KARACHI: The restriction on non-filers to purchase cars during first half of current fiscal year has reduced the delivery time and also reduce the own money for immediate delivery in the grey market.
(more…)Author: Faisal Shahnawaz
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PNSC adds MoGas Carrier vessel to its fleet
KARACHI: Pakistan National Shipping Corporation (PNSC) has added MoGas Carrier LR-1 vessel to its fleet on Monday, Federal Minister for Maritime Affairs Syed Ali Haider Zaidi said.
The ship, which has been named Bolan, will help reduce the dependency on foreign vessels and will help in saving million of dollars in freight chares, he said in a tweet.
He termed it as another step towards self reliance of the country.
Zaidi said that the with the addition of latest carrier the PNSC fleet increased to 10, out of which five ships are bulk cargo and four were crude oil.
He congratulated chairman PNSC for successful acquisition. Zaidi said that another ship would be added to PNSC fleet before end of Summer 2019.
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Tax rates for salary, business individuals
KARACHI: Following are the tax rates for individuals under First Schedule of Income Tax Ordinance, 2001.
The tax rate as updated through Finance Supplementary (Amendment) Act, 2018 to Income Tax Ordinance, 2001, issued by Federal Board of Revenue (FBR).
Rates of tax for individuals
(1) The rates of tax imposed on the taxable income of every individual, not being an individual to which paragraph (1A) of this Division applies, shall be as set out in the following table, namely:—
Table
S. No. Taxable Income Rate of Tax 01 Where the taxable income does not exceed Rs. 400,000 0 percent 02 Where the taxable income exceeds Rs. 400,000 but does not exceed Rs. 800,000 Rs1,000 03 Where the taxable income exceeds Rs. 800,000 but does not exceed Rs. 1,200,000 Rs2,000 04 Where the taxable income exceeds Rs.1,200,000 but does not exceed Rs. 2,400,000 5 percent of the amount exceeding Rs. 1,200,000 05 Where the taxable income exceeds Rs. 2,400,000 but does not exceed Rs. 3,000,000 60,000 + 15 percent of the amount exceeding Rs. 2,400,000 06 Where the taxable income exceeds Rs. 3,000,000 but does not exceed Rs. 4,000,000 150,000 + 20 percent of the amount exceeding Rs. 3,000,000 07 Where the taxable income exceeds Rs. 4,000,000 but does not exceed Rs. 5,000,000 350,000 + 25 percent of the amount exceeding Rs. 4,000,000 08 Where the taxable income exceeds Rs. 5,000,000
600,000 + 29 percent of the amount exceeding Rs. 5,000,000 Provided that where the taxable income exceeds eight hundred thousand rupees the minimum tax payable shall be two thousand rupees.
Salary persons
(1A) Where the income of an individual chargeable under the head “salary” exceeds fifty per cent of his taxable income, the rates of tax to be applied shall be as set out in the following table, namely:—
Table
S.No. Taxable Income Rate of Tax 01 Where the taxable income does not exceed Rs. 400,000 0 percent 02 Where the taxable income exceeds Rs. 400,000 but does not exceed Rs. 800,000 Rs1,000 03 Where the taxable income exceeds Rs. 800,000 but does not exceed Rs. 1,200,000 Rs2,000 04 Where the taxable income exceeds Rs. 1,200,000 but does not exceed Rs. 2,500,000 5 percent of the amount exceeding Rs. 1,200,000 05 Where the taxable income exceeds Rs.2,500,000 but does not exceed Rs. 4,000,000 65,000 + 15 percent of the amount exceeding Rs. 2,500,000 06 Where the taxable income exceeds Rs. 4,000,000 but does not exceed Rs. 8,000,000 290,000 + 20 percent of the amount exceeding Rs. 4,000,000 07 Where the taxable income exceeds Rs. 8,000,000 1,090,000 + 25 percent of the amount exceeding Rs. 8,000,000 Provided that where the taxable income exceeds eight hundred thousand rupees the minimum tax payable shall be two thousand rupees.
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Prize bonds investment soars by 17.07 percent to Rs929.64bn
KARACHI: The investment in prize bonds has soared to Rs929.64 billion by January 2019 as compared with Rs794.09 billion by the same month of the last year, showing an increase of 17.07 percent.
According to statistics issued by State Bank of Pakistan (SBP), the savings mobilized through prize bonds had increased to Rs929.64 billion January 2019 through different categories of prize bonds.
The statistics have shown the investment in higher denomination prize bonds increased more rapidly then the lower denomination.
