Income Tax Card 2019-20

Suite 021, Block B Abu Dhabi Towers, F-11 Markaz Islamabad-Pakistan

Email: info@thezmk.com, tax@thezmk.com Web: www.thezmk.com,

Tel; +92-51-2111906-7

Copyright@2019-20

Prepared by: Hamid Ali Janjua

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Direct Taxes Rates

Tax Rates for Salary Income

S. No Income Group Rate

1 up to Rs. 600,000 Nil

2 Rs. 600,001 to Rs. 1,200,000 5% exceeding 600,000

3 Rs. 1,200,001 to Rs. 1,800,000 Rs. 30,000 + 10% exceeding 1,200,000

4 Rs. 1,800,001 to Rs. 2,500,000 Rs. 90,000 + 15% exceeding 1,800,000

5 Rs. 2,500,001 to Rs. 3,500,000 Rs. 195,000 + 17.5% exceeding 2,500,000

6 Rs. 3,500,001 to Rs. 5,000,000 Rs. 370,000 + 20% exceeding 3,500,000

7 Rs. 5,000,001 to Rs. 8,000,000 Rs. 670,000 + 22.5% exceeding 5,000,000

8 Rs. 8,000,001 to Rs. 12,000,000 Rs. 1,345,000 + 25% exceeding 8,000,000

9 Rs. 12,000,001 to Rs. 30,000,000 Rs. 2,345,000 + 27.5% exceeding 12,000,000

10 Rs. 30,000,001 to Rs. 50,000,000 Rs. 7,295,000 + 30% exceeding 30,000,000

11 Rs. 50,000,001 to Rs. 75,000,000 Rs. 13,295,000 + 32.5% exceeding 50,000,000

12 Rs. 75,000,000 and above Rs. 21,420,000 + 35% exceeding 75,000,000

*Resident individual 120 days or more or accumulated 365 days in previous 4 years
**If salary income is more than 75% of total income than this slab will be applicable
Note: Payment of salary exceeding Rs. 15,000 should be by cross cheque or via direct online transfer (Sec
21(m)
Due date of return filing for individual & AOP is September 30

Tax Rates for Business Individual & AOP

S. No Income Group Rate

1 up to Rs. 400,000 Nil

2 Rs. 400,001 to Rs. 600,000 5% exceeding 400,000

3 Rs. 600,001 to Rs. 1,200,000 Rs. 10,000 + 10% exceeding 600,000

4 Rs. 1,200,001 to Rs. 2,400,000 Rs. 70,000 + 15% exceeding 1,200,000

5 Rs. 2,400,001 to Rs. 3,000,000 Rs. 250,000 + 20% exceeding 2,400,000

6 Rs. 3,000,001 to Rs. 4,000,000 Rs. 370,000 + 25% exceeding 3,000,000

7 Rs. 4,000,001 to Rs. 6,000,000 Rs. 620,000 + 30% exceeding 4,000,000

8 Rs. 6,000,001 and above Rs. 1,220,000 + 35% exceeding 6,000,000

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Rental Income Individual & AOP Sec-15

S. No Income Group Rate of Tax

1 Up to Rs. 200,000 0%

2 Rs. 200,001 to Rs. 600,000 5% exceeding 200,000

3 Rs. 600,001 to Rs. 1,000,000 Rs. 20,000 + 10% exceeding 600,000

4 Rs. 1,000,001 to Rs. 2,000,000 Rs. 60,000 + 15% exceeding 1,000,000

5 Rs. 2,000,001 to Rs. 4,000,000 Rs. 210,000 + 20% exceeding 2,000,000

6 Rs. 4,000,001 to Rs. 6,000,000 Rs. 610,000 + 25% exceeding 4,000,000

7 Rs. 6,000,001 to Rs. 8,000,000 Rs. 1,110,000 + 30% exceeding 6,000,000

8 Rs. 8,000,001 Above Rs. 1,710,000 + 35% exceeding 8,000,000

Tax Rates for Companies –Rental Income Sec-155

Rate of tax deduction for companies = 15% of Gross rent amount.

