FBR Imposes 5% Tax on Weddings & Other Gathering Events


People should not think that government will not impose tax on them. They find some interesting places, on which they impose new taxes. Federal Board of Revenue (FBR) imposed the advance tax of 5% on the weddings and gatherings. The government has imposed the Advance Tax under the provision of section 236D of Income Tax Ordinance 2001.

According to the notification of FBR, every prescribed person shall collect the advance tax at the rate of 5% on the total amount of bill. This tax will be imposed on the bills for managing any function at the following places:

  • Club
  • Commercial lawn
  • Hotel
  • Restaurant
  • Any community place
  • Marquee
  • Marriage hall
  • Any other place used for the purpose of holding any events.

Following events will be taxed:

  • Concert
  • Exhibition
  • Party
  • Seminar
  • Wedding
  • Workshop
  • Any other gathering at any of the above mentioned places.

People can get the clarification on application of the new tax that any place, where food is served or other similar activity or service is provided to the persons or in the commercial entity, the service provider will have to collect 5% more advance tax on the total payment of such food, service or facility from the organizing person for any event or function.

It is noted that government has already imposed the sales tax at all hotels, restaurants or other similar service providers for their services. With the introduction of this additional tax, the public will bear more burden. The federal and all provincial budgets have been announced this year and now we are getting further mini budgets with more and more implementation of the taxes on the daily activities.

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