Following is the position of investments in different prize bonds:
(Rs in million)
S. No. Prize Bonds Jan 2019 Jan 2018 % Increase 01 Rs100 9,771 8,795 11.09 02 Rs200 29,325 27,076 8.30 03 Rs750 98,590 86,520 13.95 04 Rs1,500 105,019 90,078 16.58 05 Rs7,500 96,221 75,317 27.75 06 Rs15,000 173,803 144,780 20.04 07 Rs25,000 156,923 135,080 16.17 08 Rs40,000 259,130 225,586 14.86 Related Stories
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FBR estimates Rs50 billion income tax loss from salary
The Federal Board of Revenue (FBR) has recently presented a comprehensive revenue position to the finance ministry, highlighting an estimated loss of Rs50 billion resulting from the downward revision of tax rates on salary income.
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FBR holds awareness sessions for online payment of duty, taxes
In a proactive step towards modernizing tax procedures and enhancing ease of doing business, the Federal Board of Revenue (FBR) organized informative sessions in Karachi and Lahore for the business community and tax consultants.
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Weekly Review: Equity market likely to display mixed trend
KARACHI: The equity market likely to display a mixed trend next week showing a range-bound behavior, analysts said.
Analysts at Arif Habib Limited said that concerns of an expected hike in the upcoming monetary policy statement may keep investors on the back seat.
However, valuations across the index have opened up to an enticing level which can provide numerous entry options.
Investor climate in the outgoing week regained some confidence while volumes continued to remain dull.
Improvement on the external front (CAD portrayed a significant decline of 72 percent YoY/59 percent MoM during February 2019, while contracting 23 percent YoY during 8MFY19), visit of Malaysian PM Mahatir Mohamad and improving ties with the US all contributed towards stimulating positivity in the investors’ sentiments.
The benchmark KSE-100 index closed at 38,532 points, registering an increase of 225 points during the week (+0.6 percent WoW).
Sector-wise positive contributions came from i) Commercial Banks (+278 points), ii) Oil and Gas Exploration Companies (+194 points), and iii) Fertilizer (+75 points).
Whereas, sectors that contributed negatively include i) Power Generation & Distribution (-126 points), ii) Oil & Gas Marketing Companies (-39 points) and Pharmaceuticals (-30 points). Scrip-wise major positive contributions came from PPL (+115 points), MCB (+91 points), HBL (+77 points), POL (+57 points), and OGDC (+51 points).
Major laggards included HUBC (-122 points), SEARL (-30 points) and MARI (-29 points).
Foreign buying witnessed in the week settled at USD 3.1 million compared to a net sell of USD 15.6 million last week.
Buying was witnessed in Commercial Banks (USD 2.9 million) and Exploration & Production (USD 1.7 million).
On the domestic front, major selling was reported by Insurance Companies (USD 4.8 million) and Other Organizations (USD 2.7 million).
Average volumes during the week settled at 84 million shares (down by 10 percent WoW) whereas average value traded arrived at USD 28 million (up by 6.6 percent WoW).
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Advance tax on dealers, commission agents
KARACHI: Every market committee has been required to collect advance tax from dealers, commission agents under income tax laws.
The Federal Board of Revenue (FBR) recently updated Income Tax Ordinance, 2001 under which advance tax is collectable from dealers, commission agents and arhatis under Section 236J.
Section 236J: Advance tax on dealers, commission agents and arhatis etc
Sub-Section (1): Every market committee shall collect advance tax from dealers, commission agents or arhatis, etc. at the rates specified in Division XVII of Part-IV of the First Schedule at the time of issuance or renewal of licences.
The rate of collection of tax under section 236J shall be as follows:
Group Amount of tax
(per annum)Group or Class A: Rs. 10,000 Group or Class B: Rs. 7,500 Group or Class C: Rs. 5,000 Any other category: Rs. 5,000 Sub-Section (2): The advance tax collected under sub-section (1) shall be adjustable.
Sub-Section (4): In this section “market committee” includes any committee or body formed under any provincial or local law made for the purposes of establishing, regulating or organizing agricultural, livestock and other commodity markets.
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MCC Appraisement West announces auction of vehicles on March 25
KARACHI: Model Customs Collectorate (MCC) Appraisement (West) Karachi announced auction of vehicles laying at Al-Hamd International Cargo Terminal to be held on March 25, 2019.
