AUSNAHMEN VON TOTALEN GEWINNMITTELN Einkommen oder Einkommensstufen oder Personen oder Personengruppen, die nachstehend aufgezählt werden, sind von der Steuer befreit, vorbehaltlich der Bedingungen und in dem hier angegebenen Umfang: Klausel (1) Lautet wie folgt: "(1) Ein Einkommen, das unter dem Hauptqualifikationszertifikat" Salaryquot "erhoben wird, das von einer Person des International Irrigation Management Institute (IIMI) in Pakistan, die weder ein Staatsangehöriger Pakistans noch eine in einer der vier Personen ansässige Person ist, Englisch: eur-lex. europa. eu/LexUriServ/LexUri...0083: EN: HTML (2) Ein Einkommen, das unter dem HauptqualifikationSalaryquot erhoben wird, das von Personen oder Personen, die keine Staatsbürger von Pakistan oder eine gebietsansässige Person sind, als Entgelt für Dienstleistungen erbracht wird Ihn als Gesundheitsexperte im Rahmen des mit dem Shaukat Khanum Memorial Hospital und Research Center, Lahore, geschlossenen Dienstvertrages und für die Zwecke dieser Klausel von der Bundesregierung genehmigt. (3) Ein Einkommen, das unter dem Hauptqualifikator "Salaryquot" fließt, wird von einer Person, die nicht aus Pakistan stammt, als Sachverständiger oder technischer, beruflicher, wissenschaftlicher Berater oder Berater oder leitende Angestellte von Institutionen des Agha Khan Development Network, (Pakistan) in Anhang I des Abkommens und Protokolls vom 13. November 1994, das zwischen der Regierung der Islamischen Republik Pakistan und dem Agha Khan Development Network durchgeführt wurde. Englisch: eur-lex. europa. eu/LexUriServ/LexUri...0083: EN: HTML (4) Einkommen, das während eines Steuerjahres von einem pakistanischen Seefahrer, der an einem ausländischen Schiff oder auf pakistanischen Schiffsfahrzeugen arbeitet, während eines Steuerjahres für einen Zeitraum von 183 Tagen oder mehr erbracht wird, vorausgesetzt, dass die Einreise nach Pakistan spätestens zwei Monate nach dem Relevanten Einkommensjahres über normale Bankkanäle. (5) Jede Erlaubnis oder Erlaubnis, die von der Regierung außerhalb Pakistans an einen pakistanischen Staatsbürger erbracht wird, um außerhalb Pakistans Dienst zu leisten. (6) Einkommen, das unter dem Kopf gezahlt wird, das von einer Person, die nicht Bürger von Pakistan ist, aufgrund seiner Beschäftigung mit dem britischen Rat erhalten wird. (8) Eine von einem pakistanischen Staatsbürger erhaltene Rente eines ehemaligen Arbeitgebers, ausgenommen die Person, die für den Arbeitgeber weitergeht (oder einen Arbeitnehmervertreter). Sofern die Person mehr als eine solche Rente bezieht, gilt die Freistellung nur für die höhere der erhaltenen Renten. I) von den Mitgliedern der Streitkräfte Pakistans oder der Bundesregierung oder einer Provinzialregierung (ii) für die Familien und Angehörigen von Beamten oder Angehörigen der Streitkräfte Pakistans, die nach den einschlägigen Vorschriften gewährt wurden, Während des Dienstes. Vor der Substitution durch die Klausel 9 des Finanzbills 2006 (9) wie folgt lauten: - (9) Jede Rente, die für eine von einem Mitglied der Streitkräfte Pakistans oder als Arbeitnehmer der Bundesregierung oder einer Landesregierung erbrachte Dienstleistung erbracht wird. Klausel (10), die in der Finanzbilanz 2006 fehlt, die zuvor wie folgt lautet: (10) Jede Rente, die einem Beamten gewährt wird, für den die Klausel (14) in Bezug auf die bei der Erfüllung seiner Pflichten eingegangenen Verletzungen nicht gilt. Klausel (11), die in der Finanzbilanz 2006 unterlassen wurde und die wie folgt lautet: (11) Jede an einen Beamten gewährte Rente, für die die Klausel (15) nicht gilt, die aufgrund einer körperlichen Behinderung für nichtig erklärt worden ist. (12) Jede Zahlung im Zusammenhang mit der Versetzung der Rente, die von der Regierung oder im Rahmen eines von der Zentralregierung für die Zwecke dieser Klausel genehmigten Rentensystems erbracht wird. Englisch: eur-lex. europa. eu/LexUriServ/LexUri...0083: EN: HTML (13) Ein Einkommen, das etwaige Zahlungen, die von einem Arbeitnehmer im Ruhestand oder im Falle seines Todes durch seine Erben als Trinkgelder oder Ruhestandsrente erhalten wurden, nicht übersteigt - (i) im Falle eines Arbeitnehmers von Die gesetzlich vorgeschriebene Körperschaft oder Körperschaft, die nach den Vorschriften und Bedingungen der Dienstleistungserbringer (ii) jeglicher Forderung aus einem von der Genossenschaft genehmigten Trinkgelder fällig wird Herr Kommissar gemäß den Bestimmungen in Teil III des Sechsten Termins (iii) im Falle eines anderen Arbeitnehmers der Betrag, der nicht mehr als zweihunderttausend Rupien beträgt, die im Rahmen eines für alle Arbeitnehmer des Arbeitgebers geltenden und vom Zentralvorstand von Einnahmen für die Zwecke dieses Unterabsatzes und (iv) im Fall eines Arbeitnehmers, auf den Unterabsatz (i), (ii) und (iii) keine Anwendung findet, fünfzig Prozent der Forderung oder fünfundsiebzig Tausend Rupien, je nachdem, welcher Betrag niedriger ist, unter der Voraussetzung, dass nichts in dieser Unterabsatzregelung anwendbar ist, (a) auf Zahlungen, die in Pakistan nicht eingegangen sind, auf Zahlungen, die von einem Unternehmen eines Direktors einer solchen Gesellschaft erhalten werden Ein ordentlicher Angestellter einer solchen Gesellschaft (c) für Zahlungen, die ein Arbeitnehmer, der nicht ansässig ist, erhalten hat, und für jeden Trinkgeld, das ein Arbeitnehmer erhalten hat, der bereits eine Entschädigung von demselben oder einem anderen Arbeitgeber erhalten hat. Klauseln (14) amp (15), die in der Finanzbilanz 2006 ausgelassen worden sind und die wie folgt lauten: (14) Jede Rente, die dem Personal der Streitkräfte Pakistans (einschließlich des Personals der Territorialen Streitkräfte und des Nationalen Dienstes Pakistans) Verletzungen bei der Wahrnehmung ihrer Aufgaben als solche. (15) Jede dem Personal der Streitkräfte Pakistans gewährte Rentenversicherung (einschließlich des Personals der Territorialen Streitkräfte und des Nationalen Dienstes Pakistans) wurde aufgrund der Körperbehinderung, die dieser Dienstleistung zuzuschreiben oder zu verschlimmern ist, vom Dienst bei solchen Streitkräften ausgeschlossen. (16) Einkommen, das von den Familien und den unterhaltsberechtigten Familienangehörigen des Pakets "Haheedsquot" gezahlt wird, die aus der besonderen Familienrente, aus der Altersrente oder dem Kindergeld gemäß den Bestimmungen der Gemeinsamen Dienstleistungsverordnung Nr. 566 gewährt werden. (17) Einkommen, Die Familien und Angehörigen des Zhaoheedsquot, das der Zivilarmee Pakistans angehörte, auf die die Bestimmungen der Gemeinsamen Dienstleistungsverordnung Nr. 566 anwendbar gewesen wären, hätten sie den Pakistanischen Streitkräften aus irgendeiner ähnlichen Bezahlung zugestanden. Klausel (18), die in der Finanzbilanz 2006 unterlassen wurde und die wie folgt lautet: (18) Renten nach den einschlägigen Vorschriften für Familien und Angehörige von Beamten oder Angehörigen der Streitkräfte Pakistans, die während des Dienstes sterben. (19) Sämtliche Summe, die die Einlösung des Urlaubs in den Ruhestand eines Angehörigen der Streitkräfte Pakistans oder eines Arbeitnehmers der Bundesregierung oder einer Provinzialregierung darstellt. (20) Einkommen, das eine Person aus einer Annuität erhält, die am oder nach dem 27. Juli 1977 ausgestellt wurde und nicht mehr als zehntausend Rupien jährlich beträgt. (21) Einkommen, das eine Person aus einer vom Finanzgesetz (2005 bis 30. Juni 2005) eingeführten Rente oder Annuitäten erhält, die von der staatlichen Lebensversicherungsgesellschaft Pakistans oder einer Lebensversicherungsgesellschaft gemäß § 3 Abs Versicherungsverordnung, 2000 (XXXIX 2000): Sofern diese Klausel nicht für so viel Einkommen gilt, das eine Person aus einer Annuität oder Annuitäten erhält, die zusammen mit den Einkünften von Annuitäten oder Annuitäten gemäß Ziffer (20) , Übersteigt zehntausend Rupien pro Jahr. (22) Für Zahlungen aus einem Vorsorgefonds, für den das Provident Funds Act von 1925 (XIX von 1925) gilt. (23) Der kumulierte Saldo, der fällig wird und an einen Arbeitnehmer fällig wird, der an einem anerkannten Vorsorgefonds beteiligt ist. (23A) Die kumulierte Bilanzsumme von bis zu 25 Jahren aus dem freiwilligen Rentensystem, das ein Pensionsfondsmanager im Rahmen der freiwilligen Rentenregelung 2005 im Zeitpunkt der anspruchsberechtigten Personen anbietet: a) Pensionierung oder b) Invalidität, Oder (d) Tod durch seine nominierten Überlebenden. (24) Jede wohltätige Zuwendung, die der Wohltätigkeitsfonds den Arbeitnehmern oder ihren Familienangehörigen nach den Bestimmungen des Zentralen Arbeitnehmerbürgerlichen Fonds und des Gruppenversicherungsgesetzes von 1969 entrichtet (25) Tod eines Begünstigten oder an Stelle von oder in der Umwandlung einer Rente oder durch Rückerstattung des Beitrags zum Tode eines Begünstigten - i) im Falle eines Arbeitnehmers der Regierung oder einer Gebietskörperschaft oder einer gesetzlichen Einrichtung oder - (Ii) jegliche Forderung, die aus einem von der Kommissarin genehmigten Trinkgelder in Übereinstimmung mit den Regeln des Teils III der Verordnung (EG) Nr Sechster Zeitplan (iii) Im Falle eines anderen Arbeitnehmers darf der Betrag von höchstens zweihunderttausend Rupien, die im Rahmen eines für alle Arbeitnehmer des Arbeitgebers geltenden und vom Zentralamt für die Zwecke dieses Unterabsatzes genehmigten Systems und ( Iv) im Falle eines Arbeitnehmers, auf den die Ziffern i), ii) und iii) nicht anwendbar sind, fünfzig Prozent der Forderung oder fünfundsiebzigtausend Rupien, je nachdem, welcher Wert niedriger ist, In diesem Unterabschnitt gilt a) für Zahlungen, die nicht in Pakistan eingegangen sind, (b) für Zahlungen, die ein Direktor einer solchen Gesellschaft von einem Unternehmen erhalten hat, der kein regulärer Mitarbeiter dieser Gesellschaft ist (c) Von einem Arbeitnehmer, der nicht in Pakistan ansässig ist, und (d) für jeden Trinkgeld, das ein Arbeitnehmer erhalten hat, der bereits eine Entschädigung von demselben oder einem anderen Arbeitgeber erhalten hat. (26) Einkommen einer Person, die die von ihm als Arbeitnehmer erhaltenen Beträge aus dem Arbeiterbeteiligungsfonds, die im Rahmen des Gesetzes über die Gewinne von Arbeitnehmern, 1968 (XII von 1968) gegründet wurden, vertritt. Die Klauseln (33) amp (34) wurden durch das Finanzgesetz von 2003 abgelehnt, das zuvor wie folgt lautet: (33) Ein Einkommen eines Beamten, der die Summe darstellt, die ihm als Ordnungsgeld für ihn unter der Finanzabteilung O. M. (34) Jedes Einkommen eines Angestellten einer anerkannten Universität in Pakistan, das die von ihm als Ordnungsgeld zugelassenen Beträge gemäß den Bedingungen und Bedingungen von (35) Ein Einkommen, das einen Ausgleichsgeld für einen pakistanischen Staatsbürger vorsieht, der in der pakistanischen Mission im Ausland rekrutiert wird, beträgt nicht mehr als 75% seines Bruttogehalts. Klausel (36) entfällt durch das Finanzgesetz, 2003, die zuvor wie folgt lautet: "(36) Ein Einkommen eines Beamten, der den von ihm erhaltenen Betrag als Personalstab für ihn unter dem Kabinettssekretariat (Gründungsabteilung) 18278-CV vom 13. Juli 1978.quot Klausel (38), die in der Finanzbilanz 2006 unterlassen wurde und die zuvor wie folgt lautet: (38) Die Summe, die für die Erfüllung der Gebühren für Gas, Wasser und Elektrizität oder den Wert gezahlt wird Von Gas, Wasser und Elektrizität, die einem Arbeitnehmer bis zu zehn Prozent des Mindestmaßstabs kostenfrei zur Verfügung gestellt werden, und wenn es keine Zeitskala gibt, bis zu zehn Prozent des Grundgehalts. (39) Jede Sondervergütung oder - leistung (nicht Unterhaltungs - oder Beförderungsbeihilfe) oder sonstige Erbringung im Sinne des § 12, die ausdrücklich gewährt wird, um Aufwendungen zu erfassen, die vollständig und zwangsläufig bei der Ausübung der Amtstätigkeit oder der Gewinnverwendung entstanden sind. (40) Ein Einkommen eines Zeitungsangestellten, der die örtliche Reisegeldbeteiligung darstellt, wird gemäß dem Beschluss des Dritten Lohnausschusses für Zeitungsangestellte gezahlt, der nach dem 1973 in Teil II des Pakets von Pakistan veröffentlichten Gesetz über die Erstellung von Zeitungsangestellten (Servicebedingungen) erstellt wurde , Außerordentlich, vom 28. Juni 1980. Klausel (41) nach dem Finanzgesetz, 2003, die zuvor wie folgt lautet: "(41) Dieser Teil des Einkommens eines Mitglieds der pakistanischen Streitkräfte, wie es zwangsläufig von ihm zu zahlen ist (42) bis (49), die in der Finanzbilanz 2006 unterlassen wurden und die zuvor wie folgt lauten: (42) Jeder Betrag, der als Fluggeld von Piloten, Flugingenieuren und Navigatoren, Jede pakistanische Fluggesellschaft oder die Zivilluftfahrtbehörde. (43) Jeder Betrag, der als Fluggeld an Piloten, Flugingenieure und Navigatoren der pakistanischen Luftwaffe gemeldet wird. (44) Jeder Betrag, der als Fluggeld an Piloten, Flugingenieure und Navigatoren der pakistanischen Armee und der pakistanischen Marine gemeldet wird. (45) Jeder Betrag, der als Fluggebühr von junior beauftragten Offizieren oder anderen Reihen der pakistanischen Streitkräfte empfangen wird. (46) Jeder Betrag, der als unterseeische Beihilfe an Offiziere der pakistanischen Marine unterrichtet wird. (47) Der Wert der Raten, die in Form von Sachleistungen oder an Bargeldbezügen gezahlt worden sind, an Mitglieder der pakistanischen Streitkräfte oder der Territorialen Streitkräfte. (48) Der Wert der bereichsfreien Quartiere, an denen die Mitglieder der pakistanischen Streitkräfte einschließlich der Territorialen Streitkräfte beteiligt waren, (49) Die Erhaltungszulage, die anstelle der freien Erhaltung an Personal unter dem beauftragten Rang der pakistanischen Streitkräfte und der territorialen Streitmacht gewährt wurde. Klausel (50) entfällt durch das Finanzgesetz von 2003, das zuvor wie folgt lautet: "(50) Zurückgestelltes Entgelt für das Personal der Streitkräfte nach dem neuen Lohnkodex. (51) Das durch das Recht des Präsidenten Pakistans vertretene Erbrecht Provinzial-Gouverneure und die Chiefs of Staff, Pakistan Streitkräfte, um frei von Miete als Wohnort alle Räumlichkeiten von der Regierung zur Verfügung gestellt. (52) Die Voraussetzung, die durch die kostenlose Beförderung und die von der Regierung an die Provinzial-Gouverneure, den Stabschefs, den pakistanischen Streitkräften und den Korpskommandanten gewährten Vergünstigungen gewährt wird. (53) Folgende Ermäßigungen und Zulagen, die die Regierung den Regierungsministern der Bundesregierung gewährt oder gewährt, und zwar: - a) Mietzinsunterbringung, soweit ihr Wert zehn Prozent des Grundgehalts der betroffenen Minister übersteigt B) die von der Regierung anstatt der Mietzinsrente gezahlte Wohnungsrente, soweit sie fünfhundertfünfzig Rupien pro Monat übersteigt, c) freie Beförderung und d) Aufwandsentschädigung. (53A) Die folgenden Voraussetzungen, die ein Arbeitnehmer aufgrund seines Arbeitsverhältnisses erhält: i) freie oder konzessionäre Überlassung von Beförderungsunternehmen einschließlich Fluggesellschaften an ihre Arbeitnehmer (einschließlich ihrer Haushalte und Angehörigen), ii) frei oder subventionierte Lebensmittel (Iii) freie oder subventionierte Ausbildung, die von einer Bildungseinrichtung an die Kinder ihrer Angestellten zur Verfügung gestellt wird; iv) eine freie oder subventionierte ärztliche Behandlung durch ein Krankenhaus oder eine Klinik für ihre Angestellten und (v ) Jegliche andere Voraussetzung oder Leistung, für die der Arbeitgeber keine Grenzkosten zu tragen hat, wie dies vom Zentralvorstand bekannt gegeben wird. (55) Die durch das Recht eines Richters des Oberste Gerichtshofs von Pakistan oder eines Richters vom Obersten Gerichtshof vertretenen Voraussetzungen, die von der Bundes - oder Landesregierung eingerichteten Räumlichkeiten als Wohnsitz frei zu vermieten, Oder wenn ein Richter wohnt, in einem Haus zu wohnen, das nicht von der Regierung zur Verfügung gestellt wird, so viel von Einkommen, das die Summe darstellt, die ihm als Hausmietvertrag gezahlt wird. (56) Die folgenden Voraussetzungen, Leistungen und Zulagen eines Richters des Obersten Gerichtshofs von Pakistan und des Richters Richter sind von der Steuer befreit. A) Voraussetzungen und Vorteile, die sich aus der Verwendung des amtlichen Wagens ergeben, (B) Übergeordnete gerichtliche Vergütung an einen Richter des Obersten Gerichtshofs von Pakistan und Richter eines High Court. C) Übertragungszulage an einen Richter des High Court. (2) Die folgenden Ermittlungen des Richters des Obersten Gerichtshofs von Pakistan und des Richters des Richters sind auch während der Dienstzeit und während oder nach dem Eintritt in den Ruhestand von der Steuer befreit. A) Die Dienste eines Fahrers und eines ordentlichen. (B) 1000 (eintausend) kostenlose Ortsgespräche pro Monat. (C) 1000 Einheiten Elektrizität sowie (25 hm3 Gas) pro Monat und freie Wasserversorgung und (d) 200 Liter Benzin pro Monat. (3) Falls während des Gottesdienstes ein Richter stirbt, steht der Witwe auch die Steuerbefreiung für die Witwenverpflichtungen nach Ziffer 2 zur Verfügung. Englisch: eur-lex. europa. eu/LexUriServ/LexUri...0083: EN: HTML (1) Einkommen aus freiwilligen Beiträgen, Wohnimmobilien und Anlagen in Wertpapieren der Bundesregierung, die von den folgenden abgeleitet werden: - (i) Nationales Investment (Unit) Trust von Pakistan, das von der National Investment Trust Limited gegründet wurde Neunzig Prozent seiner Anteile am Ende dieses Jahres werden von der Öffentlichkeit gehalten und nicht weniger als neunzig Prozent seines Einkommens des Jahres wird auf die Anteilinhaber verteilt (ii) ein von der Securities and Exchange Commission genehmigter Investmentfonds Von Pakistan und von der Investment Corporation von Pakistan gegründet, wenn nicht weniger als neunzig Prozent seiner Zertifikate am Ende dieses Jahres von der Öffentlichkeit gehalten werden und nicht weniger als neunzig Prozent seines Einkommens in diesem Jahr auf die verteilt wird Zertifikatsinhaber und (iii) Sheikh Sultan Trust, Karachi. (2) Erträge, die von einem Investmentfonds, einer Investmentgesellschaft oder einem kollektiven Kapitalanlagefonds oder einem von der Wertpapier - und Börsenkommission genehmigten Immobilien-Investment-Trust oder Private-Equity - und Venture Capital-Fonds oder vom National Investment (Trust) Durch den National Investment Trust Limited von einem rücklauffähigen Kapital im Sinne der Gesellschaftsverordnung, 1984 (XLVII von 1984), wenn nicht weniger als neunzig Prozent seines Einkommens in diesem Jahr auf die Anteilinhaber verteilt werden. (3) Einkommen der folgenden Fonds und Institutionen: i) eine Vorsorgeeinrichtung, auf die das Provident Funds Act, 1925 (XIX von 1925), zutrifft (ii) Treuhänder für einen anerkannten Unterstützungskasse oder einen zugelassenen (Iv) Dienstleistungsfonds (v) Arbeitnehmer Altersvorsorgeeinrichtungen, die im Rahmen des Arbeitnehmergeldes für Altersversorgungssysteme eingerichtet wurden, (iii) eine von der Zentralen Steuerbehörde für die Zwecke dieser Klausel genehmigte Wohltätigkeitsfonds - oder Gruppenversicherung (Vi) jede Einheit, jede Station oder jedes Regimeinstitut und (vii) ein anerkannter Regulärer Sperr - und Sparbetrieb, dessen Vermögenswerte ausschließlich aus Einlagen von Mitgliedern und Gewinnen bestehen, die durch Investitionen erwirtschaftet werden (viii) Eine Pensionskasse, die von der pakistanischen Wertpapieraufsichtsbehörde im Rahmen der freiwilligen Rentenregelung genehmigt wurde, (ix) jegliche Gewinne oder Verluste, die von einem Pensionsfondsmanager einer Pensionskasse abgeleitet wurden, die im Rahmen der freiwilligen Rentenregelung 2005, (X) die kumulierte Bilanzsumme bis zu 25, die aus dem freiwilligen Rentensystem eines Pensionsfondsmanagers im Rahmen der freiwilligen Rentenregelung 2005 zu diesem Zeitpunkt bezogen wurde Der Anspruchsberechtigten: a) Altersruhegeld oder b) Invalidität, die ihm nicht möglich ist, zu arbeiten oder (c) Tod durch seine nominierten Hinterbliebenen. Erklärung. - Im Sinne dieser Klausel bezeichnet der FondsService Fundquot einen Fonds, der unter der Zuständigkeit oder mit Zustimmung der Bundesregierung zum Zwecke der - (a) Sicherstellung von aufgeschobenen Annuitäten an die Abtretungsempfänger im Fall von Ihre Dienstleistung, in der sie beschäftigt sind, zu verlassen oder b) ihre Frauen oder Kinder nach ihrem Tode zu versorgen oder c) bei ihrem Tode die Erbschaft oder ihre Nominierten zu bezahlen. (1) Einkommen eines in den Absätzen 2 und 3 genannten Treuhand - oder Wohlfahrtsinstituts oder gemeinnützigen Vereins aus Spenden, freiwilligen Beiträgen, Abonnements, Hausbesitz, Investitionen in die Wertpapiere der Bundesregierung und so viel Des Einkommens, das im Rahmen des unter der Rubrik "Einkommen aus Businessquot" in Pakistan aufgewendeten Einkommens aus Geschäftszertifikaten in Pakistan erhoben wird Einen Betrag nicht übersteigen, der zu dem Einkommen unter dem besagten Kopf das gleiche Verhältnis trägt, wie der besagte Betrag dem Gesamtbetrag der Einkünfte aus den vorgenannten Einkommensquellen entspricht. (2) Ein Treuhandamt, das im Rahmen einer von der Bundesregierung in diesem Auftrag genehmigten und in Pakistan ansässigen Vertretung zur Durchführung solcher Tätigkeiten verwaltet wird, die für die Leistung und das Wohlergehen von - (i) ehemaligen Bediensteten und Bediensteten, einschließlich Zivilen Angestellten der Streitkräfte und deren Angehörigen oder (ii) ehemaligen Angestellten und Bediensteten der Bundesregierung oder einer Landesregierung und deren Angehörigen, wobei das Vertrauen von einem von der Bundesregierung ernannten Ausschuss oder als Fall kann eine Provinzregierung sein. (3) Eine Vertrauens - oder Wohlfahrtseinrichtung oder gemeinnützige Organisation, die von der regionalen Beauftragten der Einkommensteuer (Worte quotCentral Board of Revenuequot, ersetzt durch Finance Bill 2006) für die Zwecke dieses Unterabsatzes genehmigt wurde. (59) Erträge aus Anlagen in Wertpapiere der Bundesregierung, Schuldnergewinne aus geplanten Banken (ausgegeben für Finanzinstitute nach Finanzgesetz, 2003). Die aus der Bundesregierung oder Landesregierung oder aus Bezirksregierungen, aus ausländischen Stipendien und aus vertrauenswürdigem Eigentum oder aus sonstigen rechtlichen Pflichten ganz oder teilweise nur zu religiösen oder gemeinnützigen Zwecken gehaltenen Geldern gewährt werden und tatsächlich angewandt werden oder letztendlich für deren Anwendung gelten: So gilt nichts von dieser Klausel für so viel von den Einkünften, die nicht in Pakistan aufgewendet werden: Sofern eine Summe aus dem so ausgesonderten Betrag außerhalb Pakistans ausgegeben wird, wird sie in das Gesamteinkommen des Steuerjahres einbezogen Die sie so ausgegeben hat, oder des Jahres, in dem sie ausgesondert wurde, je nachdem, welcher Betrag höher ist, und die Bestimmungen des Abschnitts 122 gelten nicht für die nach dieser Maßnahme getroffene oder getroffene Beurteilung. Erklärung. - Unbeschadet der Bestimmungen, die in dem Mussalman Wakf Validierungsgesetz, 1913 (VI von 1913) oder irgendeinem anderen Gesetz oder in der Urkunde des Vertrauens oder des Organs enthalten sind, wenn ein Betrag auseinander genommen, ausgegeben oder ausgezahlt wird Für die Erhaltung und Unterstützung ganz oder teilweise der Familie, der Kinder oder Nachkommen des Autors des Vertrauens oder des Spenders oder, des Herstellers des Organs oder für seine eigene Erhaltung und Unterstützung während seiner Lebenszeit oder Zahlung an sich oder seine Familie, Kinder, Verwandten oder Nachkommen oder für die Zahlung seiner Schulden aus den Einkünften aus dem gewerblich genutzten Grundeigentum, oder wenn irgendwelche Ausgaben anders als für gemeinnützige Zwecke getätigt werden, so werden in jedem Einzelfall solche Ausgaben, Vorkehrungen, Abhebungen, Zahlungen oder Auszahlungen getätigt Im Sinne dieser Klausel nicht für religiöse oder karitative Zwecke zu gelten. (60) Einkommen eines religiösen oder gemeinnützigen Organs, das aus freiwilligen Beiträgen stammt, die ausschließlich auf religiöse oder gemeinnützige Zwecke des Organs anwendbar sind: Sofern in Ziffer 61 nichts enthalten ist oder diese Klausel für das Einkommen eines privaten religiösen Vertrauens gilt, Nicht zugunsten der Öffentlichkeit. (61) (Worte "Gegenstand der Bestimmungen des Abschnitts 61die im Finanzgesetz von 2005 fehlen). Jeder Betrag, der als Spende an folgende Institution, Stiftungen, Gesellschaften, Gremien, Trusts und Fonds gezahlt wird, nämlich: Der Betrag, der gespendet wird, darf (a) bei einer Person oder einer Personenvereinigung dreißig Prozent der Steuerpflichtigen nicht übersteigen Einkommen der Person für das Jahr und b) im Fall eines Unternehmens, fünfzehn Prozent des zu versteuernden Einkommens der Person für das Jahr. (62) Ein solcher Teil des Gesamteinkommens eines Steuerpflichtigen, der von ihm während des Einkommensjahres als Spende an die Liaquat National Hospital Association, Karachi, gezahlt wird: Vorausgesetzt, dass der so gespendeten Betrag in die Berechnung des Gesamteinkommens des Steuerpflichtigen einbezogen wird: Unter der Voraussetzung, daß der Betrag, um den der Steuerpflichtige durch einen Steuerpflichtigen aufgrund der Freistellung nach dieser Klausel gekürzt wird, gleich dem Betrag ist, der in demselben Verhältnis zu dem von der Steuer unter dieser Klausel als Steuer auf den Gesamteinkommen befreiten Betrag steht Des Steuerpflichtigen an das Gesamteinkommen. (63A) Jeder Betrag, der als Spende an den Präsidenten-Hilfsfonds für Erdbebenopfer 2005 gezahlt wird. (65) Einkommen, das aus Spenden von nichtamtlichen oder privaten Sektorquellen in Pakistan an die Waqf für die Forschung über islamische Geschichte, Kunst und Kultur, Istanbul, gegründet vom Forschungszentrum für Islamische Geschichte, Kunst und Kultur (IRCICA). (66) Einkommen, das aus - abgeleitet wird. Abdul Sattar Edhi-Stiftung, Karachi ii. Al-Shifa Vertrauen, Rawalpindi. Iii. Bilquis Edhi-Stiftung, Karachi. Iv. Fatimid-Stiftung, Karachi. V. Hamdard Laboratories (Waqf) Pakistan. Vi Internationale Islamische Handelsfinanzierungsgesellschaft. Vii. Islamische Gesellschaft für Entwicklung des Privatsektors viii. National Memorial Bab-e-Pakistan Trust für das Bewertungsjahr, das am oder nach dem 1. Juli 1994 beginnt. Pakistanischer Agrarforschungsrat, Islamabad. X. Pakistanischer Ingenieurrat xi. Die korporativen Einheiten der pakistanischen Wasser - und Stromentwicklungsbehörde vom Zeitpunkt ihrer Gründung bis zum Zeitpunkt der Vollendung des Prozesses der Korporation, d. H. Bis der Tarif gemeldet wird. Xii. Die Institution der Ingenieure, Pakistan, Lahore. Xiii. Die Organe des Agha-Khan-Entwicklungsnetzes (Pakistan), wie sie in Anhang 1 des Abkommens und Protokolls vom 13. November 1994 enthalten sind, werden zwischen der Regierung der Islamischen Republik Pakistan und dem Agha-Khan-Entwicklungsnetzwerk durchgeführt. Xiv. Die Liaquat National Hospital Association, Karachi. Xv. Der pakistanische Rat für wissenschaftliche und industrielle Forschung. Xvi. Die pakistanische Wasser - und Stromentwicklungsbehörde, die im Rahmen des Gesetzes zur Wasser - und Stromerzeugung von Pakistan von 1958 (W. P. Act XXXI von 1958) eingerichtet wurde. Xvii. WAPDA Erste Sukuk Company Limited. Xviii. Micro Finance Banken für einen Zeitraum von fünf Jahren ab dem 1. Juli 2007 Solange diese Banken keine Dividenden an ihre Anteilseigner ausgeben und deren Gewinn und Gewinn (falls vorhanden) nur für Micro-Finance-Operationen verwendet werden. (66) lautet wie folgt: - (66) Jedes Einkommen der Institutionen des Agha Khan Development Network (Pakistan), wie in Anhang 1 des Abkommens und Protokolls vom 13. November 1994 enthalten, wurde durchgeführt Zwischen der Regierung der Islamischen Republik Pakistan und dem Agha Khan Development Network. Die Klauseln (68) bis (71A) wurden durch die Finanzrechnung 2006 ausgelassen, die zuvor wie folgt lautet: (67) Einkommen der Liaquat National Hospital Association, Karachi. (68) Einkommen, das von (i) Abdul Sattar Edhi Foundation, Karachi und (ii) Bilquis Edhi Foundation, Karachi abgeleitet wurde. (69) Einkommen, das von Al-Shifa Trust, Rawalpindi, abgeleitet wird. (70) Einkommen der Fatimid-Stiftung, Karachi. (71) Einkommen der Hamadard Laboratories (Waqf) Pakistan. (71A) Einkommen des National Memorial Bab-e-Pakistan Trust für das Beurteilungsjahr, das am oder nach dem 1. Juli 1994 beginnt. (72) Jeder Gewinn an Schulden, die an eine gebietsfremde Person zu zahlen sind, - Die für die Zwecke dieser Klausel von der Bundesregierung genehmigt werden, und zwar unter Berücksichtigung der Profitrate und der Bedingungen für die Rückzahlung des Darlehens und der Art des Projekts, auf das sich das Projekt bezieht (Ii) bei einem Fremdwährungsdarlehen gegen Exportkredit, der ausschließlich für die Ausfuhr von Waren verwendet wird, die für die Ausfuhr in Pakistan hergestellt oder verarbeitet werden, (iii) eine ausländische Einzelperson, eine Gesellschaft, eine Gesellschaft oder eine Vereinigung von Personen ist Die für die Industrieinvestitionen in Pakistan verwendet werden, vorausgesetzt, dass die Vereinbarung für dieses Darlehen am oder nach dem ersten Tag des Februar 1991 abgeschlossen ist und ordnungsgemäß bei der Staatsbank von Pakistan registriert ist. (72) lautet wie folgt: - (72) Jeder Gewinn an Schulden, die an eine gebietsfremde Person in Bezug auf ein solches Privatdarlehen zu zahlen ist, wird für dieses Projekt in Pakistan verwendet, wie es vom Bundesstaat genehmigt werden kann Regierung für die Zwecke dieser Klausel unter Berücksichtigung der Gewinnspanne und der Bedingungen für die Rückzahlung des Darlehens und die Art des Projekts, für das sie verwendet werden sollen. Klausel (73) fehlt in der Finanzrechnung 2006, die wie folgt lautet: (73) Jeder Gewinn, der einer nicht ansässigen Person in einem Fremdwährungsdarlehen gegen ein ausländisches Akkreditiv, das ausschließlich für die Ausfuhr von hergestellten Waren verwendet wird, Verarbeitet für den Export in Pakistan. (74) Von der Hub Power Company Limited abgeleitete Gewinne aus Schuldtiteln, die am oder nach dem ersten Tag des Monats Juli 1991 auf ihren Bankguthaben oder - konten bei Finanzinstituten abgewickelt wurden Finanzinstitutenquot von Finance Act, 2003), die direkt mit finanziellen Transaktionen im Zusammenhang mit dem Projekt verbunden sind. (74A) Ein von der Nationalbank von Pakistan zu zahlender Gewinn in Höhe von 100 Millionen US-Dollar an die Pakistan State Oil Company Limited (PSO), die am 29. Mai 2001 in Bahrain unterzeichnet wurde und vom Bund genehmigt wurde Regierungsvideo Finanzabteilungen Schreiben Nr. F.3 (3) EF (B-III) 2001, datiert vom 29. Mai 2001. (75) Einkommen einer Agentur einer ausländischen Regierung, eines ausländischen Staatsangehörigen (Firma, Firma oder Vereinigung) Von Personen, die von der Bundesregierung für die Zwecke dieser Klausel genehmigt wurden, oder von einer von der Bundesregierung für die Zwecke dieser Klausel genehmigten Person aus Gewinnen aus Geldern, die aus einem Darlehensvertrag oder aus einem von der Bundesregierung genehmigten Fremdwährungsinstrument stammen. Klausel (76) fehlt in der Finanzrechnung 2006, die wie folgt lautet: (76) Schuldanteil, der an eine gebietsfremde Person gezahlt wird, die eine ausländische Person, Gesellschaft, Firma oder Vereinigung von Personen in Bezug auf ein ausländisches Darlehen ist Für industrielle Investitionen in Pakistan, vorausgesetzt, dass die Vereinbarung für dieses Darlehen am oder nach dem ersten Tag des Februar 1991 geschlossen wird und ordnungsgemäß bei der Staatsbank von Pakistan registriert ist. (77) Ein Gewinn, der von einer gebietsfremden Person (ob Pakistan oder sonstiger Staatsbürger) in Bezug auf die islamische Finanzierung, einschließlich istisna, morabaha, musharika, abgeleitet wird. (78) Erträge aus Fremdwährungskonten, die von Banken in Pakistan gehalten werden, oder Investmentzertifikate, die von Investmentbanken in Übereinstimmung mit dem von der Staatsbank von Pakistan eingeführten Fremdwährungskontenschema von Staatsbürgern und ausländischen Staatsangehörigen ausgegeben werden Im Ausland, ausländische Vereinigung von Personen, im Ausland registrierte und im Ausland tätige Personen sowie ausländische Staatsangehörige mit Wohnsitz in Pakistan. (79) Any profit on debt derived from a rupee account held with a scheduled bank in Pakistan by a citizen of Pakistan residing abroad, where the deposits in the said account are made exclusively from foreign exchange remitted into the said account. (80) Any income derived from a private foreign currency account held with an authorised bank in Pakistan, or certificate of investment issued by investment banks in accordance with the Foreign Currency Accounts Scheme introduced by the State Bank of Pakistan, by a resident individual who is a citizen of Pakistan: Provided that the exemption under this clause shall not be available in respect of any incremental deposits made in the said accounts on or after the 16th day of December, 1999, or in respect of any accounts opened under the said scheme on or after the said date. (81A) Notwithstanding omission of clause (81), the existing holders of Foreign Currency Bearer Certificate shall continue to have the benefit of exemption till such certificates are encashed. (82) Any profit on Special US Dollar Bonds issued under the Special US Dollar Bonds Rules, 1998: Provided that the exemption under this clause shall not apply to profits on the said bonds purchased by a resident person out of any incremental deposits made in the foreign currency accounts on or after the 16th day of December, 1999, or out of new accounts opened on or after the said date. (83) Any profit on debt derived from Pak rupees account or certificates of deposit which have been created by conversion of a foreign currency account or deposit held on the 28th day of May, 1998, with a bank authorised under the Foreign Currency Accounts Scheme of State Bank of Pakistan: Provided that nothing contained in this clause shall apply to such Pak rupee account or certificates which are created out of foreign currency deposits which are not exempt under clause (78) and (80). Clause (87) omitted by Finance Act, 2003 which previously read as follows : quot(87) Any income derived by a non-resident person from foreign investment in 7th issue of Pak rupee denominated WAPDA Energy Bonds issued under the WAPDA Energy Bonds (7th Issue) Regulations, 1997.quot (88A) Notwithstanding omission of clause (88), the existing holders of Federal Government Securities and redeemable capital shall continue to have benefit of exemption till the maturity of the securities and redeemable capital. (90) Any profit on debt payable by an industrial undertaking in Pakistan - (i) on moneys borrowed by it under a loan agreement entered into with any such financial institution in a foreign country as may be approved in this behalf by the Federal Government by a general or special order and (ii) on moneys borrowed or debts incurred by it in a foreign country in respect of the purchase outside Pakistan of capital plant and machinery in any case where the loan or debt is approved by the Federal Government, having regard to its terms generally and in particular to the terms of its payment, from so much of the tax payable in respect thereof as exceeds the tax or taxes on income paid on such interest in the foreign country from which the loan emanated or in which the debt was incurred (hereinafter referred to as the said country): Provided that, where the amount of such tax or taxes paid in the said country exceeds the amount of the tax payable in Pakistan, no refund of the amount paid in excess shall be allowed: Provided further that, where the said country exempts such interest or allows credit against its own tax for the tax which would have been payable in Pakistan if the said interest were liable to tax in Pakistan, no tax shall be payable in Pakistan in respect of such interest. (91) Any income of a text-book board of a Province established under any law for the time being in force, accruing or arising from the date of its establishment. (92) Any income of any university or other educational institution established solely for educational purposes and not for purposes of profit. (93) Profits and gains derived by a taxpayer from the running of any computer training institution or computer training scheme, recognized by a Board of Education or a University or the University Grant Commission, as the case may be, set up between the first day of July, 1997, and the thirtieth day of June, 2005, both days inclusive, for a period of five years beginning with the month in which such institution is set up: Provided that a computer training institution or computer training scheme approved by the Central Board of Revenue before the first day of July, 2000 shall continue to avail exemption under this clause till the expiry of the specified period. (93A) Profits and gains derived by a taxpayer from the running of any vocational institute or technical institute or poly-technical institute, recognized by a Board of Technical Education or a university or any other authority appointed in this behalf by the Federal Government or a Provincial Government, as the case may be, set up between the first day of July, 2004, and the thirtieth day of June, 2008, both days inclusive, for a period of five years beginning from the tax year in which such institution is recognized. Clauses (95) to (97) omitted by Finance Bill 2006 which previously read as follows : (95) Any income derived by the Pakistan Council of Scientific and Industrial Research. (96) Any income derived by the Institution of Engineers, Pakistan, Lahore. (97) Income of Pakistan Agricultural Research Council, Islamabad. (98) Any income derived by any Board or other organization established (Words quotby Governmentquot omitted by Finance Act, 2003) in Pakistan for the purposes of controlling, regulating or encouraging major games and sports recognised by Government. (99) Any income derived by a mutual fund or an investment company registered under the Non-Banking Finance Companies (Establishment and Regulation) Rules, 2003, (substituted for Investment Companies and Investment Advisers Rules, 1971quot by Finance Act 2005) or a unit trust scheme constituted by an assets management company registered under the Assets Management Companies Rules, 1995, or a Real Estate Investment Trust approved and authorized under Real Estate Investment Trust Rules, 2006 established and managed by a REIT Management Company licensed under the Real Estate Investment Trust Rules, 2006, if not less than ninety percent of its accounting income of that year, as