Choose your province and enter the property details.
Short answer: Annual property tax in Pakistan is a provincial Excise tax, and each province works it out differently. In Punjab it is 0.07% to 0.09% of the property’s capital value, with residential property worth up to Rs 5 million exempt. In Khyber Pakhtunkhwa it is a fixed yearly amount by plot size and area, and a rented house pays double. Choose your province above, enter your details, and the calculator shows the yearly tax and how it was worked out.
Key takeaways
- Punjab: tax is charged on capital value (DC rate x marlas, plus covered area x structure rate) at 0.07%, 0.08% or 0.09%.
- Punjab exemption: a property used only as a residence is exempt when its taxable value is Rs 5 million or less. This replaced the old 5 marla exemption.
- Punjab transition rule: if the new tax is lower than what you paid up to 31 December 2024, you keep paying the old tax plus 10% or 20%.
- KP 2026-27: fixed rates by marla band and area from the KP Finance Act 2026. A self occupied house of up to 5 marlas is exempt, and rented houses pay double.
- KP arrears: 30% off old residential arrears if they are paid in one go by 31 December 2026.
- Sindh and Islamabad are explained below but not calculated, because their current rates could not be confirmed from a primary source.
How to use this annual property tax calculator
- Pick your province. Punjab and Khyber Pakhtunkhwa are calculated. Sindh and Islamabad show information only.
- Choose residential or commercial.
- Punjab: enter the land area in marlas, the DC valuation rate per marla, the covered area in square feet and the structure rate per square foot. Both rates come from your district’s valuation table.
- Punjab, optional: choose the property type (for example a house built 20 or 30 years ago) and enter the tax you paid for 2024, so the calculator can apply the transition rule.
- KP: choose your area type, enter the plot size in marlas and say whether the house is self occupied or rented. Add any old arrears to see the 30% rebate.
- Read the result. You get the yearly tax, the band used and a monthly equivalent.
This is the yearly Excise property tax on a property you own. It is not the tax on buying or selling. For 236C, 236K, capital gains tax and stamp duty, use the property transfer tax calculator.
Punjab property tax 2026-27: how it is calculated
Punjab moved from the old rental value system to capital value through the Punjab Finance Act 2024, with the new rules applying from 1 January 2025.
Step 1: find the taxable value. The department’s own calculator page puts it this way: “Capital Value is your DC Rate Per Marla + Structure Rate per Sq. Ft.”
Taxable value = (marlas x DC rate per marla) + (covered area in sq ft x structure rate)
Step 2: apply the rate for your band.
| Taxable value | Residential | Commercial |
|---|---|---|
| Up to Rs 5 million | Exempt | 0.07% |
| Above Rs 5 million to Rs 10 million | 0.07% | 0.07% |
| Above Rs 10 million to Rs 25 million | 0.08% | 0.08% |
| Above Rs 25 million | 0.09% | 0.09% |
One point is not confirmed. The calculator applies the band rate to the whole taxable value, which is how the Schedule reads. This has not been checked against a real self assessment, because the official portal could not be opened from outside Pakistan. Confirm your figure on the Punjab property tax self assessment portal before you pay.
Old houses and special properties
The amended UIPT Rules, notified on 23 January 2025, multiply the value by a factor for some properties:
| Property | Factor |
|---|---|
| Normal house, flat or shop | 1.0 |
| House built 20 or more years ago | 0.9 |
| House built 30 or more years ago | 0.8 |
| Factory or industrial unit | 0.75 |
| Hostel or hospital | 1.5 |
| Hotel, motel, guest house or furnished property | 2.0 |
| Star hotel, or transmission tower | 3.0 |
| Parking plaza, stadium or sports site | 0.5 |
The transition rule most people miss
The Schedule has a second table. If your tax under the new system is lower than the tax you were paying on and before 31 December 2024, you do not get the lower figure yet. You pay the old tax with an uplift until the new tax catches up:
| Taxable value | Residential | Commercial |
|---|---|---|
| Up to Rs 5 million | Exempt | Old tax, no uplift |
| Above Rs 5 million to Rs 25 million | Old tax plus 10% | Old tax plus 10% |
| Above Rs 25 million | Old tax plus 20% | Old tax plus 20% |
That is why the calculator asks for your 2024 bill. Without it, many commercial results would look too low.