Following vehicles will be offered for the auction:
S. No. Description Model Capacity 1 Used Mitsubishi Car 2009 – 2 Used Mitsubishi Mini Cab 2013 – 3 Used Nissan Clipper 2012 – 4 Used Suzuki Stingray Wagon R (without extra goods) 2013 – 5 Used Toyota KX-R V6 2013 3456 ML 6 Used Honda FIT Car 2014 – 7 Used Suzuki Carry 2013 650 CC 8 Used Honda Shuttle Hybrid Car 2015 – 9 Used Honda FIT Hybrid Car 2017 – 10 Used Suzuki Lapin Car (ene-charge) 2017 – 11 Used Lexus NX300H (Hybrid) 2015 2494 ML/CC 12 Old & Used Toyota Mark-II (Grande) Car 2004 2000 CC 13 Old & Used Toyota Mark-II (Grande) Car 2000 2000 CC 14 Old & Used Toyota Mark-X-250G 2005 2500 CC 15 Used Toyota Hilux 4X4 Double Cabin 2009 3000 CC 16 Used Toyota Hilux Double Cabin 2004 2779 ML 17 Old & Used Toyota Hilux 4X4 2009 3000 CC 18 Used Toyota Hiace Van – 2446 CC 19 Old & Used Toyota Hiace Van Ambulance 1995 2446 CC 20 Old & Used Toyota Hilux Pickup D/ Cabin 2008 2779 CC 21 Old & Used Toyota Hilux Pickup D/ Cabin 2000 2779 CC 22 Old & Used Toyota Hilux Pickup D/ Cabin 2008 2779 CC 23 Old and Used Toyota Vigo 2005 2779 CC 24 Old and Used Toyota Hilux 4X4 2002 2779 CC 25 Old and Used Toyota Hilux 4X4 2002 2779 CC 26 Old & Used Toyota Hilux 4X4 2000 2779 CC 27 Old and Used Toyota Hilux 4X4 2002 2779 CC 28 Old and Used Toyota Hilux 4X4 2002 2779 CC 29 Old and Used Toyota Hilux 4X4 2002 2779 CC 30 Old and Used Toyota Hliux Pickup 4X4 2002 2779 CC 31 Old and Used Toyota Hilux 4X4 2000 2779 CC 32 Old and Used Toyota Hilux 4X4 2000 2779 CC 33 Old and Used Toyota Tsusho 4X4 2000 2779 CC 34 Old and Used Toyota Hliux Pickup 4X4 2002 2779 CC 35 Old and Used Toyota Hliux Pickup 4X4 2002 2779 CC 36 Old and Used Toyota Hliux Pickup 4X4 2002 2779 CC 37 Old and Used Toyota Hliux Pickup 4X4 2002 2779 CC 38 Old and Used Toyota Hliux Pickup 4X4 2000 2779 CC 39 Old & Used Mitsubishi Van 1997 2477 CC 40 Used Volkswagen AG Car 2013 999 CC 41 Used Nissan Dayz Roox 2017 – 42 Used Honda Jade Hybrid Car 2015 – 43 Used Honda N-ONE 2015 – 44 Used Daihatsu Subaru Stella Car 2016 658 CC 45 Used Honda ACTY Van 2017 – 46 Used Suzuki Alto ene-charge Car 2016 – 47 Used Daihatsu Mira E:S Car 2015 658 CC Related Stories
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SBP directs banks to ensure OTC tax collection by March 27
KARACHI: State Bank of Pakistan (SBP) on Friday directed all commercial banks to ensure receiving payment of duty and taxes through over the counter (OTC) channel.
The SBP said that the finance department through circular on July 17, 2018 made it mandatory for banks to enable their Over-the-Counter (OTC) Channel for collection of taxes and duties.
Complaints are pouring in from different quarters, regarding non-entertaining of tax payment requests through banks’ OTC Channel.
So much so that Federal Board of Revenue (FBR) has formally launched a complaint that PSIDs generated by WeBOC system for payment of customs duty and other taxes especially the levy on Mobile devices are not being entertained, by the bank branches.
In view of the above, all banks were advised vide email dated 15th March 2019 to improve their customer services in facilitating taxpayers with due courtesy.
Despite the above-referred instructions, there is no visible improvement, as complaints from different quarters are still landing with us.
It is therefore advised to share these instructions with all your branches across the country with the advice to ensure meticulous compliance and facilitate the taxpayers in payment of taxes and duties under the I Link’s OTC facility.
The branches shall also prominently display on their respective Notice Boards that “Taxes and Duties are accepted here under the 1Link’s OTC facility”. Further, banks shall also ensure that the branch staff has adequate understanding of the mechanism for collection of taxes and duties under the said facility.
The banks shall inform this department within 3 working days of the date of circular i.e. 27th March 2019 that these instructions have been communicated to all their branches for meticulous compliance and that the Notice Boards of branches are prominently displaying the message that “Taxes and Duties are accepted here under the 1Link’s OTC facility”.