This guideline has been prepared in the light of;
|
|
- Barnaby Hodge
- 5 years ago
- Views:
Transcription
1 With compliments from: Key Solutions, Chief Executive, Afzaal Ansari Tax, Software and Website Consultants Cell: , Website: Bsc, CA(Int) Life Member, Lahore Tax Bar Association Chairman, IT Committee, Lahore Tax Bar Association, & Chairman, Web updation Committee, Lahore Tax Bar Association, Approved programmer of Lahore Distributor Association Certified service provider of SMEDA This guideline has been prepared in the light of; Income Tax Ordinance 2001 and Income Tax Rules 2002 General Date of publication This guideline has been published on June 30, 2018 Disclaimer This is general guideline on the subject. Before taking any action, please refer to the Ordinance and rules made there under or take expert professional advice. No responsibility will be taken for any result arising from use of this guideline. TAX RATES FOR SALARIED PERSONNELCLAUSE-1A, Division I, PART-I OF 1 st SCHEDULE Where the income of an individual chargeable under the head SALARY exceeds fifty percent of his taxable income, the rates of tax to be applied shall be as set out in the following table namely: S. # Taxable Income Rate of tax Tax year 2018 From to Where the taxable income does not exceed Rs.400,000 0% 2 Where the taxable income exceeds Rs.400,000 but does not exceed Rs.500,000 2% of the amount exceeding Rs.400,000 3 Where the taxable income exceeds Rs.500,000 but does not exceed Rs.750,000 Rs % of the amount exceeding Rs.500,000
2 4 Where the taxable income exceeds Rs.750,000 but does not exceed Rs.1,400,000 Rs.14, % of the amount exceeding Rs.750,000 5 Where the taxable income exceeds Rs.1,400,000 but does not exceed Rs.1,500,000 Rs. 79, % of the amount exceeding Rs.1,400,000 6 Where the taxable income exceeds Rs.1,500,000 but does not exceed Rs.1,800,000 7 Where the taxable income exceeds Rs.1,800,000 but does not exceed Rs.2,500,000 8 Where the taxable income exceeds Rs.2,500,000 but does not exceed Rs.3,000,000 9 Where the taxable income exceeds Rs.3,000,000 but does not exceed Rs.3,500, Where the taxable income exceeds Rs.3,500,000 but does not exceed Rs.4,000, Where the taxable income exceeds Rs.4,000,000 but does not exceed Rs.7,000,000 Rs. 92, % of the amount exceeding Rs.1,500,000 Rs.137, % of the amount exceeding Rs.1,800,000 Rs. 259, % of the amount exceeding Rs.2,500,000 Rs. 359, % of the amount exceeding Rs.3,000,000 Rs.472, % of the amount exceeding Rs.3,500,000 Rs.597, % of the amount exceeding Rs.4,000, Where the taxable income exceeds Rs.7,000,000 Rs. 1,422, % of the amount exceeding Rs.7,000,000 Rates for withholding tax w.e.f S. # Taxable Income Rate of tax Tax year 2019 From to Where the taxable income does not exceed Rs.400,000 0% 2 Where the taxable income exceeds Rs.400,000 but does not exceed Rs.800,000 Rs.1,000 3 Where the taxable income exceeds Rs.800,000 but does not exceed Rs.1,200,000 Rs. 2,000 4 Where the taxable income exceeds Rs.1,200,000 but does not exceed Rs.2,400,000 5% of the amount exceeding Rs.1,200,000 5 Where the taxable income exceeds Rs.2,400,000 but does not exceed Rs.4,800,000 Rs. 60, % of the amount exceeding Rs.2,400,000 6 Where the taxable income exceeds Rs.4,800,000 Rs. 300, % of the amount exceeding Rs.4,800,000
3 DEFINITIONS (Sections-2) (22) Employment includes (a) a directorship or any other office involved in the management of a company; (b) a position entitling the holder to a fixed or ascertainable remuneration; or (c) the holding or acting in any public office; SALARY INCOME (Section-12) Any salary received by an employee in a tax year, other than salary that is exempt from tax under Income Tax Ordinance, 2001 shall be chargeable to tax in that year under the head Salary. Salary means any amount received by an employee from any employment, whether of a revenue or capital nature, including: Any pay, wages or other remuneration provided to an employee, including leave pay, payment in lieu of leave, overtime payment, bonus, commission, fees, gratuity or work condition supplements (such as for unpleasant or dangerous working conditions) Any perquisite, whether convertible to money or not; the amount of any allowance provided by an employer to an employee including a cost of living, subsistence, rent, utilities, education, entertainment or travel allowance, but shall not include any allowance solely expended in the performance of the employee s duties of employment; the amount of any expenditure incurred by an employee that is paid or reimbursed by the employer, other than expenditure incurred on behalf of the employer in the performance of the employee s duties of employment; the amount of any profits in lieu of, or in addition to, salary or wages, including following amounts received: As consideration for a person s agreement to enter into an employment relationship; As consideration for an employee s agreement to any conditions of employment or any changes to the employee s condition of employment; On termination of employment, whether paid voluntarily or under an agreement, including any compensation for redundancy or loss of employment and golden handshake payments; From a provident or other fund, to the extent to which the amount is not a repayment of contribution made by the employee to the fund in respect of which the employee was not entitled to a deduction; and As consideration for an employee s agreement to a restrictive covenant in respect of any past, present or prospective employment; As consideration for an employee s agreement to a restrictive covenant in respect of any past, present or prospective employment; Any Pension or annuity, or any supplement to a pension or annuity; and Any amount chargeable to tax as Salary under Section-14.
