Finance ministry issues strategy for release of funds for development budget

Jul 8

Budget 2020-2021, Finance

Finance ministry issues strategy for release of funds for development budget

ISLAMABAD: The finance ministry on Wednesday issued strategy for release of funds for development budget during fiscal year 2020/2021. The undersigned is directed to refer to the subject mentioned above and to state that keeping in view the Public Finance Management Act (PFM) Act, 2019, the following strategy for release of funds relating to Development […]

by Mrs. Anjum Shahnawaz

Cash withdrawal should be exempted from withholding tax; Senate recommends key changes in Finance Bill 2020

Jun 26

Budget 2020-2021, Taxation

Cash withdrawal should be exempted from withholding tax; Senate recommends key changes in Finance Bill 2020

ISLAMABAD: The Senate of Pakistan has recommended the government to abolish withholding tax on cash transactions from banks. In its key tax recommendations for finalizing budget 2020/2021, the Senate recommended that the government should abolish all kinds of withholding tax chargeable on cash transactions from banks.

by Mrs. Anjum Shahnawaz

Senate advises salary increase by 10 percent

Jun 26

Budget 2020-2021, National

Senate advises salary increase by 10 percent

ISLAMABAD: The Senate of Pakistan has recommended increase in salary of government employees by at least 10 percent for fiscal year starting July 01, 2020. As per the general consensus recommendations of the upper house after the debate on budget 2020/2021, it is recommended that salary of government employees should be enhanced at least 10 […]

by Mrs. Anjum Shahnawaz

Senate recommends tobacco must be treated as crop, exempted from duty/taxes

Jun 26

Budget 2020-2021

Senate recommends tobacco must be treated as crop, exempted from duty/taxes

ISLAMABAD: The Senate of Pakistan has recommended a significant policy shift, advocating for tobacco to be treated as a crop and exempted from duties and taxes. This recommendation was made in the context of the Finance Bill 2020, reflecting the upper house’s stance on the agricultural status of tobacco.

by Mrs. Anjum Shahnawaz

Tax collection target of Rs4.96 trillion for 2020/2021 achievable

Jun 25

Budget 2020-2021

Tax collection target of Rs4.96 trillion for 2020/2021 achievable

ISLAMABAD: Hammad Azhar, Minister for Industries and Production, has said that the tax collection target of Rs4.96 trillion assigned to Federal Board of Revenue (FBR) during next fiscal year is achievable.

by Mrs. Anjum Shahnawaz

Banks to provide information of all recipients of profit on debt

Jun 24

Budget 2020-2021, Taxation

Banks to provide information of all recipients of profit on debt

KARACHI: The Federal Board of Revenue (FBR) to ask banks to provide information of all persons receiving profit on debt from July 01, 2020. To implement this an amendment has been introduced through Finance Bill 2020. According to explanation of the Finance Bill 2020 by EY Ford Rhodes Chartered Accountants, the Finance Act, 2013, introduced […]

by Mrs. Anjum Shahnawaz

Tax deduction allowed on salary up to Rs25,000 paid in cash

Jun 24

Budget 2020-2021, Taxation

Tax deduction allowed on salary up to Rs25,000 paid in cash

KARACHI: The Finance Bill 2020 has proposed major changes related to tax deduction in order to provide relief to business community. Under the proposed amendments the threshold amount has been increased up to Rs25,000 for tax deduction in case salary is paid. According to interpretation of the Finance Bill 2020 by BDO Pakistan, the Finance […]

by Mrs. Anjum Shahnawaz

Exemption from withholding tax on foreign remittances may not practical for banks

Jun 24

Budget 2020-2021

Exemption from withholding tax on foreign remittances may not practical for banks

The Pakistani government has announced a significant tax relief measure, granting withholding tax exemption on the transfer of foreign remittances to Pak Rupee (PKR) accounts. However, tax experts have raised concerns about the practical implementation of this exemption, particularly regarding the bifurcation of transactions for banks.

by Mrs. Anjum Shahnawaz

Restoration of multiple years audit to burden taxpayers

Jun 23

Budget 2020-2021

Restoration of multiple years audit to burden taxpayers

KARACHI: Business community has criticized the government for eliminating condition of conducting audit once in three-year period. Overseas Investors Chamber of Commerce and Industry (OICCI) highlighted anomalies in the Finance Bill 2020, sent to the Federal Board of Revenue (FBR) and said that omission of the condition would burden the taxpayers and would give sweeping […]

by Mrs. Anjum Shahnawaz

Foreign investors express concerns on proposed rates for imported raw materials

Jun 23

Budget 2020-2021, Trade & Industry

Foreign investors express concerns on proposed rates for imported raw materials

KARACHI: Foreign investors have raised concerns over the proposed tax rates on import of raw materials. Overseas Chamber of Commerce and Industry (OICCI), which is represented of foreign investors and multinational companies in Pakistan, highlighted anomalies in the Finance Bill 2020 and proposed rectifications. The OICCI said that the reduction in rate of income tax […]

by Mrs. Anjum Shahnawaz