Section 147 of Income Tax Ordinance, 2001 explains the taxpayers liable to pay advance tax. The Federal Board of Revenue (FBR) issued the Income Tax Ordinance, 2001 updated up to June 30, 2021. The Ordinance incorporated amendments brought through Finance Act, 2021.
(more…)Author: Faisal Shahnawaz
-
Shares come down on MSCI reclassification
KARACHI: The share market fell by 188 points on Tuesday a brink of an important MSCI decision regarding reclassification of Pakistan from Emerging Market Index to Frontier markets Index.
The benchmark KSE-100 index of Pakistan Stock Exchange (PSX) ended at 46,730 points as against the previous day’s close of 46,919 points, showing a decline of 188 points.
Analysts at Arif Habib Limited said that at the brink of an important MSCI decision regarding reclassification of Pakistan from Emerging Market Index to Frontier markets Index, the KSE-100 benchmark index lost 300 points in total and closed the session -188 points.
Vibes were negative due to continuous selling from foreign counters in cement and banking sector stocks due to MSCI reclassification and otherwise depreciating rupee against USD that makes holding PK stocks a costly affair.
Local investors have lately been absorbing negative foreign flows in a gradual and cautious manner. TPL topped the volumes today with 41.8 million shares, followed by KOSM (33.7 million) and PIAA (29.8 million).
Sectors contributing to the performance include Cement (-75 points), E&P (-39 points), Autos (-29 points), O&GMCs (-23 points) and Chemical (-21 points).
Volumes increased slightly from 417.8 million shares to 423.8 million shares (+1 percent DoD). The average traded value declined by 6 percent to reach US$ 67.3 million as against US$ 71.7 million.
Stocks that contributed significantly to the volumes include TPL, KOSM, PIAA, WTL, and BYCO, which formed 37 percent of total volumes.
Stocks that contributed positively to the index include NESTLE (+23 points), HMB (+17 points), MEBL (+14 points), PKGS (+12 points) and IGIHL (+10 points). Stocks that contributed negatively include LUCK (-39 points), TRG (-19 points), HBL (-15 points), OGDC (-14 points) and PSO (-13 points).
-
KIBOR rates on September 07, 2021
KARACHI: State Bank of Pakistan (SBP) on Tuesday issued the following Karachi Interbank Offered Rates (KIBOR) on September 07, 2021.
Tenor BID OFFER 1 – Week 6.91 7.41 2 – Week 6.95 7.45 1 – Month 7.00 7.50 3 – Month 7.13 7.38 6 – Month 7.29 7.54 9 – Month 7.38 7.88 1 – Year 7.49 7.99 -
PYMA demands cotton import through land routes
KARACHI: Pakistan Yarn Merchants Association (PYMA) on Tuesday demanded the government to allow duty free import of cotton and cotton yarn through land routes, including India.
The PYMA appealed to Prime Minister Imran Khan to take steps to reduce the cost of production of the value-added textile industry, in view of the shortage of cotton, cotton yarn and the skyrocketing prices and allow duty-free import of cotton and cotton yarn from Turkey, India and Uzbekistan by land. So that exporters can compete in the ongoing price race in international markets.
In the appeal to Prime Minister, Hanif Lakhany, Vice President, Federation of Pakistan Chambers of Commerce & Industry (FPCCI) & Senior Vice Chairman Pakistan Yarn Merchants Association (PYMA), Farhan Ashrafi, Vice Chairman PYMA and convener FPCCI’s Central Standing Committee on Yarn Trading, said that the value-added sector in the country is facing immense difficulties due to shortage and price of cotton and cotton yarn reaching record levels, as cotton yarn is not available to these export industries even at high prices as per the production demand.
“If this situation continues, not only will it be difficult to fulfil export orders, but Pakistani exporters will also lose the ability to compete in global markets. Which could have a negative impact on the country’s exports, so the government should seriously consider PYMA’s proposal in the best interest of the country’s economy”, they feared.
PYMA office-bearers added that the exporters in the value-added sector are reluctant to accept new orders due to difficulties in procuring basic raw materials. Due to which these orders can be transferred to other countries.
Hanif Lakhany, Farhan Ashrafi appealed to Prime Minister Imran Khan to assist exporters in fulfilling old export orders in time and taking new orders, while also issue directives to allow duty-free import of cotton, cotton yarn from Turkey, India, and Uzbekistan by land. This will not only reduce the import period of raw materials but will also help in reducing the cost of freight charges.
-
Return filing by non-resident ship owner
Section 143 of the Income Tax Ordinance, 2001 tells about the return filing by the non-resident ship owner.
The Federal Board of Revenue (FBR) issued the Income Tax Ordinance, 2001 updated up to June 30, 2021. The Ordinance incorporated amendments brought through Finance Act, 2021.
Following is the text of Section 143 of Income Tax Ordinance, 2001:
143. Non-resident ship owner or charterer.— (1) Before the departure of a ship owned or chartered by a non-resident person from any port in Pakistan, the master of the ship shall furnish to the Commissioner a return showing the gross amount specified in sub-section (1) of section 7 in respect of the ship.
(2) Where the master of a ship has furnished a return under sub-section (1), the Commissioner shall, after calling for such particulars, accounts or documents as he may require, determine the amount of tax due under section 7 in respect of the ship and, as soon as possible, notify the master, in writing, of the amount payable.
(3) The master of a ship shall be liable for the tax notified under sub-section (2) and the provisions of this Ordinance shall apply to such tax as if it were tax due under an assessment order.
(4) Where the Commissioner is satisfied that the master of a ship or non-resident owner or charterer of the ship is unable to furnish the return required under sub-section (1) before the departure of the ship from a port in Pakistan, the Commissioner may allow the return to be furnished within thirty days of departure of the ship provided the non-resident owner or charterer has made satisfactory arrangements for the payment of the tax due under section 7 in respect of the ship.
(5) The Collector of Customs or other authorised officer shall not grant a port clearance for a ship owned or chartered by a non-resident person until the Collector or officer is satisfied that any tax due under section 7 in respect of the ship has been paid or that arrangements for its payment have been made to the satisfaction of the Commissioner.
(6) This section shall not relieve the non-resident owner or charterer of the ship from liability to pay any tax due under this section that is not paid by the master of the ship.
(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.)
-
KIBOR rates on September 06, 2021
KARACHI: The State Bank of Pakistan (SBP) issued the latest Karachi Interbank Offered Rates (KIBOR) on Monday, September 6, 2021, which reflect the rates at which banks are willing to lend to one another in the interbank market.
(more…) -
Recovery of tax by non-resident member of AOPs
Section 142 of the Income Tax Ordinance, 2001 explains the recovery of tax by non-resident member of an Association of Persons (AOPs).
The Federal Board of Revenue (FBR) issued the Income Tax Ordinance, 2001 updated up to June 30, 2021. The Ordinance incorporated amendments brought through Finance Act, 2021.
Following is the text of Section 142 of Income Tax Ordinance, 2001:
142. Recovery of tax due by non-resident member of an association of persons.— (1) The tax due by a non-resident member of an association of persons in respect of the member’s share of the profits of the association shall be assessable in the name of the association or of any resident member of the association and may be recovered out of the assets of the association or from the resident member personally.
(2) A person making a payment under this section shall be treated as acting under the authority of the non-resident member and is hereby indemnified in respect of the payment against all proceedings, civil or criminal, and all processes, judicial or extra-judicial, notwithstanding any provisions to the contrary in any written law, contract or agreement.
(3) The provisions of this Ordinance shall apply to any amount due under this section as if it were tax due under an assessment order.
(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.)
-
Company in bankruptcy needs to appoint liquidator
Section 141 of the Income Tax Ordinance, 2001 tells that the company in bankruptcy needs to appoint a liquidator.
The Federal Board of Revenue (FBR) issued the Income Tax Ordinance, 2001 updated up to June 30, 2021. The Ordinance incorporated amendments brought through Finance Act, 2021.
Following is the text of Section 141 of Income Tax Ordinance, 2001:
141. Liquidators.— (1) Every person (hereinafter referred to as a “liquidator”) who is –
(a) a liquidator of a company;
(b) a receiver appointed by a Court or appointed out of Court;
(c) a trustee for a bankrupt; or
(d) a mortgagee in possession,
shall, within fourteen days of being appointed or taking possession of an asset in Pakistan, whichever occurs first, give written notice thereof to the Commissioner.
(2) The Commissioner shall, within three months of being notified under sub-section (1), notify the liquidator in writing of the amount which appears to the Commissioner to be sufficient to provide for any tax which is or will become payable by the person whose assets are in the possession of the liquidator.
(3) A liquidator shall not, without leave of the Commissioner, part with any asset held as liquidator until the liquidator has been notified under sub-section (2).
(4) A liquidator —
(a) shall set aside, out of the proceeds of sale of any asset by the liquidator, the amount notified by the Commissioner under sub-section (2), or such lesser amount as is subsequently agreed to by the Commissioner;
(b) shall be liable to the extent of the amount set aside for the tax of the person who owned the asset; and
(c) may pay any debt that has priority over the tax referred to in this section notwithstanding any provision of this section.
(5) A liquidator shall be personally liable to the extent of any amount required to be set aside under sub-section (4) for the tax referred to in sub-section (2) if, and to the extent that, the liquidator fails to comply with the requirements of this section.
(6) Where the proceeds of sale of any asset are less than the amount notified by the Commissioner under sub-section (2), the application of sub-sections (4) and (5) shall be limited to the proceeds of sale.
(7) This section shall have effect notwithstanding anything contained in any other law for the time being in force.
(8) The provisions of this Ordinance shall apply to any amount due under this section as if it were tax due under an assessment order.
(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.)
-
Dollar moves up to Rs167.23 in interbank market
KARACHI: The US dollar gained strength against the Pakistani rupee on Monday, reaching Rs167.23 in the interbank foreign exchange market.
(more…) -
FBR apprises realtors about FATF requirements
ISLAMABAD: Dr. Muhammad Ashfaq Ahmed, chairman of the Federal Board of Revenue (FBR) has apprised the real estate agents about the requirement of the Financial Action Task Force (FATF).
(more…)