4 SALARY RECEIVED IN ARREARS SECTION-12 (7 & 8) Where: any amount chargeable under the head Salary is paid to an employee in arrears; and as a result the employee is chargeable at higher rates of tax than would have been applicable if the amount had been paid to the employee in the tax year in which the services were rendered, the employee may, by notice in writing to the Commissioner, elect for the amount to be taxed at the rates of tax that would have been applicable if the salary had been paid to the employee in the tax year in which the services were rendered. An election under sub-section (6) or (7) shall be made by the due date for furnishing the employee s return of income or employer certificate, as the case may be, for the tax year in which the amount was received or by such later date as the Commissioner may allow. VALUE OF PERQUISITES (SECTION-13) For the purposes of computing the income of an employee for a tax year chargeable to tax under the head Salary, the value of any perquisite provided by an employer to the employee in that year that is included in the employee s salary under section 12 shall be determined in accordance with this section. Where, in a tax year, the services of a housekeeper, driver, gardener or other domestic assistant is provided by an employer to an employee, the amount chargeable to tax to the employee under the heard Salary for that year shall include the total salary paid to [such housekeeper, driver, gardener or other domestic assistant] in that year for services rendered to the employee, as reduced by any payment made by the employee [to the employer] for such services. Where, in a tax year, utilities are provided by an employer to an employee, the amount chargeable to tax to the employee under the head SALARY for that year shall include the fair market value of the utilities provided, as reduced by any payment made by the employee for the utilities. VALUATION OF ALLOWANCES AND PERQUISITES UNDER INCOME TAX RULES-2002 VALUATION OF PERQUISITES, ALLOWANCE & BENEFITS (RULE-3) For the purposes of computing the income chargeable to tax under the head SALARY, the value of all perquisites, allowances and benefits provided by the employer to the employee shall be included in the said income in accordance with the rules 4 to 7 of Income Tax Rules VALUATION OF ACCOMMODATION (PROVIDED BY EMPLOYER (RULE-4) The value of accommodation provided by an employer to the employee shall be taken equal to the amount that would have been paid by the employer in case such accommodation was not provided. Provided that the value taken for this purpose shall, in any case, not be less than forty five percent (45%) of the minimum of the time scale of the basic salary or the basic salary where there is no time scale. Provided further that where House Rent Allowance is thirty percent, the value taken for the purpose of this rule shall be an amount not less than thirty percent of minimum of the time scale of basic salary or the basic salary where there is no time scale.
5 VALUATION OF CONVEYANCE (PROVIDED BY THE EMPLOYER (RULE-5) The addition on account of Motor Vehicle provided by the employer to the employee shall be calculated in the following manner: Where motor vehicle is used partly for personal and partly for official. In case the motor vehicle provided by the employer is used partly for personal and partly for official, the amount to be included in the salary on this account shall be 5%, of: The cost to the employer for acquiring the motor vehicle OR The fair market value of the motor vehicle at the commencement of the lease if the motor vehicle is taken on lease by the employer. Where motor vehicle is provided exclusively for personal or private use. In case motor vehicle provided by the employer is used exclusively for personal or private use, addition in income will be made as under: a) Where motor vehicle is owned by the employer; 10% of cost to the employer for acquiring the motor vehicle b) Where motor vehicle is taken on lease by the employer; 10% of fair market value of the motor vehicle at the commencement of the lease TAX REBATES SENIOR CITIZENS, CLAUSE (1B) OF PART-I OF FIRST SCHEDULE Where taxable income other than income on which the deduction of tax is final discharge of tax liability, does not exceed Rupees 1,000,000, in a tax year of a taxpayer holding NADRA s CNIC for disabled person or a taxpayer aged 60 years or more on the first day of that tax year, his tax liability on such income shall be reduced by 50%. FULL TIME TEACHER OR RESEARCHER (SECTION 149, CLAUSE-2 PART-III OF SECOND SCHEDULE) The tax payable by a full time teacher or a researcher, employed in a non profit education or research institution duly recognized by Higher Education Commission, a Board of Education or University recognized by Higher Education Commission, including government training & research institution, shall be reduced by an amount equal to 40% of tax payable on his income from salary.
6 TAX ADJUSTMENTS AND TAX Adjustment of tax collected/deducted on Tax collected on Cash withdrawals from banks (under Section 231A). Tax collected by Vehicle Registration Authority at the time registration of new Car/Jeep (under Section 231B). Motor vehicle tax collected under Section 234 in respect of motor vehicle registered in employees own name. Tax collected on the amount of electricity bill of domestic consumer (Section 235A). Tax collected through Telephone bill (under Section 236) (FBR s Circular No. 5 dated 5 th July, 2008). Tax collected through purchase of Air Ticket (Domestic) under Section 236B. Advance tax on sale or transfer of immovable property (under Section 236C). Advance tax paid for arranging functions and gatherings (Section 236D). Advance tax on sales to distributors, dealers and wholesalers (Section 236G). Advance tax on sales to retailers (Section 236H). Collection of Advance tax by educational institution (Section 236I) Tax collected on purchase or transfer of immovable property (Section 236K). Advance tax on purchase of International Air Tickets (Section 236L). Advance tax on banking transactions otherwise than through cash (Section 236P). Tax Credits on (Chapter III, Part X of Income Tax Ordinance, 2001); Donations to approved NPOS(Section-61) Investment in shares and Insurance (Section-62) Contribution to approved pension funds (Section-63) Profit on debt paid in respect of house loans etc (Section-64) DEDUCTIBLE ALLOWANCES The below mentioned allowances are deductible allowances to arrive at taxable income: ZAKAT (Under Section 60(1)&(3) of Income Tax Ordinance, 2001 Zakat paid under the Zakat and Ushr Ordinance 1980 is to be treated as a deductible allowance from the total income to arrive at taxable income. Any allowance or part of an allowance under this section for a tax year that is not able to be deducted under section 9 (Taxable Income) for the year shall not be refunded, carried forward to a subsequent tax year, or carried back to a preceding tax year. EXEMPTION FROM TOTAL INCOME MEDICAL ALLOWANCE PART-I CLAUSE-139(B) OF SECOND SCHEDULE Medical allowance received by an employee who is not entitled to free medical treatment or hospitalization or reimbursement of medical or hospitalization charges under the terms of employment, such employee is entitled for exemption not exceeding 10 % of the basic salary for the year (effective from 1 st July, 2003).
