Pkrevenue.com

Author: Mrs. Anjum Shahnawaz

  • Pakistan’s forex reserves decrease by $125 million

    Pakistan’s forex reserves decrease by $125 million

    KARACHI: The liquid foreign exchange reserves of the country fell by $125 million to $15.773 billion by week ended September 20, 2019, State Bank of Pakistan (SBP) said on Thursday.

    The total foreign exchange reserves of the country a week ago were at $15.898 billion.

    The foreign exchange reserves held by the SBP declined by $135 million to $8.465 billion by week ended September 20, 2019 as against $8.6 billion a week ago.

    The SBP said that the reserves were declined due to external debt payments.

    The reserves held by commercial banks, however, increased by $10 million to $7.307 billion as compared with $7.297 billion a week ago.

    Related Stories

    Pakistan foreign exchange reserves increase by $148 million to $15.898 billion

  • Inland Revenue offices to remain open till midnight on Sept 30 for tax collection

    Inland Revenue offices to remain open till midnight on Sept 30 for tax collection

    ISLAMABAD: All the offices of Inland Revenue will remain open till 12:00 midnight on September 30, 2019 for the collection of duty and taxes and facilitate income tax return filing.

    The Federal Board of Revenue (FBR) on Thursday issued an office order directing all the chief commissioners of Large Taxpayers Units (LTUs)/Regional Tax Offices (RTOs) and Corporate RTOs to observe extended working hours till 12:00 midnight on Monday September 30, 2019 to facilitate the taxpayers in payment of duties and taxes and filing of income tax returns and statements.

    The chief commissioners have also been asked to establish liaison with State Bank of Pakistan (SBP) and authorized branches of National Bank of Pakistan to ensure transfer of tax collection by these branches on September 30, 2019 to the respective branches of SBP on the same date.

  • Stock markets ends down 131 points on adjustments

    Stock markets ends down 131 points on adjustments

    KARACHI: The stock market ended down by 131 points due to adjustments in blue chip scrips.

    The benchmark KSE-100 index of Pakistan Stock Exchange (PSX) closed at 31,434 points as against 31,565 points showing a decline of 131 points.

    Analysts at Arif Habib Limited said that the market has been trading in a narrow range for the past week without breaching 31,000 level, although recent sessions have seen Index largely adjusting downwards.

    Selling pressure was evident in index heavy weights like ENGRO, LUCK, OGDC, PPL, HBL and UBL, which kept any increase firmly in check.

    Market on Close saw rates spiking for KEL, BOP, LUCK, OGDC. Power sector performed well in volume terms by registering 34.5 million shares on the bourse, out of which KEL garnered 31.4 million shares.

    This was followed by Cement Sector (17.4 million) and Technology (14.9 million).

    Among scrips, WTL and MLCF trailed KEL with 11.8 million and 10.4 million shares respectively.

    Sectors contributing to the performance include Banks (-55 points), Fertilizer (-47 points), O&GMCs (-20 points), Power (-18 points) and Chemical (-12 points).

    Volumes increased further from 104.7 million shares to 124.2 million shares (+19 percent DoD). Average traded value, on the contrary, declined by 15 percent to reach US$ 22.6 million as against US$ 26.7 million.

    Stocks that contributed significantly to the volumes include KEL, WTL, MLCF, ASTL and BOP, which formed 49 percent of total volumes.

    Stocks that contributed positively include MCB (+21 points), KEL (+13 points), DAWH (+12 points), EFUG (+6 points) and BOP (+6 points). Stocks that contributed negatively include HBL (-46 points), ENGRO (-40 points), HUBC (-36 points), BAFL (-16 points), and SEARL (-11 points).

    Related Stories

    Stock market remains traded in narrow range; ends down by 264 points

  • Rupee eases by two paisas on higher corporate payments

    Rupee eases by two paisas on higher corporate payments

    KARACHI: The Pak Rupee eased by two paisas against dollar on Thursday owing to higher demand for import and corporate payments.

    The rupee ended Rs156.19 to the dollar from previous day’s closing of Rs156.17 in interbank foreign exchange market.

    Currency experts said that due the quarter ending the foreign companies were repatriating profits to their parent organizations. Similarly, oil and other import payments have also escalated demand for dollar.

    The foreign currency market was opened in the range of Rs156.15 and Rs156.22. The market recorded day high of Rs156.26 and low of Rs156.18 and closed at Rs156.19.

