Jun 22

Advance tax on stock exchange transactions abolished

KARACHI: The government through budget 2021/2022 has abolished advance tax on stock exchange transactions and in this regard required amendment has been proposed through Finance Bill, 2021. Tax experts at KPMG Taseer Hadi & Co. in its commentary on budget 2021/2022 said that the stock exchanges registered in Pakistan were required to collect advance tax […]

by Mrs. Anjum Shahnawaz

Retailers accepting debit, credit cards payment to be treated as Tier-I

Jun 22

Taxation

Retailers accepting debit, credit cards payment to be treated as Tier-I

ISLAMABAD: The Federal Board of Revenue (FBR) will bring more retailers into sales tax ambit after the proposal made through Finance Bill, 2021 related to Tier-I retailers. Tier-I retailers are commonly known for having huge volume sales and operating in a mall, air conditioned environment etc. Sources in the FBR said that retailer receiving payment […]

by Mrs. Anjum Shahnawaz

No withholding tax on cash withdrawal from July 01

Jun 21

Taxation

No withholding tax on cash withdrawal from July 01

ISLAMABAD: Banks shall not collect/deduct withholding tax on cash withdrawal from July 01, 2021 subject to approval of the Finance Bill by the National Assembly. The Finance Bill 2021 proposed abolishing levy of withholding tax on cash withdrawals from banking system. The withholding tax on cash withdrawal was imposed through Finance Act, 2005 in order […]

by Mrs. Anjum Shahnawaz

Online market places to require collect sales tax

Jun 21

Taxation

Online market places to require collect sales tax

In a move aimed at streamlining taxation in the digital era, proposed amendments to the Sales Tax Act, 1990 are set to require individuals operating online marketplaces to collect sales tax on goods sold through their platforms, regardless of ownership.

by Mrs. Anjum Shahnawaz

Tax Rates for Individuals and Association of Persons

Jun 20

Taxation

Tax Rates for Individuals and Association of Persons

ISLAMABAD: The government has decided to retain the tax rates for individuals and Association of Persons (AOPs) for the year 2021-2022, sources in Federal Board of Revenue (FBR) said. Since there is no change proposed through the Finance Bill, 2021 the rates applicable in Tax Year 2021 shall remain applicable in Tax Year 2022. Rates […]

by Mrs. Anjum Shahnawaz

Super tax permanently imposed on banking companies

Jun 20

Taxation

Super tax permanently imposed on banking companies

ISLAMABAD: The levy of super tax has been permanently imposed on banking companies as it was expiring in the tax year 2021. Sources in the Federal Board of Revenue (FBR) said that the super tax was only imposed on banking companies while the other taxpayers were exempted from tax year 2020. The sources said that […]

by Mrs. Anjum Shahnawaz

Jun 20

Budget 2021-2022, Taxation

FBR to confiscate goods without brand licensing

In a bid to enhance regulatory oversight and combat counterfeiting, the proposal to make brand licensing mandatory for manufacturers of specified goods has been put forward. In the event of non-compliance, the Federal Board of Revenue (FBR) is poised to be empowered with the authority to confiscate such items.

by Mrs. Anjum Shahnawaz

FBR forms committees to remove anomalies in Finance Bill

Jun 18

Taxation

FBR forms committees to remove anomalies in Finance Bill

ISLAMABAD: The Federal Board of Revenue (FBR) on Friday formed committees to identify and remove technical and legal anomalies in the Finance Bill, 2021. The FBR formed following committees: Sultan Ali Allana, Chairman, HBL has been appointed as chairman of the business anomaly committee. Ch. Muhammad Tarique, Member (IR- Policy), FBR is co-chairman of the […]

by Mrs. Anjum Shahnawaz

Tax amendments made for income of salaried persons, individuals

Jun 18

Budget 2021-2022, Taxation

Tax amendments made for income of salaried persons, individuals

KARACHI: The Finance Bill, 2021 has proposed certain amendments in Income Tax Ordinance, 2001 related to income of salaried persons and business individuals. According to a presentation made at post budget 2021/2022 webinar of Karachi Tax Bar Association (KTBA) the major changes proposed through the Finance Bill 2021, are: — Interest income above Rs5 million […]

by Mrs. Anjum Shahnawaz

Final tax regime allowed for export of services

Jun 18

Budget 2021-2022, Taxation

Final tax regime allowed for export of services

KARACHI: The Finance Bill 2021 has proposed a final tax regime for export of IT and IT enabled services. According to commentary on budget 2021/2022 released by KPMG Taseer Hadi & Co. currently, tax deduction on foreign proceeds from export of goods are taxed at 1 percent which is considered as final tax. The Finance […]

by Mrs. Anjum Shahnawaz