Tax Rates for Companies Division II of 1st Sch

Type of Companies Rates

Small Company 23%

Banking Company 35%

All other Companies 29%

Alternate Corporate Tax (ACT) Sec 113C 17% of the accounting income

Super Tax

Banking company *4%

Other than BC where income > 500 M 0%

*Provided that in case of a banking company, super tax for tax year 2019 shall be payable, on estimate basis,
by 30 day of June, 2018

Full Time Teacher Reduce Tax Liability

Reduction in tax liability by 25% of tax payable in respect of salary income of fulltime teacher or a researcher,
employed in a non-profit education or research institution duly recognized by HEC, Board of Education or a
University recognized by the HEC including Government training and research institution. (Clause(1AA), part-
III of Second schedule).

Provided that this clause shall not apply to teachers of medical profession who derive income from private
medical practise or who receive share of consideration received from patients.

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Rate of tax on Dividend Income Sec-5

Rate of
Nature of Dividend Income Final
Tax

In case of dividend paid by Independent Power Purchasers where such dividend is a passed
through item under an Implementation Agreement or Power Purchase Agreement or Energy
7.5%
Purchase Agreement and is required to be re-imbursed by Central Power Purchasing Agency
(CPPA-G) or its predecessor or successor entity.

In case of a person receiving dividend from a company where no tax is payable by such company,
due to exemption of income or carry forward of business losses under Part VIII of Chapter III or 25%
claim of tax credits under Part X of Chapter III.

In case of mutual funds and cases other than those mentioned above 15%
*As per Tenth schedule tax rate will be increased by 100% in case the person not appearing in Active Tax
Payer List

Tax Rate for Profit on Debt Sec-7B

Particulars *Rate

Profit on debt (Amount up to Rs. 5,000,000) 15%

Profit on debt (5,000,001 to Rs. 25,000,000) 17.5%

Profit on debt (Amount exceeds Rs. 25,000,000) 20%

*As per Tenth schedule tax rate will be increased by 100% in case the person not appearing in Active Tax
Payer List

** This section does not apply if amount>36M this will treat NTR

Return on Investment Sec-5AA

Return on Investment in Sukuks received from special purpose vehicle

Sr. Sukuk holder *Rate

1. Company 25%

2 Individual and AOP if return on investment < 1 M 10%

3 Individual and AOP if return on investment > 1 M 12.5%

*As per Tenth schedule tax rate will be increased by 100% in case the person not appearing in Active Tax
Payer List

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Certain Payment to Non-Resident Sec-6

Particulars Rate

Royalty and Fee for Technical services 15%

Fee for offshore digital services 5%

Payment to Non-Resident Sec-7

Particulars *Rate

In the case of shipping (gross amount received and receivable) (Sec 7) 8%

In the case of air transport (gross amount received and receivable) (Sec 7) 3%
*As per Tenth schedule tax rate will be increased by 100% in case the person not appearing in Active Tax
Payer List

Capital Gains on Disposal of Securities Sec-37A

Securities
Securities
S. acquired
Holding period acquired before
No after
01-07-2016
01-07-2016
1 Less than 12 months. 15 %

2 12 months or more but less than 24 months. 12.5 % 15 %

24 months or more but security was acquired on or after 1st
3 7.5 % 15 %
July, 2013.
4 Security was acquired before 1st July, 2013 0% 0%
Future commodity contracts entered into by the members of
5 5% 5%
Pakistan Mercantile Exchange
*As per Tenth schedule tax rate will be increased by 100% in case the person not appearing in Active Tax
Payer List

**A mutual fund or a collective investment scheme or a REIT scheme shall deduct Capital Gains Tax and on
Redemption of securities, capital gain tax shall be deducted as specified below-

Category *Rate

Individual and association of persons 10% for stock funds

Individual and association of persons 10% for others

Company 10% for stock funds

Company 25% for others

Provided further that in case of a stock fund if dividend receipts of the fund are less than capital gains, then
the rate of tax deduction shall be 12.5%. no tax if holding period > 4 year

