Pkrevenue.com

Author: Mrs. Anjum Shahnawaz

  • Stock market ends down by 93 points in narrow range trading

    Stock market ends down by 93 points in narrow range trading

    KARACHI: The stock market ended down by 93 points on Wednesday while trading in a narrow range during the day. The benchmark KSE-100 index of Pakistan Stock Exchange (PSX) closed at 45,307 points as against previous day’s closing of 45,400 points, showing a decline of 93 points.

    Analysts at Arif Habib Limited said that the market traded in a narrow range today between -174 points and +227 points, closing the session -93 points.

    Investors already appeared somewhat despondent of the financial results and indifference of pertinent stocks to those results, NCOC’s hint towards lock down of major cities added fuel to fire.

    Selling pressure ensued that brought the index down, eroding the gains earlier made in the session. O&GMCs, E&P, Cement and Steel sector stocks bore the brunt and waning investor confidence had its bearing on technology stocks as well.

    Among volume leaders, TRG led the table with 46.7 million shares, followed by WTL (42.8 million) and UNITY (37.5 million).

    Sectors contributing to the performance include Technology (+72 points), Banks (+59 points), Fertilizer (+18 points), Cement (76 points), E&P (-45 points), and Engineering (-24 points).

    Volumes increased from 343.2 million shares to 387.9 million shares (+13 percent DoD). Average traded value also increased by 36 percent to reach US$ 126.5 million as against US$ 92.8 million.

    Stocks that contributed significantly to the volumes include TRG, WTL, UNITY, GGL and TELE, which formed 45 percent of total volumes.

    Stocks that contributed positively to the index include TRG (+88 points), ENGRO (+37 points), NBP (+22 points), KTML (+18 points) and EFERT (+13 points). Stocks that contributed negatively include LUCK (-28 points), FFC (-22 points), POL (-18 points), OGDC (-16 points) and ISL (-15 points).

  • Sajidullah Siddiqui transferred as Member IT

    Sajidullah Siddiqui transferred as Member IT

    The Federal Board of Revenue (FBR) has announced the appointment of Sajidullah Siddiquie, a distinguished officer of the Inland Revenue Service (IRS) with the rank of BS-21, as the Member (IT) FBR.

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  • Rupee falls by 24 paisas against dollar

    Rupee falls by 24 paisas against dollar

    KARACHI: The Pak Rupee fell by 24 paisas against the dollar on Wednesday owing to high demand for import and corporate payments.

    The rupee ended Rs153.23 to the dollar from previous day’s closing of Rs152.99 in the interbank foreign exchange market.

    The dealers said that the rupee was remained under pressure due to corporate demand for dollars during the day. They said that the corporate buyers were active as multinational companies and foreign companies usually repatriate profit and dividends on close of every quarter.

    They further said that the demand for import payment was also seen rising.

  • Habib Bank pays penalty of Rs42.2 million to SBP

    Habib Bank pays penalty of Rs42.2 million to SBP

    KARACHI: Habib Bank Limited (HBL) has paid monetary penalty of Rs42.2 million to State Bank of Pakistan (SBP) for violation of various regulatory provisions.

    According to HBL it paid Rs42.2 million during first quarter (January – March) of 2021 against penalties imposed by the SBP. The bank had paid around Rs231.6 million as monetary penalties to SBP in the same quarter of the last year.

    A total amount of Rs42.23 million was paid by the bank as penalties, including those imposed by other regulatory bodies. The bank had paid around 232.19 million as total penalty for the same quarter of the last year.

    The bank had paid an amount of Rs320.79 million as penalty for various regulatory violations during the year ended December 31, 2020.

    For the year ended December 31, 2020, the bank paid the amount of Rs320.79 million as penalties for violation of various regulations.

    However, the payment of penal amount reduced by 33 percent when compared with Rs480.56 million paid in the preceding year.

    The bank paid an amount of Rs296 million against fine imposed by the SBP for the year ended December 31, 2020. The latest amount of monetary penalty has been reduced when compared with Rs476 million that was imposed by the SBP on the bank during the preceding year.

  • Pakistan Customs launches automated scanning of imported consignments

    Pakistan Customs launches automated scanning of imported consignments

    ISLAMABAD: Pakistan Customs has launched a new automated scanning facility for containerized import consignments of industrial raw materials for speedy clearance, a statement said on Wednesday.

    The new system has been introduced in WeBOC system. The introduction of Non-Intrusive Inspection System by Customs was a long awaited initiative aimed at replacing physical inspection of cargo and reducing the dwell time at ports by using the latest scanning technology in line with international best practices.

    The Karachi Port and Port Qasim have Customs scanning facilities installed with the assistance of Japanese Government under JICA program in addition to the scanners of the terminal operators.