7 PENSIONS PART-I, CLAUSE-8, OF SECOND SCHEDULE. In case one gets more than one pension, the exemption applies to higher of the pensions received. PENSION OF GOVT. & ARMED FORCES EMPLOYEES PART-I CLAUSE-9 OF SECOND SCHEDULE. Any Pension: (effective from 1 st July 2006): Received in respect of services rendered by a member of the Armed Forces of Pakistan or Federal Government or a Provincial Government. Granted under the relevant rules to the families and dependents of public servants or members of Armed Forces of Pakistan who die during service. ENCASHMENT OF LPR As per provision of clause-19, Part-I of Second Schedule to the Income Tax Ordinance, 2001 Leave Preparatory to Retirement (LPR) is exempt from deduction of income tax. FILING OF RETURN OF INCOME - SECTION 116 (1)(AB) every person (other than a company) whose taxable income for the year exceeds the maximum amount that is not chargeable to tax under this Ordinance for the year FILING OF WEALTH STATEMENT - SECTION 116 (1)(2) & (3) 1. The Commissioner may, by notice in writing, require any person being an individual to furnish, on the date specified in the notice, a statement (hereinafter referred to as the "wealth statement") in the prescribed form and verified in the prescribed manner giving particulars of a. the person s total assets and liabilities as on the date or dates specified in such notice; b. the total assets and liabilities of the person s spouse, minor children, and other dependents as on the date or dates specified in such notice; c. any assets transferred by the person to any other person during the period or periods specified in such notice and the consideration for the transfer; d. the total expenditures incurred by the person, and the person s spouse, minor children, and other dependents during the period or periods specified in the notice and the details of such expenditures; and e. the reconciliation statement of wealth. 2. Every resident taxpayer being an individual filing a return of income for any tax year shall furnish a wealth statement and wealth reconciliation statement] for that year along with such return: Provided that every member of an association of persons shall also furnish wealth statement and wealth reconciliation statement for the year along with return of income of the association. 3. Where a person, who has furnished a wealth statement, discovers any omission or wrong statement therein, he may, without prejudice to any liability incurred by him under any provision of this Ordinance, furnish a revised wealth statement along with the revised wealth reconciliation and the reasons for filing revised wealth statement, at any time before the receipt of notice under sub-section (9) of section 122, for the tax year to which it relates.
8 DATE OF FILING OF RETURN OF INCOME / STATEMENT- SECTION 118 (2A) Where salary income for the tax year is five hundred thousand rupees or more, the taxpayer shall file return of income electronically in the prescribed form and it shall be accompanied by the proof of deduction or payment of tax and wealth statement as required under section (b) For salary persons : On or before the 30th day of September next following the end of the tax year to which the return relates Any suggestions, corrections or relevant material may please be sent to us so that this guideline may further be developed. Best Regards For Key Solutions Afzaal Ansari Tax, Software and Website Consultants Cell: , Website: afzaal68@gmail.com Bsc, CA(Int) Life Member, Lahore Tax Bar Association Chairman, IT Committee, Lahore Tax Bar Association, & Chairman, Web updation Committee, Lahore Tax Bar Association, Approved programmer of Lahore Distributor Association Certified service provider of SMEDA
TAXATION OF INCOME FROM SALARY TAX YEAR 2018 (JULY 01, 2017 TO JUNE 30, 2018)
CIRCULAR NO. 9 OF (INCOME TAX) TAXATION OF INCOME FROM SALARY TAX YEAR 2018 (JULY 01, 2017 TO JUNE 30, 2018) The Circular on taxation of Income Salary is being updated as under:- The Computation of Tax
More informationTax on. Salary. Income Tax Law & Calculation
Tax on 2018 Salary This tax guide is for the use of CLIENTS and STAFF only and covers the taxability aspects of the salary as per Pakistani income tax laws applicable to Tax Year 2018 Income Tax Law &
More informationTax on. Salary. Income Tax Law & Calculation
Tax on 2019 Salary This tax guide is for the use of CLIENTS and STAFF only and covers the taxability aspects of the salary as per Pakistani income tax laws applicable to Tax Year 2019 Income Tax Law &
More informationSalaried Taxpayer. How to Calculate Tax on. A guide to. Tax Year F o r t h e U s e o f C l i e n t s a n d S t a f f O N L Y.
F o r t h e U s e o f C l i e n t s a n d S t a f f O N L Y. A guide to Salaried Taxpayer Tax Year 2009 How to Calculate Tax on Income? Salary Compiled By : A member firm of AFFILICA INTERNATIONAL INTRODUCTION
More informationAn Update on Taxability of Salary
An Update on Taxability of Salary Under the Income Tax Ordinance, 2001 & Income Tax Rules, 2002 (Applicable w.e.f. July 1, 2009) Email: info@tag.com.pk URL: www.tag.com.pk 173-W, Block 2, P.E.C.H.S., Karachi
More informationFiling of Income Tax Return and Wealth Statement for salaried individual
Filing of Income Tax Return and Wealth Statement for salaried individual MR. SHARIF UDDIN KHILJI, FCA Tax Year 2018 AUGUST 30, 2018 6:00 PM TO 9:00 PM ICAP, AUDITORIUM, G-10/4 ISLAMABAD Persons liable
More informationGOVERNMENT OF PAKISTAN REVENUE DIVISION CENTRAL BOARD OF REVENUE ***** No.F.4(1)ITP/2004-SAL Islamabad, July 3, 2004
GOVERNMENT OF PAKISTAN REVENUE DIVISION CENTRAL BOARD OF REVENUE ***** No.F.4(1)ITP/2004-SAL Islamabad, July 3, 2004 Circular No. 15 of 2004 ( Tax) Subject: DEDUCTION OF TAX FROM SALARY FOR THE TAX YEAR
More informationIncome from Other Sources
Income from Other Sources Index 1. Section 11. Heads of income...262 2. Section.101. Geographical source of income...262 3. Section 15. Income from property...262 4. Section 112. Liability in respect of
More informationPROFESSIONAL DEVELOPMENT PROGRAM 2015 (PDP) By:
PROFESSIONAL DEVELOPMENT PROGRAM 2015 (PDP) By: MUHAMMAD ZEESHAN MERCHANT M. M. MERCHANT & COMPANY (Advocate High Court & Former Honorary General Secretary, Karachi Tax Bar Association) Suite No No..4,
More informationREGISTRATION & RETURNS OF SALES TAX AND FED
REGISTRATION & RETURNS OF SALES TAX AND FED SESSION NO. 7 OF KTBA PDP - 2013 By: MUHAMMAD ZEESHAN MERCHANT M. M. MERCHANT & COMPANY (Advocate High Court & Hon. General Secretary, Karachi Tax Bar Association)
More informationBasic Concepts of Tax on Income
Basic Concepts of Tax on Income (Taxpayer s Facilitation Guide) September 2011 Revenue Division Federal Board of Revenue Government of Pakistan helpline@fbr.gov.pk 0800-00-227, 051-111-227-227 www.fbr.gov.pk
More informationTax is imposition financial charge or other levy upon a taxpayer by a state or other the functional equivalent of the state.
