Karachi, January 23, 2024 – The National Clearing Company of Pakistan Limited (NCCPL) has issued a significant announcement regarding the collection of Capital Gain Tax (CGT) for the month of December 2023.
The deadline for this collection was disclosed on Tuesday, January 23, 2024, through a communication directed to the Pakistan Stock Exchange (PSX), clearing members, the Pakistan Mercantile Exchange Limited, and Mutual Funds.
According to the announcement, the aggregate amount of CGT arising from the disposal of shares at the Pakistan Stock Exchange between December 01, 2023, and December 31, 2023, is set to be collected on Tuesday, January 30, 2024. This collection will be facilitated through the respective settling banks of the clearing members. All clearing members have been urgently advised to ensure that the requisite amount is available in their respective settling banks’ accounts. It has been emphasized that necessary details and reports for the specified period are already accessible in the CGT System.
In addition to the CGT collection related to share disposals, the NCCPL has also outlined procedures for the collection of the aggregate amount of CGT resulting from the trading of future commodity contracts at the Pakistan Mercantile Exchange. This collection, covering the period from December 01, 2023, to December 31, 2023, is scheduled for Tuesday, January 30, 2024. Similar to the shares, necessary details and reports for this period are already available.
Furthermore, the aggregate amount of CGT arising from the redemption of units of open-end mutual funds has been finalized for the period of December 01, 2023, to December 31, 2023. The relevant details and reports have been made accessible in the CGT System.
To ensure accuracy and compliance, clearing members and the Pakistan Mercantile Exchange have been strongly advised to verify the investor-wise details of capital gains or losses and the corresponding tax through reports or downloads. The announcement emphasized that, in the event of non or partial collection of CGT, necessary actions will be taken in strict accordance with the Rules and NCCPL Regulations.
This announcement by NCCPL underscores the importance of adherence to tax regulations and deadlines in the financial sector. Market participants are urged to promptly address the requirements outlined by NCCPL to avoid any potential consequences associated with non-compliance. The transparent and systematic collection of CGT is essential for maintaining the integrity and efficiency of the financial markets in Pakistan.
