Scope of withholding agents expanded for collection on immovable properties transactions

Jul 4

Taxation

Scope of withholding agents expanded for collection on immovable properties transactions

ISLAMABAD: The Federal Board of Revenue (FBR) has said that certain persons/authorities have been brought in to the definition of withholding agents for collection of tax on immovable property transactions. In this regard the FBR said that changes have been made to Income Tax Ordinance, 2001 through Finance Act, 2021. The FBR said that all […]

by Mrs. Anjum Shahnawaz

Withholding tax rates for industrial, commercial consumers revised

Jul 4

Taxation

Withholding tax rates for industrial, commercial consumers revised

ISLAMABAD: The Federal Board of Revenue (FBR) has said that withholding tax rates for industrial and commercial consumers have been revised. Withholding tax on domestic electricity consumption was collected at the flat rate of 7.5% if the monthly domestic electricity bill exceeded Rs. 75,000. In order to promote documentation and broadening of tax base this […]

by Mrs. Anjum Shahnawaz

Services export brought under final tax regime

Jul 4

Taxation

Services export brought under final tax regime

ISLAMABAD: The Federal Board of Revenue (FBR) has said that export of services has been brought under final tax regime effect from July 01, 2021. The FBR in an explanation to Finance Act, 2021 stated that in line with the policy of the government to attract legal flow of remittances into the country and to […]

by Mrs. Anjum Shahnawaz

Changes made to minimum tax regime through Finance Act 2021

Jul 4

Taxation

Changes made to minimum tax regime through Finance Act 2021

ISLAMABAD: The Federal Board of Revenue (FBR) has issued explanation to changes made through Finance Bill, 2021 in Income Tax Ordinance, 2001 related to minimum tax regime. The FBR said that previously, minimum tax on turnover at the rate of 1.5 per cent of turnover was payable by all companies and individuals/ Association of Persons […]

by Mrs. Anjum Shahnawaz

Tax officials’ power to amend assessment without audit selection withdrawn

Jul 3

Taxation

Tax officials’ power to amend assessment without audit selection withdrawn

KARACHI: Federal Board of Revenue (FBR) has said that the powers of Inland Revenue officers to conduct an inquiry for amendment of assessment without selection of audit have been withdrawn. The FBR while explaining major amendments made in Income Tax Ordinance, 2001, through of Finance Act, 2021 stated that tax authorities were authorized to conduct […]

by Mrs. Anjum Shahnawaz

Capital gain tax rates enhanced on disposal of immovable properties

Jul 3

Taxation

Capital gain tax rates enhanced on disposal of immovable properties

ISLAMABAD: The Federal Board of Revenue (FBR) has said that the rates of capital gain tax (CGT) on disposal of immovable properties have been slightly enhanced through Finance Act, 2021. The FBR in its explanation to changes made through Finance Act, 2021 in Income Tax Ordinance, 2001, said that a separate block of taxation of […]

by Mrs. Anjum Shahnawaz

Law amended to prevent tax avoidance on gifts

Jul 2

Taxation

Law amended to prevent tax avoidance on gifts

KARACHI: The Finance Act, 2021 has amended Income Tax Ordinance, 2001 to prevent tax avoidance on giving away gifts, official sources said on Friday. The Federal Board of Revenue (FBR) while explaining the Finance Act, 2021 stated that tax law had provided a special mechanism for treatment of transfer of assets under certain transactions. The […]

by Mrs. Anjum Shahnawaz

FBR explains changes to tax on property income through Finance Act 2021

Jul 2

Taxation

FBR explains changes to tax on property income through Finance Act 2021

ISLAMABAD: The Federal Board of Revenue (FBR) has explained changes brought in tax on property income through Finance Act, 2021. The FBR said that the block taxation for property income available to non-corporate entities has been done away with. Following changes governing taxation of income chargeable to tax under the head income from property have […]

by Mrs. Anjum Shahnawaz

Profit from government securities to be taxed at 15%

Jul 2

Taxation

Profit from government securities to be taxed at 15%

ISLAMABAD: The Federal Board of Revenue (FBR) has said that interest income earned from investment in federal government securities will be taxed at the rate of 15 per cent under Final Tax Regime (FTR) with effect from July 01, 2021. In an explanation to Finance Act, 2021, the FBR said that interest income earned by […]

by Mrs. Anjum Shahnawaz

Finance Act, 2021: Withholding tax on phone, internet usage reduced

Jul 1

IT & Telecom, Taxation

Finance Act, 2021: Withholding tax on phone, internet usage reduced

ISLAMABAD: The Federal Board of Revenue (FBR) on Thursday said that the withholding tax rates on usage of phone and internet have been reduced to 10 per cent from 12.5 per cent with effect from July 01, 2021. For tax year 2022 the rate has been reduced to 10 per cent and it will be […]

by Mrs. Anjum Shahnawaz