district or provincial authorities and are mainly used for stamp duty. The FBR rate is set federally for income tax purposes.

What is the Section 236K rate for buyers in 2026-27?

Per FBR's Tax Year 2027 rate card, filers pay 1.25%. Non-filers pay 10.50%, 14.50% or 18.50% depending on whether the value is up to Rs 50 million, up to Rs 100 million, or above.

Is there one new FBR valuation table for all of Pakistan in 2026?

No. The FBR issued separate notifications for individual cities and localities through the year, and many cities still rely on 2024 tables with amendments.

Which Islamabad notification applies now?

For the urban sectors it covers, SRO 644(I)/2026 of 16 April 2026, as further amended by SRO 1335(I)/2026 of 7 August 2026. Rural areas use district rates. Always confirm on the FBR page.

Does the FBR value change the price I should pay?

Not directly. It changes the tax calculated on the transaction, not the market price.

What if my locality is missing from the table?

Check for an amendment first. If none covers it, Section 68(5) points to the value fixed for stamp duty. Confirm before paying.

Do revised rates affect people who already own property?

Generally only when a transaction or a specific provision applies, such as a transfer or a capital gains computation.

Do non-filers pay more on a property purchase?

Yes. Under the FBR rate card, a non-filer's Section 236K rate is between 10.50% and 18.50%, against 1.25% for filers.

Where can I find the official notification?

On the FBR website, in the Valuation of Immovable Properties section, where each city has its main SRO and any related amendments.

What documents do I need to transfer a property?

Typically the ownership record, the sale deed, CNIC copies, proof of ATL status, society or authority clearances and tax payment proof. Requirements vary by registrar, so confirm locally. See our NTN and documents guide.

Is the FBR value the same for a house and a plot?

No. Tables often list open plots and built-up property separately, and some vary built-up rates by building age. Check the category and notes in your city’s notification.

Can a revision lower my tax even if the price stays the same?

Yes, if your locality’s notified value falls, the tax calculated on it can fall. Your price does not change automatically. Use our withholding tax calculator to compare.

How do I avoid a non-filer rate?

Check that you are on the Active Taxpayer List before the transfer. See how to remove inactive ATL status if you have filed but are not listed.

Can I reduce my property-related tax legally?

Planning starts with correct filer status, correct valuation and correct records. See our guides on reducing tax liability and tax-saving tips for individuals.

Conclusion

For a buyer, the FBR valuation is a cost input, not a price. Check the right notification for your city, read the amendments, match the category and unit, and calculate the tax before you agree to anything. In 2026 the single biggest swing in your bill comes from whether you are on the Active Taxpayer List, followed by the notification that applies on your transfer date.

If you want the valuation, ATL status and tax estimate checked before you commit, speak to the Baco Consultants tax team for a pre-transfer review. Start with our withholding tax calculator to estimate your numbers, and see our tax advisory in Islamabad and full list of services if you want end-to-end support.