    The Blue channel will be part of the Risk Management System (RMS) through which Customs will be able to select the consignments of containerized cargo based on RMS by using computer program targeting the suspected shipments. The system shall operate without human intervention which is designed to be based on the risk profiling and risk parameters.

    The scheme is envisaged to reduce the physical examination of goods which is time consuming and costlier besides causing port congestion. The program has been implemented initially at KICT, SAPT terminals of Karachi port and at QICT, Port Qasim with effect from 19th April, 2021 for industrial raw materials and drastic reduction in clearance time of such consignments has been observed.

    The World Customs Organization (WCO) recommends the scanning of suspected cargo at ports and border stations for security of supply chain under its (SAFE) Security and Facilitation Framework and Kyoto Convention.

    By implementing the Blue channel, Pakistan Customs will not only be able to ensure security of supply chain but also ensure correct declaration of goods and secure legitimate payment of duty and taxes by the importers.

    This technological intervention will support in facilitating the trade by reducing the clearance time, saving cost, and decreasing port congestion leaving positive impact on overall cargo dwell time.  The program will go a long way in modernization of Customs procedures in Pakistan.

  • FBR urged to abolish withholding tax, minimum tax for commercial importers

    FBR urged to abolish withholding tax, minimum tax for commercial importers

    KARACHI: Federal Board of Revenue (FBR) has been urged to abolish withholding tax and minimum tax for commercial importers in the upcoming budget 2021/2022.

    Karachi Chamber of Commerce and Industry (KCCI) in its proposals for the upcoming budget said that commercial Importers of raw material pay withholding tax at 2 percent up to 5.5 percent which can only be possible if the gross profit is 30 percent, while the margin is not more than 2 to 3 percent on raw materials sold without value addition or change in form.

    By amendment to Section 148 of Income Tax Ordinance, 2001 through Finance Bill 2018-19, WHT paid on import of raw materials by commercial importers has been converted to minimum tax and the importers have been taken out of fixed tax regime (FTR).

    The chamber said that the concept of WHT is unique to Pakistan’s Tax regime which in fact is tantamount to putting the burden of tax-collection from undocumented entities on the compliant tax payers and avoiding the responsibility to broaden tax-base.

    After acquiring unprecedented powers to access information under Section 56 A and 56 B in Income Tax Ordinance, 2001, FBR and its subordinate departments must take the responsibility to identify non-compliant and undocumented entities/persons instead of laying the onus on existing taxpayers.

    The chamber proposed that concept of minimum tax and withholding tax may be abolished.

    Tax Payers may be allowed to pay certain Fixed Tax or opt for Audit regime and pay taxes in accordance with actual tax liability on Income.

    Furthermore, all Taxes deducted have to be adjustable against actual tax liability.

    Giving rationale, the chamber said that the commercial importers who are a major source of revenue will be able to resume their business and contribute to revenue as well as promotion of SMEs.

  • Meezan Bank declares Rs6.1 billion profit after tax for first quarter

    Meezan Bank declares Rs6.1 billion profit after tax for first quarter

    KARACHI: Meezan Bank Limited, which is providing Sharia compliant banking and financing in Pakistan, on Tuesday declared Rs6.1 billion after tax profit for the quarter ended March 31, 2021.

    The net profit of the bank increased by 11 percent during the first quarter (January – March) 2021 when compared with the net profit of Rs5.5 billion in the corresponding period of the last fiscal year.

    According to the financial results of the bank, the profit/return earned on Islamic financing and related assets, investment and placements fell to Rs24.23 billion during first three months of the calendar year 2021 as compared with Rs29.83 billion in the corresponding months of the last year.

    Similarly, profit on deposits and other dues expensed also reduced to Rs9.17 billion during the period under review as compared with Rs15.11 billion in the corresponding period of the last year.

    However, the bank recorded 61 percent growth in fee and commission income to Rs2.06 billion for the quarter ended March 31, 2021 as compared with Rs1.28 billion in the same quarter of the last year.

    Total income of the income for the quarter under review increased to Rs18.61 billion as compared with Rs17.91 billion in the corresponding quarter of the last year.

    The operating expenses of the bank increased to Rs7.83 billion during January – March of 2021 as compared with Rs6.8 billion in the same period of the last year.

    Meezan Bank declared Rs4.31 as earnings per share (EPS) for the quarter ended March 31, 2021 as compared with Rs3.89 in the same quarter of the last year.

  • SECP issues list of persons for issuance of instruments

    SECP issues list of persons for issuance of instruments

    ISLAMABAD: Securities and Exchange Commission (SECP) on Tuesday issued a notification to revise previous SRO regarding list of persons to whom any instrument in the nature of ‘redeemable capital’ may be issued by a company.