    The exchange rate in open market also witnessed depreciation in local currency. The buying and selling of dollar was recorded at Rs155.80/Rs156.30 from previous day’s closing of Rs155.70/Rs156.20 in cash ready market.

    Related Stories

    Rupee ends flat in range bound activity

  • Banks to observe extended working hours on Sept 30 for tax collection: SBP

    Banks to observe extended working hours on Sept 30 for tax collection: SBP

    KARACHI: The State Bank of Pakistan (SBP) on Thursday said the banks will observe extended working hours on September 30, 2019 to facilitate collection of duty and taxes on the last day of first quarter of current fiscal year

    In order to facilitate the collection of Government receipts / duties / taxes, it has been decided that authorized branches of National Bank of Pakistan (NBP) as well as field offices of SBP Banking Services Corporation (SBP-BSC) shall observe extended banking hours upto 9:00 P.M. on September 30, 2019 (Monday), the SBP said.

    Accordingly, NBP branches will settle their transactions with respective SBP-BSC field offices on the same day i.e. September 30, 2019 for which purpose a special clearing has been arranged at 7:00 P.M. by the NIFT, it added.

    All banks are, therefore, advised to keep their concerned branches open on September 30, 2019 (Monday) till such time that is necessary to facilitate the special clearing for Government transactions.

  • FBR urges taxpayers for return filing by due date to get ATL status

    FBR urges taxpayers for return filing by due date to get ATL status

    KARACHI: Federal Board of Revenue (FBR) on Thursday urged individuals/companies to file their annual returns by due date in order to get their names into Active Taxpayers List (ATL).

    According to recent changes to Income Tax Ordinance, 2001 only return filers by due date are eligible to get their names into the ATL. The last date for filing income tax returns for tax year 2019 is September 30, 2019 for all taxpayers, other than companies having financial year between July to June.

    The FBR said that the following are liable to submit income tax return:

    — All registered taxpayers having National Tax Number (NTN).

    — Anyone charged to tax in the last two years.

    — Persons (salaried, businessmen and others) with annual income of Rs400,000 or more.

    — All companies (whose tax period ends between July 1 to December 31).

    — Owners of Land (500 square yards or more) or flat within municipal limits, cantonment or Islamabad Capital Territory.

    — Owners of Land (500 square yard or more) or flat (with covered area of 2000 square feet or more) in urban area.

    — Commercial or industrial electricity connection holders with annual bill over Rs0.5 million.

    — Owners of vehicles (1,000CC and above)

    — Welfare institutions or Non-Profit Organizations (NPOs) defined in Section 2(36) of Income Tax Ordinance, 2001.

    — Members of Chambers of Commerce and Industry or any trade or business association of any market committee or any professional body.

    –Resident individuals with foreign income of US $ 10,000 or more/having foreign assets of US$100,000 ore more.

    The FBR said that in order to facilitate salaried persons it had already launched a mobile phone application. The salaried persons can file their returns through mobile application in few easy steps.

  • K-Electric awards contract to set up 900MW power plant

    K-Electric awards contract to set up 900MW power plant

    KARACHI: K-Electric – power generation, transmission and distribution company – has awarded a contract to establish 900MW power plant with estimated cost of around $425 million, an announcement said on Thursday.

    According to information shared with Pakistan Stock Exchange (PSX) the power company said that the board of directors at its emergent meeting held on September 25, 2019 approved award of EPC contract to Siemens – Harbin consortium to establish 900MW combined cycle power plant at Bin Qasim.

    The estimated contract value would be around $425 million.

    The project will be executed on fast track and additional power will be available in summer 2021.

    The project will positively contribute to bridge electricity demand-supply deficit in KE service area, the company said.

  • Transfer of funds through misdeclaration included into punishable offences

    Transfer of funds through misdeclaration included into punishable offences

    KARACHI: Federal Board of Revenue (FBR) has included illegal transfer of funds through mis-declaration into the list of punishable offences.

    The FBR issued Customs Act, 1969 updated June 30, 2019 incorporating changes brought through Finance Act, 2019.

    The customs officials said that a new section 32C was introduced to Customs Act, 1969 through Finance Act, 2019 for including misdeclaration of value for illegal transfer of funds into or out of Pakistan as punishable offence under the customs law.

    Section 32C: Mis-declaration of Value for illegal transfer of funds into or out of Pakistan.

