Currency experts said that foreign currency demand was seen for import and corporate payments during the day.
They said that widening of trade deficit had kept the pressure on demand side. They said import prices of international commodities and energy had witnessed substantial increase.
They said that the country required immediate support in the share of export dollars and inflows of workers’ remittances to support the local currency.
ISLAMABAD: The Federal Board of Revenue (FBR) has said that the alternate facility of making the payment over the counter (OTC) still allowed simultaneously along with the Alternate Delivery Channel (ADC) channel till September 30, 2021, so that no inconvenience is caused to the individual taxpayer for seamless filing of returns.
FBR has launched single identifier number for all domestic taxes. Under this initiative, a taxpayer can use all applications under the Income Tax, Sales Tax and Federal Excise duty by mere use of CNIC if a taxpayer is an individual.
In case of partnership firms and companies, National Tax Number (NTN) shall be the common tax identifier number. In this manner the Sales Tax, Income Tax and Federal Excise law have been harmonized.
This is an important step toward ease of doing business and will substantially improve Pakistan’s rating on this count.
FBR has also launched a facility whereby taxpayers can now make payments without visiting the bank. This facility is widely known as Alternate Delivery Channel (ADC) payment mode.
The ADC allows taxpayer to pay all Federal taxes and duties i.e. Income Tax, Sales Tax, Customs duty and Federal Excise Duty from any commercial bank account through internet banking, ATM, mobile banking and Contact Centers.
However, in the case of an individual taxpayer, the alternate facility of making the payment over the counter (OTC) has still been allowed simultaneously along with ADC channel till September 30, 2021, so that no inconvenience is caused to the individual taxpayer for seamless filing of returns.
Analysts at Arif Habib Limited said that the market consolidated the gains made in the previous sessions with profit booking in technology, cement, steel and refinery sectors, whereas the index got some support from banks and power sector.
Technology sector saw selling pressure that brought AVN and other tech stocks down, despite hitting a historic IPO of Octopus Digital in the previous week.
Among scrips, BYCO topped the volumes with 44.9 million shares, followed by SERFR (42.1 million) and TPLP (41 million).
Sectors contributing to the performance include Banks (+85 points), E&P (+21 points), Power (+20 points), Pharma (+16 points), Technology (-44 points) and Cement (-17 points).
Volumes declined from 427.4 million shares to 395.8 million shares (-8 per cent DoD). Average traded value also declined by 11 per cent to reach US$ 96.3 million as against US$108.1 million.
Stocks that contributed significantly to the volumes include BYCO, SERFR, TPLP, TELE and TPL, which formed 45 per cent of total volumes.
Stocks that contributed positively to the index include UBL (+66 points), HBL (+33 points), AGP (+20 points), COLG (+18 points) and HUBC (+18 points). Stocks that contributed negatively include TRG (-36 points), MEBL (-35 points), BAHL (-14 points), PIOC (-8 points) and MLCF (-8 points).
Section 175 of Income Tax Ordinance, 2001 authorized officials of Federal Board of Revenue (FBR) to enter any premises of taxpayers for search and take possession of records.
175. Power to enter and search premises.— (1) In order to enforce any provision of this Ordinance (including for the purpose of making an audit of a taxpayer or a survey of persons liable to tax), the Commissioner or any officer authorised in writing by the Commissioner for the purposes of this section –
(a) shall, at all times and without prior notice, have full and free access including real-time electronic access to any premises, place, accounts, documents or computer;
(b) may stamp, or make an extract or copy of any accounts, documents or computer-stored information to which access is obtained under clause (a);
(c) may impound any accounts or documents and retain them for so long as may be necessary for examination or for the purposes of prosecution;
(d) may, where a hard copy or computer disk of information stored on a computer is not made available, impound and retain the computer for as long as is necessary to copy the information required; and
(e) may make an inventory of any articles found in any premises or place to which access is obtained under clause (a).
(2) The Commissioner may authorize any valuer or expert to enter any premises and perform any task assigned to him by the Commissioner.
(3) The occupier of any premises or place to which access is sought under sub-section (1) shall provide all reasonable facilities and assistance for the effective exercise of the right of access.
(4) Any accounts, documents or computer impounded and retained under sub-section (1) shall be signed for by the Commissioner or an authorised officer.
(5) A person whose accounts, documents or computer have been impounded and retained under sub-section (1) may examine them and make extracts or copies from them during regular office hours under such supervision as the Commissioner may determine.
