The document summarizes various sections of Pakistan's tax law as they relate to the taxation of non-residents and permanent establishments of non-residents in Pakistan. Some key points:
- Section 2 defines non-residents as individuals not present in Pakistan for 183 days, associations not managed/controlled in Pakistan, and companies not incorporated/managed in Pakistan. Non-residents are only taxed on Pakistan-source income.
- Sections 6 and 7 address taxes on payments like royalties, technical fees, and transportation income made to non-residents.
- Sections 81, 94, 101 and 105 cover principles of determining resident vs. non-resident status and taxation of permanent establishments in Pakistan
Black money and imposition of tax act, 2015Mehul Shah
The document summarizes key aspects of the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015. It outlines a compliance window mechanism that allows declaration of undisclosed foreign assets within 3 months to pay tax at 30% of the value, plus a penalty of 100% of the tax amount. Rules for valuation of various assets like bullion, property, and shares are also described. The overview notes that those with undisclosed foreign bank accounts must now pay tax on deposits in the account since it was opened.
Undisclosed foreign income and assets and imposition of tax actAmeet Patel
The Black Money Act of India has garnered a lot of attention in India and abroad. It is being projected as a harsh law to tackle the menace of unaccounted wealth accumulated in foreign countries by Indians. This presentation gives some idea about the various provisions of the law.
The document provides an overview of key concepts in India's Income Tax Act of 1961, including that it extends to all of India and sets tax rates annually. It defines income broadly to include various sources like salary, business profits, capital gains, and more. An assessee is anyone liable to pay tax, including individuals, HUFs, companies, and firms. The previous year refers to the year income is earned and taxed the following assessment year. Exceptions apply for some incomes taxed in the year before the normal assessment year. Returns must be filed by certain categories and assessments include reassessments.
Kingdom of Saudi Arabia (KSA) Value Added Tax (VAT) Law (with Index)Pankaj S. Jain
Pleased to share a curated version of KSA VAT Law with an index for ease of reading and reference. An index is a basic yet important element to give an overview of all the provisions of the law.
This document is intended for CFOs, finance controllers, finance managers, lawyers and tax professionals involved in the VAT implementation in the KSA.
We are a team of tax and accounting professionals, advising & assisting companies/businesses on VAT implementation in the UAE and Saudi Arabia. Please feel free to contact us on info@AskPankaj.com
The document summarizes the key aspects of the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015. It explains that the Act aims to tax undisclosed foreign income and assets held by resident individuals and companies in India. Some key points covered include:
- Who qualifies as an assessee under the Act based on residency conditions.
- How undisclosed foreign income and assets located outside India are defined and the flat 30% tax rate imposed on them.
- Exclusions from undisclosed foreign income and the computation of total undisclosed foreign income and value of undisclosed foreign assets.
- Key charging provisions and consequences for non-compliance including penalties and prosecutions.
The document provides an overview of the CFAP-05 Advanced Taxation course for Tax Year 2018. It includes details about the trainer, dos and don'ts for studying taxation, the course syllabus weighting and expectations. It then covers key concepts related to income tax including tax year, types of persons, residential status, tax regimes, geographical source of income, and apportionment of deductions. The document provides examples and explanations for each of these taxation concepts. It also discusses various provisions for tax collected or deducted at source which constitute final tax. The summary covers the essential concepts and structure of the taxation course in 3 sentences.
The document summarizes key aspects of the Undisclosed Foreign Income and Assets (Imposition of Tax) Bill, 2015 in India. It discusses (1) the background and objectives of the bill which are to tax undisclosed foreign income and assets and punish those generating illegitimate money, (2) key features of the bill including penalties for concealment of foreign income/assets and criminal liability for tax evasion, and (3) important definitions related to the bill such as "resident", "undisclosed foreign income and asset", and rules around computing total undisclosed income and disallowing expenses/losses against such income.
Black money and imposition of tax act, 2015Mehul Shah
The document summarizes key aspects of the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015. It outlines a compliance window mechanism that allows declaration of undisclosed foreign assets within 3 months to pay tax at 30% of the value, plus a penalty of 100% of the tax amount. Rules for valuation of various assets like bullion, property, and shares are also described. The overview notes that those with undisclosed foreign bank accounts must now pay tax on deposits in the account since it was opened.
Undisclosed foreign income and assets and imposition of tax actAmeet Patel
The Black Money Act of India has garnered a lot of attention in India and abroad. It is being projected as a harsh law to tackle the menace of unaccounted wealth accumulated in foreign countries by Indians. This presentation gives some idea about the various provisions of the law.
The document provides an overview of key concepts in India's Income Tax Act of 1961, including that it extends to all of India and sets tax rates annually. It defines income broadly to include various sources like salary, business profits, capital gains, and more. An assessee is anyone liable to pay tax, including individuals, HUFs, companies, and firms. The previous year refers to the year income is earned and taxed the following assessment year. Exceptions apply for some incomes taxed in the year before the normal assessment year. Returns must be filed by certain categories and assessments include reassessments.
Kingdom of Saudi Arabia (KSA) Value Added Tax (VAT) Law (with Index)Pankaj S. Jain
Pleased to share a curated version of KSA VAT Law with an index for ease of reading and reference. An index is a basic yet important element to give an overview of all the provisions of the law.
This document is intended for CFOs, finance controllers, finance managers, lawyers and tax professionals involved in the VAT implementation in the KSA.
We are a team of tax and accounting professionals, advising & assisting companies/businesses on VAT implementation in the UAE and Saudi Arabia. Please feel free to contact us on info@AskPankaj.com
The document summarizes the key aspects of the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015. It explains that the Act aims to tax undisclosed foreign income and assets held by resident individuals and companies in India. Some key points covered include:
- Who qualifies as an assessee under the Act based on residency conditions.
- How undisclosed foreign income and assets located outside India are defined and the flat 30% tax rate imposed on them.
- Exclusions from undisclosed foreign income and the computation of total undisclosed foreign income and value of undisclosed foreign assets.
- Key charging provisions and consequences for non-compliance including penalties and prosecutions.
