Overseas Pakistanis

Residency, tax on income from abroad, remittances and property back home. Each answer below explains one point in plain words, works through an example, and links the exact section of the law it relies on.

• Does 236K tax apply when I buy a plot in a government housing scheme for overseas Pakistanis?Section 236K(4) takes Federal, Provincial and statutory authority schemes for expatriate Pakistanis out of 236K, if payment is banked foreign exchange.
• Do I pay the non-ATL rate of 236K tax when I buy property in Pakistan as an overseas Pakistani with a NICOP or POC?Clause (111AC) of the Second Schedule stops the non-ATL 236K rates for non-resident NICOP and POC holders, so they pay 1.25% in tax year 2027.
• Can I be stopped from travelling abroad because I am not a filer?Section 114B lets FBR restrict foreign travel for non-filers who ignore a return notice, but it expressly excludes NICOP holders, minors, students and pilgrims.
• I am a Pakistani citizen working abroad. Can Pakistan still treat me as a tax resident?How section 82(d) can make a Pakistani citizen abroad a tax resident, the rule for government staff posted abroad, and what residence means for foreign income.
• Can FBR question the source of money remitted into Pakistan, and is there a yearly limit on the protection?Section 111(4) keeps up to Rs. 5 million a tax year of banked foreign remittance outside FBR's unexplained income rule, if a bank certificate is shown.
• Can I get an NTN with a NICOP or a Pakistan Origin Card?How section 181 registration works for NICOP and POC holders, what section 181(4) says about CNIC as NTN, and when clause (114A) removes the need to register.
• What happens if customs seizes my cash, gold or baggage at a Pakistani airport, and how do I get it back?How the Customs Act handles undeclared cash, gold and baggage: seizure, show-cause notice, adjudication, a fine in lieu of confiscation, and a 30-day appeal.
• I live and work abroad. Do I still have to file an income tax return in Pakistan?When a Pakistani living abroad must file a return under section 114, the property carve-out in section 115, and the FCVA and NRVA relief in clause (114A).
• I pay tax abroad on income that Pakistan also taxes, such as a foreign pension or Pakistani rent. Do I pay tax twice?How section 103 gives a Pakistan resident credit for foreign tax, when section 102 exempts foreign salary, and what a non-resident with Pakistani rent faces.
• What can I bring in my baggage duty free when I visit Pakistan, and what must I declare?Section 139 of the Customs Act requires every passenger to declare baggage, and section 141 lets officers pass personal-use and gift items free under the rules.
• How many days can I stay in Pakistan before I count as a tax resident?The 183-day test in section 82 of the Income Tax Ordinance, how days are counted under rule 14, and why the old 120-day rule no longer applies from 2021.
• I inherited property in Pakistan while living abroad. Is there tax on inheriting it or on selling it later?Section 79 means no gain arises when property passes on death, even to an heir abroad. A later sale is taxed under section 37, with 2.75% collected under 236C.
• If I buy property through a Roshan Digital, FCVA or NRVA account, is the 236K tax final?The proviso to section 236K(2) makes 236K a final discharge for non-resident POC, NICOP or CNIC holders who buy property through an FCVA or NRVA.
• I am moving back to Pakistan for good. Is my foreign income taxed in the year I return?Section 51 exempts a returning citizen's foreign income for two tax years after four non-resident years. How section 82 and section 11(5) then apply.
• Is the money I send home to my family taxable for them in Pakistan?Section 39 leaves gifts from a relative out of taxable income, and section 111(4) shields banked foreign remittances up to Rs. 5 million a tax year.
• Is the profit on my Roshan Digital Account or NRVA deposit taxable in Pakistan?Clauses (78) and (79) exempt profit on non-resident foreign currency accounts and NRVAs fed only by remittances. When the exemption fails, section 152 applies.
• Is the salary I earn abroad taxable in Pakistan?When salary earned abroad is taxed in Pakistan: non-residents are taxed on Pakistan-source income only, plus the section 51(2) and section 102 exemptions.
• Do I have to declare my foreign bank accounts and property abroad in a Pakistani wealth statement?Section 116 wealth statements cover foreign assets and debts, section 116A adds a foreign income and assets statement, and section 111 taxes hidden assets.
• Should I become a filer and join the Active Taxpayers List even though I have no income in Pakistan?What being off the active taxpayers' list changes for an overseas Pakistani, which non-resident exemptions apply, and why an NTN alone brings a filing duty.
• Can I get back tax that was deducted in Pakistan while I was a non-resident?When tax withheld from an overseas Pakistani counts as a credit under section 168, when it is final and not refundable, and how a section 170 refund works.
• I work remotely from abroad for a Pakistani company. Is my salary Pakistan-source income?How section 101 sources salary for remote work done abroad for a Pakistani employer, how section 149 and 152 withholding fit, and what the law leaves open.
• Is the rent from my house in Pakistan taxable if I live abroad, and what should my tenant deduct?Rent from property in Pakistan is Pakistan-source income for a landlord abroad. Sections 155 and 152(2) both reach the rent, and the law does not rank them.
• Can I buy property, a car or shares in Pakistan without being a filer now that section 114C restricts ineligible persons?Section 114C(2) exempts a non-resident person from the section 114C limits on buying property, cars and securities, but not from the cash withdrawal limit.
• What tax do I pay when I sell my property in Pakistan while living abroad?A gain on Pakistan property is taxed in Pakistan even if you live abroad. Section 236C takes 2.75% at transfer, final only for FCVA or NRVA purchases.
• How are government securities, PSX shares and dividends bought through my FCVA or NRVA taxed?Section 152(1DA) takes a 10% final tax on gains on government securities held via FCVA or NRVA. Dividends fall under section 150; clause (114A) eases filing.