List of transactions where 100 percent higher withholding tax not to apply

List of transactions where 100 percent higher withholding tax not to apply

KARACHI: Federal Board of Revenue (FBR) said that various transactions will not be liable to 100 percent higher withholding tax under Tenth Schedule of Income Tax Ordinance, 2001.

The FBR imposed 100 percent higher withholding tax from July 01, 2019 on those persons not appearing on Active Taxpayers List (ATL).

According to the Tenth Schedule of the Ordinance the provisions of this Schedule would not apply on tax collectible or deductible in case of the following sections:-

(a) Salary: tax deducted under section 149

(b) Payments to non-residents: tax deducted under section 152 other than sub-section (1), (1AA), (2), (2A)(b) and (2A)(c) of section 152

(c) Exports: tax collected or deducted under section 154

(d) Income from Property: tax deducted under section 155;

(e) Withdrawal of Pension Fund: tax deducted under section 156B;

(f) Cash Withdrawal from bank: tax deducted under section 231A;

(g) Advance Tax on transactions in bank: tax deducted under section 231AA;

(h)Collection of tax by NCCPL: tax deducted under section 233AA;

(i) Electricity Consumption: tax deducted under section 235;

(j) Domestic Electricity Consumption: tax deducted under section 235A;

(k) Tax on steel melters and composite units: tax collected under section 235B;

(l) Telephone and internet users: tax collected under section 236;

(m) Advance tax on purchase of air ticket: tax collected under section 236B;

(n) Advance tax on functions and gatherings: tax collected under section 236D;

(o) Advance tax on cable operators and other electronic media: tax collected under section 236F;

(p) Collection of advance tax by educational institutions: tax collected under section 236I;

(q) Advance tax on dealers, commission agents and arhatis etc.: tax collected under section 236J;

(r) Advance tax on purchase of international air ticket: tax collected under section 236L;

(s) Advance tax on banking transactions otherwise than through cash: tax collected under section 236P;

(t) Payment to residents for use of machinery and equipment: tax collected under section 236Q;

(u) Collection of advance tax on education related expenses remitted abroad: tax collected under section 236R;

(v) Advance tax on insurance premium: tax collected under section 236U;

(w) Advance tax on extraction of minerals: tax collected under section 236V;

(x) Advance tax on tobacco: tax collected under section 236X.

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