The document provides an overview of the CFAP-05 Advanced Taxation course for Tax Year 2018. It includes details about the trainer, dos and don'ts for studying taxation, the course syllabus weighting and expectations. It then covers key concepts related to income tax including tax year, types of persons, residential status, tax regimes, geographical source of income, and apportionment of deductions. The document provides examples and explanations for each of these taxation concepts. It also discusses various provisions for tax collected or deducted at source which constitute final tax. The summary covers the essential concepts and structure of the taxation course in 3 sentences.
The document summarizes key aspects of the Undisclosed Foreign Income and Assets (Imposition of Tax) Bill, 2015 in India. It discusses (1) the background and objectives of the bill which are to tax undisclosed foreign income and assets and punish those generating illegitimate money, (2) key features of the bill including penalties for concealment of foreign income/assets and criminal liability for tax evasion, and (3) important definitions related to the bill such as "resident", "undisclosed foreign income and asset", and rules around computing total undisclosed income and disallowing expenses/losses against such income.
The document provides an overview of key provisions under the Indian Income Tax Act. It discusses various heads of income like salary, house property, capital gains, and business income. It summarizes important points around deductions available for HRA, interest on housing loans, losses from house property rental, and capital gains from sale of art. The document also discusses key compliance requirements like TDS, advance tax payments, and income tax return filing due dates. It summarizes special provisions for new units in SEZs, additional depreciation, and deductions available for undertakings located in certain states.
Trainer:
Fawad Hassan – ACA phavvad@gmail.com 0333-6036837 CFAP – 05 Advanced Taxation [Tax Year 2021]
(1) This document provides information on sales tax including the basic structure, output tax calculation, input tax adjustment, tax periods, and important SROs. (2) Key aspects covered include how to calculate output tax based on supplies, imports, time of supply, applicable tax rates, and value of supply. (3) The document also outlines which inputs are adjustable against output tax, including limitations and restrictions.
- Individuals and companies with total income exceeding the maximum taxable limit must file an income tax return by the due date, which is July 31 for most assessees and September 30/November 30 for some.
- Those holding overseas assets or accounts must also file a return even if income is below the taxable limit. Late or revised returns can be filed within 1 year with penalties for failure to file on time.
- The return must be verified digitally in most cases. It must be signed by the individual, partner, director or other authorized person depending on the entity. Strict documentation and procedures must be followed for e-filing.
The document discusses the Income Declaration Scheme, 2016 introduced by the Government of India to allow voluntary declaration of previously undisclosed income. It provides an overview of key aspects of the scheme such as eligible income, tax rates, declaration process, benefits of declaring under the scheme versus non-disclosure, critical dates and FAQs. Key benefits include immunity from prosecution, penalty and reopening of past assessments for declared income. Undisclosed income must be for periods prior to FY 2016-17 and total tax, surcharge and penalty is 45% of undisclosed income.
The document summarizes key changes made to Pakistan's Income Tax Ordinance of 2001 through the Finance Act of 2009. Some key points include:
1) Branch profits of foreign companies in Pakistan will now be taxed as dividend income rather than business profits. Petroleum E&P companies are excluded from this change.
2) The tax rate on bonuses for high-income corporate employees was increased to 30% for tax year 2010 to support internally displaced people.
3) Tax credits and deductions were increased for donations, home loans, and manufacturers selling to registered persons.
4) A minimum tax on turnover was re-introduced for resident companies to broaden the tax base.
5)
This document provides notes for the March 2022 attempt of the CAF-02 Tax Practices exam. It includes the syllabus breakdown and weightages, an overview of Pakistan's revenue collection system, a table of contents for the study material, and summaries of key concepts related to the income tax system in Pakistan. Some of the key points covered include the history of Pakistan's tax laws, objectives and tools of taxation, principles of tax levy, characteristics of tax laws, definitions of important tax-related terms, rules around tax year and residential status, geographical sources of income, and the basics of taxing employment income from salary.
The document provides an overview of the Indian tax system and its evolution. It discusses how taxation originated in ancient civilizations and has evolved with the modern state. Key points:
1) The Indian tax system is based on provisions in the Constitution which give taxing powers to the central and state governments. The Constitution lists subjects of taxation between the Union, State and Concurrent lists.
2) Direct taxes levied by the central government include income tax, corporation tax, capital gains tax, and others. States levy taxes on agricultural income, property, luxury goods, and professions.
3) Taxes are used to fund public services, welfare programs, debt payments, and infrastructure. The tax system is
Black money compliance window & Blank Money Act AnalysisAshwani Rastogi
The document provides details about India's Undisclosed Foreign Income and Assets Compliance Window. It summarizes the key aspects of the one-time compliance procedure and UFIA Act, including a 30% tax rate on undisclosed foreign assets and income, computation of tax, and assessment procedures. No deductions or exemptions are allowed and penalties of up to 300% of tax can be imposed. The compliance window allows declaring foreign assets by September 30, 2015 and paying tax by December 31, 2015 at a total rate of 60% to avoid prosecution.
This document discusses the changes to the Income Tax Return (ITR) forms for the Assessment Year 2018-19 compared to the previous year. It covers changes to the applicable ITR forms based on income type, the importance of correctly filing ITR to avoid penalties, changes in law that led to ITR form changes, and specific changes made to ITR forms 1 through 3. Key changes include additional reporting requirements for capital gains, section 50CA, and section 56(2)(x) income.
The document summarizes key changes to the Indian Income Tax law. Some of the major changes include:
- The corporate tax rate has been reduced to 25% for domestic companies with turnover less than 250 crores in FY 2016-17.
- Long term capital gains from equity shares exceeding 1 lakh will be taxed at 10%.
- Deductions have been increased for medical expenditures for senior citizens to Rs. 50,000 and Rs. 1 lakh for very senior citizens.
- Benefits have been extended to startups including a 100% deduction for 3 years for eligible startups incorporated between April 1, 2019 to March 31, 2021 with turnover less than 25 crores.
Tax planning in business bangladesh perspective by swapan kumar bala ssrn-id9...Rahmat Ullah
This document discusses tax planning for businesses in Bangladesh. It begins by defining key terms like tax, planning, and business. It then discusses the different types of business entities in Bangladesh (sole proprietorships, partnerships, companies) and their tax treatment. Specifically, it notes that sole proprietorships and partnerships are "pass-through" entities where the owner/partners pay tax on business income, while companies are taxed separately as entities. The document also distinguishes between tax evasion, avoidance, and planning, noting that tax planning uses legal means to maximize after-tax returns while ensuring tax compliance.
