Prize Bond Tax Calculator

🏆 Prize Bond Tax Calculator 2025-2026

📋 Tax Calculation Result

Welcome to our Prize Bond Tax Calculator 2026, a simple and accurate tool designed to help you calculate prize bond tax in Pakistan within seconds. Whether you are a filer or non-filer, this calculator instantly shows how much withholding tax will be deducted and what net prize bond amount you will receive after tax.

The calculations are based on the latest FBR rules, making it easier for you to understand your real winnings before claiming your prize.

Benefits of Our Prize Bond Tax Calculator

  • Instantly calculates prize bond tax in Pakistan based on the latest FBR rules
  • Shows a clear filer vs non-filer tax difference in seconds
  • Displays accurate net prize bond amount after tax deduction
  • Eliminates manual calculation errors and confusion
  • Works for all prize bond denominations
  • Fully aligned with Income Tax Ordinance, 2001
  • Saves time with fast and easy-to-use interface
  • Helpful for both new and experienced prize bond holders
  • 100% free and accessible anytime, anywhere

What is Prize Bond Tax in Pakistan?

Prize bond tax is the tax deducted on winnings earned from National Savings prize bonds in Pakistan. Under the Income Tax Ordinance, 2001, prize bond winnings are treated as taxable income, and tax is deducted at the time of payment.

The Federal Board of Revenue (FBR) regulates prize bond taxation to ensure transparency and proper tax collection. This tax is deducted automatically, so the winner receives the amount after tax deduction.

Latest Prize Bond Tax Rates 2026 (FBR Updates)

As per current FBR prize bond tax rules, the tax rate depends on your filer status:

These rates apply uniformly to all prize bond denominations. Being listed on the Active Taxpayers List (ATL) can significantly reduce the tax deducted from your prize bond winnings.

Prize Bond Tax for Filers vs Non-Filers

The difference between a filer and a non-filer has a major impact on your net winnings:

  • A filer pays lower prize bond tax and keeps more of the prize money.
  • A non-filer faces a higher tax deduction, which can reduce winnings by almost one-third.

This filer vs non-filer prize bond tax difference is one of the biggest reasons why FBR encourages taxpayers to file their annual tax returns.

How Much Tax is Deducted on Prize Bond Winnings?

The tax deducted on prize bond winnings is known as withholding tax, and it is deducted at source when the prize is claimed.

For example:

  • If you win PKR 500,000 as a filer, 15% tax is deducted.
  • If you win the same amount as a non-filer, 30% tax is deducted.

Our prize bond tax calculator automatically applies the correct rate based on your filer status.

Prize Bond Tax Deduction Under Income Tax Ordinance 2001

Prize bond tax is deducted under Section 156 of the Income Tax Ordinance, 2001. According to this section:

  • Tax is deducted at the time of payment
  • The deduction is made by National Savings or the State Bank of Pakistan
  • The deducted tax is treated as final tax

This means the tax system is simple and transparent for prize bond winners.

Is Prize Bond Tax Final or Adjustable?

Prize bond tax in Pakistan is considered a final tax.
This means:

  • It cannot be adjusted against other income taxes
  • It cannot be refunded, even if your overall income is low

Once the tax is deducted, the matter is considered settled under FBR rules.

Is Prize Bond Tax Refundable in Pakistan?

No, prize bond tax is not refundable. Since it falls under the final tax regime, the tax deducted at source cannot be claimed back or adjusted later.

However, being a filer ensures that you are taxed at the lowest possible rate allowed by law.

How Prize Bond Tax is Calculated (Formula Explained)

Prize bond tax calculation is straightforward:

Net Prize Amount = Gross Prize Amount − (Gross Prize × Tax Rate)

This formula applies to both filers and non-filers.
Our calculator uses this exact formula to give you instant and accurate results.

Prize Bond Tax Calculation Examples (Filer & Non-Filer)

Example:
Prize Amount: PKR 1,000,000

  • Filer (15% tax):
    Net Amount = 1,000,000 − 150,000 = 850,000
  • Non-Filer (30% tax):
    Net Amount = 1,000,000 − 300,000 = 700,000

This clearly shows how filer status affects prize bond winnings.

Net Prize Bond Amount After Tax Deduction

The net prize bond amount is the actual money you receive after tax deduction. Many people focus only on the announced prize, but the real amount depends on:

  • Your filer status
  • Applicable withholding tax rate

Using an online prize bond tax calculator helps avoid confusion and surprises.

Prize Bond Tax on Different Denominations

Prize bond tax rates remain the same across all denominations, including:

  • Rs. 100
  • Rs. 750
  • Rs. 1,500
  • Rs. 25,000
  • Rs. 40,000

Only the prize amount changes — not the tax percentage.

Who Deducts Prize Bond Tax in Pakistan?

Prize bond tax is deducted by:

  • National Savings
  • State Bank of Pakistan (SBP)

The winner does not need to calculate or deposit the tax manually.

Do You Need to Declare Prize Bond Winnings in Tax Return?

Yes. Even though prize bond tax is final, filer taxpayers should declare prize bond winnings under “Other Income” in their tax return on the FBR IRIS portal.

This helps maintain a clean tax profile and supports future financial transactions.

Prize Bond Tax and Active Taxpayers List (ATL)

Being on the Active Taxpayers List (ATL) ensures:

  • Lower prize bond tax rate
  • Better financial credibility
  • Easier access to loans and banking services

If your name is not on ATL, FBR automatically treats you as a non-filer.

Common Misconceptions About Prize Bond Tax

  • Prize bond winnings are not tax-free
  • Tax rate does not depend on denomination
  • Prize bond tax is not refundable
  • Non-filers always pay higher tax

Understanding these points helps avoid misinformation.

Why Use This Online Prize Bond Tax Calculator?

Our Prize Bond Tax Calculator 2026 helps you:

  • Instantly calculate tax & net amount
  • Compare filer vs non-filer deductions
  • Follow latest FBR prize bond tax rules
  • Avoid manual calculation errors

It’s fast, accurate, and completely free.

Frequently Asked Questions (FAQs)

Is the prize bond tax the same every year?

Tax rates may change through Finance Acts, so always check the updated rules.

Can prize bond tax rates change in the future?

Yes, FBR may revise rates under new budget announcements.

Is prize bond income legal in Pakistan?

Yes, prize bonds are government-issued and fully legal.