(6) Where any accounts, documents or computer impounded and retained under sub-section (1) are lost or destroyed while in the possession of the Commissioner, the Commissioner shall make reasonable compensation to the owner of the accounts, documents or computer for the loss or destruction.
(7) This section shall have effect notwithstanding any rule of law relating to privilege or the public interest in relation to access to premises or places, or the production of accounts, documents or computer-stored information.
(8) In this section, “occupier” in relation to any premises or place, means the owner, manager or any other responsible person on the premises or place.
(9) For the purpose of clause (a) of sub-section (1), the Board may make rules relating to electronic real-time assess for audit or a survey of persons liable to tax.
175A. Real-time access to information and databases.- (1) Notwithstanding anything contained in any law for the time being in force, including but not limited to the National Database and Registration Authority Ordinance, 2000 (Ordinance VIII of 2000), and the Emigration Ordinance, 1979(Ordinance XVIII of 1979), arrangements shall be made to provide real-time access of information and database to the Board in the prescribed form and manner by-
(a) the National Database and Registration Authority with respect to information pertaining to National Identity Card, Pakistan Origin Card, Overseas Identity Card, Alien Registration Card, and other particulars contained in the Citizen Database.
(b) the Federal Investigation Agency and the Bureau of Emigration and Overseas Employment with respect to details of international travel;
(c) the Federal Investigation Agency and the Bureau of Emigration and Overseas Employment with respect to details of international entry and exit of all persons and information pertaining to work permits, employment visas and immigration visas;
(d) the Islamabad Capital Territory and provincial and local land record and development authorities with respect to record-of-rights including digitized edition of record-of-rights, periodic record, record of mutations and report of acquisition of right;
(e) the Islamabad Capital Territory and provincial Excise and Taxation Departments with respect to information regarding registration of vehicles, transfer of ownership and other associated record;
(f) All electricity suppliers and gas transmission and distribution companies with respect to particulars of a consumer, the units consumed and the amount of bill charged or paid:
Provided that where the connection is shared or is used by a person other than the owner, the name and CNIC of the owner and the user shall also be furnished:
Provided further that all electricity suppliers and gas transmission and distribution companies shall make arrangements by the 1st day of January, 2021 for allowing consumers to update the ratio of sharing of a connection or the particulars of users, as the case may be; and
(g) any other agency, authority, institution or organization notified by the Board.
(2) The Board shall make arrangements for laying the infrastructure for real-time access to information and database under sub-section (1) and aligning it with its own database in the manner as may be prescribed.
(3) Until real-time access to information and database is made available under sub-section (1), such information and data shall be provided periodically in such form and manner as may be prescribed.
(4) Subject to section 216, all information received under this section shall be used only for tax purposes and kept confidential.
(Disclaimer: The text of the above section is only for information. Team PkRevenue.com makes all efforts to provide the correct version of the text. However, the team PkRevenue.com is not responsible for any error or omission.)
174. Records.— (1) Unless otherwise authorised by the Commissioner, every taxpayer shall maintain in Pakistan such accounts, documents and records as may be prescribed.
(2) The Commissioner may disallow or reduce a taxpayer’s claim for a deduction if the taxpayer is unable, without reasonable cause, to provide a receipt, or other record or evidence of the transaction or circumstances giving rise to the claim for the deduction.
(3) The accounts and documents required to be maintained under this section shall be maintained for six years after the end of the tax year to which they relate:
Provided that where any proceeding is pending before any authority or court the taxpayer shall maintain the record till final decision of the proceedings.
Explanation.— Pending proceedings include proceedings for assessment or amendment of assessment, appeal, revision, reference, petition or prosecution and any proceedings before an Alternative Dispute Resolution Committee”.
(4) For the purpose of this section, the expression “deduction” means any amount debited to trading account, manufacturing account, receipts and expenses account or profit and loss account.
(5) The Commissioner may require any person to install and use an Electronic Tax Register of such type and description as may be prescribed for the purpose of storing and accessing information regarding any transaction that has a bearing on the tax liability of such person.
(Disclaimer: The text of the above section is only for information. Team PkRevenue.com makes all efforts to provide the correct version of the text. However, the team PkRevenue.com is not responsible for any error or omission.)
173. Liability and obligations of representatives. — (1) Every representative of a person shall be responsible for performing any duties or obligations imposed by or under this Ordinance on the person, including the payment of tax.