CAF 6 Principles of Taxation (Tax Year 2018)Fawad Hassan
1. The document provides definitions and explanations of key tax-related terms under Pakistan's tax laws, including definitions of different types of taxpayers and entities like companies, associations of persons, and non-profit organizations.
2. It also explains concepts like normal tax years, special tax years, and transitional tax years and the process for changing between these different tax year types.
3. Examples are provided to illustrate indirect taxation concepts like how sales tax is collected from manufacturers at each stage of production and passed on until it is ultimately paid by the final consumer.
This document provides information about an Advanced Taxation course for Tax Year 2021 taught by Fawad Hassan. The syllabus covers Income Tax (weighted 50-55%), Sales Tax (30-35%), and Federal Excise Law (10-15%). The goal is to help students score at least 50% on the CFAP-5 exam. The document outlines practice material and important concepts to focus on, including relevant laws, locating topics in statutes, and practice problems. It also provides an overview of Pakistan's tax collection system and the key questions to consider for Income Tax, including tax year, person status, residential status, tax regimes, income sources, and apportioning deductions.
Income tax is a direct tax levied annually on a person's income by the central government of India. Key features include:
- It is levied according to the constitution on income, gains or profits earned in a year (assessment year) by individuals and entities.
- The tax is administered by the central government and applies to income earned in India as well as abroad in some cases.
- Agricultural income has a specific definition that excludes certain types of income derived from agricultural activities and land.
An assessee refers to any person who is liable to pay tax, interest or penalties under the Income Tax Act. This includes individuals being assessed, their representatives, and those deemed as assessees
This document summarizes key provisions related to tax deducted at source (TDS) under the Indian Income Tax Act, including:
1) Sections related to TDS for salary (192), interest (193), dividends (194), rent (194I), professional fees (194J), and payments to contractors (194C).
2) The document outlines thresholds and exceptions for when TDS applies. For example, no TDS is required for dividends under Rs. 2,500 or interest under Rs. 5,000.
3) It discusses how the recipient can obtain a certificate for lower TDS rates under Section 197.
Objectives & Agenda :
To know the need and relevanve of income tax, its applicability and its commencement date. To understand the meaning of the term "income" and "tax" and additionally the relevant terms in relation to income and taxes. The webinar shall predominantly focus on the basic and fundamental provisions of Income Tax Act, 1961, which is required to further appreciate the subsequent charging and computational provisions.
The document discusses various aspects of income tax in India such as residential status, types of income, tax rates, deductions, and allowances. It provides definitions for key terms, outlines the process for determining residential status, and specifies tax treatment and exemptions for different types of income like salary, gratuity, pension, and perquisites. The document also details income tax slabs and surcharge rates for individuals, HUFs, firms, and companies.
1. According to Section 139(1) of the Income Tax Act, every person whose total income exceeds the maximum amount not chargeable to tax or those specified such as companies must file a return of income by the due date in the prescribed form.
2. The due date for filing return of income electronically depends on the type of assessee - it is 30th September for companies and those required to get accounts audited, 30th November for those filing transfer pricing reports, and 31st July for other assessees.
3. It is now mandatory for companies, firms, and individuals subject to tax audit to file returns electronically, while individuals with over 5 lakhs income can
This document provides an introduction to income tax in India, including an overview of its introduction in 1961, definitions of key terms, and descriptions of the main heads of income. It notes that income tax is a direct tax paid by the same person who bears the burden. It also outlines several types of exempted incomes and explains the meaning of a Permanent Account Number. Finally, it describes the five main heads of income - salary, house property, business/profession, capital gains, and other sources - and provides a brief overview of each.
Skillmount is an online learning platform that offers university-certified courses in commerce, management, and other topics. It aims to help learners gain skills and qualifications to advance their careers. Key features include courses accredited by JAIN Deemed University, content developed by industry experts, and opportunities for online or offline study and internships in UAE firms. The document then provides definitions for over 20 key terms related to VAT and taxation in the UAE, such as taxable supply, input tax, output tax, mandatory registration threshold, and place of establishment.
The document outlines various exemptions and tax concessions under Pakistan's tax ordinance. It discusses exemptions for agricultural income, income of certain foreign experts in Pakistan, Pakistani seafarers working on Pakistani or foreign vessels, income of individuals with diplomatic privileges, UN pensions, salaries of foreign government employees, income exempt under international agreements, scholarships, alimony, and more. It also discusses deductible allowances for zakat and workers' welfare funds paid. Finally, it outlines tax credits available for charitable donations to educational and relief organizations.
The document provides an overview of key provisions under the Indian Income Tax Act. It discusses various heads of income like salary, house property, capital gains, and business income. It summarizes important points around deductions available for HRA, interest on housing loans, losses from house property rental, and capital gains from sale of art. The document also discusses key compliance requirements like TDS, advance tax payments, and income tax return filing due dates. It summarizes special provisions for new units in SEZs, additional depreciation, and deductions available for undertakings located in certain states.
Trainer:
Fawad Hassan – ACA phavvad@gmail.com 0333-6036837 CFAP – 05 Advanced Taxation [Tax Year 2021]
(1) This document provides information on sales tax including the basic structure, output tax calculation, input tax adjustment, tax periods, and important SROs. (2) Key aspects covered include how to calculate output tax based on supplies, imports, time of supply, applicable tax rates, and value of supply. (3) The document also outlines which inputs are adjustable against output tax, including limitations and restrictions.
- Individuals and companies with total income exceeding the maximum taxable limit must file an income tax return by the due date, which is July 31 for most assessees and September 30/November 30 for some.
- Those holding overseas assets or accounts must also file a return even if income is below the taxable limit. Late or revised returns can be filed within 1 year with penalties for failure to file on time.
- The return must be verified digitally in most cases. It must be signed by the individual, partner, director or other authorized person depending on the entity. Strict documentation and procedures must be followed for e-filing.
