15pc WHT on independent professional services from July 1

Withholding tax on independent professional services will be charged at 15 percent from July 1, 2026, according to Business Recorder, which cited an FBR budget explanatory circular. The rate now covers freelance accountants, architects, lawyers, medical doctors and software developers who work alone. The circular rewrites sub-paragraph (ii) of that division to set this specific rate.

Another amendment raises the rate in sub-paragraph (i) from six percent to seven percent. Payments made to companies for port and terminal operations will be subject to 12 percent on the gross amount, while other services outside that paragraph will carry 14 percent of the gross amount.

The FBR also raised the section 151A withholding rate on capital gains from disposal of debt securities from 15 percent to 20 percent. The explanatory circular also sets out revised rates for services and certain debt securities.