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Capital Gains Sec-37

Taxable Gain (Open plot);

S. Taxable
Period
No. Gain
1 Where the holding period of open plot does not exceed one year 100%

2 Where the holding period of open plot exceeds one year but does not exceed eight years 75%

3 Where the holding period of open plot exceeds eight year 0%

Taxable Gain (Constructed);

S. Rate of
Period
No. tax
1 Where the holding period of property does not exceed one year 100%

2 Where the holding period of property exceeds one year but does not exceed four years 75%

3 Where the holding period of property exceeds four year 0%

Tax on capital gain

S. No. Particulars *Rate

1. Gain is less than 5 Million 5%

2. 5 Million to 10 Million 10%

3 10 Million to 15 Million 15%

4 15 Million and above 20%

Tax on Builders Sec-7C

(B)
(A) Hyderabad, Sukkur, Multan, (C)
Karachi, Lahore and Faisalabad, Urban Areas not
Islamabad Rawalpindi, Gujranwala, specified in A and B
Sahiwal, Peshawar,
Mardan, Abbotabad, Quetta
For Commercial Buildings
Rs. 210/ Sq ft Rs. 210/ Sq ft Rs. 210/ Sq ft

For Residential buildings

Area in Sq. Ft Rate / Sq. Ft Area in Sq. Ft Rate / Sq. Ft Area in Sq. Ft Rate / Sq. Ft

Up to 750 Rs. 20 Up to 750 Rs. 15 Up to 750 Rs. 10

751 to 1500 Rs. 40 751 to 1500 Rs. 35 751 to 1500 Rs. 25

1501 or more Rs. 70 1501 or more Rs. 55 1501 or more Rs. 35

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Tax on Developers Sec-7D

(B)
(A) Hyderabad, Sukkur, Multan, (C)
Karachi, Lahore and Faisalabad, Rawalpindi, Urban Areas not
Islamabad Gujranwala, Sahiwal, Peshawar, specified in A and B
Mardan, Abbottabad, Quetta
(For commercial buildings)

Rs. 210/ Sq. Yd Rs. 210/ Sq. Yd Rs. 210/ Sq. Yd

(For residential buildings)

Area in Sq. Yd Rate/Sq. Yd Area in Sq. Yd Rate/ Sq. Yd Area in Sq. Yd Rate/ Sq. Yd

Up to 120 Rs. 20 Up to 120 Rs. 15 Up to 120 Rs. 10

121 to 200 Rs. 40 121 to 200 Rs. 35 121 to 200 Rs. 25

201 and More Rs. 70 201 and More Rs. 55 201 and more Rs. 35

Minimum Tax Sec-113

Minimum Tax as
S.
Person(s) percentage of the person’s
No.
turnover for the year

a) Oil marketing companies, Oil refineries, Sui Southern Gas

Company Limited and Sui Northern Gas Pipelines Limited (for the
cases where annual turnover exceeds rupees one billion.) :
1. (b) Pakistan International Airlines Corporation; and 0.75%
(c) Poultry industry including poultry breeding, broiler
production, egg production and poultry feed production.
(d) Dealers of distributors and fertilizers.

(a) Distributors of pharmaceutical products and cigarettes;

(b) Petroleum agents and distributors who are registered under
2. the Sales Tax Act, 1990; 0.25%
(c) Rice mills and dealers; and
(d) Flour mills.