The document discusses the Income Declaration Scheme, 2016 introduced by the Government of India to allow voluntary declaration of previously undisclosed income. It provides an overview of key aspects of the scheme such as eligible income, tax rates, declaration process, benefits of declaring under the scheme versus non-disclosure, critical dates and FAQs. Key benefits include immunity from prosecution, penalty and reopening of past assessments for declared income. Undisclosed income must be for periods prior to FY 2016-17 and total tax, surcharge and penalty is 45% of undisclosed income.
The document summarizes key changes made to Pakistan's Income Tax Ordinance of 2001 through the Finance Act of 2009. Some key points include:
1) Branch profits of foreign companies in Pakistan will now be taxed as dividend income rather than business profits. Petroleum E&P companies are excluded from this change.
2) The tax rate on bonuses for high-income corporate employees was increased to 30% for tax year 2010 to support internally displaced people.
3) Tax credits and deductions were increased for donations, home loans, and manufacturers selling to registered persons.
4) A minimum tax on turnover was re-introduced for resident companies to broaden the tax base.
5)
This document provides notes for the March 2022 attempt of the CAF-02 Tax Practices exam. It includes the syllabus breakdown and weightages, an overview of Pakistan's revenue collection system, a table of contents for the study material, and summaries of key concepts related to the income tax system in Pakistan. Some of the key points covered include the history of Pakistan's tax laws, objectives and tools of taxation, principles of tax levy, characteristics of tax laws, definitions of important tax-related terms, rules around tax year and residential status, geographical sources of income, and the basics of taxing employment income from salary.
The document provides an overview of the Indian tax system and its evolution. It discusses how taxation originated in ancient civilizations and has evolved with the modern state. Key points:
1) The Indian tax system is based on provisions in the Constitution which give taxing powers to the central and state governments. The Constitution lists subjects of taxation between the Union, State and Concurrent lists.
2) Direct taxes levied by the central government include income tax, corporation tax, capital gains tax, and others. States levy taxes on agricultural income, property, luxury goods, and professions.
3) Taxes are used to fund public services, welfare programs, debt payments, and infrastructure. The tax system is
Black money compliance window & Blank Money Act AnalysisAshwani Rastogi
The document provides details about India's Undisclosed Foreign Income and Assets Compliance Window. It summarizes the key aspects of the one-time compliance procedure and UFIA Act, including a 30% tax rate on undisclosed foreign assets and income, computation of tax, and assessment procedures. No deductions or exemptions are allowed and penalties of up to 300% of tax can be imposed. The compliance window allows declaring foreign assets by September 30, 2015 and paying tax by December 31, 2015 at a total rate of 60% to avoid prosecution.
This document discusses the changes to the Income Tax Return (ITR) forms for the Assessment Year 2018-19 compared to the previous year. It covers changes to the applicable ITR forms based on income type, the importance of correctly filing ITR to avoid penalties, changes in law that led to ITR form changes, and specific changes made to ITR forms 1 through 3. Key changes include additional reporting requirements for capital gains, section 50CA, and section 56(2)(x) income.
The document summarizes key changes to the Indian Income Tax law. Some of the major changes include:
- The corporate tax rate has been reduced to 25% for domestic companies with turnover less than 250 crores in FY 2016-17.
- Long term capital gains from equity shares exceeding 1 lakh will be taxed at 10%.
- Deductions have been increased for medical expenditures for senior citizens to Rs. 50,000 and Rs. 1 lakh for very senior citizens.
- Benefits have been extended to startups including a 100% deduction for 3 years for eligible startups incorporated between April 1, 2019 to March 31, 2021 with turnover less than 25 crores.
Tax planning in business bangladesh perspective by swapan kumar bala ssrn-id9...Rahmat Ullah
This document discusses tax planning for businesses in Bangladesh. It begins by defining key terms like tax, planning, and business. It then discusses the different types of business entities in Bangladesh (sole proprietorships, partnerships, companies) and their tax treatment. Specifically, it notes that sole proprietorships and partnerships are "pass-through" entities where the owner/partners pay tax on business income, while companies are taxed separately as entities. The document also distinguishes between tax evasion, avoidance, and planning, noting that tax planning uses legal means to maximize after-tax returns while ensuring tax compliance.
CAF 6 Principles of Taxation (Tax Year 2018)Fawad Hassan
1. The document provides definitions and explanations of key tax-related terms under Pakistan's tax laws, including definitions of different types of taxpayers and entities like companies, associations of persons, and non-profit organizations.
2. It also explains concepts like normal tax years, special tax years, and transitional tax years and the process for changing between these different tax year types.
3. Examples are provided to illustrate indirect taxation concepts like how sales tax is collected from manufacturers at each stage of production and passed on until it is ultimately paid by the final consumer.
This document provides information about an Advanced Taxation course for Tax Year 2021 taught by Fawad Hassan. The syllabus covers Income Tax (weighted 50-55%), Sales Tax (30-35%), and Federal Excise Law (10-15%). The goal is to help students score at least 50% on the CFAP-5 exam. The document outlines practice material and important concepts to focus on, including relevant laws, locating topics in statutes, and practice problems. It also provides an overview of Pakistan's tax collection system and the key questions to consider for Income Tax, including tax year, person status, residential status, tax regimes, income sources, and apportioning deductions.
Income tax is a direct tax levied annually on a person's income by the central government of India. Key features include:
- It is levied according to the constitution on income, gains or profits earned in a year (assessment year) by individuals and entities.
- The tax is administered by the central government and applies to income earned in India as well as abroad in some cases.
- Agricultural income has a specific definition that excludes certain types of income derived from agricultural activities and land.
An assessee refers to any person who is liable to pay tax, interest or penalties under the Income Tax Act. This includes individuals being assessed, their representatives, and those deemed as assessees
This document summarizes key provisions related to tax deducted at source (TDS) under the Indian Income Tax Act, including:
1) Sections related to TDS for salary (192), interest (193), dividends (194), rent (194I), professional fees (194J), and payments to contractors (194C).
2) The document outlines thresholds and exceptions for when TDS applies. For example, no TDS is required for dividends under Rs. 2,500 or interest under Rs. 5,000.
3) It discusses how the recipient can obtain a certificate for lower TDS rates under Section 197.
