Can I evict a tenant who is not paying rent?

Yes, but you must follow proper legal procedures. Send a written notice first, and if the tenant doesn't comply, approach the Rent Controller or civil courts for an eviction order.

Do I need to pay tax on rental income?

Yes, rental income above the threshold amount is taxable. Consult a tax professional for current rates and filing requirements under the Income Tax Ordinance.

Can I refuse to return the security deposit?

You can deduct legitimate costs (damages, unpaid bills) from the security deposit. However, refusing to return it entirely without valid reasons is not permitted under law.

Landlord Rights and Responsibilities in Pakistan — Complete Guide

Landlord's Role in Pakistan

Being a landlord in Pakistan comes with both rights and responsibilities. Understanding these helps you protect your property while maintaining a fair relationship with your tenants.

Landlord Rights

1. Right to Collect Rent

The most fundamental right — you are entitled to receive the agreed rent on time. Late payments can be addressed through the terms specified in your agreement.

2. Right to Security Deposit

You can collect a security deposit (typically 1-3 months' rent) to protect against damages or unpaid rent.

3. Right to Property Inspection

You have the right to inspect your property periodically, provided you give reasonable notice (typically 24 hours).

4. Right to Eviction (with due process)

You can seek eviction for legitimate reasons: non-payment of rent, violation of agreement terms, personal need for the property, or structural repairs requiring vacancy.

5. Right to Rent Revision

You can increase rent upon renewal as per the agreed terms, typically 10% annually.

Landlord Responsibilities

1. Property Maintenance

You must maintain the structural integrity of the property including roof, walls, plumbing, and electrical systems.

2. Safety Standards

The property must meet basic safety standards — proper electrical wiring, functioning locks, and structural soundness.

3. Tax Obligations

Property tax, income tax on rental income, and withholding tax responsibilities fall on the landlord.

4. Privacy

You must respect the tenant's privacy and right to peaceful enjoyment of the property. You cannot enter the premises without notice except in emergencies.

5. Written Agreement

Providing a clear, written rent agreement is your responsibility. Use our free generator to create one easily.

Tax Implications for Landlords

Rental Income Tax: Rental income above a threshold is taxable under the Income Tax Ordinance 2001
Withholding Tax: Commercial tenants may be required to deduct withholding tax from rent payments
Property Tax: Annual property tax is the landlord's obligation