3. Motorcycle dealers registered under the Sales Tax Act, 1990 0.3%

4. In all other cases. 1.5%

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Imports Sec-148 *

S.
Persons *Rate
No.

(i) Industrial undertaking importing remeltable steel (PCT Heading

72.04) and directly reduced iron for its own use;
(ii) Persons importing potassic fertilizers in pursuance of Economic
Coordination Committee of the cabinet’s decision No.ECC-
155/12/2004 dated the 9th December, 2004;
1% of the import value as
(iii) Persons importing urea;
increased by customs-duty,
1 (iv) Manufacturers covered under Notification No. S.R.O.
sales tax and federal excise
1125(I)/2011 dated the 31st December, 2011 and importing items
duty.
covered under S.R.O. 1125(I)/2011 dated the 31st December,
2011;
(v) Persons importing Gold;
(vi) Persons importing Cotton; and
(vii) Persons importing LNG

2% of the import value as

increased by customs-duty,
2 Persons importing pulses
sales tax and federal excise
duty
Commercial importers covered under Notification No. S.R.O. 3% of the import value as
1125(I)/2011 dated the 31st December, 2011 and importing items increased by customs-duty,
3
covered under S.R.O. 1125(I)/2011 dated the 31st December, sales tax and federal excise
2011. duty

4 Persons importing coal 4%

Persons importing finished pharmaceutical products that are not

5 manufactured otherwise in Pakistan, as certified by the Drug 4%
Regulatory Authority of Pakistan

Persons importing finished pharmaceutical products that are not

6 manufactured otherwise in Pakistan, as certified by the Drug 4%
Regulatory Authority of Pakistan

7 Ship breakers on import of ships 4.5%

8 Industrial undertakings not covered under S. Nos. 1 to 6 5.5%

9 Persons not covered under S. Nos. 1 to 8 6%

*Extract
**As per Tenth schedule tax rate will be increased by 100% in case the person not appearing in Active Tax
Payer List

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Withholding Taxes Regime

Rate of tax on Dividend Income Sec-150

Rate of With-
Nature of Dividend Income
holding Tax

In case of dividend paid by Independent Power Purchasers where such dividend is a

passed through item under an Implementation Agreement or Power Purchase
7.5%
Agreement or Energy Purchase Agreement and is required to be re-imbursed by Central
Power Purchasing Agency (CPPA-G) or its predecessor or successor entity.

Other than mentioned above 15%

*As per Tenth schedule tax rate will be increased by 100% in case the person not appearing in Active Tax
Payer List

Return on Investment in Sukuk Sec-150A

Sr. Sukuk holder *Rate

1 Individual and AOP if return on investment < 1 M 10%

2 Individual and AOP if return on investment > 1 M 12.5%

3 Company 15%
*As per Tenth schedule tax

Withholding rate Profit on Debt Sec-151

Particulars *Rate

If amount is less than 500,000 10%

Greater than 500,000 15%

*As per Tenth schedule tax rate will be increased by 100% in case the person not appearing in Active Tax
Payer List

rate will be increased by 100% in case the person not appearing in Active Tax Payer List

Payment to Non-Resident Sec-152

Particulars Rate
Every person shall deduct tax while making payments For Royalties and fee for technical
15%
payments to non-resident
Tax will be deducted from A non-resident person on the execution of; a) Contract or sub-
contract under a construction, assembly or installation project in Pakistan including a
contract for the supply of supervisory activities relating to such project. b) Any other 7*%
contract for construction or services rendered relating there to. c) Contract for
advertisement services rendered by TV Satellite Channels.

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on any payment of insurance premium or re-insurance to a non-resident person 5%

Tax will be deducted on Payments for advertisement services from non-resident person
10%*
relaying from outside Pakistan.
Tax shall be deducted on remittance outside Pakistan, of fee for off-shore digital services,
chargeable to tax u/s 6, to a non-resident person on behalf of any resident or a 5*%
permanent establishment of a non-resident in Pakistan
Tax deduction on payment to non-resident, not otherwise specified. 20%
Payment to a Permanent Establishment of Non- Resident. For:
a) Sale of goods
4*%
i. In case of a company
4.5*%
ii. Other than company cases
b) Rendering /providing of services.
i. in the case of Transport service.
2%
ii. in case of a company:
8%
iii. Other than company cases:
10%
c) Execution of a contract other than a contract for sale of goods or
providing/ rendering of services.
10%
i. In case of sports persons
7%
ii. Other than sports persons
Tax to be deducted from Non-resident while making payments for Foreign Produced
20*%
Commercial for advertisement on any Television Channel or any other Media.gt
*As per Tenth schedule tax rate will be increased by 100% in case the person not appearing in Active Tax
Payer List