Objectives & Agenda :
To know the need and relevanve of income tax, its applicability and its commencement date. To understand the meaning of the term "income" and "tax" and additionally the relevant terms in relation to income and taxes. The webinar shall predominantly focus on the basic and fundamental provisions of Income Tax Act, 1961, which is required to further appreciate the subsequent charging and computational provisions.
The document discusses various aspects of income tax in India such as residential status, types of income, tax rates, deductions, and allowances. It provides definitions for key terms, outlines the process for determining residential status, and specifies tax treatment and exemptions for different types of income like salary, gratuity, pension, and perquisites. The document also details income tax slabs and surcharge rates for individuals, HUFs, firms, and companies.
1. According to Section 139(1) of the Income Tax Act, every person whose total income exceeds the maximum amount not chargeable to tax or those specified such as companies must file a return of income by the due date in the prescribed form.
2. The due date for filing return of income electronically depends on the type of assessee - it is 30th September for companies and those required to get accounts audited, 30th November for those filing transfer pricing reports, and 31st July for other assessees.
3. It is now mandatory for companies, firms, and individuals subject to tax audit to file returns electronically, while individuals with over 5 lakhs income can
This document provides an introduction to income tax in India, including an overview of its introduction in 1961, definitions of key terms, and descriptions of the main heads of income. It notes that income tax is a direct tax paid by the same person who bears the burden. It also outlines several types of exempted incomes and explains the meaning of a Permanent Account Number. Finally, it describes the five main heads of income - salary, house property, business/profession, capital gains, and other sources - and provides a brief overview of each.
Skillmount is an online learning platform that offers university-certified courses in commerce, management, and other topics. It aims to help learners gain skills and qualifications to advance their careers. Key features include courses accredited by JAIN Deemed University, content developed by industry experts, and opportunities for online or offline study and internships in UAE firms. The document then provides definitions for over 20 key terms related to VAT and taxation in the UAE, such as taxable supply, input tax, output tax, mandatory registration threshold, and place of establishment.
The document outlines various exemptions and tax concessions under Pakistan's tax ordinance. It discusses exemptions for agricultural income, income of certain foreign experts in Pakistan, Pakistani seafarers working on Pakistani or foreign vessels, income of individuals with diplomatic privileges, UN pensions, salaries of foreign government employees, income exempt under international agreements, scholarships, alimony, and more. It also discusses deductible allowances for zakat and workers' welfare funds paid. Finally, it outlines tax credits available for charitable donations to educational and relief organizations.
This document defines key terms related to income tax in India. It explains that the assessment year is the year following the financial year in which income is assessed. The previous year is the financial year in which income is earned. It defines who qualifies as a person, assessee, representative assessee, and deemed assessee for income tax purposes. It also explains how gross total income, total income, casual income, and agricultural income are defined and treated for income tax.
Objectives & Agenda :
To analyse and interpret the provisions of the Income-tax Act relating to chargeability of Income from Sources other than Salary, House Property, Business or Profession and Capital Gains. In this Webinar, we will discuss the various incomes that are chargeable under the head 'Income From Other Sources' which covers Dividends, Gifts, Certain Interest, Advance money forfeited etc. Finally, the Webinar will touch upon relevant Judicial Precedents.
When non-residents are not required to file tax returns for income earned in ...DVSResearchFoundatio
Key Takeaways:
Charging section for taxability of non-residents
Incomes of non-residents for which no returns to be filed
Conditions to be satisfied for non-filing of returns
Representative assessee and its liability
Income tax Return is a way by which we pay Income tax. When total income of a person, including all sources, is more than maximum unchargeable limitation then that person is liable to pay income tax.
FILING OF RETURN OF INCOME (U/S. 139)
In the day to day operations of the business, it is essential to have grip on Tax Deducted at Source (TDS) which acts as a means to collect tax at the inception of the income itself and Tax Collected at Source (TCS) where a seller collects a certain amount of tax from the buyer at the time of sale. In this webinar we will be learning the applicability, non-applicability, prevailing rate of tax and other related provisions of the Income-tax Act with respect to TDS and TCS
This document defines key concepts related to persons under tax law, including individuals, associations of persons, and companies. It provides that an individual, company, association of persons, government, or public international organization shall be treated as a person. It also defines resident and non-resident persons and provides principles for taxing individuals, associations of persons, and companies separately. Income of a company's shareholders from dividends is taxed separately from other income of the company.
The document outlines key amendments made to the Insurance Act of 1938. Some of the major amendments include:
- Increasing the cap on foreign investment in insurance companies from 26% to 49%.
- Allowing foreign re-insurers to open branches in India.
- Recognizing 'health insurance' as a separate field of insurance business.
- Removing requirements for insurers to maintain deposits with RBI.
- Prescribing minimum annuities and benefits that must be paid out under life insurance policies.
- Increasing penalties for non-compliance, such as fines up to Rs. 25 crores and imprisonment up to 10 years.
1) Income tax is charged according to the rates specified in the relevant Act and is levied on the total income of a person which includes income accrued or received in Bangladesh for residents and income accrued or received in Bangladesh for non-residents.
2) In addition to income tax, the assessee may have to pay surcharge, additional tax, or excess profit tax depending on the situation.
3) The scope of total income is different for residents and non-residents and includes deemed income such as unexplained investments, cash credits, expenditures and discontinued business income.
The document discusses refunds under the CGST Act. It states that refunds shall be allowed for tax paid on supplies where invoices have not been issued, tax paid but not passed on to others, and unutilized input tax credit. Refund of input tax credit is allowed for zero-rated supplies or when input tax rate is higher than output tax rate. The process for claiming refund requires filing form GST RFD-01 within two years along with supporting documents. Refunds must be granted within 60 days, with interest for delays. Provisional refund of 90% is allowed for zero-rated supplies pending final settlement.