    (1) Without prejudice to any action that may be taken under this Act or any other law for the time being in force, if any person overstates the value of imported goods or understates the value of exported goods or vice versa, or using other means including short-shipment, over-shipment, with a view to illegally transferring funds into or out of Pakistan, such person shall be served with a notice to show cause within a period of two years from the date of detection of such mis-declaration as to why penal action shall not be initiated:

    Provided that if goods have not been cleared from customs, such goods shall also be liable to be seized:

    Provided further that a team consisting of Additional Collector, duly assisted by an expert in the relevant field and an officer of State Bank of Pakistan (SBP) as specified, shall submit a report in writing with evidence for the Chief Collector. The said report shall also be furnished to the SBP for action, if any, under the law regulated by SBP.

    (2) Any proceedings under this section, shall not be initiated, without the explicit approval of Board.

    The customs officials said that if any person commits offence under this section then such person shall be liable to penalty not exceeding two hundred thousand rupees or three times the value of goods in respect of which such offence is committed whichever is greater; and such goods shall be liable to confiscation.

    Further, upon conviction by a special judge the offender shall be liable to imprisonment for a term not exceeding five years and to a fine which may extend up to one million rupees.

  • Resident having foreign income above $10,000 required to file return, wealth statement

    Resident having foreign income above $10,000 required to file return, wealth statement

    KARACHI: A resident person having foreign income of above $10,000 is required to income tax return and wealth statement from tax year 2019 and onwards.

    According to officials of Federal Board of Revenue (FBR) the income tax return and wealth statement filing had been made mandatory for a Pakistani individual having foreign income above $10,000 or having foreign assets above $100,000.

    The officials said that the law was introduced through Finance Act, 2018 and from tax year 2019 such persons are required to file their income tax returns.

    Through Finance Act, 2018, Section 116A was inserted to Income Tax Ordinance, 2001, which stated:

    Section 116A: Foreign income and assets statement.

    (1) Every resident taxpayer being an individual having foreign income of not less than ten thousand United States dollars or having foreign assets with a value of not less than one hundred thousand United States dollars shall furnish a statement, hereinafter referred to as the foreign income and assets statement, in the prescribed form and verified in the prescribed manner giving particulars of—

    (a) the person’s total foreign assets and liabilities as on the last day of the tax year;

    (b) any foreign assets transferred by the person to any other person during the tax year and the consideration for the said transfer; and

    (c) complete particulars of foreign income, the expenditure derived during the tax year and the expenditure wholly and necessarily for the purposes of deriving the said income.

    (2) The Commissioner may by a notice in writing require any person being an individual who, in the opinion of the Commissioner on the basis of reasons to be recorded in writing, was required to furnish a foreign income and assets statement under sub-section (1) but who has failed to do so to furnish the foreign income and assets statement on the date specified in the notice.

    Related Stories

    FBR launches simplified wizard for income tax return filing

  • FATC Cell established at FBR Chairman office

    FATC Cell established at FBR Chairman office

    ISLAMABAD: A cell of Financial Action Task Force (FATF) has been established at the office of Chairman, Federal Board of Revenue (FBR) Headquarter, Islamabad to ensure timely completion of FATF related issues, a notification said on Wednesday.

    The FATF CELL will serve as focal point for all activities related to FBR’s compliance to FATF issues.

    The FATF Cell shall:

    i. Make periodical reports/papers/briefs for discussion in the FATF related meetings.

    ii. Coordinate with FATF Cell at Intelligence and Investigation (I&I) FBR, Islamabad and all other agencies related to FATF action plan.

    iii. Conduct research and compile reports for effective improvement of the FATF Cell working in FBR HQ.

    iv. Any other task assigned from time to time.

    The FBR further said that the following officers have been transferred / posted at FATF Cell with immediate effect and until further orders:

    01. Syed Asad Raza Rizvi, Pakistan Customs Service (PCS) BS-20 has been transferred to Chief, FATF Cell, FBR Headquarters, Islamabad from the post of Director, Directorate of Intelligence and Investigation-FBR, Multan.

    02. Muhammad Waqas Hanif, Inland Revenue IRS/BS-19 has been transferred and posted as Secretary, FATF Cell, FBR, HQ, Islamabad from the post of Additional Director, Directorate General of I&I, IR, Islamabad.

    03. Muhammad Asif (PCS/BS-19) has been transferred and posted as Secretary, FATF Cell, FBR, HQ, Islamabad from the post of Additional Director, FATF Cell, Directorate General of Intelligence and Investigation, FBR, Islamabd.