Sale of Goods and Services Sec 153

Particulars *Rate

Payment for goods Sec-153(1)(a)

Sale of Rice, Cotton seed and edible oil 1.5%

Sale of fast-moving consumer goods by
2%
• Company
2.5%
• Individuals & AOP
Sale of any other goods by
4%
• Company
4.5%
• Individuals & AOP
Payment for Services Sec-153(1)(b)
i. Transport Services, freight forwarding services, air cargo services, courier services,
manpower outsourcing services, hotel services, security guard services, software
development services, IT services and IT enabled services as defined in clause (133) of 3%
Part I of the Second Schedule, tracking services, advertising services (other than by
print or electronic media), share registrar services, engineering services, car rental
services, building maintenance services, services rendered by Pakistan Stock Exchange
Limited and Pakistan Mercantile Exchange Limited inspection, certification, testing and
training services.
ii. In case of rendering or providing of services other than as mentioned at (i) above;
a) In case of company 8%
b) In any other case 10%
c) In respect of persons making payment to electronic & print media for advertising 1.5%
services

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Payment for execution of Contracts Sec-153(1)(c)

i. In case of sportsperson 10%
ii. In the case of Companies: 7%
iii. In the case of persons other than companies 7.5%
Every Exporter or Export House shall deduct Tax on payments in respect of services of
1%
stitching, dying, printing etc. received/provided. Sec-153(2)
Tax to be deducted on payment of royalty to resident person Sec-153B 15%
*As per Tenth schedule tax rate will be increased by 100% in case the person not appearing in Active Tax
Payer List

Note:
• U/S 153(1)(a) no tax will be deducted if payment is less than Rs.75,000 in aggregate in a financial year
• U/S 153(1)(b) no tax will be deducted if payment is less than Rs. 30,000 in aggregate in a financial year

Export of Goods Sec-154

Particulars Rates
On realization of proceeds on account of commission to;
i. Non-export indenting agent 5%
ii. Export indenting agent / export buying house

Prizes and Winnings Sec-156

Particulars *Rate

Payments made for prize on quiz bond and cross word 15%
Payments on winning from a raffle, lottery, prize on winning a quiz, prize, offered by
20%
companies for promotion of sale crossword puzzles
*As per Tenth schedule tax rate will be increased by 100% in case the person not appearing in Active Tax
Payer List

Petroleum Products Sec-156A

Particulars *Rate

Payment to petrol pump operator on account of sale of petroleum products 12%

*As per Tenth schedule tax rate will be increased by 100% in case the person not appearing in Active Tax
Payer List

CNG Station Sec - 234A

Particulars *Rate

On the amount of gas bill of a Compressed Natural Gas Station 4%

*As per Tenth schedule tax rate will be increased by 100% in case the person not appearing in Active Tax
Payer List

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Brokerage & Commission Sec-233

Particulars *Rate

Advertising agent 10%

Life insurance agents (amount < PKR 0.5 Million) 8%

Others 12%
*As per Tenth schedule tax rate will be increased by 100% in case the person not appearing in Active Tax
Payer List

Tax collected by NCCPL Sec-233AA

Particulars Rate

Advance Tax on margin financing through in share business. 10% of profit, mark-up

Tax on Motor Vehicle Sec-234

Particulars *Rate
Rs. 2.5 per kg of the
Goods transport Vehicles
laden weight
Good transport vehicles with laden weight of 8120 Kg or more after a period ten
Rs. 1200 per annum
years from the date of first registration of vehicle in Pakistan
*As per Tenth schedule tax rate will be increased by 100% in case the person not appearing in Active Tax
Payer List

In case of passenger transport vehicles plying for hire with registered seating capacity of;