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Taxation of non resident and permanent establishment of non resident in pakistan
1. AAMIR RASHEED - 0300-8422327
TAXATION OF NON-RESIDENT
AND
PERMANENT ESTABLISHMENT OF
NON-RESIDENT IN PAKISTAN
2. RELEVANT PROVISIONS OF THE LAW
2 Definition
6 Tax on certain payments to non-
residents
7 Tax on shipping and air transport
income
11 Head of Income
44 Exemption under international
agreements
46 Profit on debt
79 Non recognition rule
81 Resident & Non-resident person
94 Principles of taxation of companies
107 Agreement for avoidance of double
taxation
115 Person not required to furnish a
return of income
142 Recovery of tax due by non-resident
members
143 Non-resident ship owner or a charterer
144 Non-resident aircraft owner or
charterer
152 Payment to a non-resident
153 Payment for goods and services
Permanent Establishment of Non-resident
person
101 Geographical source of income
105 Taxation of Permanent Establishment
206A(3) Advance ruling
AAMIR RASHEED, 0300-8422327
3. Section-2 Definition
Individual not physically present in Pakistan at least 183 days in aggregate.
AOP not having management and control wholly or partly in Pakistan in any time during the tax year
Companies not incorporated (registered) in Pakistan and/ or not having management and control wholly
situated in Pakistan in any time during the year.
A non-resident person is taxable only for his Pakistan Source income subject to Tax Treaty. (an agreement
between countries for avoidance of double taxation)
Section-6 (Tax on certain payment to non-resident person)
Non-resident person if received Pakistan source royalty and fee for technical services will be
paid tax @ 15 % on gross amount.
Exemption
Royalty and fee for technical services are connected with PE
Exempted royalty and fee for technical services as per income tax ordinance
Section-7 Tax on shipping and air transport income of non-resident
Tax shall be imposed @ 8% and 3% respectively on business income of following
Gross amount received or receivable( where in or out side Pakistan) for carriage of
passengers, livestock, mail or goods embarked in Pakistan and
Gross amount received or receivable in Pakistan for carriage of passengers, livestock, mail
or goods embarked outside Pakistan.
AAMIR RASHEED, . 0300-8422327
4. Section-11 Head of Income
The income of a non-resident person under a head of income shall be computed by
taking into account only amount that are Pakistan-source income.
Section-44 Exemption under international agreements
Any Pakistan source will which Pakistan is not permitted to tax under tax treaty shall
be exempted.
Any salary received by an individual(not being Pakistan citizen) shall be exempt to
extent provided for in agreement between Federal Government and Foreign Government
if
the individual is either not resident or resident on solely by reason of performing
services.
Individual is citizen of that Foreign Country.
Salary is paid by the Foreign Country or Public international organization out of fund or
grants released as Aid to Pakistan in pursuance of such Agreement.
Any income received by a person (not being a citizen of Pakistan) engaged as a
contractor, consultant, or expert on a project in Pakistan shall be exempt to the extent
provided for in a bilateral or multilateral technical assistance agreement between the
Federal Government and a foreign government or public international organization,
where
The project is financed out of grant funds in accordance with the agreement
The person is either a non-resident person or a resident person solely by reason of
the performance of services under the agreement and
AAMIR RASHEED, FCA. 0300-8422327
5. Section-46 Profit on debt
Any profit received by a non-resident person on a security issued by a resident person shall be
exempt from tax under this Ordinance where
the persons are not associates
the security was widely issued by the resident person outside Pakistan for the purposes of
raising a loan outside Pakistan for use in a business carried on by the person in Pakistan
the profit was paid outside Pakistan; and
the security is approved by the Central Board of Revenue for the purposes of this section.
Section-79 Non-recognition rule
No gain/loss on disposal of property is arise where:
between spouses under an agreement to live apart;
by reason of the transmission of the asset to an executor or beneficiary on the death of a
person;
by reason of a gift of the asset;
by reason of the compulsory acquisition of the asset under any law where the consideration
received for the disposal is reinvested by the recipient in an asset of a like kind within one
year of the disposal;
by a company to its shareholders on liquidation of the company; or
by an association of persons to its members on dissolution of the association where the assets
are distributed to members in accordance with their interests in the capital of the association.
Exemption
If the person acquiring the assets is Non-Resident Person AAMIR RASHEED, FCA. 0300-8422327
6. Section-81 Resident & non-resident person
A person shall be a resident person for a tax year if the person is;
resident individual, resident company or resident association of persons for the year or
the Federal Government.
A person shall be a non-resident person for a tax year if the person is not a resident person for
that year.
Secton-94 Principles of taxation of companies
Where sub-section (3) of section 92 applies, the income of a member of an association of
persons chargeable under the head “Income from Business” for a tax year shall include;
in the case of a resident member, the member’s share in the total income of the association; or
in the case of a non-resident member, the member’s share in so much of the total income of
the association as is attributable to Pakistani-source income.
The share of a loss of a non-resident member shall be limited to the extent that the loss
relates to the derivation of Pakistan-source income.
Under Finance Bill 2017, dividend income received from a non resident company treated as
dividend income rather than business income or other source income.
Section-107 Agreement for avoidance of double taxation
The Federal Government may enter into an agreement with the government of a Foreign country
for avoidance of double taxation and prevention of fiscal evasion. The provision of agreement
have effect in the following manner;
relief from the tax payable under this Ordinance;
the determination of the Pakistan-source income of non resident persons;
AAMIR RASHEED, FCA. 0300-8422327
7. Section-107 Agreement for avoidance of double taxation
where all the operations of a business are not carried on within Pakistan, the
determination of the income attributable to operations carried on within and
outside Pakistan, or the income chargeable to tax in Pakistan in the hands of non-
resident persons, including their agents, branches, and permanent establishments in
Pakistan;
the determination of the income to be attributed to any resident person having a
special relationship with a nonresident person; and
the exchange of information for the prevention of fiscal evasion or avoidance of taxes
on income chargeable under this Ordinance and under the corresponding laws in force
in that other country.
Section-115 Person not required to furnish a return of income
A Non-Resident person is not required to furnish Income Tax Return if;
Owns immovable property with a land area of two hundred and fifty square yards or
more or
Owns any flat located in areas failing within the municipal limits existing immediately
before commencement of Local Government Laws in the province or area in a
Cantonment or the Islamabad Capital Territory.