1. What is Tax What is Tax? Tax is imposition financial charge or other levy upon a taxpayer by a state or other the functional equivalent of the state. How many Types of Taxes are there and what are they?
More informationRemuneration [Sec 2 (78)]
Remuneration [Sec 2 (78)] Remuneration means any money or its equivalent given or passed to any person for services rendered by him and includes perquisites as defined under the Incometax Act, 1961. (Effective
More informationBusiness Income and. related concepts. Karachi Tax Bar Association Professional Development Program November 2017
KPMG Taseer Hadi & Co. Chartered Accountants Business Income and related concepts 09 November 2017 Presenter: Zeeshan Zafar Khan Director KPMG Karachi Tax Bar Association Professional Development Program-2017
More informationWrit Petition No.252 of 2011, decided on 29th March, 2012.
2012 P T D 1279 [Peshawar High Court] Before Khalid Mahmood, J SAJJAD ALI and others versus SECRETARY (WITHHOLDING TAX), ISLAMABAD and 6 others Writ Petition No.252 of 2011, decided on 29th March, 2012.
More informationPaper F6 (PKN) Taxation (Pakistan) Thursday 10 December Fundamentals Level Skills Module. The Association of Chartered Certified Accountants
Fundamentals Level Skills Module Taxation (Pakistan) Thursday 10 December 2015 Time allowed Reading and planning: 15 minutes Writing: 3 hours This question paper is divided into two sections: Section A
More informationINCOME TAX RULES, 2002
GOVERNMENT OF PAKISTAN CENTRAL BOARD OF REVENUE (REVENUE DIVISION) INCOME TAX MANUAL PART II INCOME TAX RULES, 2002 AMENDED UPTO NOVEMBER, 2004 Rules Income Tax Rules, 2002 Arrangement of Rules Page CHAPTER
More informationShort title, extent and commencement. Definitions.
PART I GOVERNMENT OF PUNJAB DEPARTMENT OF LEGAL AND LEGISLATIVE AFFAIRS, PUNJAB NOTIFICATION The 19th April, 2018 No.12-Leg./2018.-The following Act of the Legislature of the State of Punjab received the
More informationPre-Budget Seminar
CHARTERED ACCOUNTANTS Institute of Cost & Management Accountants of Pakistan Pre-Budget Seminar 2013-14 Contact Address: 4 th Floor, Central Hotel Building Civil Lines, Mereweather Road Karachi - Pakistan
More information2017 Basic tax information in Malaysia
2017 Basic tax information in Malaysia INCOME TAX Direct taxation in Malaysia is based on the unitary system and the basis of taxation is territorial in nature. ly income that is accrued or derived from
More informationASQ Basic tax information in Malaysia
ASQ 2016 Basic tax information in Malaysia INCOME TAX Direct taxation in Malaysia is based on the unitary system and the basis of taxation is territorial in nature. Only income that is accrued or derived
More informationSUGGESTED ANSWERS SPRING 2015 EXAMINATIONS 1 of 8 BUSINESS TAXATION SEMESTER-4
Q. 2 (a) Tax Credit for Investment: SUGGESTED ANSWERS SPRING 2015 EXAMINATIONS 1 of 8 (1) Where a taxpayer being a company invests any amount in the purchase of plant and machinery, for the purposes of
More informationFederal Budget Seminar
Federal Budget Seminar 2013-14 Pakistan Society of Human Resource Management Saqib Masood Partner / Head of Tax Services KPMG Taseer Hadi & Co. Karachi 05 July 2013 Salary Taxation Tax rate slabs enhanced
More informationNOTIFICATION NO. 94/2009, Dated: December 18, 2009
NOTIFICATION NO 94/2009, Dated: December 18, 2009 In exercise of the powers conferred by section 295 read with sub-section (2) of section 17 of the Income-tax Act, 1961 (43 of 1961), the Central Board
More informationCIRCULAR NO : 01/2012. F.No. 275/192/2012-IT(B) Government of India Ministry of Finance Department of Revenue Central Board of Direct Taxes...
