Prize Bond Tax Calculator
Calculate FBR tax deductions on Prize Bonds and Lottery winnings for the current and previous tax years.
Filer Result
Non-Filer Result
What is Prize Bond Tax
Prize bond tax is a withholding tax that the government automatically deducts when a person claims the prize. This tax falls under Section 156 of the Income Tax Ordinance.
In Pakistan, many people prefer low-risk investments backed by the government, with prize bonds being a top choice. Issued by the Central Directorate of National Savings (CDNS), these bonds offer a secure way to save with the exciting possibility of a life-changing win. However, it is important to remember that all winnings are subject to tax obligations under FBR regulations, which vary based on your taxpayer status.
Prize Bonds Tax Deduction Rate for Filers and Non-Filers
Withholding tax on prize bonds is charged by the FBR (Federal Board of Revenue) under Section 156 of the Income Tax Ordinance, 2001, when a bond is claimed, at the following rate:
| Category | Filer | Non-Filer |
|---|---|---|
| Prize Bond | 15% | 30% |
| Lottery | 20% | 40% |
| Raffle | 20% | 40% |
| Quiz Contest | 20% | 40% |
| Promotional Prize | 20% | 40% |
Prize Bond Tax Formula
If you want to manually calculate your prize bond tax, you can use this simple formula commonly applied under rules by the Federal Board of Revenue:
Net Winnings = Gross Winnings − (Gross Winnings × Tax Rate)
This formula helps you quickly estimate how much amount you will actually receive after tax deduction.
Example Calculation
Let’s understand this with a practical example:
Scenario:
- Gross Prize Amount: PKR 600,000
- Applicable tax depends on your status in the Active Taxpayers List
For Filers (15% Tax) Calculation:
Net Winnings = 600,000 − (600,000 × 0.15)
= 600,000 − 90,000
= PKR 510,000
👉 As a filer, you will receive PKR 510,000 after tax.
For Non-Filers (30% Tax) Calculation:
Net Winnings = 600,000 − (600,000 × 0.30)
= 600,000 − 180,000
= PKR 420,000
👉 As a non-filer, you will receive PKR 420,000 after tax.
Summary:
- Filers pay lower withholding tax and keep more of their winnings
- Non-filers face higher tax deductions on prize bonds
- Tax is usually deducted at source under the Income Tax Ordinance, 2001
Tax Rates Based on Prize Bond Denominations
Under the current FBR regulations for the 2026-2027 tax year, prize bond winnings are subject to a 15% withholding tax for Active Filers and a 30% tax for Non-Filers.
| Denomination | Prize Amount (Top Tier) | Tax filer rate prize bond | Tax for Non-Filers |
| Rs100 | Rs700,000 | 15% (Rs105,000) | 30% (Rs210,000) |
| Rs750 | Rs1,500,000 | 15% (Rs225,000) | 30% (Rs450,000) |
| Rs1,500 | Rs3,000,000 | 15% (Rs450,000) | 30% (Rs900,000) |
| Rs25,000 | Rs75,000,000 | 15% (Rs11,250,000) | 30% (Rs22,500,000) |
Planning your monthly budget? Use our Salary Tax Calculator to see how the latest FBR slabs affect your take-home pay alongside your prize winnings.
Prize Bond Denominations
| Denomination | No. of Prizes | Winning Amount (Rs) | Prize Category |
| Rs. 100/- | 01 | 700,000 | 1st Prize |
| 03 | 200,000 | 2nd Prize | |
| 1,199 | 1,000 | 3rd Prize | |
| Rs. 200/- | 01 | 750,000 | 1st Prize |
| 05 | 250,000 | 2nd Prize | |
| 2,349 | 1,250 | 3rd Prize | |
| Rs. 750/- | 01 | 1,500,000 | 1st Prize |
| 03 | 500,000 | 2nd Prize | |
| 1,696 | 9,300 | 3rd Prize | |
| Rs. 1,500/- | 01 | 3,000,000 | 1st Prize |
| 03 | 1,000,000 | 2nd Prize | |
| 1,696 | 18,500 | 3rd Prize | |
| Rs. 7,500/- | 01 | 15,000,000 | 1st Prize |
| 03 | 5,000,000 | 2nd Prize | |
| 1,696 | 93,000 | 3rd Prize | |
| Rs. 15,000/- | 01 | 30,000,000 | 1st Prize |
| 03 | 10,000,000 | 2nd Prize | |
| 1,696 | 185,000 | 3rd Prize | |
| Rs. 25,000/- | 01 | 50,000,000 | 1st Prize |
| 03 | 15,000,000 | 2nd Prize | |
| 1,696 | 312,000 | 3rd Prize | |
| Rs. 40,000/- | 01 | 75,000,000 | 1st Prize |
| 03 | 25,000,000 | 2nd Prize | |
| 1,696 | 500,000 | 3rd Prize |
Source: This prize structure is based on the official State Bank of Pakistan (SBP) Prize Bond Draw Schedule.
How Prize Bond Tax Calculator Works
1. Enter Your Winnings: Input the total prize amount in the Winning Amount field. We have disabled the mouse scroll function on this field to prevent accidental number changes while you navigate the page.
2. Select Category & Year: Choose your specific winning type (Prize Bond or Lottery/Raffle) and the relevant tax year. The calculator will automatically apply the correct FBR tax percentages ($15% to $40%) based on current Pakistani law.
3. Compare Filer vs. Non-Filer: Simply click Calculate Tax to see a side-by-side comparison. The tool instantly shows the net “take-home” amount for both Active Filers and Non-Filers, helping you understand the financial benefit of being on the Active Taxpayers List (ATL).
Benefits of Filing Tax Returns:
Tax charged to filers is almost half that charged to non-filers.
It improves your credit history and increases your chances of being approved for a higher loan amount.
You can avoid legal penalties.
Exemptions or Deductions for Prize Bond Taxes
There are no exemptions or deductions for prize bond taxes. The State Bank of Pakistan deducts tax at source when the winner claims the prize.
Stay Compliant with Tax Regulations
- Use the FBR IRIS portal to submit your tax return.
- Submit your taxes before the deadline.
- Declare prize bond winnings when filing your tax return under the “Other income” category.
- Keep records of your prize bonds to avoid penalties.
To stay up to date on tax laws, visit the official FBR website regularly.
