Receiving a Property Tax Notice in Punjab? Here is what you need to Know
Receiving a property tax notice can be a source of stress, but understanding the system is the best way to handle it.
In Punjab, Pakistan, the property tax landscape is undergoing a massive shift. As of January 1, 2025, the government has moved away from the old rental-value system to a more transparent DC (District Collector) Rate-based system. In Punjab, the Excise, Taxation and Narcotics Control Department (ET&NCD) is the sole authority responsible for assessing and collecting property tax.
The first big question is do you even have to pay property tax
Before you look at the amount, check if you fall into these Exemption Categories. If you do, you can contest the notice.
- The “5 Million” Rule: As of 2025, any property with a total capital value below PKR 5 Million is now exempt from tax.
- The “5 Marla” Rule: Residential houses smaller than 5 Marla are exempt, Unless they are in “Category A” (prime/posh) areas.
- Retired Govt Employees: You are exempt from tax on one self-occupied house (up to 1 Kanal).
- Widows, Orphans, & Disabled Persons: Exempt if their annual tax liability is less than PKR 12,150.
- Religious & Public Spaces: Mosques, churches, public parks, and recognized charitable hospitals/schools do not pay.
So now Who is actually Liable to Pay? yes you are right If your property doesn’t fit the list above, you are likely in the “Property Tax Net.” Specifically:
- Owners of 5 Marla+ houses in any urban area.
- All owners in Category A areas (like Gulberg, DHA, Bahria, etc.), regardless of house size.
- Commercial Property Owners: Shops, offices, and warehouses are taxed at a higher rate than residential properties.
- Rented Properties: If you have rented out your house, your tax rate is significantly higher than if you were living in it yourself.
Don’t trust the manual calculations on the notice blindly. There could be any error or omissions. You should use these links to verify:
- Download Official Valuation Tables: See the 2025 rates for your specific city and category.
- Calculate Your Tax (Online Portal): Enter your Property ID to see your exact dues.
- Find Your DC Rate: Check the official value of your land to see if it’s truly above the 5 Million exemption limit.
2. How to Pay (Avoid the Queues)
The easiest way to pay is via ePay Punjab.
- Download the ePay Punjab app.
- Go to Excise & Taxation and then Property Tax.
- Enter your PSID.
- Pay via Jazz Cash, Easypaisa, or any Bank App.
Note: If you pay before September 30, you will get a discount on your total bill.
FAQ’S
A Property Tax Notice is a certified document that is issued by the Excise, Taxation and Narcotics Department, Punjab, and that informs owners of residential, commercial, or industrial property on the amount of tax that should be paid.
Any house, shop, plaza, office, or plot located in taxable territories of Punjab may be given an envelope of Property Tax Notice to any individual or entity owning property.
Yes. The Punjab tax laws mandate payment of Property Tax. Failure to pay may lead to penalty, penalty or a law suit.
Yes. You may also go through punjab excise and taxation system online with your CNIC or property number to see your tax record, dues and pay status.
As a rule, Property Tax is paid by property owners. Nonetheless, tenants can be provided with a notification in case property records are not updated.
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