1 CIRCULAR NO : 01/2012 F.No. 275/192/2012-IT(B) Government of India Ministry of Finance Department of Revenue Central Board of Direct Taxes... New Delhi, dated the SUBJECT: INCOME-TAX DEDUCTION FROM SALARIES
More information(c) (i) SUGGESTED SOLUTIONS/ ANSWERS WINTER 2018 EXAMINATIONS 1 of 7 BUSINESS TAXATION [S3] STRATEGIC LEVEL-1
SUGGESTED SOLUTIONS/ ANSWERS WINTER 2018 EXAMINATIONS 1 of 7 Question No. 2 (a) Tax Avoidance Scheme: Tax Avoidance Scheme means any transaction where one of the main purposes of a person in entering into
More informationSUGGESTED SOLUTIONS/ ANSWERS FALL 2016 EXAMINATIONS 1 of 8 BUSINESS TAXATION [G5] GRADUATION LEVEL
Question No. 2 SUGGESTED SOLUTIONS/ ANSWERS FALL 2016 EXAMINATIONS 1 of 8 (a) (i) Finance Society: 02 Finance society includes a co-operative society which accepts money on deposit or otherwise for the
More informationLECTURE ON INCOME FROM BUSINESS, SPECULATION BUSINESS AND DEDUCTIONS GENERAL PRINCIPLES
LECTURE ON INCOME FROM BUSINESS, SPECULATION BUSINESS AND DEDUCTIONS GENERAL PRINCIPLES By: Abdul Wahab Ilyas, FCCA Tax Consultant Ilyas & Hanif Associates 1 CONTENTS Income from business Speculation business
More informationFA Fakhri Associates. Accounts, Income Tax & Sales Tax Consultant
4B Super tax for rehabilitation of temporarily displaced persons. 1 A super tax shall be imposed for rehabilitation of temporarily displaced persons, for tax year 2015 and 2016, at the rates specified
More informationTAXATION OF EMPLOYEE EMOLUMENTS AND WITHHOLDING TAX OBLIGATIONS Presentation by: Mary Weru. Uphold public interest
TAXATION OF EMPLOYEE EMOLUMENTS AND WITHHOLDING TAX OBLIGATIONS Presentation by: Mary Weru Uphold public interest Presentation agenda Employee taxes Basis of taxation Residence rules Income subject to
More informationSALARY INCOME (Sec15,16 & 17)
SALARY INCOME (Sec15,16 & 17) What is salary? Payer & Payee More than one source Foregoing salary is salary income Tax free salary should include the tax paid by the employee Basis of Charge Salary is
More informationIncome From Salaries
Page: SAL-1 Income From Salaries An income can be taxed under the head Salaries only if there is a relationship of an employer and employee between the payer and the payee. The relationship of employer
More informationFundamentals Level Skills Module, Paper F6 (PKN)
Answers Fundamentals Level Skills Module, Paper F6 (PKN) Taxation (Pakistan) December 2013 Answers and Marking Scheme Notes: 1. The suggested answers provide detailed guidance on the subject for use as
More informationEUS EXECUTIVE UPDATING SERVICE Updating Acts, Ordinances, Statutory Rules & Orders (SROs.) etc.
EUS EXECUTIVE UPDATING SERVICE Updating Acts, Ordinances, Statutory Rules & Orders (SROs.) etc. III-H 11/21 NAZIMABAD Ph: (92-21) 3662 0242-3 For EUS Clients Use Only EUS UPDATE ADVANCE TAX PAID BY THE
More informationSCHOOL OF ACCOUNTING AND BUSINESS BSc. (APPLIED ACCOUNTING) GENERAL / SPECIAL DEGREE PROGRAMME
All Rights Reserved Index No No. of Pages - 11 No of Questions - 06 SCHOOL OF ACCOUNTING AND BUSINESS BSc. (APPLIED ACCOUNTING) GENERAL / SPECIAL DEGREE PROGRAMME YEAR II SEMESTER II INTAKE V/VI (GROUP
More informationSECURITIES AND EXCHANGE BOARD OF INDIA
SECURITIES AND EXCHANGE BOARD OF INDIA (Terms and Conditions of Service of Chairman and Members) Rules, 1992 (As amended upto October, 2010) S.O. 146 (E). In exercise of the powers conferred by Section
More informationINCOME TAX WORKSHOP Taxation of Individuals Presenter: Francis Kamau
INCOME TAX WORKSHOP Taxation of Individuals Friday, 7 th April 2017 Presenter: Francis Kamau Employee taxes Chargeable income For the purposes of section 3(2)(a)(ii), an amount paid to- a person who is,
More informationIncome Tax Rules, 2002 Table of Contents
2009 2010 Income Tax Rules, 2002 Table of Contents CHAPTER I Rule Subject Page No. No. 1 Short title and commencement. 1 2 Definition. 1 CHAPTER II Determination Of Income - Heads of Income Part I Salary
More informationSARS Tax Guide 2014 / 2015
This SARS pocket tax guide has been developed to provide a synopsis of the most important tax, duty and levy related information for 2014/15. SARS Tax Guide 2014 / 2015 INCOME TAX: INDIVIDUALS AND TRUSTS
More informationBILL. to give effect to the financial proposals of the Federal Government for the year
Finance Bill 2009 A BILL to give effect to the financial proposals of the Federal Government for the year beginning on the first day of July, 2009, and to amend certain laws WHEREAS it is expedient to
More informationTHE EMPLOYER S GUIDE TO PAY AS YOU EARN
THE EMPLOYER S GUIDE TO PAY AS YOU EARN Issued by, Taxpayers Services and Education Department July 2017 EMPLOYER S GUIDE TO P.A.Y.E CONTENTS PART I...1 1.0 PRELIMINARY INTERPRETATION...1 1.1 PURPOSE
More informationFinal Discharge of Tax Liability
Final Discharge of Tax Liability Index 1. Section 8. General provisions relating to taxes imposed under sections 5, 6 and 7...424 2. Section 169. Tax collected or deducted as a final tax...426 3. Commercial
More informationHEADS OF INCOME. Income From Salaries MEANING OF SALARY. Characteristics of Salary 9/7/2017
Income From Salaries HEADS OF INCOME 1) Income under the head salaries (Section 15 17) 2) Income from house property (Section 22 27) 3) Profits and gains from business or profession (Section 28 44) 4)
More informationGOVERNMENT OF PAKISTAN CENTRAL BOARD OF REVENUE. C.No.1-167(I) ITP/97 Islamabad, the 15th July, 1997 CIRCULAR NO. 6 OF 1997 (INCOME TAX)
GOVERNMENT OF PAKISTAN CENTRAL BOARD OF REVENUE C.No.1-167(I) ITP/97 Islamabad, the 15th July, 1997 CIRCULAR NO. 6 OF 1997 (INCOME TAX) SUBJECT: FINANCE SUPPLEMENTARY (AMENDMENT) ACT, 1997 AND FINANCE
More informationTax in Budget Finance Bill Income Tax Changes only! For the use of Clients & Staff Only.
Tax in Budget 2015 Finance Bill 2015 Income Tax Changes only! For the use of Clients & Staff Only. 2015 A. Salam Jan & Co. Chartered Accountants Member of AFFILICA International-UK. TABLE OF CONTENTS Foreword.