reduced by capital gains whether realized or unrealized, is distributed amongst the unit or certificate holders or shareholders as the case may be: Explanation. For the purpose of this clause the expression accounting income means income calculated under the Generally Accepted Accounting Principles and verified by the auditors. (99A) Profits and gains accruing to a person on sale of immovable property to a real estate investment trust upto thirtieth day of June, 2010. (100) Any income, not being income from trading activity, of a modaraba registered under the Modaraba Companies and Modaraba (Floatation and Control) Ordinance, 1980 (XXXI of 1980), for any assessment year commencing on or after the first day of July, 1999 : Provided that not less than ninety per cent of its total profits in the year as reduced by the amount transferred to a mandatory re serve, as required under the provisions of the said Ordinance or the rules made thereunder, as are distributed amongst the shareholders (Substituted for quotthereafterquot by Finance Act, 2003) . Provided further that with effect from the first day of July, 1999 for the purpose of determining the distribution of ninety per cent profits, the profits distributed through bonus certificates or shares to the certificate holders shall not be taken into account. (101) Profits and gains derived between the first day of July,2000 and the thirtieth day of June, 2014 (quot2007quot substituted by Finance Bill 2006) both days inclusive, by a venture capital company and venture capital fund registered under Venture Capital Companies and Funds Management Rules, 2000 and a Private Equity and Venture Capital Fund. (102) Any dividend received by the Investment Corporation of Pakistan from any other company which has paid or will pay tax in respect of the profits out of which such dividends are paid. (102A) Income of a person as represents a subsidy granted to him by the Federal Government for the purposes of implementation of any orders of the Federal Government in this behalf. (103) Any distribution received by a taxpayer from the National Investment (Unit) Trust or a collective Investment Scheme authorized or registered under the Non-Banking Finance Companies (Establishment and Regulation) Rules, 2003 or a Private Equity and Venture Capital Fund (substituted for a Mutual Fund established by the Investment Corporation of Pakistan or an investment company registered under the Investment Companies and Investment Advisor Rules, 1971 or a unit trust scheme constituted by an assets management company registered under the Assets Management Companies Rules, 1995) out of the capital gains of the said Trust or Fund on which tax has already been paid. (103A) Any income derived from inter-corporate dividend within the group companies entitled to group taxation under section 59AA. (104) Any income derived by the Libyan Arab Foreign Investment Company being dividend of the Pak-Libya Holding Company. (105) Any income derived by the Government of Kingdom of Saudi Arabia being dividend of the Saudi-Pak Industrial and Agricultural Investment Company Limited. Clauses (106) amp (106A) omitted by Finance Bill 2006 which previously read as follows : (106) Any income derived by the Pakistan Water and Power Development Authority, established under the Pakistan Water and Power Development Authority Act, 1958 (West Pakistan Act. No. XXXI of 1958). (106A) Any income derived by the corporatized entities of Pakistan Water and Power Development Authority from the date of their creation upto the date of completion of the process of corporatization i. e. till the tariff is notified. (107) Any income derived by any subsidiary of the Islamic Development Bank wholly owned by it and set up in Pakistan and engaged in owning and leasing of tankers. Clauses (108) amp (109) omitted by Finance Act, 2003 which previously read as follows : quot(108) Any income derived by the International Irrigating Management Institute (IIMI), Pakistan. (109) Any amount collected by the Civil Aviation Authority up to the thirty-first December, 1998, on account of security charges. quot (110) Any income chargeable under the head quotcapital gainsquot, being income from the sale of modaraba certificates or any instrument of redeemable capital as defined in the Companies Ordinance, 1984 (XLVII of 1984), listed on any stock exchange in Pakistan or shares of a public company as defined in sub-section (47) of section 2 (substituted for quotas defined in the First Schedulequot by Finance Act 2005) and the Pakistan Telecommunications Corporation vouchers issued by the Government of Pakistan, derived by a taxpayer upto tax year ending on the thirtieth day of June, 200 8 (substituted for 2007 by Finance Bill 2007). (110A) Any gain on transfer of a capital asset of the existing stock exchanges to new corporatized stock exchange, in the course of corporatization of an existing stock exchange. (110B) Any gain on transfer of a capital asset, being a membership right held by a member of an existing stock exchange, for acquisition of shares and trading or clearing rights acquired by such member in new corporatized stock exchange in the course of corporatization of an existing stock exchange. (111) Any income chargeable under the head capital gains, being income from the sale of shares of a public company derived by any foreign institutional investor as is approved by the Federal Government for the purpose of this clause. (113) Any income chargeable under the head quotcapital gainsquot, being income from the sale of shares of a public company set up in any Special Industrial Zone referred to in clause (126) (Substituted for quot(120)quot by Finance Act, 2003) of this Schedule, derived by a person for a period of five years from the date of commencement of its commercial production: Provided that the exemption under this clause shall not be available to a person from the sale of shares of such companies which are not eligible for exemption from tax under clause (126) (Substituted for quot(120)quot by Finance Act, 2003) . (114) Any income chargeable under the head quotcapital gainsquot derived by a person from an industrial undertaking set up in an area declared by the Federal Government to be a quotZonequot within the meaning of the Export Processing Zones Authority Ordinance, 1980 (IV of 1980). (114A) Any income chargeable under the head quotcapital gains: derived by a person from sale of ships and all floating crafts including tugs, dredgers, survey vessels and other specialized craft upto tax year ending on the thirtieth day of June 2011. Clause (115) omitted by Finance Act, 2003 which previously read as follows : quot(115) Any share of income received by a taxpayer out of capital gains on which tax has been paid by the firm of which he is a partner: Provided that exemption under this clause shall not apply in respect of any tax year commencing on or after the 1st day of July, 2002.quot (117) Any income derived by a person from plying of any vehicle registered in the territories of Azad Jammu and Kashmir, excluding income arising from the operation of such vehicle in Pakistan to a person who is resident in Pakistan and non-resident in those territories. Clause (120) omitted by Finance Bill 2006 which previously read as follows : (1) Profits and gains derived by a taxpayer from an industrial undertaking for a period of five years from the date of commencement of commercial production. (2) The exemption under this clause shall apply to an undertaking which is - (a) set up between the first day of July, 1994, and the thirtieth day of June,2000, both days inclusive (b) owned and managed by a company formed exclusively for operating the said industrial undertaking engaged in fruit processing and registered under the Companies Ordinance, 1984 (XLVII of 1984), and having its registered office in Pakistan and (c) is not formed by splitting up or the reconstruction or reconstitution of business already in existence or by transfer to a new business of any machinery or plant in Pakistan at any time before the commencement of the new business. Clause (121) omitted by Finance Act, 2003 which previously read as follows : quot(121) Profits and gains derived by an assessee from an industrial undertaking setup in an area declared by the Federal Government to be a quotZonequot within the meaning of the Export Processing Zones Authority Ordinance, 1980 (IV of 1980) for the assessment years 1998-1999, 1999-2000 and 2000-2001. However, exemption under this clause shall be restricted to the remaining period of exemption to which a company was entitled before the relevant amendments made by the Finance Act, 1996 (IX of 1996).quot (1) Profits and gains derived by a taxpayer from an industrial undertaking set up between the first day of July, 1995, and the 31st day of December, 2002, both days inclusive, for a period of ten years beginning with the month in which the undertaking is set up or commercial production is commenced, whichever is the later: Provided that the exemption under this clause shall not be available after the 31st January, 1996, except to such taxpayers, otherwise qualifying under this clause, who have established letters of credit for the import of plant and machinery for such industrial undertaking by the 31st January, 1996: Provided further that the extension in deadline from the 30th June, 1999, to the 31st December, 2002, shall not apply to those projects whose cases are sub judice and that the Federal Government shall decide such cases in accordance with the verdict of the apex Court. (2) The exemption under this clause shall apply to an industrial undertaking which fulfils the following conditions, namely :- (a) that it is set up in such area as may be notified by the Federal Government to be a Special Industrial Zone (b) that it is not formed by the splitting up, or the reconstruction or reconstitution of a business already in existence or by transfer to a new business of any machinery or plant used in a business which was being carried on in Pakistan at any time before the commencement of the new business (c) that it is owned and managed by a company formed exclusively for operating such industrial undertaking and registered under the Companies Ordinance, 1984 (XLVII of 1984), having its registered office in Pakistan and (d) that it is not engaged in the manufacture of arms and ammunition, security printing, currency and mint, high explosives, radioactive substances, alcohol (except industrial alcohol), cotton ginning, spinning (except as part of integrated textile unit), sugar manufacturing (white), flour milling, steel re-rolling and furnace, Tobacco industry, ghee or vegetable oil industry, plastic bags (including Polyropylene, and Polyethylene), beverages (excluding fruit juices), polyester industry, automobile assembly and cement industry. (126A) income derived by - (a) Gwadar Free Zone Company Limited (b) PSA Gwadar International Terminal Limited and (c) Gwadar Marine Services Limited, from Gwadar Port operations for a period of twenty years beginning from the year in which the company is set up or commercial operation is commenced, which ever is the later. Clause (129) omitted by Finance Act, 2003 which previously read as follows : (129) Any income of Saudi-Pak Industrial and Agricultural Investment Company Limited in Pakistan for a period of twenty years commencing with the thirty-first day of December, 1982. (a) of company registered under the Companies Ordinance 1984 (XLVII of 1984), and having its registered office in Pakistan, as is derived by it by way of royalty, commission or fees from a foreign enterprise in consideration for the use outside Pakistan of any patent, invention, model, design, secret process or formula or similar property right, or information concerning industrial, commercial or scientific knowledge, experience or skill made available or provided to such enterprise by the company or in the consideration of technical services rendered outside Pakistan to such enterprise by the company under an agreement in this behalf, or (b) of any other taxpayer as is derived by him, in the income year relevant to assessment year beginning with the first day of July, 1982 and any assessment year thereafter, by way of fees for technical services rendered outside Pakistan to a foreign enterprise under an agreement entered into in this behalf :- (i) such income is received in Pakistan by or on behalf of the said company or other taxpayer, as the case may be, in accordance with the law for the time being in force for regulating payments and dealings in foreign exchange and (ii) where any income as aforesaid is not brought into Pakistan in the year in which it is earned and tax is paid thereon, an amount equal to the tax so paid shall be deducted from the tax payable for the year in which it is brought into Pakistan and, where no tax is payable for that year or the tax payable is less than the amount to be deducted, the whole or such part of the said amount as is not deducted shall be carried forward and deducted from the tax payable for the year next following and so on. (132) Profits and gains derived by a taxpayer from an electric power generation project set up in Pakistan on or after the 1st day of July, 1988. The exemption under this clause shall apply to such project which is - (a) owned and managed by a company formed for operating the said projectand registered under the Companies Ordinance, 1984 (XLVII of 1984), and having its registered office in Pakistan (b) not formed by the splitting up, or the reconstruction or reconstitution, of a business already in existence or by transfer to a new business of any machinery or plant used in a business which was being carried on in Pakistan at any time before the commencement of the new business and (c) owned by a company fifty per cent of whose shares are not held by the Federal Government or Provincial Government or a local authority or which is not controlled by the Federal Government or a Provincial Government or a local authority: Provided that the condition laid down in sub-clause (a) shall not apply to the Hub Power Company Limited: Provided further the exemption under this clause shall not apply to any oil fired power plants set up between 22nd October, 2002 and 30th June, 2006 (words quoton or after 22nd October, 2002quot s ubstituted by Finance Bill 2006). but shall apply to Dual Fuel (OilGas) power projects set up on or after the first Septemebr, 2005 Provided further that the exemption under this clause shall be available to companies registered in Pakistan or Azad Jammu and Kashmir owning and managing Hydel Power Projects, set up in Azad Jammu and Kashmir or Pakistan. (132A) Payments made on or after the first day of July, 1991, for the supply of plant, equipment and machinery to Hub Power Company Limited by a non-resident being a foreign individual, company, firm or association of persons. (133) Income from exports of computer software or IT services or IT enabled services upto the period ending on 30th day of June, 2016. Explanation.- For the purpose of this clause - (a) IT Services include software development, software maintenance, system integration, web design, web development, web hosting, and network design, and (b) IT enabled services include inbound or outbound call centres, medical transcription, remote monitoring, graphics design, accounting services, HR services, telemedicine centers, data entry operations. locally produced television programs and insurance claims processing. Clause (133) substituted by Finance Act, 2003 which previously read as follows : quot(133) Income from export of computer software and its related services developed in Pakistan: Provided that the exemption under this clause shall not be available after the 30th day of June, 2016.quot (133A) Any income derived by an individual from transfer of his membership rights or shares of a stock exchange in Pakistan along with a room in the Stock Exchange to a company at any time between the first day of July, 2005, and the thirtieth day of June, 2008 (substituted for 2007 by Finance Act 2007). (quot2006quot substituted by Finance Bill 2006) Clause (134) omitted by Finance Act, 2003 which previously read as follows : quot(134) Any amount received on encashment of any certificate issued in pursuance of the US Dollar Bearer Certificate Rules, 1991: Provided that exemption under this clause shall not be available in respect of certificates purchased on or after the 15 June, 1995.quot (135) Any amount received on encashment of Special US Dollar Bond issued under the Special US Dollar Bonds Rules, 1998. (136) Any income of a special purpose vehicle as defined in the Asset Backed Securitization Rules, 1999 made under the Companies Ordinance, 1984 (XLVII of 1984): Provided that, if there is any income which accrues or arises in the accounts of the special purpose vehicle, after completion of the process of the securitization, it shall be returned to the Originator as defined by the said rules within the income year next following the year in which the income has been determined and such income shall be taxable in the hands of the Originator. Clause (137) omitted by Finance Bill 2006 which previously read as follows : (137) Income of Fugro Geodetic Limited from execution of contract with the Government of Pakistan for survey for the establishment of the Continental Shelf of Pakistan. Clause (137) omitted by Finance Act, 2003 which previously read as follows : quot(137) Payments made on or after the first day of July, 1991, for the supply of plant, equipment and machinery to Hub Power Company Limited by a non-resident person. quot (138) Any income referred to in Section 3.4 (a) of the Facilitation Agreement between the President of the Islamic Republic of Pakistan and the taxpayer purchasing the Kot Addu Power Station from Pakistan Water and Power Development Authority for a period of ten years from 28th June, 1996 provided, however, that the exemption under this clause shall only be available subject to the business of the said taxpayer being restricted to owing and operating the Kot Addu power station. (a) The benefit represented by free provision to the employee of medical treatment or hospitalization or both by an employer or the reimbursement received by the employee of the medical charges or hospital charges or both paid by him, where such provision or reimbursement is in accordance with the terms of employment: Provided that National Tax Number of the hospital or clinic, as the case may be, is given and the employer also certifies and attests the medical or hospital bills to which this clause applies (b) any medical allowance received by an employee not exceeding ten per cent of the basic salary of the employee if free medical treatment or hospitalization or reimbursement of medical or hospitalization charges is not provided for in the terms of employment or Sub-clause (c) omitted by Finance Bill, 2006 which previously read as follows . (c) any amount paid during a year by a taxpayer, being a resident individual, by way of personal expenditure on medical service to the extent of ten per cent of taxable income declared in his return of income for the said