In Punjab, a lower tax under the new capital value system does not cut your bill yet: you pay your 2024 tax plus 10% or 20% until the new tax catches up.
The department’s property tax page also mentions a 5% rebate when the full year is paid by 30 September. That page still describes the old system in places, so treat the rebate as likely, not certain.
Punjab worked examples
| Property | Taxable value | Rate | Tax for the year |
|---|---|---|---|
| 10 marla house: DC rate Rs 500,000, 2,250 sq ft at Rs 2,000 | Rs 9,500,000 | 0.07% | Rs 6,650 |
| The same house, 25 years old (0.9 factor) | Rs 8,550,000 | 0.07% | Rs 5,985 |
| 5 marla house: DC rate Rs 600,000, 1,000 sq ft at Rs 1,800 | Rs 4,800,000 | Exempt | Rs 0 |
| 1 kanal house: DC rate Rs 1,500,000, 4,500 sq ft at Rs 2,500 | Rs 41,250,000 | 0.09% | Rs 37,125 |
| 1 kanal house, 30 years old (0.8 factor): DC rate Rs 1,000,000, 4,000 sq ft at Rs 2,000 | Rs 22,400,000 | 0.08% | Rs 17,920 |
A shop where the transition rule applies. A 2 marla shop with a DC rate of Rs 3,000,000 and 400 sq ft at Rs 2,500 has a taxable value of Rs 7,000,000. The new tax at 0.07% is Rs 4,900. The owner paid Rs 12,000 for 2024, which is higher, so the amount payable is Rs 12,000 plus 10% = Rs 13,200.
These DC and structure rates are examples. Your own rates are in your district’s valuation table.
KP property tax 2026-27: rates by marla
Khyber Pakhtunkhwa uses fixed yearly amounts. The KP Finance Act 2026, in force from 1 July 2026, replaced both rate schedules.
In Peshawar (provincial headquarters): a self occupied house of up to 5 marlas is exempt. Other houses pay per marla per year: Rs 1,000 in category A areas, Rs 800 in category B and Rs 500 in category C.
Everywhere else, the tax is a fixed amount by plot size (Rs per year):
| Plot size | Divisional HQ, township | Divisional HQ, other | District HQ, township | District HQ, other | Other areas, township | Other areas, other |
|---|---|---|---|---|---|---|
| Up to 5 marlas, self occupied | Exempt | Exempt | Exempt | Exempt | Exempt | Exempt |
| Up to 5 marlas, not self occupied | 2,000 | 1,800 | 1,600 | 1,400 | 1,400 | 1,200 |
| Over 5 to 10 marlas | 3,000 | 2,500 | 2,000 | 1,700 | 2,000 | 1,500 |
| Over 10 to 15 marlas | 3,500 | 3,000 | 3,000 | 2,500 | 2,500 | 2,000 |
| Over 15 to 18 marlas | 4,700 | 4,000 | 3,500 | 3,000 | 3,000 | 2,500 |
| Over 18 to 20 marlas | 15,000 | 13,500 | 7,000 | 6,000 | 6,000 | 5,000 |
| Over 20 to 30 marlas | 25,000 | 18,000 | 10,000 | 8,000 | 7,000 | 6,000 |
| Over 30 to 40 marlas | 30,000 | 28,000 | 20,000 | 18,000 | 15,000 | 10,000 |
| Over 40 marlas | 40,000 | 37,000 | 25,000 | 20,000 | 18,000 | 15,000 |
Suburban areas of divisional headquarters have their own two columns, which are built into the calculator.
Three rules sit on top of the table:
- Rented houses pay double. A property let out on rent or lease, and not used by its registered owner, pays twice the rate in every rating area.
- Organisations pay on rent. A residential property rented to or by government bodies, NGOs, companies or guest houses pays 10% of the annual rent, and 15% for banks. The calculator does not cover this case.
- 30% off arrears. Residential arrears up to 30 June 2026 get a 30% rebate if the whole amount is paid by 31 December 2026. After that date the full amount is due, with the penalty.