    The SECP notified the following persons to whom any instrument in the nature of “redeemable capital” may be issued by a company, subject to the terms and conditions as provided under section 66 of the Act, namely:-

    (i) mutual funds, Voluntary Pension Schemes and Private fund being managed by NBFC;

    (ii) insurer registered under the Insurance Ordinance, 2000 (XXXIX of 2000);

    (iii) a Securities Broker;

    (iv) a Fund and Trust as defined in the Employees Contributory Funds (Investment in Listed Securities) Regulations, 2018;

    (v) a company and body corporate as defined in the Companies Act, 2017(XlX of 2017);

    (vi) all individual investors including accredited individual investors, in case of Government Debt Securities, and debt securities whose debt servicing is guaranteed by the Government;

    (vii) accredited individual investors, in case of corporate debt instruments: Provided that the company shall ensure the following:

    (a) instrument is not placed to more than fifty (50) accredited individual investors;

    (b) information memorandum contains all applicable information/disclosures as prescribed under the Public Offering regulations, 2017; and

    (c) instrument is not sold to non-accredited investors in secondary market.

    Explanation: – for the purposes of this notification the expressions, –

    (a) “accredited individual investor” means an individual investor registered with National Clearing Company of Pakistan Limited and having net assets of Rs. 5 million or more; and

    (b) “Government Debt Securities” means a debt security such as Treasury Bill (T-Bill), Pakistan Investment Bond (PIB), Government of Pakistan (GoP) Ijarah Sukuk and any other debt instrument issued by the Federal Government, Provisional Government, Local Government/Authority, and any other statutory body.

  • Customs Intelligence Multan announces auction of confiscated vehicles on April 22

    Customs Intelligence Multan announces auction of confiscated vehicles on April 22

    ISLAMABAD: Directorate of Intelligence and Investigation (I&I), Customs, Regional Office, Multan announced auction of confiscated vehicles lying in State Warehouse to be held on April 22, 2021.

    Following vehicles will be presented for the auction;

    01. Honda Civic Car, Model 2008, Chassis No. JHMFD36209S200819

    02. Toyota Prius Car, Model 2007, Chassis No. NHW20-0004804

    03. Toyota Probox Car, Model 2004, Chassis No. NCP50-0027535

    04. Hino Ranger Truck, Model 1991, Chassis No. FD3WDA-11415

    05. Toyota Land Cruiser (Prado), Chassis No. 1998, Chassis No. VZJ95-0039067

    06. Honda Inspire Car, Model 2004, Chassis No. UCI-1006426

    07. Toyota Vitz Car, Model 2003, Chassis No. SCP13-0030360

    08. Toyota Passo Car, Model 2010, Chassis No. KGC30-0018737

    09. Toyota Prius Car, Model 2004, Chassis No. NHW20-0111242

    10. Suzuki Jimmy Jeep, Model 1998, Chassis No. JB33W-104888

    11. Toyota Vitz Car, Model 2003, Chassis No. SCP10-0446278

    12. Toyota Vitz Car, Model 2003, Chassis No. SCP13-0016761

    13. Hino Ranger Truck, Model 1993, Chassis No. FD3HLA-31038

    14. Toyota Prius Car, Model 2009, Chassis No. ZVW30-5023030

    15. Toyota Vitz Car, Model 2003, Chassis No. SCP130019176

    16. Toyota Altis Car, Model 2015, Chassis No. MR053REH205282314

    17. Toyota Aqua Car, Model 2012, Chassis No. NHP10-6023466

    18. Honda Civic Reborn Car, Model 2007, Chassis No. JHMFD16308S212954

    19. Toyota Axio Car, Model 2010, Chassis No. NZE141-6165377

    20. Toyota Esta 7 Seaters, Model 2002, Chassis No. ACR40-0055237  

  • Real estate remains top priority for documentation of economy

    Real estate remains top priority for documentation of economy

    ISLAMABAD: Tax authorities have prioritized real estate sector for documentation of economy during next three years for increasing share of direct taxes in revenues.

    The Medium Term Budget Strategy Paper for 2021/2022 to 2023/2024 issued by the ministry of finance stated that all out efforts are being made to increase the share of direct taxes in revenues.

    “Documentation of economy to increase the taxation in services, real estate and wholesale and retail is top priority,” it added.

    According to the paper the use of information technology is the corner stone of strategy of Federal Board of Revenue (FBR) for mobilization of revenues.

    It aims at automation of all business processes starting from registration to assessment and issuance of refunds.

     Installation of the ‘Track and Trace’ system, point of sale integration of retailers with FBR’s computerized system, e-audit and e-appeals are at various stages of implementation and would be fully operational in the medium term.