tax year or thirty thousand rupees - whichever is the less: Provided that the receipts of such expenditure bearing name, National Tax Number and complete address of the medical practitioners are furnished along with his return of income. Clause (139) substituted by Finance Act, 2003 which previously read as follows. (a) Any benefit, reimbursement received by an employee on account of medical charges or hospital charges, or both, incurred by an employee, as provided for under the terms of the employees employment agreement or where such benefit for reimbursement, medical charges or hospital charges, or both are not provided for under the terms of employments agreement, medical allowance to maximum of 10 of the basic pay for the year: Provided that National Tax Number of the hospital or clinic, as the case may be, is given and the employer also certifies and attests the medical or hospital bills to which this clause applies or (b) Any amount paid by a taxpayer, being an individual and resident in Pakistan, by way of personal expenditure on medical service, to the extent of 10 of taxable income returned in return of income or Rs 30,000 whichever is lower. Provided that the receipts in respect of such expenditure being name, National Tax Number and complete address of the medical practitioners are furnished along with his return of income. quot REDUCTION IN TAX RATES Incomes or classes of income, or persons or classes of persons, enumerated below, shall be liable to tax at such rates which are less than the rates specified in the First Schedule, as are specified hereunder: clause (1) omitted by Finance Act 2005 which previously read as followsquot - (1) The rates of income tax (Words quotand super taxquot omitted by Finance Act, 2003), as specified in the First Schedule and as applicable to the profits and gains derived by a resident company from an undertaking setup between the First day of July, 1981 and the Thirtieth day of June, 1998, both days inclusive, and engaged in the exploration and extraction of such mineral deposits, other than petroleum, as is (Substituted for quotmay bequot by Finance Act, 2003) specified by the Federal Government by a notification in the Official Gazette, shall be reduced by 50 for a period of five years immediately next following the period of five years from the date of commercial production. (2) Any income of persons whose profits or gains from business are computed under the Fifth Schedule to this Ordinance as is derived from letting out to other similar persons any pipeline for the purpose of carriage of petroleum shall be charged to tax at the same rate as is applicable to such persons in accordance with the provisions of the said Schedule. (3) The tax in respect of income from (word quotengineering contractingquot omitted by Finance Act 2005) services rendered (quotor construction contractsquot omitted by Finance Act 2007) outside Pakistan shall be charged at the rate of one per cent of the gross receipts, provided that such receipts are brought into Pakistan in foreign exchange through normal banking channel. (3A) The tax in respect of income from construction contracts out side Pakistan shall be charged at the rate of one per cent of the gross receipts provided that such income is brought into Pakistan in foreign exchange through normal banking channel Clause (4) omitted by Finance Act, 2003 which previously read as follows. quot(4) In the case of an industrial undertaking set up in an area declared by the Federal Government to be a quotZonequot within the meaning of the Export Processing Zones Authority Ordinance, 1980 (IV of 1980), the income, profits and gains of such undertaking accruing or arising after the expiry of the period of exemption under clause (132) of Part I shall be charged to tax for a period of five years thereafter at the rate equal to twenty-five per cent of the rates specified in the First Schedule: Provided that nothing contained in this clause shall apply in respect of undertakings whose period of exemption under clause (124) of Part I will expire after the 30th June, 1997.quot (5) The tax chargeable in respect of commission received by an export indenting agent or an export buying house shall be at the rate equal to the rate of tax applicable to the exporter on export of goods to which such commission relates. (5A) The rate of withholding tax in respect of payments for profit on debt payable to a non-resident person, having no permanent establishment in Pakistan, shall be the rate as provided in Avoidance of Double Taxation Treaty of the respective country of the non-resident. (5B) The tax in respect of capital gains derived by a person from the sale of shares or assets by a private limited company to Private Equity and Venture Capital Fund shall be charged at the rate of ten per cent of such gains. (6) In the case of resident person the profit on Special US Dollar Bonds purchased out of any incremental deposits made in the existing foreign currency accounts on or after the 16th day of December, 1999, or out of new accounts opened on or after the said date, shall be liable to deduction of income tax under clause (c) of sub-section (1) of section 151 at the rate of 10 per cent of the amount of the said profit. clause ( 7) omitted by Finance Act 2005 which previously read as followsquot - (7) In case of any resident individual, the tax from profit or interest of any National Savings (Substituted for quotSavingquot by Finance Act, 2003) Schemes of Directorate of National Savings or Post Office Savings (Substituted for quotSavingquot by Finance Act, 2003) Account in which investment is made on, or after, the first day of July, 2001, shall be deducted at the rate of ten percent of such profit or interest. Proviso omitted by Finance Act, 2003 which previously read as follows. quotProvided that no tax shall be deducted from income or profits paid on - (a) Defence Savings Certificates, Special Savings Certificates Savings Accounts or Post Office Savings Account, made on, or after, the first day of July, 2001, where such deposit does not exceed one hundred and fifty thousand rupees and (b) Investment in Monthly income saving Accounts Scheme of Directorate of National Savings on, or after, the first day of July, 2001, where monthly installment in an account does not exceed one thousand rupees. quot clause ( 8 ) omitted by Finance Act 2005 which previously read as followsquot - (8) In the case of Daewoo Corporation, Seoul, Korea (hereinafter referred to as the Contractor), payments received in full or in part (including a payment by way of an advance) in pursuance of the contract agreements made with the National Highway Authority on the thirtieth day of December, 1991, for design and construction of Lahore - Islamabad Motorway shall be deemed to be the income of the Contractor and charged to tax at the rate of three per cent of such payments which shall constitute final discharge of his tax liability under this Ordinance and the Contractor shall not be required to file the return of income under section 114. (9) Tax under section 148 shall be collected at rate of the 1 on import of all fibers, yarns and fabrics excluding pure cotton or its yarn or its fabrics. before substitution by Finance Act 2005 clause (9) read as follows:- (9) Tax shall be collected at 34th of the rate applicable under section 148 on the goods imported under the Afghan Transit Trade Agreement, 1965, and subject to Notification SRO 368(I)95, dated the 2nd May, 1995. (9A) Tax under section 231B shall be collected at the rate of two and a half per cent at the time of sale of motor car and the withholding tax agents (manufacturer or authorized dealer), irrespective of the date of booking or advance payment made by the purchaser, shall collect advance tax where sale invoice is issued and delivery of motor car is made after 31st August 2007. (10) In the case of Ms Fauji Foundation and Army Welfare Trust, so much of the income chargeable under the head quotIncome from business quot as is not exempt under clause (58) of Part I, shall be charged to tax at the rate of 20 of such income. Clauses (11) amp (12) omitted by Finance Bill 2006 which previously read as follows:- (11) In the case of a non-resident OampM Contractor payments, received in full or in part including a payment by way of an advance, for the operation and maintenance of a private sector power project and transmission line projects approved by the Federal Government shall be deemed to be the income of the said OampM Contractor and charged to tax at the rate of five per cent of such payments for a period of three years beginning with the date of commencement of companys operations which shall constitute the final discharge of tax liability by the OampM Contractor under this Ordinance in respect of the said project. (12) In the case of consortium of Ms. STFA Construction Company of Turkey and Ms. JDN of Belgium (hereinafter referred to as the contractor) all payments received in pursuance of the contract agreement No. CEN-12693, made with the Ormara Naval Harbour Project Board, on the fourteenth day of June, 1993, for the construction of a Naval Harbour at Ormara (including off-shore and land development works), chargeable to tax in any assessment year, shall be deemed to be the income of the contractor and charged to tax at the rate of three per cent which shall constitute final discharge of contractors tax liability under this Ordinance. (13) Tax under section 148 shall be collected at the rate of 1 on imports of capital goods and raw material imported exclusively for its own use by a manufacturer registered with Sales Tax Department. before substitution by Finance Act 2007 clause (13) read as follows:- (13) Tax under section 148 shall be collected in the case of edible oils at the rate of 3 and in the case of condemned ships imported for the purpose of breaking at the rate of 1 of the import value as increase by customs-duty and sales tax, if any, levied thereon before substitution by Finance Act 2005 clause ( 13) read as follows:- (13) In respect of any edible oils imported, the tax under section 148 shall be collected at the rate of three per cent of the value of such edible oils as increased by customs-duty and sales tax, if any, levied thereon. (13A) In respect of phosphatic fertilizer imported and specified in Notification No. S. R.O.609 (I) 2004, dated 16th July, 2004 tax under section 148 of the Income Tax Ordinance 2001 shall be collected at the rate of 1 of its import values as increased by customs duty, sales tax and federal excise duty. if any, levied thereon. (13B) In respect of goods falling under HS Code 801.1100, 801.3200, 802.1200, 802.9010, 902.4010, 902.4090, 2101.1110, 2101.1120, 0902.2000, 904.1110, 907.0000, 908.1000, 3702.3100, 3705.2000, 3707.9000, 4011.2090, 50.04, 50.05, 50.06, 6301.1000, 8204.0000, 8301.1000, 8511.1000, 8525.4000, 8529.9010 and 9004.1000 of the First Schedule to the Customs Act, 1969 (IV of 1969), imported, the tax under section 148 shall be collected at the rate of 2 of its import value as increased by customs duty, sales tax and federal excise duty. if any, levied thereon. (13C) In respect of manufacturers of cooking oil or vegetable ghee or both, the rate of income tax on purchase of locally produced edible oil shall be 1 of the purchase price. (13D Omitted by the Finance Ordinance Act, 2005) (13D) In respect of import of polyester yarnfibre of all types, the tax under section 148 shall be collected at the rate of two per cent of the value of such items as increased by customs-duty and sales tax, if any, levied thereon. (13E) In respect of potassic fertilizers imported in pursuance of economic Coordination committee of the Cabinets decision No. ECC-155122004 dated the 9th December, 2004 the tax under section 148 of the Income Tax Ordinance, 2001 shall be collected at the rate of one percent of its import value as increased by customs-duty and sales tax, if any, levied thereon. (13F Omitted by SRO 1037(I) 2005 dated 14th October 2005 (13F) In respect of import of blankets (acrylic) (words quotand acrylic yarn of 32 to 40 metric count if imported for self consumption by blanket manufacturesquot omitted by the Finance Ordinance Act, 2005). the tax under section 148 of the Income Tax Ordinance, 2001 shall be collected at the rate of two percent of the value of such items as increased by customs-duty and sales tax, if any, levied thereon. (13G) Tax under section 148 on the following items shall be collected 1 of their import value as increased by customs duty, sales tax and federal excise duty. if any levied thereon: i. Capital goods x. Trucks in CBU condition having Gross Vehicle Weight exceeding 5 tons classified under PCT headings 87.01, 8704.3290 and 8704.9090 xi. Dump trucks classified under PCT heading 8704 xii. Fully dedicated CNG buses (CBU) classified under PCT heading 8702.1090 and 8702.9090 and agricultural tractors classified under PCT heading 8701.9020 xiii. medical, surgical, dental or veterinary machineryequipment, fixtures, fittings, furniture and diagnostic kits not manufactured locally covered by SRO 575(i)2006 dated 05.06.2006 under the Customs Act, 1969 xiv. equipments relating to call centers not manufactured locally covered by SRO 575(i)2006 dated 05.06.2006 under the Customs Act, 1969 xv. Disinfectants used in poultry business covered by SRO 567(i)2006 dated 05.06.2006 under the Customs Act, 1969 xvi. pre-fabricated structures for poultry farms covered by SRO 567(i)2006 dated 05.06.2006 under the Customs Act, 1969 xvii. live stock and raw materials and intermediaries goods as used in the manufacture of packing material for the packing of dairy products covered by SRO 567(i)2006 dated 05.06.2006 under the Customs Act, 1969 xviii. ripening chambers, hot water treatment plant, vapor hot treatment plant, modern cold storage, packing machinery, power generating sets of 10 25 KVA and battery operated fork lift trucks used in horticulture and floriculture business covered by SRO 575(i)2006 dated 05.06.2006 under the Customs Act, 1969 xix. processing and packing machineryequipment required for fish farming covered by SRO 575(i)2006 dated 05.06.2006 under the Customs Act, 1969 xx. medicines for cancer, drugs used for kidney dialysis and kidney transplant, all type of vaccines for Hepatitis, Interferon and other medicines for Hepatitis, all vaccinesanti-sera, cardiac medicines, injection anti-D Immunoglobulin, blood bags CPDA.1, all medicines for HIVAIDS and all medicines for Thalassemia covered by SRO 567(i)2006 dated 05.06.2006 under the Customs Act, 1969 xxi. Broadcasting equipments covered by SRO 575(i)2006 dated 05.06.2006 under the Customs Act, 1969 xxii. News print covered by SRO 567(i)2006 dated 05.06.2006 under the Customs Act, 1969 xxiii. Computer hardware, parts and accessories of items classified under PCT heading 8471. (XXIV) Condemned ships for the purpose of breaking. Explanation.- Capital goods mean any plant, machinery, equipment, spares and accessories, classified in Chapters 84, 85 or any other Chapter of the Pakistan Customs Tariff, required for,- (i) the manufacture or production of any goods, and includes refractory bricks and materials required for setting up a furnace, catalysts, machine tools, packaging machinery and equipment, refrigeration equipment, power generating sets and equipment, instruments for testing, research and development, quality control, pollution control and the like (ii) use in mining, agriculture, fisheries, animal husbandry, floriculture, horticulture, live stock, dairy and poultry industry (iii) service sector as defined in Customs Act, 1969 This clause shall supercede clause (iv) of SRO.593(I)91 dated 30th June, 1991 before substitution by Finance Bill 2006 clause (13G) read as follows:- (13G) In respect of re-meltable and re-rollable scrap, the tax under section 148 shall be collected at the rate of one per cent of the value of such goods as increased by customs-duty and sales tax, if any, levied thereon. (13H) Tax under section 148 on the following items shall be collected 2 of their import value as increased by customs duty. Federal Excise Duty and sales tax, if any levied thereon: (i) raw material for steel industry including remeltable and re-rollable scrap (ii) raw material for manufacturer of poultry feed (iv) edible oils including crude oil imported as raw material for manufacture of ghee or cooking oil (v) Energy saver lamps PCT heading 8539.10 (vi) Bitumen PCT heading 2714 (vii) Fixed Wireless Terminal PCT heading 8525.2040 (viii) Pesticides and wedicides (14) Tax shall be deducted under section 154 at the rate of 0.75 from foreign exchange proceeds on account of exports of - (i) rice marketed under a brand name up to five kilograms packs ( ii) canned and bottled fish including sea-food and other food items and (iii) precious and semi-precious stones whether uncut, cut, or polished. (15) Tax shall be deducted under section 154 at the rate of 0.75 from foreign exchange proceeds on account of exports of fish and fisheries products packed in retail packs of five hundred grams to two kilograms. (16) In the case of a non-resident company, rate of deduction of tax under section 150 on dividends received from a company engaged exclusively in mining operations, other than petroleum, shall be 7.5 per cent of the gross amount of dividend. (17) The rates of tax as specified in Division III of Part-I of First Schedule shall be reduced to 7.5 in case of dividends declared or distributed by purchaser of a power project privatized by WAPDA. (18) In the case of a modaraba the rate of income tax shall be 25 of total income excluding such part of total income to which Division III of Part I of the First Schedule or section 153 or section 154 applies. (19) In respect of tax year commencing on or after first July, 2002, the rate of income tax in respect of income of amalgamated company for its different businesses shall be the same as applicable to such businesses in the relevant tax year for the tax year in which amalgamation takes place and two tax years next following. (20) The rates of tax as specified in clause (b) of Division-III of Part-I of First Schedule shall be reduced to 7.5 in case of dividend declared or distributed on shares of a company set up for power generation. (21) In the case of any resident person engaged in the business of shipping, a presumptive income tax shall be charged in the following manner, namely:- (a) ships and all floating crafts including tugs, dredgers, survey vessels and other specialized craft purchased or bare-boat chartered and flying Pakistan flag shall pay tonnage tax of an amount equivalent to one US per gross registered tonnage per annum and (b) ships, vessels and all floating crafts including tugs, dredgers, survey vessels and other specialized craft not registered in Pakistan and hired under any charter other than bare-boat charter shall pay tonnage tax of an amount equivalent to fifteen US cents per tonne of gross registered tonnage per chartered voyage provided that such tax shall not exceed one US per tonne of gross registered tonnage per annum: Provided that the reduction under this clause shall not be available after the 30th June, 2020. Explanation.