Karachi: The National Clearing Company of Pakistan Limited (NCCPL) has announced a revised mechanism for the computation of Capital Gain Tax (CGT) and Super Tax (ST) for the tax year 2026. This announcement follows an order by the Federal Constitutional Court of Pakistan dated January 27, 2026. The updated approach will affect all Clearing Members, Asset Management Companies, and the Pakistan Mercantile Exchange Limited, as well as individual taxpayers subject to these taxes under Section 37A and Section 4C of the Income Tax Ordinance, 2001.

According to the new protocol, NCCPL will not compute and collect Super Tax on Net Capital Gains in cases where no Capital Gain Tax is payable due to the holding period of the asset. However, ST will continue to be computed and collected on capital gains that are subject to CGT. The company has clarified that CGT will not be adjusted against any ST obligation of a taxpayer for the current tax year. Therefore, any excess CGT collected will be refunded to the taxpayer, regardless of their ST obligation.

This revised mechanism is set to be applied throughout the entire tax year of 2026 and will be considered during the finalization of year-end taxation computations for the current tax year.

The announcement is part of NCCPL’s efforts to streamline tax processes and ensure clarity in tax obligations for all stakeholders involved. According to information available from the Pakistan Stock Exchange (PSX), these changes are anticipated to bring a more structured approach to the computation and collection of CGT and ST, aligning with the recent judicial directives.

The designated market category impacted by this revision includes all taxpayers who are active participants within the financial and trading sectors of Pakistan, ensuring compliance with the newly set judicial standards.