NCCPL Revises CGT And Super Tax Rules

National Clearing Company of Pakistan Limited (NCCPL) has introduced revisions to the methodology for calculating and collecting Capital Gain Tax (CGT) and Super Tax (ST) for Tax Year 2026, following directions arising from an order issued by the Federal Constitutional Court of Pakistan on January 27, 2026.

In a circular addressed to clearing members, asset management companies, and Pakistan Mercantile Exchange Limited, NCCPL stated that it will discontinue the computation and collection of Super Tax on net capital gains in cases where Capital Gain Tax is not payable due to the applicable holding period provisions prescribed under the Income Tax Ordinance, 2001.

The company clarified that Super Tax will continue to be assessed and collected on capital gains that remain taxable under the Capital Gain Tax regime pursuant to Sections 37A and 4C of the Income Tax Ordinance, 2001.

NCCPL further announced a significant procedural change whereby Capital Gain Tax will no longer be adjusted against a taxpayer’s Super Tax liability during the current tax year.

Under the revised framework, any excess Capital Gain Tax collected from taxpayers will be refunded independently, regardless of whether any outstanding Super Tax liability exists. As a result, Capital Gain Tax and Super Tax obligations will be maintained, assessed, and recovered as separate tax liabilities.

According to the notice, the revised treatment is intended to align tax administration practices with the legal position arising from the court’s order and will be applicable throughout Tax Year 2026.

NCCPL stated that the revised methodology will be incorporated during the finalisation of annual tax calculations and year-end tax settlements for affected taxpayers.

Market participants, including brokers, clearing members, and fund managers, have been advised to contact NCCPL’s Customer Support Department for clarification and guidance regarding implementation of the updated tax computation and collection procedures.

The revised framework is expected to impact the manner in which capital market participants manage tax obligations relating to capital gains transactions and Super Tax liabilities during Tax Year 2026.