- For the purpose of this clause the expression equivalent amount means the rupee equivalent of a US dollar according to the exchange rate prevalent on the first day of December in the case of a company and the first day of September in other cases in the relevant assessment year. clause (22) omitted by Finance Act 2007 (22) In respect of companies getting enlisted on any stock exchange in Pakistan during the period first July, 2005 to thirtieth June, 2006, the rate of income tax shall be reduced by 1. (23) In respect of Urea fertilizer imported, the tax under section 148 shall be collected at the rate of 1 of its import value as increased by customs duty, sales tax and federal excise duty. if any levied thereon. (24) In respect of pulses imported, the tax under section 148 shall be collected at the rate of two per cent of the value of such pulses as increased by customs duty, sales tax and federal excise duty. if any, levied thereon. clause (25) omitted by Finance Act 2007 (25) Services of stitching, dying, printing, embroidery and washing rendered or provided to an exporter or an export house shall be treated as export and chargeable to tax at the rate equal to the rate of tax applicable to the exporter on export of sizing, weaving goods to which such services relate as specified in Division IV of Part III of the First Schedule. (26) The rate of tax as specified in Division II of Part IV, of the First Schedule, in case of advertising agents, shall be 5 of the amount of the payment. clause (27) omitted by Finance Act 2007 (27) The rate of withholding tax. as specified in Division III of Part III of the First Schedule, in respect of payment on account of transportation of goods through goods transport vehicles shall be two per cent of gross amount of the payment with effect from July1,2006. REDUCTION IN TAX LIABILITY Income, or classes of income, or person or classes of person, enumerated below, shall be allowed reduction in tax liability to the extent and subject to such conditions as are specified hereunder:- (1) Any amount received as flying allowance by - (a) pilots, flight engineers and navigators of Pakistan Armed Forces, Pakistani Airlines or Civil Aviation Authority and (b) Junior Commissioned Officers or other ranks of Pakistan Armed Forces shall be taxed 2.5 as a separate block of income. clause (1) omitted by Finance Act 2005 which previously read as follows:- (1) The Income Tax liability on income of salaried taxpayers, where any income chargeable under the head salary exceeds 50 of taxable (Substituted for quottotalquot by Finance Act, 2003) income as determined under clause 1 amp 2 of Division-I of Part-I of the First Schedule, shall be reduced at the following rates:- (1A) Where the taxable income, in a tax year, of a taxpayer aged 60 (quot65quot substituted by Finance Bill 2006) years or more on the first day of that tax year does not exceed 400,000 (substituted for words quotthree hundred thousandquot by Finance Act 2005) rupees, his tax liability on such income shall be reduced by 50. (2) 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 a University recognized by the Higher Education Commission, including government training and research institution, shall be reduced by an amount equal to 75 of tax payable on his income from salary. before substitution by Finance Bill 2006 clause (2) read as follows:- (2) in addition to the reduction specified in sub-clause (1), the tax payable by a full time teacher or a researcher, employed in a non profit education or research institution including government training and research institution duly recognized by a Board of Education or a University or the Higher Education Commission (substituted for words quot University Grants Commission quot by Finance Act 2005) . shall be further reduced by an amount equal to 75 (substituted for quot50quot by Finance Act 2005) of the tax payable after the aforesaid reduction. (2) The amount of tax payable, in a year in which the rupee is revalued or devalued, by a taxpayer whose profits or gains are computed in accordance with the rules contained in the Fifth Schedule to this Ordinance and who had entered with the Government into an agreement which provides for such reduction, shall be reduced to the amount that would be payable in the absence of the revaluation or devaluation of the rupee. (3) Where any company engaged in the business of distribution of cigarette manufactured in Pakistan is required to pay minimum tax on the amount representing its turnover under section 113, the amount of tax payable under the said section shall be reduced by eighty per cent. (4) In respect of old and used automotive vehicles specified in Notification No. S. R.O. 932(I)2004 dated the 20th November, 2004, the tax under section 148 of the Income Tax Ordinance, 2001, shall not exceed the amount specified in column (3) of the Table below, namely:- EXEMPTION FROM SPECIFIC PROVISIONS Income, or classes of income, or persons or classes of persons, enumerated below, shall be exempt from the operation of such provisions of this Ordinance, subject to such conditions and to the extent, as are specified hereunder: - Clause (1) omitted by Finance Act, 2003 which previously read as follows : quot(1) The provisions of clause (k) of section 21 shall not apply to any expenditure incurred by a banking company or a financial institution owned and controlled by the Federal Government on the provisions of perquisites, allowances or other benefits to any employee in pursuance of any law. quot (2) In the case of losses referred to in section 57 in respect of an industrial undertaking set up in an area declared by the Federal Government to be a quotZonequot within the meaning of Export Processing Zones Authority Ordinance, 1980 (IV of 1980), the period of six tax years (Substituted for quotassessment yearsquot by Finance Act, 2003) specified in the said section shall not apply. (3) The provisions of clause (b) of component C of the formula contained in (Substituted for quotcomponent C ofquot by Finance Act, 2003) sub-section (2) of section 61 shall not apply in case of donations made to Agha Khan Hospital and Medical College, Karachi: Clause (4) omitted by Finance Act, 2003 which previously read as follows : quot(4) The provisions of section 111 shall not apply in respect of any amount invested in the acquisition of Foreign Exchange Bearer Certificates issued under the Foreign Exchange Bearer Certificates Rule, 1985.quot (3A) The provisions of sub-sections (5) and (5A) of section 34 and section 70 shall not apply to any benefit derived by way of waiver of profit on debt or the debt itself under the State Bank of Pakistan, Banking Policy Departments Circular No.29 of 2002, dated the 15th October, 2002, to the extent not set off against the losses under Part VIII of Chapter III. (5) The provisions of section 111 regarding un-explained income or assets shall not apply in respect of, (i) any amount of foreign exchange deposited in a private Foreign Currency account held with an authorized bank in Pakistan in accordance with the Foreign Currency Accounts Scheme introduced by the State Bank of Pakistan: Provided that the exemption clause shall not be available in respect of any incremental deposits made on or after the 16th day of December, 1999 in such accounts held by a resident person or in respect of any amount deposited in accounts opened on or after the said date by such person. (ii) any amount invested in the acquisition of Three-Years Foreign Currency Bearer Certificates issued under the Foreign Currency Bearer certificates Rules, 1997. (iii) rupees withdrawn or assets created out of such withdrawal in rupees from private foreign currency accounts, or encashment of Foreign Exchange Bearer Certificates, US Dollar Bearer Certificates and Foreign Currency Bearer Certificates. before substitution by Finance Act 2005 clause (5) read as follows (5) The provisions of section 111 shall not apply in respect of any amount of foreign exchange deposited in a private Foreign Currency account held with an authorized bank in Pakistan in accordance with the Foreign Currency Accounts Scheme introduced by the State Bank of Pakistan: Provided that the exemption under this clause shall not be available in respect of any incremental deposits made on or after the 16th day of December, 1999 in such accounts held by a resident person or in respect of any amount (Substituted for quotaccountsquot by Finance Act, 2003) deposited in accounts opened on or after the said date by such person. Clause (6) omitted by Finance Act, 2003 which previously read as follows : quot(6) The provisions of section 111 shall not apply in respect of any amount invested in the acquisition of US Dollar Bearer Certificate issued under the US Dollar Bearer Certificates Rules, 1991.quot Clauses (7) amp (8) omitted by Finance Act, 2005 which previously read as follows : (7) The provisions of section 111 shall not apply in respect of any amount invested in the acquisition of Three-Years Foreign Currency Bearer Certificates issued under the Foreign Currency Bearer certificates Rules, 1997. (8) The provisions (Substituted for quotprovisionquot by Finance Act, 2003) of section 111 shall not apply in respect of rupees withdrawn or assets created out of such withdrawal in rupees from private foreign currency accounts, or encashment of Foreign Exchange Bearer Certificates, US Dollar Bearer Certificates and Foreign Currency Bearer Certificates. Clause (9) omitted by Finance Act, 2003 which previously read as follows : quot(9) The provisions of section 111 shall not apply in respect of any amount invested by a sponsor or an original allottee in the purchase of shares of a company owning and managing an industrial undertaking specified in rule 5A of the Third Schedule of the Income Tax Ordinance, 1979.quot (10) The provisions of section 111, Part-X and Part-XI of Chapter X shall not apply in respect of any amount invested in the purchase of Special US Dollar Bonds issued under the Special U. S. Dollar Bond Rules, 1998: Provided that the exemption under this clause shall not be available in respect of the amount invested in the said Bonds purchased out of incremental deposits made in the existing foreign currency accounts on or after 16th day of December 1999, or out of foreign currency accounts opened on or after the said date, or on payment of the amount referred to in sub-rule (3) of rule 5 of Special U. S. Dollar Bond Rules, 1998 after the said date. (11) The provisions of section 113, regarding minimum tax, shall not apply to, (i) National Investment (Unit) Trust or a collective investment scheme authorized or registered under the Non-banking Finance Companies (Establishment and Regulation) Rule, 2003, or a real estate investment trust approved and authorized under the Real Estate Investment Trust Rules, 2006 o r any other company in respect of turnover representing transactions in shares, or securities listed on a registered stock exchange (ii) petroleum dealers, in so far as they relate to turnover on account of sale of petroleum and petroleum products, notwithstanding their status as a company, a registered firm or an individual, engaged in retail sale of petroleum and petroleum products through petrol pumps for the purposes of assessment of their income and determination of tax thereon: Provided that this exemption shall not apply to the sale of petroleum and petroleum products through petrol pumps which are directly operated or managed by companies engaged in distribution of petroleum and petroleum products. Explanation. For the removal of doubt it is declared that the companies engaged in distribution of petroleum and petroleum products other than through petrol pumps shall not be entitled to the benefits of this exemption (iii) Hub Power Company Limited so far as they relate to its receipts on account of sale of electricity (iv) Kot Addu Power Company Limited (KAPCO) for the period it continues to be entitled to exemption under clause (138) of Part-I of this Schedule (v) companies, qualifying for exemption under clause (132) of Part-I of this Schedule, in respect of receipts from sale of electricity (vi) Provincial Governments and local authorities, qualifying for exemption under section 49 and other Government or semi-Government bodies which are otherwise exempt from income tax Provided that nothing shall be construed to authorize any refund of tax already paid or the collection of any outstanding demand created under the said section (vii) Pakistan Red Crescent Society (viii) special purpose, non-profit companies engaged in scrutinizing the receivables of Provincial Governments or the companies (ix) non-profit organizations approved under clause (36) of section 2 or clause (58) or included in clause (61) of Part-I of this Schedule (x) a taxpayer who qualifies for exemption under clause (133) of Part-I of this Schedule, in respect of income from export of computer soft ware or IT services or IT enabled services (xi) a resident person engaged in the business of shipping who qualifies for application of reduced rate of tax on tonnage basis as final tax under clause (21) of Part II of the Second Schedule (xii) a venture capital company, venture capital fund and Private Equity and Venture Capital Fund which is exempt under clause (101) of Part-I of this Schedule (xiii) a Modaraba registered under the Modaraba Companies and Modaraba (Floatation and Control) Ordinance, 1980 (XXXI of 1980) (xiv) Corporate and Industrial Restructuring Corporation (CIRC) (xv) a Small Company as defined in section 2 (xvi) The corporatized entities of Pakistan Water and Power Development Authority, so far as they relate to their receipts on account of electricity, from the date of their creation upto the date of completion of the process of corporatization i. e. till the tariff is notified (xvii) a morabaha bank or a financial institution approved by the State Bank of Pakistan or the Securities and Exchange Commission of Pakistan (SECP), as the case may be, for the purpose of Islamic Banking and Finance in respect of turnover under a morabaha arrangement and (xviii) WAPDA First Sukuk Company Limited. before substitution by Finance Act 2005 clause (11) read as follows (11) The provisions of section 113 shall not apply to National Investment (Unit) Trust or a Mutual Fund established by the Investment Corporation of Pakistan or an investment company registered under the Investment Companies and Investment Advisors Rules, 1971 or any other company in respect of turnover representing transactions in shares, or securities listed on a registered stock exchange. Clauses (12) (13) amp (13A) omitted by Finance Act, 2005 which previously read as follows : (12) The provisions of section 113, in so far as they relate to turnover on account of sale of petroleum and petroleum products shall not apply to petroleum dealers, notwithstanding their (Substituted for quottherequot by Finance Act, 2003) status as a company, a registered firm or an individual, engaged in retail sale of petroleum and petroleum products through petrol pumps for the purposes of assessment of their income and determination of tax thereon: Provided that this exemption shall not apply to the sale of petroleum and petroleum products through petrol pumps which are directly operated or managed by companies (Words quotand registered firmsquot omitted by Finance Act, 2003) engaged in distribution of petroleum and petroleum products. Explanation . For the removal of doubt it is declared that the companies engaged in distribution of petroleum and petroleum products other than through petrol pumps shall not be entitled to the benefits of this exemption. (13) The provisions of section 113 shall not apply to Hub Power Company Limited so far as they relate to its receipts on account of sale of electricity. (13A) The provisions of section 113 shall not apply to Kot Addu Power Company Limited (KAPCO) for the period it continues to be entitled to exemption under clause (138) of Part-I of this Schedule. Clause (14) omitted by Finance Bill, 2006 which previously read as follows : (14) A company registered and authorized by the Federal Government to import gold and silver shall be liable to pay tax on import of gold at the rate of two rupees per eleven grams six hundred and sixty-four milligrams and five rupees per kilogram in the case of silver in accordance with the provisions of section 148 and such payment of tax shall be deemed to be full and final liability of tax in respect of income accruing from such import including liability of tax under section 113. Clause (15) omitted by Finance Act, 2005 which previously read as follows : (15) The provisions of section 113 shall not apply to companies, qualifying for exemption under clause (132) of Part-I of this Schedule, in respect of receipts from sale of electricity. (16) The provisions of sections 113, 148, 151, 153, 155 and 156 (Substituted for quot, 156 and 157quot by Finance Act, 2003) shall not apply to the institutions of the Agha Khan Development Network (Pakistan) listed in Schedule 1 of the Accord and Protocol dated November 13, 1994, executed between the Government of the Islamic Republic of Pakistan and Agha Khan Development Network: Provided that such institutions shall continu e to collect and deduct tax under section 149, 151, 152, 153, 155, 156 or 233 (Substituted for quot113quot by Finance Act, 2003) from others persons, wherever required thereunder: Provided further that in respect of application of section 113, this clause shall take effect from the first day of July, 1991. Clauses (17) amp (18) omitted by Finance Act, 2005 which previously read as follows : (17) The provisions of section 113, shall not apply to Provincial Governments and local authorities, qualifying for exemption under section 49 and other Government or semi-Government bodies which are otherwise exempt from income tax (Substituted for quotcorporate, Government or semi-Governmental bodies, not otherwise liable to income taxquot by Finance Act, 2003): Provided that nothing contained in this clause shall be construed to authorize any refund of tax already paid or the collection of any outstanding demand created under the said section. (18) The provisions of section 113 shall not apply to Pakistan Red Crescent Society. (19) The provisions of sections 113 and 151 shall not apply to non residents, (excluding local branches or subsidiaries or offices of foreign banks, companies, associations of persons or any other person operating in Pakistan), in respect of their receipts from Pak rupees denominated Government and corporate securities and redeemable capital, as defined in the Companies Ordinance, 1984 (XLVII of 1984), listed on a registered stock exchange, where the investments are made exclusively from foreign exchange remitted into Pakistan through a Special Convertible Rupee Account maintained with a bank in Pakistan. Clauses (20) to (28) omitted by Finance Act, 2005 which previously read as follows : (20) The provisions of section 113 shall not apply to special purpose, non-profit companies engaged in securitizing the receivables of Provincial Governments or the companies. (21) The provisions of section 113 