More informationINCOME-TAX AND BASED ON FINANCE ACT, FINANCE ACT, 2007 WITH NOTES 49 I.T. NOTES 69 I.T. NOTES 97 I.T. NOTES I.T. NOTES 139 I.T.
EHTA S ITRR V.G.MEHTA S ITRR V.G.MEHTA S ITRR V.G.MEHTA S ITRR V.G.MEHTA S ITRR V.G.MEHTA S ITRR V.G.MEHTA S ITRR V.G.MEHTA S ITRR V.G.MEHTA S ITRR V.G.MEHTA S ITRR VG.G.MEHTA S ITRR V.G.MEHTA S ITRR V.G.MEHTA
More informationBILL. to give effect to the financial proposals of the Federal Government for the year
A BILL to give effect to the financial proposals of the Federal Government for the year beginning on the first day of July, 2011, and to amend certain laws WHEREAS it is expedient to make provisions to
More informationSalaried class: Average tax rate required to be recalculated: FBR
Salaried class: Average tax rate required to be recalculated: FBR The Federal Board of Revenue (FBR) has clarified that the average tax rate for the purpose of deduction under section 149 (salary) of the
More informationThis SARS pocket tax guide has been developed to provide a synopsis of the most important tax, duty and levy related information for 2015/16.
BUDGET2015 TAX GUIDE This SARS pocket tax guide has been developed to provide a synopsis of the most important tax, duty and levy related information for 2015/16. INCOME TAX: INDIVIDUALS AND TRUSTS Tax
More informationTax in Budget A. Salam Jan & Co. Chartered Accountants a member of AFFILICA International - UK
ASC Tax in Budget - 2017 A. Salam Jan & Co. Chartered Accountants a member of AFFILICA International - UK TABLE OF CONTENTS Foreword 1 Summary of Significant changes in Income tax law 2 Tax Rate Card for
More informationINCOME TAX ORDINANCE, 2001
S.No INCOME TAX ORDINANCE, 2001 Important points Finance Act 2017-18 update 1 2 3 3a 4 5 6 Definition Clause 22A fast moving consumer goods Excluding durable goods Clause 30C Liaison office means a place
More informationInstructions for filling ITR-1 SAHAJ A.Y
Instructions for filling ITR-1 SAHAJ A.Y. 2018-19 General Instructions These instructions are guidelines for filling the particulars in this Return Form. In case of any doubt, please refer to relevant
More informationINCOME TAX: INDIVIDUALS AND TRUSTS
The SARS Tax Guide: A synopsis of the most important tax, duty and levy related information for 2015/16. INCOME TAX: INDIVIDUALS AND TRUSTS Tax rates (year of assessment ending 29 February 2016) Individuals
More informationSUGGESTED SOLUTIONS. KC 3 - Corporate Taxation. June All Rights Reserved. KC3 - Suggested Solutions. June Page 1 of 14
SUGGESTED SOLUTIONS KC 3 - Corporate Taxation Page 1 of 14 All Rights Reserved Answer 01 (a) 4.4. Managing VAT in a business Output tax Value of Supplies (Rs.) Rate Tax (Rs.) Taxable Supplies-Rent 1,000,000
More informationFinance Act, 2014 Explanation regarding Important amendments made in the Income Tax Ordinance, Amendments in Mutual Funds Taxation Regime.
INCOME TAX Finance Act, 2014 Explanation regarding Important amendments made in the Income Tax Ordinance, 2001. Clause (61A) of sec 2, clause (99) of Part I of2nd Schedule, DIV I of Part III of first Schedule.
More informationGovernment of Gujarat Finance Department, Sachivalaya, Gandhinagar Dated the 1 st, 2006
Government of Gujarat Finance Department, Sachivalaya, Gandhinagar Dated the 1 st, 2006 No. (GHN- ) VAR (1) / 2005 / Th: - WHEREAS the Government of Gujarat is satisfied that circumstances exist which
More informationIf u like me than raise your hand with me If not then raise ur standard That s about me!
FIN623 - Taxation Management Quiz # 03 Solved By Muhammad Afaaq Quiz will On-Line cover video lecture no. 1 to 32 Start Date Jun 22, 2011 12:00 AM End Date Jun 24, 2011 11:59 PM Total Marks 15 Asslam O
More informationThe Madhya Pradesh Gramin Avsanrachna Tatha Sadak Vikas Adhiniyam, 2005
The Madhya Pradesh Gramin Avsanrachna Tatha Sadak Vikas Adhiniyam, 2005 Act 1 of 2005 Keyword(s): Annual Value of Mineral Bearing Land, Competent Authority, Appellate Authority, Coal Bearing Land, Mineral
More informationBUDGET 2019 TAX GUIDE
BUDGET 2019 TAX GUIDE 1 This SARS pocket tax guide has been developed to provide a synopsis of the most important tax, duty and levy related information for 2019/20. INCOME TAX: INDIVIDUALS AND TRUSTS
More informationPart-II H Individual Income Tax Return 2016
Part-II H Individual Income Tax Return 2016 Part-II H AOP Income Tax Return 2016 Name* Other Sources Deductible Allowances Computations CNIC* Address* Property Final / Fixed / Average /
More informationSalary, perquisite and profits in lieu of salary defined.
