Complete Income Tax Law

June 12, 2008 Update

 This update covers:-

-S.ROs. 2008: 566 & 567

Follow is a brief:-

1.     On page 445, Part II of the First Schedule has been amended by SRO 566(I)/2008 dated June 11, 2008. The rate of tax collection on imports has been lowered from 5% to 2%.

2.     On pages 492 and 493, clauses (13), (13A) and (13B) of Part II have been omitted by SRO 567(I)/2008 dated June 11, 2008. The omitted clause (13) lowered tax on imports by manufacturers to 1%; clause (13A) lowered tax on import of phosphatic fertilizers to 1%; and clause (13B) lowered tax on import of a number of items to 2%.

3.     On page 494, clauses 13C of Part II has been amended by SRO 567(I)/2008 dated June 11, 2008 to increase the rate of tax on purchase of locally produced edible oil from 1% to 2% if made by manufacturers of cooking oil or vegetable ghee.

4.     On page 495, clause (13G) of Part II of the IInd Schedule has been amended by SRO 567(I)/2008 dated June 11, 2008 by deleting clauses (i) to (iii) and (vii) to (xxiv) to withdraw the concessional tax rate of 1% on import of various items.

5.    On page 496B, clause (13H) has been omitted by SRO 567(I)/2008 dated June 11, 2008. This provided concession of 1% tax on import of various items.

6.    On page 496Y, clause (56) of Part IV of the IInd Schedule has been substituted by SRO 567(I)/2008 dated June 11, 2008. This now exempts tax on import of items falling under Chapters 27, 52.01, 86 and 99. Previously exemption was available to a long list of items.