KP commercial property
For shops and other commercial property, the tax is area times a locality factor. On the ground floor, add the plot area in square yards to the covered area in square feet and multiply by the factor. Upper floors and basements use covered area only.
| Locality | Ground floor | Basement | First floor | Second floor | Third floor and above |
|---|---|---|---|---|---|
| A1 | 30 | 28 | 28 | 26 | 24 |
| A | 24 | 22 | 22 | 20 | 18 |
| B | 16 | 14 | 14 | 13 | 12 |
| C | 10 | 8 | 8 | 7 | 6 |
| D | 7 | 6 | 6 | 5 | 5 |
The KP Excise website still shows the older, lower factors. The calculator follows the 2026 Act.
KP worked examples
| Property | How it is worked out | Tax for the year |
|---|---|---|
| 10 marla house in Peshawar, category A, self occupied | 10 x Rs 1,000 | Rs 10,000 |
| The same house, rented out | Double | Rs 20,000 |
| 5 marla house, self occupied | Exempt | Rs 0 |
| 19 marla house in a divisional HQ township, self occupied | Fixed rate for over 18 to 20 marlas | Rs 15,000 |
| 50 marla house in another district area, rented | Rs 15,000 x 2 | Rs 30,000 |
| Shop in locality A: 100 sq yd plot, 800 sq ft ground floor and 800 sq ft first floor | (100 + 800) x 24, plus 800 x 22 | Rs 39,200 |
Arrears example. The owner of the 19 marla house also owes Rs 20,000 in old arrears. Paid in one go by 31 December 2026, the rebate is Rs 6,000 and the arrears payable are Rs 14,000.
Sindh and Islamabad: what is known
Sindh. Property tax is charged under the Sindh Urban Immovable Property Tax Act 1958 on annual rental value, and since a 2024 amendment it is also leviable in cantonments, collected by cantonment boards. The current valuation table rates could not be read from a primary source, so this tool does not calculate Sindh. Your Excise and Taxation office or bill has the figure.
Islamabad. Property tax is billed by the Capital Development Authority or the Metropolitan Corporation Islamabad, not by Islamabad Excise. The older CDA rules work on plot area and covered area by sector, with a 50% concession for self occupied homes. The current notification could not be found, so Islamabad is not calculated either.
Why the same house pays different tax in each province
A 10 marla house worth Rs 9.5 million pays Rs 6,650 in Punjab, because Punjab taxes value. A 10 marla self occupied house in Peshawar category A pays Rs 10,000, because KP taxes size and location. In Punjab the DC rate decides your bill. In KP the plot size and whether you live there decide it.
Car owners can also check the yearly vehicle token tax calculator.
Frequently asked questions
How is property tax calculated in Punjab in 2026?
Multiply your marlas by the DC rate, add covered area times the structure rate, and apply 0.07%, 0.08% or 0.09% depending on the value. Residential property worth Rs 5 million or less is exempt.
Is a 5 marla house exempt from property tax in Punjab?
Not automatically. The 5 marla exemption was replaced by a value test: a house is exempt when its taxable value is Rs 5 million or less and it is used only as a residence.
Why is my Punjab bill higher than the calculator’s new tax?
Because of the transition rule. If your 2024 tax was higher than the new tax, you pay the 2024 amount plus 10%, or plus 20% above Rs 25 million, until the new tax becomes equal or greater.
Where do I find my DC rate?
In the valuation table notified for your district, and on the Excise Punjab calculator and self assessment pages, which ask for your district and area.
How much is property tax on a 10 marla house in KP?
Outside Peshawar it is a fixed Rs 1,500 to Rs 3,000 a year depending on the area. In Peshawar it is Rs 5,000 to Rs 10,000 by category. A rented house pays double.
Do rented houses pay more property tax?
In KP, yes: double the self occupied rate. In Punjab the capital value rates in the Act do not change with tenancy.
What is the KP 30% property tax rebate?
A one time relief on residential arrears up to 30 June 2026, if the full amount is paid by 31 December 2026.
Does this calculator cover Karachi or Islamabad?
No. Sindh and Islamabad are explained on this page, but their current rates could not be confirmed, so no figure is shown.
All figures on this page are estimates worked out from public law texts: the Punjab Finance Act 2024 and the UIPT Rules amendment of 23 January 2025 for Punjab, and the Khyber Pakhtunkhwa Finance Act 2026 for KP. Rates last checked 11 November 2026. They have not been compared with a real bill or portal assessment. The official Excise assessment or challan is final. It does not cover late payment surcharge, Sindh, Islamabad or cantonment areas. For your own case, ask your Excise and Taxation office.