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According to the Finance Act 2023-24, you can resell your property without paying capital gains tax (CGT) in Pakistan after 6 years for plots and 4 years for houses and built-up properties.

However, there are a few exceptions to this rule:

  • If you have inherited the property, you can resell it immediately without paying CGT.
  • If you have used the property as your primary residence for more than 4 years (for houses and built-up properties) or 6 years (for plots), you can resell it immediately without paying CGT.
  • If you have sold the property due to unforeseen circumstances, such as a medical emergency or a job transfer, you may be eligible for a tax exemption.

If you are unsure whether or not you will be liable to pay CGT when you resell your property, it is always best to consult with a tax advisor.

Here are some tips to avoid paying CGT on your property in Pakistan:

  • Hold on to your property for at least 6 years (for plots) or 4 years (for houses and built-up properties) before reselling it.
  • Use the property as your primary residence for as long as possible.
  • If you have to sell the property before the holding period is over, try to claim a tax exemption.
  • Consult with a tax advisor to get personalized advice.
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In Pakistan, you can sell property without capital gains tax after 6 years for plots and 4 years for houses. Exceptions: immediate sale if inherited, or if property was your main residence for over 4/6 years. Unforeseen circumstances may qualify for tax exemption. Tips: hold for required period, use as primary residence, consult a tax advisor for personalized advice.

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