Pakistan’s Prize Bond Tax: Pakistan rules remain unchanged under the Finance Act 2026-27, giving investors clarity on the tax they will pay when claiming prize bond winnings. While several tax measures came into effect from July 1, the withholding tax on prize bond rewards has stayed the same for both tax filers and non-filers.
The update is important for millions of National Savings investors who regularly participate in prize bond draws. Knowing the applicable tax rate helps winners estimate the amount they will receive after deductions.
Prize Bond Tax Pakistan Remains Unchanged
Under the current Finance Act, tax filers will continue to pay 15% withholding tax on prize bond winnings. Non-filers will still face a 30% withholding tax, maintaining the existing policy of a higher deduction for those who are not on the Active Taxpayers List.
Although the new fiscal year introduced tax changes across several sectors, the federal government did not revise the tax rates for prize bond rewards. As a result, investors can expect the same deductions that applied before the new budget.
This decision provides certainty for prize bond holders who were waiting to see whether the new financial year would bring changes to the taxation of prize winnings.
Upcoming Rs 750 Prize Bond Draw
The next major event for investors is the 107th draw of the Rs 750 prize bond, scheduled for July 15, 2026, in Lahore.
The prize structure includes:
- First Prize: Rs 1.5 million (one winner)
- Second Prize: Rs 500,000 each (three winners)
- Third Prize: Rs 9,300 each (hundreds of winners)
Any applicable withholding tax will be deducted from these prize amounts before payment, depending on the winner’s tax filer status.
Also Read: Pakistan Defence Savings Scheme Profit Rate Hits 11.44%
Why This Update Matters
Prize bonds continue to attract a large number of Pakistanis because they are backed by the government and keep the original investment secure while offering quarterly opportunities to win cash prizes.
The unchanged tax policy also allows existing investors and new buyers to make informed financial decisions without adjusting their expectations for prize payouts under the new fiscal year.
Despite the unchanged Prize Bond Tax Pakistan rules, National Savings currently offers prize bonds in several denominations, including Rs 100, Rs 200, Rs 750, Rs 1,500, Rs 7,500, Rs 15,000, Rs 25,000, and Rs 40,000, providing investment options for people with different budgets.