shall not apply to non-profit organisations approved under clause (36) of section 2 or clause (58) or included in (Substituted for quotincluding those approved or included in clause (58)quot by Finance Act, 2003) or clause (61) of Part-I of this Schedule. (22) The provisions of section 113 shall not apply to a taxpayer who qualifies for exemption under clause (133) of Part-I of this Schedule. (23) The provisions of section 113 shall not apply to a venture capital company and venture capital fund which is exempt under clause (101) of Part-I of this Schedule. (24) The provisions of section 113 shall not apply to a modaraba registered under the Modaraba Companies and Modaraba (Floatation and Control) Ordinance, 1980 (XXXI of 1980). (25) Nothing in section 113 shall apply to Corporate and Industrial Restructuring Corporation (CIRC). (26) The provisions of section 148 shall not apply to goods or classes of goods imported by contractors and sub-contractors engaged in the execution of power project under the agreement between the Islamic Republic of Pakistan and Hub Power Company Limited. (27) The provisions of section 148 shall not apply to such specially equipped motor vehicle or support equipment imported by a disabled person, as is allowed by the Federal Government. (28) The provision of section 148 shall not apply to in case of such goods imported into Pakistan as are exempt from customs duties and sales tax under Headings 9913, 9914 and 9915 of Sub-Chapter III of Chapter 99 of First Schedule the Customs Act, 1969 (IV of 1969) (Substituted for quotSROs 360(I)2000, 362(I)2000 and 363(I)2000 dated 17.06.2000quot by Finance Act, 2003) (29) The provisions of section 148 shall not apply to goods imported by direct and indirect exporters covered under --- (a) Sub-Chapter 4 of Chapter XII of SRO 450(I)2001 dated 18.06.2001 (b) Sub-Chapter 6 of Chapter XII of SRO 450(I)2001 dated 18.06.2001 and (c) Sub-Chapter 7 of Chapter XII of SRO 450(I)2001 dated 18.06.2001 (30) The provisions of section 148 shall not apply in respect of goods specified under Heading 9929, Sub-Chapter VIII of Chapter 99 of the First Schedule to the Customs Act, 1969 (IV of 1969) Clauses (29) and (30) substituted by Finance Act, 2003 which previously read as follows: quot(29) The provisions of section 148 shall not apply to goods imported by direct and indirect exporters covered under:- (i) the Manufacturing in Bond Rules, 1997, issued under Notification No. S. R.O. 1140(I)97, dated the 6th November, 1997 (ii) the Common Bonded Warehouse (Conventional) Rules, 1998 issued under Notification No. S. R.O. 843(I)98, dated the 23rd July, 1998 and (iii) the Duty and Tax Remission for Export Rules, 2001, issued under Notification No. S. R.O. 185(I)2001, dated the 21st March 2001. (30) The provisions of section 148 shall not apply in respect of goods temporarily imported into Pakistan for subsequent exportation and which are exempt from customs-duty under Notification No. S.R. O.410(I)2001, dated the 18th June, 2001, and the goods specified at S. Nos. 22 and 23 in Table-II of the Notification No. S. R.O. 444(I)2001, dated the 18th June, 2001.quot Clauses (31) (31A) amp (31B) omitted by Finance Act, 2005 which previously read as follows : (31) The provisions of section 148 shall not apply in respect of such mobile telephone sets as are exempt from custom duty and are charged to sales tax in the manner prescribe in the Notification No. S. R.O 390(I)2001 dated 18th June, 2001. (31A) The provisions of section 148 shall not apply to plant, machinery and equipment imported as are subject to 5 rate of customs-duty under Chapter 84 of the First Schedule to the Customs Act, 1969 (IV of 1969), or are exempt from customs-duty or subject to a lower rate of customs-duty under relevant Customs notifications. 31B) The provisions of section 148 shall not apply in respect of agricultural tractors imported in CBU condition. Clause (32) omitted by Finance Act, 2003 which previously read as follows : quot(32) The provisions of sections 149 and 152 relating to fee for technical services shall not apply to Ms Siddiq Sons Tin Plate Limited in respect of salaries of expatriate employees, royalty or technological and know-how fee for technical assistance for projects located in Special Industrial Zone, Windher, Balochistan, who have established LCs prior to the 31st January, 1996.quot (33) The provisions of sections 151 and 233 shall not apply to any person making payment to National Investment (Unit) Trust or a mutual fund established by the Investment Corporation of Pakistan or an investment company registered under the Investment Companies and Investment Advisers Rules 1971 or a unit trust scheme constituted by an Asset Ma nagement Company registered under the Asset Management Companies Rules, 1995 or a real investment trust, approved and authorized under the Real Estate Investment Trust Rules, 2006, established and managed by a REIT management company licensed under the Real Estate Investment Trust Rules, 2006 or a Private Equity and Venture Capital Fund. Clauses (34) amp (35) omitted by Finance Act, 2005 which previously read as follows : (34) The provision of section 151 shall not apply in respect of profit or interest paid on a Term Finance Certificate held by a company which has been issued on, or after, the first day of July, 1999. (35) The provisions of section 151 shall not apply to any payment made by way profit or interest to any person on Term Finance Certificates being the instruments of redeemable capital under the Companies Ordinance, 1984 (XLVII of 1984), issued by Prime Ministers Housing Development Company (Pvt) Limited (PHDCL). (36) The provisions of clause (c) of sub-section (1) of section 151 shall not apply in respect of any amount paid as interest or profit on Special US Dollar Bonds issued under the Special US Dollar Bonds Rules, 1998. (36A) The provisions of clause (a) of sub-section (1) of section 151 shall not apply in respect of any amount paid as yield or profit on investment in Bahbood Savings Certificate or Pensioners Benefit Account. Clause (37) omitted by Finance Act, 2005 which previously read as follows : (37) The provisions of section 151 shall not apply to Pak rupee accounts or certificates referred to in clause (83) of Part I of this Schedule. (38) The provisions of section 151, 153 and 233 shall not apply to special purpose vehicle for the purpose of securitization. (38A) The provisions of sections 150, 151 and 233 shall not apply to a Venture Capital Company (38B) The provisions of section 150 shall not apply to the Islamic Development Bank. Clause (39) omitted by Finance Act, 2003 which previously read as follows : quot(39) The provisions of section 151 shall not apply to a person who produces a certificate from the Commissioner of Income Tax concerned to the effect that his income during the income year is exempt from tax. quot clause (40) shall omitted by Finance Act 2005 and, notwithstanding any judgment, order or decision of any Court, Tribunal or Authority including Income Tax Authority, shall be deemed always to have been so omitted and shall have effect accordingly before omitting clause 40 read as follows:- (40) The provisions of sub-section (6) of section 153 in so far as they relate to payments on account of supply of goods from which tax is deductible under the said section shall not apply in respect of any person being a manufacturer of such goods, unless he opts for the presumptive tax regime: Provided that a declaration of option is furnished in writing within three months of the commencement of the tax (Substituted for quotincomequot by Finance Act, 2003) year and such declaration shall be irrevocable and shall remain in force for three years: Provided further nothing contained in this clause shall apply to any manufacturer of goods for which special rates of deduction of tax are specified under the repealed (Substituted for quotreplacedquot by Finance Act, 2003) Ordinance. (41) The provisions of su b-section (1B) of section 152 (words quot(7) of section 153quot substituted by Finance Bill 2006) shall not apply in respect of a non-resident person unless he opts for the presumptive tax regime: Provided that a declaration of option is furnished in writing within three months of the commencement of the tax (Substituted for quotincomequot by Finance Act, 2003) year and such declaration shall be irrevocable and shall remain in force for three years. (41A) Notwithstanding anything contained in the Finance Act, 2005 (VII of 2005), with respect to the omission of clause (40) of Part IV of the Second Schedule to this Ordinance, nothing in sub-section (6A) of Section 153 of this Ordinance shall apply to any person being a manufacturer, where declaration of option for the presumptive tax regime has been furnished and transactions pertaining to such option have been undertaken and completed on or before the 30th June, 2005 Provided that all declaration of options already furnished shall cease to have effect after the 30th June, 2005. (41B) The provisions of sub-section (2) of section 152 shall not apply in respect of payments to foreign news agencies, syndicate services and non-resident contributors, who have no permanent establishment in Pakistan. (42) The provisions of sub-section (6) of section 153 shall not apply in respect of payments received by a resident person for providing services by way of operation of container or chemical or oil terminal at a sea-port in Pakistan or of an infrastructure project covered by the Governments Investment Policy, 1997. (43A) The provisions of sub-section (1) of section 153 shall not apply to payments received by a person including Permanent Establishment of Non-resident Petroleum Exploration and Production (EampP) Companies on account of supply of petroleum product imported by the same person under the Government of Pakistans de-regulation policy of POL products Clause (43A) substituted by Finance Act, 2003, which previously read as follows : quot(43A) The provisions of section 153, shall not apply to payments received by Ms Total PARCO Pakistan Limited for the supply of petroleum products. (43B) The provisions of clause (a) sub-section (1) of section 153 shall not apply to payments received on sale of air tickets by traveling agents, who have paid withholding tax on their commission income. Clauses (43B) and (43C) omitted by Finance Act, 2003, which previously read as follows : quot(43B) The provisions of section 153 shall not apply to the payments received by Al Rahim Trading Co. (Pvt) Limited, Karachi for the supply of petroleum products. (43C) The provisions of section 153 shall not apply to the payments received by Hascombe Storage (Pvt) Limited, Karachi, for the supply of petroleum products. quot Clause (44) omitted by Finance Act, 2005 which previously read as follows : (44) The provisions of section 148 shall not apply to an indirect exporter as defined in the Duty and Tax Remission for Export Rules, 2001 issued under Notification No. S. R.O. 185(I)2001, dated the 21st March 2001. (45) The provisions of sub-section (1) (Substituted for quot(6)quot by Finance Act, 2003) of section 153 shall not apply to any manufact urer-cum-exporter as the prescribed person (Substituted for quota payerquot by Finance Act, 2003) . (a) the manufacturer-cum-exporter shall deduct tax from payments made in respect of goods sold in Pakistan (b) if tax has not been deducted from payments on account of supply of goods in respect of goods sold in Pakistan, the tax shall be paid by the manufacture-cum-exporter, if the sales in Pakistan are in excess of five per cent of export sales and (c) nothing contained in this clause shall apply to payments made on account of purchase of the goods in respect of which special rates of tax deduction have been specified under the provisions of the repealed Ordinance (Substituted for quotin exercisequot by Finance Act, 2003) . (46) The provisions of sub-section (1) of section 153 shall not apply to any payment received by an oil distribution company or an oil refinery for supply of its petroleum products. (47) The provisions of sections 151 and 155 shall not apply to a person who produces a certificate from the Commissioner of Income Tax concerned to the effect that his income during the income year is exempt from tax. (47) The provisions of sections 151 and 155 shall not apply to a person who produces a certificate from the Commissioner of Income Tax concerned to the effect that his income during the income year is exempt from tax. (47A) The provisions of section 153 shall not apply in respect of payments received by a resident person for supply of such goods as were imported by the same person and on which tax has been paid under section 148. (47B) The provisions of section s 150, 151 and 233 shall not apply to any person making payment to National Investment (Unit) Trust or a mutual fund established by the Investment Corporation of Pakistan or a collective investment scheme authorized or registered under the Non-Banking Finance Companies (Establishment and Regulation) Rules, 2003 or a modaraba (Substituted for quotan Investment Company registered under the Investment Companies and Investment Advisors Rules, 1971 or a Unit Trust Scheme constituted by an Asset Management Companies Rule, 1995, or a modaraba management companyquot by Finance Act, 2003) or Approved Pension Fund or an Approved Income Payment Plan constituted by a Pension Fund Manager registered under Voluntary Pension System Rules, 2005 or a Real Estate Investment Trust approved and authorized under the Real Estate Investment Trust Rules, 2006 established and managed by a REIT Management Company licensed under the Real Estate Investment Trust Rules, 2006 or a Private Equity and Venture Capital Fund. (47C) The provisions of sub-section (1) of section 154 shall not apply to an exporter in respect of cooking oil or vegetable ghee exported to Afghanistan, from whom advance tax has been collected under section 148 on import of edible oil. (47D) The provisions of sub-section (6A) of section 153 shall not apply to cotton ginners. Clauses (48), (49), (50) and (51) omitted by Finance Act, 2003, which previously read as follows : quot(48) The provisions of section 236 shall not apply to a person who produces a certificate from the Commissioner of Income Tax concerned to the effect that his income during the income year is exempt from tax. (49) The provisions of section 236 shall not apply where the subscriber is a nontaxable non-profit organisation. (50) The provisions of section 234 shall not apply to a person who produces a certificate from Commissioner of Income Tax concerned to the effect that his income during the income year is exempt from tax. (51) The provisions of section 235 shall not apply to a person who produces a certificate from the Commissioner of Income Tax concerned to the effect that his income during the income year is exempt from tax. quot (52) The provisions of clause (vi) of Notification No. SRO 593(I)91, dated the 30th June, 1991, shall not apply to any importer being an industrial undertaking engaged in the manufacture of vanaspati ghee or oil. Clauses (53) amp (54) omitted by Finance Act, 2005 which previously read as follows : (53) The provisions of sections 148 and 153 shall not apply to the wheat imported by Trading Corporation of Pakistan in pursuance of economic coordination committee of the cabinets decision No. ECC-6752004 dated the 2nd July, 2004. (54) The provisions of section 148 shall not apply to sugar imported in pursuance pursuance of economic coordination committee of the cabinets decision No. ECC1622005 dated the 08.02.2005quot (56) The provisions of section 148, regarding withholding tax on imports, shall not apply in respect of (i) goods or classes of goods imported by contractors and sub-contractors engaged in the execution of power project under the agreement between the Islamic Republic of Pakistan and Hub Power Company Limited. (ii) such specially equipped motor vehicle or support equipment imported by a disabled person, as is allowed by the Federal Government. (iii) such goods imported into Pakistan as are exempt from customs duties and sales tax under Headings 9913, 9914 and 9915 of Sub-Chapter III of Chapter 99 of First Schedule the Customs Act, 1969 (IV of 1969). (iv) goods imported by direct and indirect exporters covered under - (a) Sub-Chapter 4 of Chapter XII of S. R.O. 450(I)2001 dated18.06.2001 (b) Sub-Chapter 6 of Chapter XII of S. R.O. 450(I)2001 dated 18.06.2001 and (c) Sub-Chapter 7 of Chapter XII of S. R.O. 450(I)2001 dated 18.06.2001 (v) goods specified under Heading 9929, Sub-Chapter VIII of Chapter 99 of the First Schedule to the Customs Act, 1969 (IV of 1969). (vi) Liquefied Petroleum Gas (LPG) (vii) Liquefied Natural Gas (LNG) Clauses (vi) and (vii) substituted by Finance Bill 2006, which previously read as follows : (vi) such mobile telephone sets as are exempt from custom duty and are charged to sales tax in the manner prescribed in the Notification No. S. R.O. 390(I)2001 dated the 18th June, 2001. (vii) plant, machinery and equipment imported as are subject to 5 rate of customs-duty under Chapter 84 of the First Schedule to the Customs Act, 1969 (IV of 1969), or are exempt from customs-duty or subject to a lower rate of customs-duty under relevant Customs notifications. (viii) agricultural tractors imported in CBU condition. (ix) an indirect exporter as defined in the Duty and Tax Remission for Export Rules, 2001 issued under Notification No. S. R.O. 85(I)2001, dated the 21st March 2001. (x) Radio Navigational Aid Apparatus imported for an airport or on after First January, 2006. Clause (x) substituted by Finance Bill 2006, which previously read as follows : (x) wheat and wheat flour imported by Trading Corporation of Pakistan in pursuance of Economic Coordination Committee of the Cabinets Decision No. ECC.6752004 dated the 2nd July, 2004. Clause (xi) omitted by Finance Bill 2006, which previously read as follows : (xi) sugar imported in pursuance of Economic Coordination Committee of the Cabinets decision No. ECC 1622005 dated 08.02.2005. (xii) import of the following items, namely: (e) halal meat of (f) live animals (bovine animals i. e. buffalos, cows, sheep, goats and camels only)and Clause (xiii) omitted by Finance Bill 2006, which previously read as follows : (xiii) cement imported in pursuance of Economic Coordination Committee of the Cabinets decision No. ECC-12482005, dated the 1st September, 2005. (xiv) goods donated for the relief of earthquake victims as are exempt from customs duties and sales tax and (xv) tents. tarpaulin and blankets. Clause (xvi) omitted by Finance Bill 2006, which previously read as follows : (xvi) off-highway dump trucks and transit mixers. xvii import of ships and floating craft including tugs, dredgers, survey vessels and other specialised crafts registered in Pakistan. (xviii) goods specified in column (2) of the Table below, falling under the PCT heading number mentioned in column (3) of the said Table, namely:- Description of goods. PCT heading number. (xx) goods temporarily imported into Pakistan for subsequent exportation and which are exempt from customs duty and sales tax under Notification No. S.R. O.1065(I)2005, dated the 20th October, 2005. (xxi) capital goods imported by a manufacturer whose sales are 100 exports and produces a certificate from the Commissioner of Income Tax to the effect that the imported capital goods shall be (a) installed in his own industrial undertaking and (b) exclusively used for production of goods to be exported. (xxii) Capital goods and raw material imported by manufacturer exporter registered with Sales Tax Department as a manufacturer. (xxiii) Petroleum (EampP) companies covered under SRO.678(I)2004 dated 07.08.2004 except motor vehicles imported by such companies. (xxiv) Companies importing high speed diesel oil, light diesel oil, high octane blending component or motor spirit, furnace oil, JP-1, MTBE, kerosene oil, crude oil for refining and chemical use in refining thereof in respect of such goods (xxv) The re-importation of re-usable containers for re-export qualifying for customs-duty and sales tax exemption on temporary import under the Customs Notification No. S. R.O. 344(I)95 dated the 25th day of April, 1995and (xxiv) goods donated for relief of flood victims of year 2007 as exempt from sales tax and custom duty (57) The provisions of sections 113, 148 and 153 shall not apply to companies operating Trading Houses which - (i) have paid up capital of exceeding Rs.250 million (ii) own fixed assets exceeding Rs.300 million at the close of the Tax Year (iii) maintain computerized records of imports and sales of goods (iv) maintain a system for issuance of 100 cash receipts on sales (v) present accounts for tax audit every year and (vi) is registered with Sales Tax Department: Provided that the exemption under this clause shall not be available if any of the aforementioned conditions are not fulfilled for a tax year, Provided further that the exemption from application of section 113 shall be available for the first ten tax years, starting from the tax year in which the business operations commenced. (57A) The provisions of sections 153 and 169 shall not apply to large import houses: Provided that the exemption under this clause shall not be available if any of the conditions provided in section 148 are not fulfilled for a tax year (58) The provisions of section 205 shall not apply to telecom companies for default of not collecting withholding tax under section 236 (1)(b) on sale of prepaid cards during tax year 2004, if the amount not collected is deposited within three months: Provided that nothing contained in this clause shall apply to the amounts collected under section 236(1)(b), but not deposited in the Treasury. (59) The provisions of section 151, regarding withholding tax on profit on debt, shall not apply - (i) in respect of profit or interest paid on a Term Finance Certificate held by a company which has been issued on, or after, the first day of July, 1999 (ii) to any payment made by way profit or interest to any person on Term Finance Certificates being the instruments of redeemable capital under the Companies Ordinance, 1984 (XLVII of 1984), issued by Prime Ministers Housing Development Company (Pvt) Limited (PHDCL) (iii) to Pak rupee accounts or certificates referred to in clause (83) of Part-I of this Schedule and (iv) in the case of any resident individual, no tax shall be deducted from income or profits paid on,- (a) Defence Savings Certificates, Special Savings Certificates, Savings Accounts or Post Office Savings Accounts, or Term Finance Certificates (TFCs), where such deposit does not exceed one hundred and fifty thousand rupees and (b) Investment in monthly income Savings Accounts Scheme of Directorate of National Savings, where monthly installment in an account does not exceed one thousand rupees. (60) Provisions of sections 148 and 153 shall not apply to fully as well partly designedassembled cypher devices, for use within the country as are verified by Cabinet Division (NTISB) (words quotNTISBquot substituted by Finance Bill 2006) with reference to design, quality and quantity (61) The provisions of section 231A shall not apply in respect of any cash withdrawal, from a bank, made by an earthquake victim against compensation received from GOP including payments through Earthquake Reconstruction and Rehabilitation Authority (ERRA) account. (62) The following provisions of Section 97 shall not apply in case of transfer of assets on amalgamation of companies or their businesses or acquisition of shares, requiring that transferor: (a) be resident company and (b) belong to a wholly-owned group of resident companies. ( i ) the transferee resident company shall own or acquire atleast 75 of the share capital of the transferor company or the business in Pakistan of the transferor company (ii) the amalgamated company is a company incorporated in Pakistan (iii) the assets of the amalgamating company or companies immediately before the amalgamation become the assets of the amalgamated company by virtue of the amalgamation, otherwise than by purchase of such assets by the amalgamated company or as a result of distribution of such assets to the amalgamated company after the winding up of the amalgamating company or companies (iv) the liabilities of the amalgamating company or companies immediately before the amalgamation become the liabilities of the amalgamated company by virtue of the amalgamation and (v) the scheme of amalgamation is sanctioned by the State Bank of Pakistan, any court or authority as may be required under the lawThe 8220Tax Season8221 is here, again. There have been some minor changes since our last article published in 2012. Our last article (read here) was based on old format of BE Form 8211 a form for resident who does not carry on business in Malaysia. Since then, Inland Revenue Board of Malaysia has came out hellip T he 8220Tax Season8221 is here, again. There have been some minor changes since our last article published in 2012. Our last article (read here ) was based on old format of BE Form 8211 a form for resident who does not carry on business in Malaysia. Since then, Inland Revenue Board of Malaysia has came out with a much simplified BE Form. Nevertheless, as usual, taxpayers (employed individuals) have until April 30 to file their tax returns. As compared to our previous article, this article provides guidance for e-filing system. The mapping of items in this article is based on BE Form 2013. So, before you start logging into e-filing system it8217s advisable to go to the following sites to print or save a copy: Again, to prevent frustration of not being able to access e-filing system due to heavy internet traffic, it8217s advisable not to wait till last minute to perform your duty as a good and obedient citizen (grin). But if you don8217t mind a fine of between RM200 (min) to RM2,000 (max) or spend some time squatting in prison (not exceeding 6 months), then by all means ignore the submission. And if you8217re thinking of understating your income, it8217s better not to submit at all because the fine for such offence is much more serious 8211 fine of between RM1,000 to RM10,000 plus 200 of tax undercharged. No matter how you look at it, you can8217t run away from a hungry and deep-in-debt government. Actually you should look forward to this tax season as this is perhaps the only time you can demand money from the government 8211 excess in tax paid. Since employers normally pay more in the employees8217 monthly tax deduction to the government, (in most cases) government owes employees money. In fact, government should pay you the excess in tax paid plus 8220interest8221 . which you could otherwise earn if you put the money to work in a bank. That8217s why it8217s always a lose-lose situation for employees. Unless you8217re doing your own business, chances are you8217re paying huge amount of hard earned money to the Inland Revenue Department, in this case Lembaga Hasil Dalam Negeri. As an employee, what you can do is to maximize whatever allowable items within the 8220Part F: Deductions8221 section when you file your tax return. The BE Form is quite similar to the e-filing interface upon login so it8217s advisable to put those figures on the form before you enter it to the e-filing system. After successfully login to e-filing, you will land on 8220e-BE Year of Assessment8221 page. Basically, there8217re four (4) parts or pages in e-filing website namely: Page-1 of e-filing (e-BE Year Assessment) : We8217re not going into details about Part A (Particulars of Individual) , Part C (Particulars of Husband Wife), Part D (Other Particulars 8211 contact and banking information) or Part E (Income of Preceding Years Not Declared) simply because those information do not change much unless you enjoy remarry, shifting home and changing banking accounts every year. Anyway, below is how e-filing looks like upon logging to the first screen. When you8217re in first page of e-filing, the only thing you may need to change is 8220Type of Assessment8221 8211 whether to choose 8220Joint with Spouse8221 or 8220Separate8221. Obviously, if your spouse is not working, then you choose 8220joint8221 but if both are working, it8217s more beneficial to declare separately. That would leave us with Part B and Part F. Take note that by now, you should have received your EA form from your company. Page-2 of e-filing (e-BE Year Assessment) : The interesting part starts with 8220Part B: Statutory Income and Total Income8221 whereby you declare all your incomes. The item 8220B1 8211 income from employment8221 is the most important as this is your annual income, the main part which government uses to tax you monthly. You can get this figure from your EA form, which is your total income for the whole year of last year. If you invest in stock or shares, unit trust and paid dividends during the assessment period, then you8217ve to declare it at item 8220B2 8211 income from dividends8221. Click on the button 8220HK38221 (another screen will appear) and fill in those information about your dividends earned in last year. Most don8217t really care about this minor item but do you know that some of your dividends paid may be the amount after 8220Income Tax at 25 8220 Click to Enlarge Income Tax e-filing 8211 Dividends This simply means the government already taxed the max of 25 on your gross dividend, and what you had gotten was a deducted net dividend. In short, you 8220must8221 claim back your money here . provided your tax bracket is lower than 25. Although a new rule says all listed companies must pay your tax, some stubborn companies have yet to comply. But if all your dividend vouchers stated 8220Zero8221 in income tax column, you can ignore this part. What if you invest in foreign stock market such as the U. S. New York Stock Exchange or Nasdaq Do you need to pay tax from your overseas capital gains This statement perhaps will clear the air 8211 8220 With effect from the year of assessment 2004, income derived from outside Malaysia and received in Malaysia by resident individual is exempted from tax .8221 In short, you don8217t have to pay any tax due to double taxation treaties (grin). Next, if you earn income from rentals from houses, shophouses, land, plant, machines, furniture and your hamsters, you8217ve to declare it in 8220B2 8211 income from rents8221 . Note that both 8220B2 8211 income from dividends8221 and 8220B2 8211 income from rents8221 are presented as a single item in 2013 BE Form (B2 8211 income from dividends and rents) though. Again, most people don8217t declare this extra rentals income for obvious reason. Who in their right mind would be so honest (or rather dumb) to pay extra to the government only to be used to buy radars that couldn8217t detect UFOs (tongue-in-cheek), right Well, as long as you don8217t get caught I supposed rentals declaration is a debatable and could be hard to trace. Besides, you8217re paying your property assessment to 8220dewan bandaraya8221 (city hall) every half-yearly already. Item B3 is concerning interest, royalties, part-time jobs and whatnot. Interest earned from FD (fixed deposit) or banking deposit is exempted. Royalties above certain amounts as a result from copyrights earning are taxable. The same goes to part-time lecturing, writing etc. But seriously, who would declare such part-time jobs8217 income, right As long as the figure is not 8220substantial8221 enough, this is a 8220blind-spot8221. Unless you8217re one of government8217s cronies and need to suck up to them, you normally don8217t give away money, artefacts and your van Gogh paintings to the them. But still, if you8217re charitable enough, you can declare any donations to 8220approved8221 institutions such as old-folk homes, foundations, associations, temples, churches, mosque and whatnot, in Part B item B5 . of which you can get tax relief. The list of such institutions under Section 44(6) ITA 1967 can be found here . Your total income will be calculated automatically in item B6. The amount of monthly tax deductions paid for the whole of last year should be appeared automatically in item B18 the moment you come to this second page of e-filing. The figure in item B18 should be the same as shown in your EA Form. If this figure does not appear in B18, then something is wrong with your monthly tax contribution. Page-3 of e-filing (e-BE Year Assessment) : Part F is the most important part because it determines your taxable amount. This part equals to deductable expenses and you will be surprise on how much you had previously overpaid (to government), due to ignorance. As a starting point, every individual is given a RM9,000 default relief. Let8217s go to each of them, shall we F2 8211 Medical treatment, special needs and carer expenses for parents. The scope includes medical care and treatment provided by a nursing home and even dental treatment limited to tooth extraction, filling, scaling and cleaning. However, you can8217t claim if your parents8217 plan were to impress friends relatives by crowning their tooth with gold though. The limit is RM5,000 so there8217s huge room to spend. F3 8211 Basic supporting equipment for disabled self, spouse, child or parents. Basic supporting equipment includes haemodialysis machine, wheel chair, artificial leg and hearing aids but exclude optical lenses and spectacles. Maximum claimable amount is RM5,000. F4 8211 Nobody likes this but if you8217re a disabled individual, you are allowed an additional RM6,000 in personal relief. F5 8211 Education Fees (self) 8211 should you further your study for 8220any course of study8221 at Masters or Doctorate level . then you should declare this item for a deduction of up to RM5,000 max. Unfortunately this is not applicable for diploma, higher diploma or Bachelor degree, unless it8217s for the purpose of acquiring 8220law, accounting, Islamic financing, technical, vocational, industrial, scientific or technological skills or qualifications.8221 F6 8211 Medical expenses on serious diseases for self, spouse or child which include AIDS, cancer, Parkinson8217s disease, leukaemia, heart attack, major burns and even hypertension. Maximum amount deductable is RM5,000. F7 8211 Complete medical examination for self, spouse or child. You should use up the RM500 limit on this item, example, yearly medical checkup or comprehensive blood-check from Pathlab or BP Healthcare. Take note that the total deduction for above F6 and F7 is limited to RM5,000. Thus, if you used up F78217s RM500, you can only claim RM4,500 for item F6 above. F8 8211 Purchase of booksmagazinesjournalssimilar publications (except newspapers and banned reading materials) for self, spouse or child 8211 another splendid area where you should spend to the limit (if possible) of RM1,000. Some of the magazines you can consider includes investment, automobile, business, smartphone, finance related and whatnot. Also you can buy tons of books (either printed or electronic from Amazon or Apple Inc.8217s (Nasdaq: AAPL. stock ) AppStore for yourself, spouse of kids. So, remember to insists on receipts the next time you buy these materials. F9 8211 Purchase of personal computer for individual (deduction allowed once in every 3 years, limited to RM3,000). Perhaps too many people realized that tablet such as iPad was not such a bad purchase after all as it was tax deductible. Unfortunately, IRD plugged the loophole and beginning Year Assessment 2013 . tablets such as iPad is no longer qualified for such relief. The definition of computers are now confined to desktop computer, laptop, notebook and ultrabook (sigh). I supposed early bird catches the worm. F11 8211 Purchase of sports equipment for any sports activity . restricted to RM300. Sports equipment includes equipment with short lifespan such as golf balls and even shuttlecocks but excluding sports attire such as swimsuits and sports shoes. You may scream till foam at mouth 8211 how the heck do you expect a person to swim without swimsuits or run without a pair of running shoes. Perhaps the government thougt it would be better to swim naked or running barefoot like a chicken (grin). Broadband Tax Relief 8211 Previously, you can claim tax relief on broadband usage be it land-line TM Streamyx or Wireless Internet broadband packages offered by Maxis, Celcom or DIGI 8211 up to a maximum RM500. However this goodies was only applicable for year assessment 2010 to 2012. Hence, this item has been removed from e-filing and BE Form altogether 8211 this popular tax relief is 8220GONE8221. F12 8211 Interest on housing loan 8211 An amount limited to a maximum of RM10,000 is deductible for each basis year for a period of three consecutive years of assessment beginning from the date in which the interest is first expended. However the Sale and Purchase (SampP) Agreement must be executed between 10 March 2009 to 31 December 2010. F13 8211 Payment of alimony 8211 Divorce is quite common nowadays, so if you8217ve been paying your former wife last year, remember to deduct on this item, up to RM3,000. It8217s true you might have paid more than this amount but it8217s better than none. F15 8211 If you have children, don8217t forget to claim tax relief on this part. Of course if your kids have already married then ignore this lest you wish to test if IRD officers sleep on their job, just like how those bunch of radar operators missed the flight MH370. Maintenance of a child below the age of 18 is allowed a relief of RM1,000. Child of 18 years and above and studying (diploma or higher) gets additional RM6,000 relief each. F16 8211 Life insurance and provident fund . limited to RM6,000. You should not ignore this part due to the huge sum of tax relief allowed. This part consists of both (monthly) EPF contribution and life insurance premium paid. Some made the silly mistake thinking this is applicable to insurance premium only. They have forgotten about their EPF contribution so they totally ignored this cool RM6,000 tax relief. If you8217re earning RM4,550 monthly, your annual EPF contribution would have already used up the RM6,000 tax relief alone. F17 8211 Private Retirement Scheme 8211 effective from year assessment 2012 to 2021, anyone contributes to private retirement scheme approved by the Securities Commission is entitled to a