If the above non resident person is;
Not a Company
Person whose taxable income does not exceed taxable limit AAMIR RASHEED, FCA. 0300-8422327
8. Section-115 Person not required to furnish a return of income
A welfare institution approved by Tax Ordinance
Section-142 Recovery of tax due by non-resident members
The tax due by a non-resident member of an association of persons in respect of the
member’s share of the profits of the association shall be assessable;
in the name of the association or
of any resident member of the association and
may be recovered out of the assets of the association or
from the resident member personally.
A person making a payment under this section shall be treated as acting under the
authority of the non-resident member and is hereby;
indemnified in respect of the payment against all proceedings, civil or criminal,
and
all processes, judicial or extrajudicial,
notwithstanding any provisions to the contrary in any written law, contract or
agreement.
The provisions of this Ordinance shall apply to any amount due under this section as if it
were tax due under an assessment order. AAMIR RASHEED, FCA. 0300-8422327
9. Section-143 Non-resident ship owner or charterer
A ship master before departure furnish A RETURN showing the gross amount as per Section-7 in
order to determine the amount of tax due under Section-7 after calling for all details and
accounts.
The Collector of Custom shall not grant port clearance for ship until;
RETURN is furnished
Tax under Section-7 is paid or
Arrangements of payments have been made.
Exemption of filing return before departure
Satisfy Commissioner not able to furnish RETRUN before departure.
Has made satisfactory arrangements for its payments.
Furnish RETURN within 30 days from departure.
Section-144 Non-resident aircraft owner or charterer
A non-resident owner or charterer of aircraft shall furnish A QUARTER RETURN within 25 days
from each quarter of financial year showing gross amount specified in section-7 in order to
determine the amount of tax due after calling for all details and accounts.
Tax imposed must be paid within time specified in notice. If such tax is not paid within 3 month
of service of notice, the Commissioner may issue to the authority by whom clearance may be
granted to the aircraft operated by non-resident person A CERTIFICATE specifying the name of
non-resident person and amount of tax AAMIR RASHEED, FCA. 0300-8422327
10. Section-144 Non-resident aircraft owner or charterer
The authority to whom A CERTIFICATE is issued shall refuse clearance from aircraft from any
airport in Pakistan to any aircraft owned or chartered by such non-resident until tax due has
been paid.
Section-152 Payment to non-resident ( provide option to opt of Final tax regime, under
Finance Bill, 2017)
Every person paying royalty or fee for technical services to a Non-Resident that is chargeable to
tax under section-6 shall deduct tax @17.
Every person making a payment in full or part(including advance) to a Non-Resident Person on
execution of;
A contract or sub-contract under a construction, assembly or installation project in Pakistan,
including for supply of supervisory activities in relation to such projects
Any other contract for construction or services rendered relating thereto or
A contract for advertisement services rendered by T.V Satellite Channels.
Shall be deducted tax @ 7 % for filers and @ 13% for non-filers. (as per Finance Bill 2017)
Insurance premium or reinsurance premium to non-resident. ( 5% in both case)( not applied on
PE of Non resident on Commissioner’s satisfaction)
Tax deducted above is Full and final tax on the income of Non-Resident Person
Advertisement services of non-resident person relaying from outside Pakistan. (10% in both
case)
Any other case (20% in both case)( not applied where tax deducted under section
149,150,156,233 and 172) AAMIR RASHEED, FCA. 0300-8422327
11. Section-152 Payment to non-resident
Sale of goods (except commercial import under section-148) For rendering of or
providing services
On execution of contract excluding rendering of or providing services
Shall deduct tax on gross amount (13%)
The Commissioner may allow PE of non resident no deduction or deduction at reduced rate if tax
is adjustable.
Where a person make payment without deducting tax under this section the person making
before payment furnish to the Commissioner a notice having
The name of address of the non-resident person
The nature and amount of the payment
The commissioner may allow not to deduct or give order to deduct tax as per this section
Furnishing a notice to Commissioner mentioning above shall not apply to a payment on account
of;
An import of goods where title to the goods passes outside Pakistan where;
The supply is made by the Head Office outside Pakistan of a person to a Permanent
Establishment of the person in Pakistan
Supply by PE of person outside Pakistan to a PE of person in Pakistan AAMIR RASHEED, FCA. 0300-8422327
Filer Non-filer
Company 4% 7%
Other
case
4.5% 7.75%
Filer Non-filer
Company 12% 14%
Other
case
15% 17.5%
12. The supply is made between associates
The supply is made by a resident person or a Pakistan PE of non-resident person
Education and medical expenses remitted in accordance with the regulations of state
Bank of Pakistan.
Section-153 Payment for goods and services
Every person making a payment in full or part including advance to a resident person for
Sale of goods
Rendering of or providing of services
On execution of a contract excluding sale and service contracts
Shall deduct tax on gross amount including sale tax as;
AAMIR RASHEED, FCA. 0300-8422327
2017 2016
Filer Non-
filer
Filer Non-
filer
Sale of rice, cotton seed or edible oils 1.5% 1.5% 1.5% 1.5%
Sale of fast moving consumer goods by
distributors thereof
In case of company 3% 3% 4% 6%
In case of other than Company 3.5% 3.5% 4.5% 6.5%
13. AAMIR RASHEED, FCA. 0300-8422327
2017 2016
Filer Non-
filer
Filer Non-
filer
Sale of other goods
In case of Company 4% 7% 4% 6%
In case other than Company 4.5% 7.75% 4.5% 6.5%
Rendering of or providing services
Transport services
In case of Company 2% 2% 2% 2%
In case of other than Company 2% 2% 2% 2%
Advertisement services by electronic and print
media
In case of Company 1.5% 14.5% 1% 12%
In case other than Company 1.5% 17.5% 1% 15%
Other services
In case of Company 8% 14.5% 8% 12%
14. AAMIR RASHEED, FCA. 0300-8422327
2017 2016
Filer Non-
filer
Filer Non-
filer
In case other than Company 10% 17.5% 10% 15%
Execution of Contract
In case of Company 7% 12% 10% 7%
In case other than Company 7.5% 12.5% 10% 7.5%
Execution of contract by sports person 10% 10% 10% 10%
15. Section-153 Payment for goods and services…….continue……
Every exporter or an export house making a payment in full or part including advances to a
Resident Person or PE in Pakistan of Non resident for rendering of or providing of services of
Stitching, dying, printing, embroidery, washing, sizing and weaving shall be deduct tax @1% on
gross amount.