(2) Subject to sub-section (4), any tax that, by virtue of sub-section (1), is payable by a representative of a taxpayer shall be recoverable from the representative only to the extent of any assets of the taxpayer that are in the possession or under the control of the representative.
(3) Every representative of a taxpayer who pays any tax owing by the taxpayer shall be entitled to recover the amount so paid from the taxpayer or to retain the amount so paid out of any moneys of the taxpayer that are in the representative’s possession or under the representative’s control.
(3A) Any representative, or any person who apprehends that he may be assessed as a representative, may retain out of any money payable by him to the person on whose behalf he is liable to pay tax (hereinafter in this section referred to as the “principal”), a sum equal to his estimated liability under this Ordinance, and in the event of disagreement between the principal and such a representative or a person as to the amount to be so retained, such representative or person may obtain from the Commissioner a certificate stating the amount to be so retained pending final determination of the tax liability, and the certificate so obtained shall be his authority for retaining that amount.
(4) Every representative shall be personally liable for the payment of any tax due by the representative in a representative capacity if, while the amount remains unpaid, the representative –
(a) alienates, charges or disposes of any moneys received or accrued in respect of which the tax is payable; or
(b) disposes of or parts with any moneys or funds belonging to the taxpayer that is in the possession of the representative or which comes to the representative after the tax is payable, if such tax could legally have been paid from or out of such moneys or funds.
(5) Nothing in this section shall relieve any person from performing any duties imposed by or under this Ordinance on the person which the representative of the person has failed to perform.
(Disclaimer: The text of the above section is only for information. Team PkRevenue.com makes all efforts to provide the correct version of the text. However, the team PkRevenue.com is not responsible for any error or omission.)
KARACHI: The annual profit of K-Electric, the utility company providing electricity to Karachi city, has surged by five times to Rs12 billion for the year ended June 30, 2021.
According to financial results approved by the board of directors on Monday, the profit of the company sharply increased to Rs12 billion for the year 2020/2021 as compared with the loss of Rs3 billion in the preceding fiscal year.
Sale of energy increased to Rs255 billion for the year under review as compared with Rs193.87 billion in the preceding year.
The company claimed tariff adjustment of Rs70 billion for the year 2020/2021 as compared with Rs95 billion in the preceding year.
Cost of sales recorded at Rs265.85 billion for the year ended June 30, 2021 as compared with Rs245 billion in the preceding year.
The company declared gross profit of Rs59.19 billion for the fiscal year 2020/2021 as compared with Rs44 billion in the preceding fiscal year.
Expenses of the company for the year under review increased to Rs32.7 billion as compared with Rs26.79 billion during the preceding fiscal year.
170. Refunds.— (1) A taxpayer who has paid tax in excess of the amount which the taxpayer is properly chargeable under this Ordinance may apply to the Commissioner for a refund of the excess.
(1A) Where any advance or loan, to which sub-clause (e) of clause (19) of section 2 applies, is repaid by a taxpayer, he shall be entitled to a refund of the tax, if any, paid by him as a result of such advance or loan having been treated as dividend under the aforesaid provision.
(2) An application for a refund under sub-section (1) shall be –
(a) made in the prescribed form;
(b) verified in the prescribed manner; and
(c) made within three years of the later of –
(i) the date on which the Commissioner has issued the assessment order to the taxpayer for the tax year to which the refund application relates; or
(ii) the date on which the tax was paid.
(3) Where the Commissioner is satisfied that tax has been overpaid, the Commissioner shall —
(a) apply the excess in reduction of any other tax due from the taxpayer under this Ordinance;
(b) apply the balance of the excess, if any, in reduction of any outstanding liability of the taxpayer to pay other taxes; and
(c) refund the remainder, if any, to the taxpayer.
(4) The Commissioner shall, within sixty days of receipt of a refund application under sub-section (1), serve on the person applying for the refund an order in writing of the decision after providing the taxpayer an opportunity of being heard.
(5) A person aggrieved by—
(a) an order passed under sub-section (4); or
(b) the failure of the Commissioner to pass an order under sub-section (4) within the time specified in that sub-section,
may prefer an appeal under Part III of this Chapter.
(6) The Board may make rules regulating procedure for expeditious processing and automatic payment of refunds through centralized processing system with effect from a date to be notified by the Board.
(Disclaimer: The text of above section is only for information. Team PkRevenue.com makes all efforts to provide the correct version of the text. However, the team PkRevenue.com is not responsible for any error or omission.)