maximum RM3,000 in tax relief. This is similar to EPF contribution but primarily tailored for self-employed persons such as hawkers, plumbers etc. Of course, you can opt for this option on top of EPF contribution but why lock yourself when you can freely invest your own money F18 8211 Education and medical insurance. A relief not exceeding RM3,000 is available on insurance premiums paid in respect of education or medical benefits for an individual, husband, wife, or child. With the escalating medical expenses nowadays, most people would have some sort of medical plan already, such as the infamous 36-critical illnesses insurance coverage. Therefore, remember to include this for tax relief. The above 15 items are perhaps the most important deductions you should pay extra attention. Sure, not all deductions allowable in 8220Part F8221 are relevant to you but it8217s always worthwhile to spend some time on this section. The objective is to pump a figure as huge as possible into item 8220F19 8211 Total Relief8221 (to be transferred to item B9 as per BE Form). Page-4 of e-filing (e-BE Year Assessment) : The last part of e-filing 8211 Tax Summary 8211 is the most interesting part. It8217s like those days when you8217re waiting for your school examination8217s results to be released. This page shows your total income, less total relief, less special RM2,000 relief and of course, the 8220Chargable Income8221. This chargable income is used to calculate your actual tax chargable. Remember your overpaid dividends This is where you get back your money. After you8217ve creatively used up all the deductible reliefs to the max, the next thing to do is to keep track of your banking account as the government would be refunding tax paid in excess very soon. This is only a small part you can do to squeeze back money that government had taxed you. There are other ways to put more money into your own pocket. As long as your income doesn8217t appears in your EA Form as income, you8217re taking 100 of the money. As a start, discuss with your boss if your take-home income can be arranged in such a way that non-taxable allowance be increased instead of basic salary. For example, up to RM2,400 travelling allowance is tax free. Meal allowance, parking allowance, childcare allowance are some allowances that you can toy around to reduce your income tax. Having said that, please keep all your receipts for at least 7-years. Happy Tax Season. Other Articles That May Interest You Comment by JENNIFER CHEAH on March 24, 2014 at 11:53 am Q1) In the year of 2013, my godmother (she took care of me since I was a baby) went through an operation at the private hospital and the bill was paid by me. Can this bill be claimed under F2 Q2) After the operation, my godmother needs proper nursing care and I have placed her in a nursing home which monthly I have to pay for to the nursing home. Is this claimable Comment by financetwitter on March 24, 2014 at 1:17 pm F2 is for parents only, not even mother-in-law or father-in-law qualifies for F2 8230 However, as provided by S46(1)(c) Income Tax Act 1967, it does not 8220properly8221 define who the parent is. In general, parent could include foster parent of an adopted child 8230 You may wish to pay a visit or make a call to IRD for clarification on your situation 8230 Comment by Ivy Ting on March 24, 2014 at 3:46 pm Hello..I would like to understand more why u said rental income is not easily detected by IRB I checked with officer before, they also said we can choose not to declare it. But I dont get the logic behind. Mind to share more. Thanks But once I declared I should continue to declare it if not it will look weird if they compared the figures with last year right Comment by Stevenson Yip on March 24, 2014 at 7:16 pm Hi, if i m eligible for interest on housing loan deduction, and the loan is under joint name 8211 my wife and me and we both opt for ind tax declatation, would like to know whether can I declare the total interest under my name (as my tax blacket is higher) or it must divide by 2 Comment by Faizal Lee on March 24, 2014 at 8:10 pm I always ignore dividend earned from unit trust. I thought that small amount doesn8217t contribute much when I do my e-filing every year. Thank you very much for your article and it has helped me understand better. Comment by ryan on March 25, 2014 at 8:05 am For the B1. if I got fixed allowance from my company and it showed on my EA form. Do I deduct my allowance from my total income before entering the value at B1. Example total income monthly RM 2000 allowance RM200 RM2200. 12 x 2200 26400. 12 x 200 2400. 26400 8211 2400 24000. B1 I enter 24000. Comment by ryan on March 25, 2014 at 8:42 am Also for 2013 tax those that earn below RM8000 will get additional rm2000 deduction I heard Mean I deduct it from my B1 Comment by mazli on March 25, 2014 at 11:32 am pengecualian cukai Max RM5,000.00: Yuran pendidikan (sendiri) : (i) peringkat selain Sarjana dan Doktor Falsafah 8211 bidang undang-undang, perakaunan, kewangan islam, teknikal, vokasional, industri, saintifik atau teknologi (ii) peringkat Sarjana dan Doktor Falsafah 8211 sebarang bidang atau kursus pengajian Comment by Senad on March 25, 2014 at 7:43 pm Hi, are foreigners eligible for these deductions Thank you. I have a question On the category B of my EA form there is 3 section of my total income aa) Gaji kasar, upah atau gaji cuti (termasuk gaji lebih masa) bb) Fi (termasuk fi pengarah), komisen atau bonus cc) Tip kasar, perkuisit penerimaan sagu hati atau elaun-elaun lain ( Perihal pembayaran8230823082308230.) Does it mean I add aabbcc as my pendapatan berkanun pengajian 8220B18221 Comment by Ivy on March 26, 2014 at 5:23 pm F18 Education and medical insurance. A relief not exceeding RM3,000 is available on insurance premiums paid in respect of education or medical benefits for an individual, husband, wife, or child. Que: does it mean that we can claim medical and education insurance relief if we have purchase one for our kids Some said only self insurance Thanks Comment by financetwitter on March 26, 2014 at 10:01 pm I assume there8217re 2 parts to your query 8211 childcare relief and alimony 8230 Note that both are separate items 8230 F13 8211 alimony to former wife) 8230 F15 8211 childcare relief 8211 F13 is quite straight forward, but note that voluntary alimony payment to a former wife under a 8220mutual agreement8221 but without any formal agreement does not qualify as a deduction. 8211 also, payment of alimony to former wife is not allowed in the case where the ex-husband claimed deduction for wife. 8211 F15 is about childcare relief 8230 you (and your ex-husband) can choose (and agree) either 8220100 Eligibility8221 or 822050 Eligibility8221 8230 that8217s why there8217s another 50 column in F15 item 8230 8211 in short, 822050 Eligibility8221 applies where two or more individuals (not husband and wife living together eg. divorced parents and foster parents) are each entitled to claim a deduction for payments made in respect of the same child 8230 the deduction allowed to each of those individuals is 50 of the allowable deduction. Comment by financetwitter on March 26, 2014 at 10:01 pm Comment by financetwitter on April 8, 2014 at 7:54 pm Of course you can, Tan 8230 There8217s no specific rule that restricts people from buying computer online or from another country 8230 However, this relief is only applicable if the computer is for personal usage 8230 If it8217s for business purpose, there8217s 8220NO8221 deduction allowed 8230 If I were caught by IRD and they try to be funny saying the computer must be purchased in Malaysia, I8217ll tell them I tried to get cheapest computer overseas in order to pay 8220more8221 tax to the government 8230 I8217m sure they would love me For F3 (basic supporting equipments for the disabled), i learnt from LHDN folks that ones need to registered as OKU with government (i. e. has a valid OKU name-tag and has the OKU record with government), then only can claim, otherwise no claim is allowed. Kindly advise if this is true because i have a valid wheelchair receipt but no entertained but LHDN. Vielen Dank. Comment by financetwitter on April 11, 2014 at 12:39 pm That8217s correct CH, you have to register with Welfare Dept to obtain an OKU certificate 8230 You should get an OKU card within 14-days 8230 There8217re other benefits for OKU besides tax exemptions 8230 Comment by Iamjacq on April 13, 2014 at 12:46 am Hi there. I have a doubt here. If let say I bought a house last yr 2013, do I still entitle to claim for the housing loan If yes. how much could I claim Can8217t really understand it8217s stated within 2009 -2010 Thanks Comment by shanice on April 13, 2014 at 10:04 pm hi, i have doubt about the tax exempt income (pension). my aunt was a government servant and retired on jan 13 at aged 57.i had make a call to lhdn and officer directed me to select assessment no 4, wife doesn8217t have 8220punca pendapatan8221 for ya 2014. However, i just remember she still have some small amount part time income. in this case can her husband still eligible for the relief of rm3000 Apparently e filing had been submitted. and im so worry for any penalty incurred future Comment by financetwitter on April 16, 2014 at 10:31 am The Sale and Purchase (S038P) Agreement 8220MUST8221 be executed between 10 March 2009 to 31 December 2010. Since you said you bought it last year (2013), I suppose you can8217t backdate your S038P agreement to between 2009-2010, can you So, you can8217t claim anything 8230 Comment by financetwitter on April 16, 2014 at 10:39 am Type of Assessment: Option 822048221 reads 8211 if the individual is married with a spouse who has no income no source of income or has income which is tax exempt. I suppose your aunt8217s part-time job doesn8217t produce hundreds of thousands of dollars in income 8230 I won8217t sweat a bit if I were you 8230 As I mentioned, it8217s a blind-spot, so ignore it as if it never happen, though IRD may scream till foam at mouth about what I suggest 8230 Bro, need some advice. Just say we create a company just to invest in share markets or equities, do we need to pay tax for whatever we earn Thanks. I have been asking around about this and getting many different answers. Thanks ya.. Comment by Lim on April 18, 2014 at 1:38 pm I have read that 8221 Premium on new annuity scheme or additional premium paid on existing annuity scheme commencing payment from 01012010 (amount exceeding RM1,000 can be claimed together with life insurance premium) deleted from year assessment 2012 until year assessment 20218243 And my question is, I have bought an additional new life premium insurance year 2013. And, including my K. w.s. p and life insurance, both are already total up to rm 6000. May I know for the new additional life insurance where I supposed to add in for the additional RM1,000 in the e-filing column Need to check if Mother funeral expensive can we put under parent medical claim Comment by kuri on April 22, 2014 at 4:24 pm Hello, I am a foreigner living in Malaysia and I8217m doing the e-filing for the first time. My husband is my dependant and he does not have any income for 2013. When I fill the form, on page 3 the row8221 Husband Wife Payment of alimony to former wife8221 is already filled in grey with 3,000. Is that correct I8217m still married so this is not alimony. Do I have to delete this I am filing the tax return as 8220diri sendiri pasangan tiada punca pendapatan8221. Thank you Comment by lucky cogito on April 22, 2014 at 9:16 pm if my wife is not living with me here in Malaysia, do I declare myself as single what about my son above 18 and going to university in Canada, can I get the 6000 relief Also in the e-filing all the blocks for reliefs cannot be filled they are all grey, and also the summary at the end of the filing shows all zeros. Comment by Unintended Lost One on April 23, 2014 at 12:57 am I8217m a legal tay payer. However, I never look as submitting forms is important every year because to what I understand, since my payslip had deducted the amount of tax to the govt. it should be fine. Like what is there to declare if I did not owe government anything So I was totally wrong about it and misunderstood. I even misunderstood the EPF and tax part. I do not want to put the blame to my HRAdmins though I8217ve asked some several people that they do have responsible to at least explain the importance of submitting tax forms every year when my salary had reach the certain tax amount. Now after I acknowledged the importance I am actually gathering all my EA forms and other documents to file to the tax. I had checked with Hasil and my Tax No. also existed, and just registered to e-filing. So my questions is that according to my pay I should have start submitting my tax forms since 2009 but I did not do that. If I plan to do it and submit it now, will I go to jail Please advice. Hi there, my employee delay my EA form, I keep requesting for it but I just got their promises. What should I doThanks. Comment by financetwitter on May 6, 2014 at 7:17 pm Hello Lim, Dixon, The list from IRD doesn8217t specifically mention 8220chiropractic8221, so should we conclude that we can8217t claim it at all It depends whether you want to go strictly by the rule of books 8230 Well, there8217re tons of serious illness out there not spelled out in IRD8217s list 8230 But that doesn8217t mean we can8217t include it as tax relief 8230 I always believe that as long as we8217re not making up story and it is indeed a serious illness, we should go ahead and claim it 8230 I believe medical cards do cover chiropractic 8230 And if they cover it, that is enough for me to justify the seriousness, and I8217ll go ahead to claim it 8230 But that8217s me 8230 One of the problems with Malaysians is they8217ve this critical illness 8211 8220Public Obedience8221 8230 They dare not claim something if it8217s not in the book 8230 But IRD doesn8217t specifically said you can8217t claim anything not in their list, did they Should we make a 8220U-Turn8221 if there8217s no sign board that says so Authorities may say you can8217t make a U-Turn since there8217s no signboard that allows it 8230 But we can always argue that since there8217s no sign-board that says U-Turn is 8220NOT8221 allowed, it also means U-Turn is allowed Hope you get the juice 8230 For me I8217ll claim first, and argue or negotiate later 8230 Not a big deal 8230 Comment by Gerald on May 9, 2014 at 6:58 pm Hi, I made a 300.00 monthly claim for non-taxable allowances and it appears in the EA form Category-G for 3600.00 thus not included in the taxable income column. Is this 8220illegal8221. What should I do about this Hello, i think that i saw you visited my weblog so i came to go back the want. I am trying to find issues to enhance my web siteI assume its ok to use a few of your ideas Comment by Arshad on June 11, 2014 at 11:27 am I would like to know if purchase electronic dictionary, can I claim it under book relief Comment by sandeep on March 20, 2015 at 3:19 pm Also. If I have moved from One job to another in the year 2014. Keeping in mind I am an expat and I was working for a company till june 2014 and moved over to another in July. Do i need to submit 2 EA forms My previous employer did not give me an EA form as I did not exit the country for Visa change. Do i need an EA form from both employers Comment by Gilbert on March 20, 2015 at 9:26 pm Hi Financetwitter, I am 55 years old. I8217m a normal worker that do odd jobs from house to house, example plumbing, without any employer. The income is roughly not more than rm1800 a month. How do I declare to the LHDN that I earn this less without any proof or Ea formWill the LHDN believe me Thank you. Comment by patrick on April 4, 2015 at 7:07 pm Dear Author of Financetwitter, I am expat working in KL. appreciate if you can advise for below F16 Life insurance and provident fund Can I claim life insurance premium paid for my dependent wife outside malaysia. F12 Interest on housing loan can I claim intrest paid on housing loan outside malaysia F7 Complete medical examination for self, spouse or child. Can I claim for medical examination if its already covered by my company medical insurance plan Comment by Stella on April 15, 2015 at 5:45 pm Hey there Thanks for your informative article. I have the same question as one of readers above: Under B2, you said that rental income is taxable but hard to detact. If I buy a property under Guaranteed Rental Returns for 6 years, will it be traceable I ask this because both the developer and I would have signed a lease agreement. The thing is, the rental income is not enough to cover the loan instalment so in effect there is negative income until and unless I paid the loan in full. Vielen Dank. Comment by Confusedlah on April 29, 2015 at 12:38 am Hi Financetwitter, firstly, good job on the article as well as taking time to reply to people. I have a question, I was employed until 2011 and paid my taxes until I resigned in 2012 to pursue my studies and was unemployed through 2012-2015. I didn8217t file during that time because I was under the impression that if we didnt get an EA form, we didn8217t have to file. However, just in case, I just filed for 2014 as 0. Do I need to go back and do the same for 2012, 2013 Hope you can advise. Thanks Comment by Ling on April 29, 2015 at 7:41 pm I8217m resident of Malaysia. however I was recruited as a freelance consultant with a Singapore-based company. I have no specification of workplace as i often travel around the SEA regions. There is no EA form issued by the Company as well since I8217m not engaged as full-time employee. The Company remitted my salary to my Malaysia bank account wherever there8217s a payment. Shall i declare the income that i made Also i have plans to buy a house amp Car in Malaysia. Is it mandated to declare the income that earned overseas thru my research, the info from KPMG website stated clearly that salary that earned from working abroad is not taxable. can you advise pls Salary earned from working abroad Is salary earned from working abroad taxed in Malaysia If so, how The salary earned from working abroad would not be taxable unless the income received is incidental to the Malaysian employment.45 Comment by Shannon on May 6, 2015 at 11:14 am Thank you so much on taking time to write about tax, and I8217ve learn a lot from your page I have accidentally hand in a wrong (didn8217t manage to run away from taxes i. e medical issues, laptop, books) can I resubmit the form Cause I realize I need to pay an additional of rm2k but I have all the receipts with me. Will the tax department come after me or check on me for resubmission Your advice is kindly appreciated. Thanks Hi, I8217m currently disabled and got the PWD card due to health problems so am working part time for oversea online recruitment company. Do I still need to fill in my income tax form if i earned 100 for 2014 If yes then what shall I state in the Jenis Penggajian column Comment by kidiaq on March 10, 2016 at 4:25 pm hi, i had a fixed transport allowance every months. Can i deduct it from my annual salary for my efiling
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