Salary, perquisite and profits in lieu of salary defined. 17. For the purposes of sections 15 and 16 and of this section, (1) salary includes (i) wages; (ii) any annuity or pension; (iii) any gratuity;
More informationSUGGESTED SOLUTIONS/ ANSWERS SPRING 2017 EXAMINATIONS 1 of 7 BUSINESS TAXATION [G5] GRADUATION LEVEL
+ Question No. 2 SUGGESTED SOLUTIONS/ ANSWERS SPRING 2017 EXAMINATIONS 1 of 7 (a) Association of Persons (AOPs): 05 Association of persons includes a firm, a Hindu undivided family, any artificial juridical
More informationTAX DIGEST J.A.S.B. & Associates PREAMBLE. Chartered Accountants
PREAMBLE The purpose of this digest is to facilitate the readers about changes made by the Finance Act 2012 including rectification/additions in changes proposed in Finance Bill 2012. This document also
More informationPaper F6 (PKN) Taxation (Pakistan) Specimen questions for June Fundamentals Level Skills Module
Fundamentals Level Skills Module Taxation (Pakistan) Specimen questions for June 2015 Time allowed This Reading is and not planning: a full specimen 15 minutes paper, it is a selection of specimen Writing:
More informationFundamentals Level Skills Module, Paper F6 (PKN)
Answers Fundamentals Level Skills Module, Paper F6 (PKN) Taxation (Pakistan) December 2016 Answers and Marking Scheme Note: All references to legislation shown in square brackets are for information only
More informationThe Provincial Employees Social Security (Contributions) Regulations, 1967
The Provincial Employees Social Security (Contributions) Regulations, 1967 CONTENTS No. Lab-III-II/16/SS/66, dated 1 st March, 1968 1. Title and application 2. Definitions 3. Manner of calculating daily
More informationTaxation of individuals Presentation by: Ruth Njoroge-Mwiti Tax Manager, PKF Taxation Services Friday 13 April 2018
Taxation of individuals Presentation by: Ruth Njoroge-Mwiti Tax Manager, PKF Taxation Services Friday 13 April 2018 PAYE issues facing taxpayers Failure to file monthly PAYE returns Non payment of PAYE
More informationGHANA REVENUE AUTHORITY
Practice Note on Charitable Organisation GHANA REVENUE AUTHORITY Practice Note on Gains or Profits from Employment under the Income Tax Act, 2015 (ACT 896) Practice Note Number: DT / 2016 / 011 Date of
More informationPARLIAMENT OF THE DEMOCRATIC SOCIALIST REPUBLIC OF SRI LANKA
PARLIAMENT OF THE DEMOCRATIC SOCIALIST REPUBLIC OF SRI LANKA INLAND REVENUE (AMENDMENT) ACT, No. 8 OF 2014 [Certified on 24th April, 2014] Printed on the Order of Government Published as a Supplement to
More informationLEMBAGA HASIL DALAM NEGERI INLAND REVENUE BOARD
INLAND REVENUE BOARD PUBLIC RULING PERQUISITES FROM Translation from the original Bahasa Malaysia text. PUBLIC RULING NO. 1/2006 DATE OF ISSUE: 17 JANUARY 2006 CONTENTS Page 1. Introduction 1 2. Interpretation
More informationCircular No. 1 of 2007 (Income Tax)
GOVERNMENT OF PAKISTAN REVENUE DIVISION CENTRAL BOARD OF REVENUE ****** No.F.4(1)ITP/2007-EC Islamabad, July 2, 2007 Circular No. 1 of 2007 (Income Tax) Subject: FINANCE ACT, 2007 EXPLANATION OF IMPORTANT
More informationAccredited Accounting Technician Examination
Accredited Accounting Technician Examination Pilot Examination Paper Paper 5 Principles of Taxation Questions & Answers Booklet The Suggested Answers given in this booklet are purposely made to give more
More informationInsight of Few Sections
Insight of Few Sections Relevant for Handling Income Tax Assessments - C.A. Mehul Thakker SECTION 2(14) SECTION 2(14) CAPITAL ASSET [W.E.F A.Y.2014-15] Modification in parameters defining scope of land
More informationRebate on life insurance premia, contribution to provident fund, etc.
Rebate on life insurance premia, contribution to provident fund, etc. 88. (1) Subject to the provisions of this section, an assessee, being an individual, or a Hindu undivided family, shall be entitled
More informationApril 9, 2018 Memorandum on Tax Reforms Package
April 9, 2018 Memorandum on Tax Reforms Package Chartered Accountants a member firm of the PwC network MEMORANDUM ON TAX REFORMS PACKAGE Preamble The Prime Minister of Pakistan announced salient features
More informationBUDGET ANALYSIS
CUSTOMS ACT 1962 CUSTOMS ACT 1962 : 88 Section 2 is being amended to: (a) insert clause (3A) to define a beneficial owner as any person on whose behalf the goods are being imported or exported or who exercises
More informationGOVERNMENT OF PAKISTAN REVENUE DIVISION FEDERAL BOARD OF REVENUE **** NOTIFICATION (Income Tax)
GOVERNMENT OF PAKISTAN REVENUE DIVISION FEDERAL BOARD OF REVENUE **** Islamabad, the 17 th August, 2018. NOTIFICATION (Income Tax) S.R.O. 1012 (I)/2018.- In exercise of the powers conferred by sub-section
More informationBANKING COMPANIES (ACQUISITION AND TRANSFER OF UNDERTAKINGS) ACT, 1970
BANKING COMPANIES (ACQUISITION AND TRANSFER OF UNDERTAKINGS) ACT, 1970 Preamble 1 - BANKING COMPANIES (ACQUISITION AND TRANSFER OF UNDERTAKINGS) ACT, 1970 PREAMBLE BANKING COMPANIES (ACQUISITION AND TRANSFER
More informationFourth Schedule, Income-tax Act, 1961
1 of 13 29-Feb-16 2:48 PM Fourth Schedule, Income-tax Act, 1961 THE FOURTH SCHEDULE 36a PART A 37 RECOGNISED PROVIDENT FUNDS 38 [See sections 2(38), 10(12), 10(25), 36(1)(iv), 39 87(1)(d), 111, 192(4)]
More informationSALARY HEAD SUMMARY NOTES
1 INTRODUCTORY PROVISIONS: There must exist a relationship of employer-employee between the payer & the payee. It does not matter whether employee is a full-time employee or a part-time one. Employer-Employee
More informationGUIDE ON INCOME TAX AND THE INDIVIDUAL (2010/11)
