Wednesday, 18 December 2024
Trending
Lesco Bill Check Online 2022 | How to Get Lesco Duplicate Bill Online How to Check and Verify Vehicle Ownership | Car Registration Online Check 8009 Nadra family verification system | 8009 Nadra online check | 8009 sms Nadra Apple IPhone XS Max PTA and Import TAX in Pakistan | Non PTA price in Pakistan 1500 Prize Bond Draw List 15 August 2022 How to Check Number of Mobile SIMs Issued Against Your CNIC Prize Bond 750 list 2022 | Prize Bond Schedule 2022 750 Prize Bond List 2022 | Prize Bond Schedule 2022 200 Prize Bond Draw List 2022 15th March 2022 – Prize Bond Draw Schedule Dates and Results 2022 US dollar inflated by 4 paisa The Pakistan Stock Brokers Association is now formally operational FBR tax offices renamed Pakistan's current account balance again remains in surplus FBR issued valuation for sale of used cars for purpose of collecting sales tax. FATF takes up Pakistan case tomorrow How to become active tax filer in FBR Rules amended by FBR: Issued time limit for notifying income tax return form FBR launched Maloomat TaxRayApp: Signed MoU with NADRA: Acquired all data of filers & non-filers Federal Board of Revenue (FBR) ceased manual processing of income tax refunds HEC announces Scholarship Programme 2021 for Bachelors, One-Tier Masters, Masters and PhD studies Karachi Tax Bar Association (KTBA) rejected using mobile phone SMS as a legal way to serve tax notices Who is exempt from filing income tax returns ? Anti money laundering Act: monitoring of Jewelers, real estate agents and accountants under strict regulations Tax amnesty scheme for builders and developers ending at December 31 2020 Retailers registered with FBR started obtaining CNIC of consumers on sales above than Rs100,000 FBR directed to issue income tax exemption certificates against gratuity and provident funds Taxation of Builders and Developers e-payment limit of taxes abolished FBR allowed to registered persons to file non-export refund claims FBR extends scope of sales tax on IT Services and IT Enabled Services IT Exports Increased by 40% Govt imposing additional taxes on cars from next week FBR fired the officer for dishonesty The government will audit the Neelum-Jhelum surcharge collection China-Pakistan Economic Corridor project: Chapter added by FBR in the customs law PTBA highlighted issues in Active Taxpayer List Income Tax Credit Proposed for IT Sector Exceptional Rise of Workers Foreign Remittances in February 2021 Third Schedule Goods for Sales tax Rates Under Sales Tax Act, 1990 Federal Board of Revenue Rejected a News Report Published State Bank of Pakistan launches Five Years Islamic banking plan Federal Board of Revenue alerts Taxpayers about Fake and Harmful Emails Customs field formations to remain open on 8th, 10th & 11th May RS. 1500 Prize Bond Result, 17 May 2021 Announced The Punjab Letters of Administration and Succession Certificates Ordinance 2021 FBR Records historic growth again in May, 18% Growth in 11 Months Budget in front but Pakistan and IMF will discuss taxes next week Today Currency Rates in Pakistan Political parties exempted in Budget from filing income tax returns and paying taxes Intelligence & Investigation Inland Revenue Operation against three unregistered units
Tax-Exemption-oversease-Pakistanis
Tax-Exemption-oversease-Pakistanis
TAXATION

FBR clarification: good news for overseas Pakistanis for taking exemption from tax on profit on bank deposits

By

Income Tax Circular Issued by FBR

Federal Board of Revenue (FBR) made it mandatory for overseas Pakistanis to seek income tax exemption on ‘profit on bank deposits’ received from remittances deposited in their local bank. Exemption Certificate needs to provide to the bank to avail exemption form tax. The FBR on Wednesday issued an Income Tax Circular Number 6 of 2020 here stating:

To encourage foreign remittances in to Pakistan

To encourage Pakistani nationals abroad but to have a Rupee account with a Scheduled Bank in Pakistan. Profit on bank deposits obtained from foreign exchange, especially deposits exempted from tax under Clause 79 of Part-I of Second Schedule to Income Tax Ordinance, 2001.

Under sub-section 2 of section 159 of the Income Tax Ordinance 2001, the taxpayer will be liable to pay the full amount of tax to the withholding agents in case of failure to produce the certificate for tax exemption under section 159 (1) of the Income Tax Ordinance 2001.

See also  Weboc Registration process, Import & Export process in Pakistan, Benefits of Weboc Registration, Documents required for Weboc registration

FBR clarification: good news for overseas Pakistanis for taking exemption from tax on profit on bank deposits
Income Tax Circular – 6

Overseas Pakistani must provide ‘Exemption Certificate”

The FBR circular further states that in order to be eligible for relief under this provision. The account holder must be a Pakistani citizen. Who is overseas Pakistani and the remittances must be deposited locally in the same account in any way.

Profit earned from deposits from foreign exchange

The income tax exemption available for any profit on bank deposits obtained from a Rupee account held with a Scheduled Bank in Pakistan by a Pakistani citizen abroad. where the amount deposited in the said account is from a non-resident person. Moreover, exclusively through foreign exchange in this account.

Top-Tax-Consultants-Lahore-Pakistan-Global-Tax-Consultants
A d v e r t i s e m e n t

tax-accounting-services-top-tax-consultants-lahore-pakistan
Ads:

LATEST POSTS

PREVIOUS POSTS

See also  FBR monitoring teams will assess sales of resisting Tier-1 retailers
Newsletter
Subscribe Now

Sign up for  Daily Digest and get the best of News for you.

[contact-form-7 id="11414" title="Contact form 1"]

Tax.net.pk - Your Tax Experts and Consultants

Welcome to Tax.net.pk

Providing Expert Tax Services for Individuals and Businesses

About Us

At Tax.net.pk, we are dedicated to providing comprehensive tax solutions tailored to meet the needs of individuals and businesses. With years of experience in the industry, our team of tax experts is equipped to handle various tax matters, including tax planning, preparation of tax returns, and compliance.

We strive to stay up-to-date with the latest tax laws and regulations, ensuring that our clients receive accurate and reliable advice. Our commitment to client satisfaction and our in-depth knowledge of the tax landscape make us the trusted choice for all your tax-related needs.

Contact Us

For inquiries or to schedule a consultation, please reach out to us: