Withholding tax from cash withdrawal plunges by 52 percent; remains in top 10 revenue spinners

ISLAMABAD: The collection of withholding tax has sharply declined by 52 percent during tax year 2020 as the tax was abolished under this head for filers of income tax returns. According to... Read more »

Period for filing withholding tax statement reduced

ISLAMABAD: Withholding agents are required to file statement of deduction and collection on quarterly basis instead bi-annual. The change has been brought through Finance Act, 2020 by amending section 165 of the... Read more »

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

KARACHI: The government has granted withholding tax exemption on transfer of foreign remittances to Pak Rupee accounts. But tax experts said that bifurcating transactions for banks may not be practical. Overseas Investors... Read more »

Details of transactions exempted from withholding tax

ISLAMABAD: The Finance Bill, 2020 has proposed to withdraw withholding tax collection on nine different types of transactions under Income Tax Ordinance, 2001. According to budget commentary issued by PwC A F... Read more »

Online verification of tax withheld should be available

KARACHI: Tax practitioners have urged the Federal Board of Revenue (FBR) to ensure verification of tax withheld on the IRIS portal in order to facilitate taxpayers in making adjustment or claiming refunds.... Read more »

New slab for withholding tax on motor vehicle purchase recommended

KARACHI: Regional Tax Office (RTO) – II Karachi has recommended revision in slab for withholding tax collection on purchase of new motor vehicles from next fiscal year. The RTO-II Karachi in its... Read more »

FBR proposed to ensure CPR for deposited withholding tax

KARACHI: Federal Board of Revenue (FBR) has been advised to ensure Computerized Payment Receipt (CPR) for deposited withholding tax in order to avert chances of revenue leakages. Pakistan Business Council (PBC) in... Read more »

FBR urged to abolish withholding tax on telecom services

KARACHI: Federal Board of Revenue (FBR) has been recommended to abolish withholding tax on telecom services considering the rate is too high and a large segment of people living below poverty line.... Read more »

FBR proposed to eliminate distortion in withholding tax on dividends from equity investments

KARACHI: Federal Board of Revenue (FBR) has been proposed to rationalize of withholding tax on dividends as higher rate from equity investments discourage investment in the capital market. Pakistan Stock Exchange (PSX)... Read more »

PSX proposes reduction of withholding tax on margin financing transactions

KARACHI: Pakistan Stock Exchange (PSX) has proposed to reduce the rate of withholding tax in the gross income earned on margin financing transactions to 2.5 percent from existing 10 percent. The PSX... Read more »