SOUTH AFRICAN REVENUE SERVICE GUIDE ON INCOME TAX AND THE INDIVIDUAL (2010/11) Another helpful guide brought to you by the South African Revenue Service Foreword Guide on Income Tax and the Individual
More informationSouth African Income Tax Guide for 2013/2014
South African Income Tax Guide for 2013/2014 Individuals and trusts Income tax rates for natural persons and special trusts Year of assessment ending 28 February 2014 Taxable income Taxable rates 0 165
More informationBERMUDA PAYROLL TAX AMENDMENT ACT : 16
QUO FA T A F U E R N T BERMUDA PAYROLL TAX AMENDMENT ACT 2018 2018 : 16 TABLE OF CONTENTS 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 Citation Interpretation Preliminary Amendments to the Payroll Tax
More informationNote on deductions under Chapter-VI
31 Where any amount paid or deposited by the assessee has ction, a Note on deductions under Chapter-VI Section 80D D. Section 80D provides for deduction available for health premia paid etc. In computing
More informationForm No. 24Q. 1 ( a ) Tax Deduction Account No ( d ) Assessment year
Form No. 24Q (See section 192 and rule 31A) Quarterly statement of deduction of tax under sub section ( 3 ) of section 200 of the Income tax Act, 1961 in respect of Salary for the quarter ended June /
More informationTX PKN. Taxation Pakistan (TX PKN) Applied Skills. Tuesday 4 December The Association of Chartered Certified Accountants TX PKN ACCA
Applied Skills Taxation Pakistan (TX PKN) Tuesday 4 December 2018 TX PKN ACCA Time allowed: 3 hours 15 minutes This question paper is divided into two sections: Section A ALL 15 questions are compulsory
More informationChapter IV Assessments, Payment, Recovery and Collection of Tax 24. Submission of return
Chapter IV Assessments, Payment, Recovery and Collection of Tax 24. Submission of return (1) Every dealer liable to pay tax under this Act including a dealer from whom any amount of tax has been deducted
More informationNOTIFICATION. (Sindh Sales Tax on Services)
GOVERNMENT OF SINDH SINDH REVENUE BOARD Karachi, the 24 th August, 2011 NOTIFICATION (Sindh Sales Tax on Services) Notification No. S.R.B.-3-4/1 /2011, dated 24 th August, 2011 In exercise of the powers
More informationPACRA ANNUAL COMPLIANCE REPORT
PACRA ANNUAL COMPLIANCE REPORT (FOR YEAR ENDING JUNE 30, 2014) Clause-wise Compliance on SECP Credit Rating Companies Rules, 1995 (Issued July 26, 1995) THE PAKISTAN CREDIT RATING AGENCY LIMITED Clause
More information(58) TAXATION Morning [ ]
All Rights Reserved THE ASSOCIATION OF ACCOUNTING TECHNICIANS OF SRI LANKA FINAL EXAMINATION JULY 2013 Time: 03 hours (58) TAXATION 20-07-2013 Morning [9.00 12.00] Instructions to candidates: (1) All questions
More informationInstructions for Filling in Return Form & Wealth Statement Form General Sr. Instruction The following persons are required to furnish a return of income for a tax year: (a) Every company; (b) Every person
More informationDEDUCTION OF TAX AT SOURCE UNDER SECTION 192 OF INCOME TAX ACT WHAT TO DO & WHAT NOT TO DO BY EMPLOYER & EMPLOYEE?
DEDUCTION OF TAX AT SOURCE UNDER SECTION 192 OF INCOME TAX ACT WHAT TO DO & WHAT NOT TO DO BY EMPLOYER & EMPLOYEE? CMA NIRANJAN SWAIN Senior General Manager (Finance), Odisha Power Generation Corporation
More informationTHE EMPLOYEES' OLD-AGE BENEFITS ACT 1976 ACT No. XIV OF 1976
THE EMPLOYEES' OLD-AGE BENEFITS ACT 1976 ACT No. XIV OF 1976 [15th April, 1976] to repeal and re-enact the law relating to old-age benefits for the persons employed in industrial, commercial and other
More informationArea/locality; Town/City/District; State; Country. Pin code is mandatory. Tick mark the appropriate box for residential status. For non-residents cert
(ii) (iii) (iv) by furnishing the return electronically under digital signature; by transmitting the data in the return electronically under electronic verification code; by transmitting the data in the
More informationThe Institute of Chartered Accountants of Sri Lanka
The Institute of Chartered Accountants of Sri Lanka TAXATION Certificate in Accounting and Business II (CAB II) Supplement for Study Text 1 TAXATION Certificate in Accounting and Business II (CAB II) The
More informationPAYMENT OF ADVANCE TAX U/S 147 AND SAIDUDDIN & CO. TAXABILITY OF PROPERTY INCOME UNDER THE INCOME TAX ORDINANCE, 2001
PAYMENT OF ADVANCE TAX U/S 147 AND TAXABILITY OF PROPERTY INCOME UNDER THE INCOME TAX ORDINANCE, 2001 SAIDUDDIN & CO. ADVOCATES TAXATION, MANAGEMENT & COMPANY LAW CONSULTANTS PRESENTATION OVERVIEW The
More informationIMPACT OF FINANCE BILL 2018 ON SALARIED PERSON TAX
International Journal of Management (IJM) Volume 9, Issue 1, Jan Feb 2018, pp. 65 71, Article ID: IJM_09_01_011 Available online at http://www.iaeme.com/ijm/issues.asp?jtype=ijm&vtype=9&itype=1 Journal
More informationStage first Letter from FBR regarding WHT Audits.
Income Tax Notice (WHT) Stage first Letter from FBR regarding WHT Audits. Subject: NOTICE UNDER RULE 44(4) OF INCOME TAX RULES 2002 READ WITH SECTION 182 OF THE INCOME TAX ORDINANCE, 2001 TAX YEAR 2014
More informationCOMMENTS ON FINANCE BILL 2018
COMMENTS ON FINANCE BILL 2018 The information contained in this booklet has been prepared on the basis of Finance Bill 2018 and is not intended to be advice on any particular matter. No person should act
More informationTax essentials for Individuals
Tax Rates The income tax rates are: Taxable Income for Men Rate Taxable Income for Women Rate Up to Rs. 1,80,000 Nil Up to Rs. 1,90,000 Nil 1,80,001 to 5,00,000 10% 1,90,001 to 5,00,000 10% 5,00,001 to
More information