Tax deducted under this section shall be Full and Final tax provided;
Where payment is received on sale or supply of goods by a (Sale of goods)
Company being manufacturer of such goods or
Public company listed on a registered stock exchange in Pakistan
Tax deducted on rendering of services shall be minimum tax on transaction provided;
Where above mentioned minimum tax in respect of freight forwarding services, cargo services,
courier services, manpower outsourcing services, hotel services, security guard services,
software development services, tracking services, advertising services( other than print or
electronic media), share registrar services, engineering services or car rental services (if tax
payable must be less than 2% of total turnover) is in excess of corporate tax (34%) the excess
amount of tax paid shall be carried forward for adjustment against tax liability of next 5 years.
This clause shall not apply on aforementioned services companies if tax payable is more than 2%
of total turn over.
tax deducted on execution of contract shall be adjustable if recipient is a public listed companyAAMIR RASHEED, FCA. 0300-8422327
16. Section-153 Payment for goods and services…….continue……
Tax deducted under payment made to print or electronic media for advertisement services shall
be full and final tax liability.
Commissioner relaxation of withholding taxes where tax is adjustable.
Not withheld tax or withheld tax at reduced rates in normal case
In case of abovementioned services companies, above relaxation will be given when such
companies made advance payment equal to 2% of the Turnover of immediately preceding tax
year.
This section shall not apply to;
A sale of goods where the sale is made by importer of the goods and tax under section 148 (
Commercial importer)
Payment made to traders of yarn by the taxpayers specified in zero-rated regime of sale tax
A refund of any security deposit
A payment made by Federal Government, a Provincial Government or a Local Government to a
contractor for construction materials supplied to the a contractor by the said Government.
A cotton ginner who deposits in the Government Treasury, and amount equal to the amount of
tax deductible on the payment being made to him and evidence to this effect is provided to the
prescribed person
The purchase of an asset under a lease and buy back agreement by a Modaraba, leasing
company, banking company or financial institution
Any payment for securitization of receivables by SPV( Special purpose vehicle)
Note: Under Finance Bill 2017, the service provider shall collect advance tax of recipient of services on theAAMIR RASHEED, FCA. 0300-8422327
17. PERMANENT ESTABLISHMENT OF NON-RESIDENT PERSON
Section-101 Geographical source of income
Non-resident person earned income in Pakistan is a Pakistan source of income in any type if
Income derived by PE of Non-Resident Person.
sale of goods or merchandise or other business activities of the same or similar kind as those sold by the
person through a PE in Pakistan.
Any business connection in Pakistan. ( Real and sufficient connection must be)
Rendering of independent services of any kind ( Royalty and Technical Fee)
Any gain from disposal of property used in deriving income by PE
Section-105 Taxation of a PE in Pakistan of a non-resident person
The general and the most significant rules in relation to the computation of business
income of PE is that all the provisions of the Ordinance as applicable to resident
enterprises are applicable to the PE including;
Depreciation
Amortization
Bad debts
AAMIR RASHEED, FCA. 0300-8422327
18. TAX IMPLICATION ON NON-RESIDENT HAVING PE
Deductible business expenses and allowable business incomes
Carry forward and sett off of losses
Distinct and separate entity from non-resident person/Head Office
In determining attributable and taxable profit of PE and non-resident, Tax Ordinance
treats PE as independent and separate legal entity from Non-resident/Head office.
Allowability of Business expenses.(excluding Head Office Expenses)
All the expenses incurred for taxable activity including royalty income and fee for
technical services of PE, including executive and administrative expenses so incurred
whether in Pakistan or elsewhere, are allowable expenses with subject to the provisions
of Ordinance. These expenses must be revenue nature and bear the element of
commercial expediency.
Allowability of Head Office Expenses
Head office of PE remains engage with PE in different countries in order to facilitate
business activities of PE which would result in occurrence of expenses by Head office
specially for and on the behalf of PE. This kind of expense belong to business expense
of PE which need to be deducted from PE’s business taxable income. Therefore,
Ordinance would allow such expenses on the basis of formula mentioned below,
Allowable head office expenses = Pakistan Turnover/World wide TO*Total HO expenses
AAMIR RASHEED, FCA. 0300-8422327
19. TAX IMPLICATION ON NON-RESIDENT HAVING PE
10% maximum limit of expenses out side Pakistan relevant to earn royalty income and fee for
technical services by PE. ( Income tax Rules, 2002)
Nature of Head office expenses are:
salaries, travelling expense of such employees, rent and rates
Any other expenditure which may be prescribed.
Disallowance of Expenses/Incomes
The following expenses paid or payable/received or receivable to or from head office or other PE
of the head office can not be allowable expenses/incomes.
Royalty fees for use of tangible or intangible assets by PE.
Compensation for any services including management services for PE.
Profit on debt of money lent to PE by Head Office ( other than Banking business)
Any interest paid or payable by non resident on debt to finance PE business
Any insurance premium paid or payable in respect of above debt.
Example. ABC US Co. borrows funds to establish PE in Pakistan. The interest being paid by the
Company is not allowable expense in Pakistan for PE.
Note:
PE Pakistan source Income would be either NTR income or FTR income. Above mentioned
Allowability would be allowed against NTR taxable income only.
AAMIR RASHEED, FCA. 0300-8422327
20. TAX IMPLICATION ON NON-RESIDENT HAVING PE
Section-152 Payment to non-resident person having Permanent Establishment
Every prescribed person making payment to PE of non-resident shall deducted tax @15
from gross amount including sale taxes in the following manners;
Sale of goods including advances.
Rendering of services, royalty fee and technical fee.
Execution of contract.
Note: Under NTR income, where tax deducted is adjustable, exemption of not deducting
tax or deducted at reduced rate would be allowed to recipient of amount (PE) on
Commissioner discretion.
Note: Full time exemption is allowed to Petroleum Exploration and Production
Companies (PE)
Section-206A(3) Advance ruling
The Finance Bill 2017, has omitted the proviso and advance ruling shall now be
applicable on Permanent Establishment in Pakistan of Non-resident.
AAMIR RASHEED, FCA. 0300-8422327