s. 231AB

Advance tax on cash withdrawal

Transitional Advance Tax Provisions

(1) Every banking company shall deduct advance adjustable tax at the rate of 0.8% of the cash withdrawal from a person whose name is not appearing in the active taxpayers’ list on the sum total of the payments for cash withdrawal in a day, exceeding fifty thousand rupees. Explanation. – For removal of doubt, it is clarified that the said fifty thousand rupees shall be aggregate cash withdrawals in a single day.

Amendment history (14)

Inserted by the Finance Act, 2005.
Section 231A omitted by the Finance Act, 2021. The omitted section
Sub-section (2) omitted by Finance Act, 2015. The omitted sub-section (2)
Added by the Finance Act, 2010.
Section 231AA omitted by the Finance Act, 2021. The omitted section
Sub-section (4) omitted by Finance Act, 2015. Omitted sub-section (4)
Section 231AB inserted by the Finance Act, 2023.
The expression “0.6%” substituted by the Finance Act 2025.
Section 231B substituted by the Finance Act, 2014. The substituted section 231B
The word “private” omitted by the Finance Act, 2022.
Full-stop substituted by the Finance Act 2016.
Added by the Finance Act, 2016.
Sub-section (1A) substituted by the Finance Act, 2017. The substituted sub-section (1A) read as
The word “non-filer” substituted though Finance Act, 2019.

Amendment notes captured from the source page(s); they may include changes to neighbouring provisions.

Source FBR PDF page 472

Unofficial reference, compiled from the FBR’s consolidated Income Tax Ordinance 2001 (amended up to 30 June 2026). Provided for general information only — not an official FBR publication and not legal or tax advice. Always verify against the official FBR text before relying on it for filing or any decision.