Rs. Per seat per

S. No Capacity
annum
1 4 to 9 persons 50

2 10 to 19 persons 100

3 20 and above 300

In case of other private motor vehicles (being a broad definition, includes car, jeep, ,van, sport utility vehicle,
pick-up trucks) shall be as set out in the following Table
S. No. Engine Capacity *Rate

1. Up to 1000cc Rs. 800

2. 1001cc to 1199cc Rs. 1,500

3. 1200cc to 1299cc Rs. 1,750

4. 1300cc to 1499cc Rs. 2,500

5. 1500cc to 1599cc Rs. 3,750

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6. 1600cc to 1999cc Rs. 4,500

7. Above 2000cc Rs. 10,000

*As per Tenth schedule tax rate will be increased by 100% in case the person not appearing in Active Tax
Payer List

Where motor vehicle tax is collected in lump sum, rates are as follows;

S. No. Engine Capacity *Rate

1. Up to 1000cc Rs. 10,000

2. 1001cc to 1199cc Rs. 18,000

3. 1200cc to 1299cc Rs. 20,000

4. 1300cc to 1499cc Rs. 30,000

5. 1500cc to 1599cc Rs. 45,000

6. 1600cc to 1999cc Rs. 60,000

7. Above 2000cc Rs. 120,000

*As per Tenth schedule tax rate will be increased by 100% in case the person not appearing in Active Tax
Payer List

Electricity Consumption Sec-235

Monthly bill (Rs.) Tax amount (Rs.)

Up to Rs. 400 Nil

Rs. 401 to 600 80

Rs. 601 to 800 100

Rs. 801 to 1,000 160

Rs. 1,001 to 1,500 300

Rs. 1,501 to 3,000 350

Rs. 3,001 to 4,500 450

Rs. 4,501 to 6,000 500

Rs. 6,000 to 10,000 650

Rs. 10,001 to 15,000 1,000

Rs. 15,001 to 20,000 1,500

Commercial (where the amount of monthly bill exceeds Rs. 20,000) 12%

Industrial (where the amount of monthly bill exceeds Rs. 20,000) 5%

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Domestic Electricity Consumption Sec-235A

Monthly Bill amount Rate

Rs. 75,000 or more 7.5% of the amount of monthly bill

Less than Rs. 75,000 0% of the amount of monthly bill

Telephone Users Sec-236

Description Rate
Subscriber of internet, mobile phone and prepaid internet and telephone 12.5% of bill amount or sale
card price
Telephone subscriber other than mobile subscriber and amount >1,000 10% of bill exceeding 1,000

Cash withdrawal from Bank Sec -231A

Particulars *Rate
Payment for cash withdrawal, or sum total of payment for cash withdrawal, in a day, exceeding
0.6%
Rs, 50,000/- for persons not appearing in the Active Taxpayers’ List

Cash withdrawal from Bank Sec -231AA

Particulars *Rate
Sale against cash of any instrument including demand draft, payment order, CDR, STDR, RTC, any
other instrument of bearer nature or on receipt of cash on cancellation of any of these instruments 0.6%
where sum total of transactions exceeds Rs, 25,000 in a day,
Transfer of any sum against cash through online transfer, telegraphic transfer mail transfer or any
0.6%
other mode of electronic transfer, where sum total of transactions exceeds Rs. 25,000/-
Rate for persons not appearing in the Active Taxpayers’ List

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Purchase/Registration/transfer of Vehicles 231B

At the time of first registration

S. No. Engine Capacity *Rate

1 Up to 850cc Rs. 7,500

2 851 to 1000cc Rs. 15,000

3 1001 to 1300cc Rs. 25,000

4 1301cc to 1600cc Rs. 50,000

5 1600cc to 1800cc Rs. 75,000

6 1801cc to 2000cc Rs. 100,000

7 2001cc to 2500cc Rs. 150,000

8 2501cc to 3000cc Rs. 200,000

9 Above 3000cc Rs. 250,000

*As per Tenth schedule tax rate will be increased by 100% in case the person not appearing in Active Tax
Payer List

Rates have been revised at time of transfer of registration / owner ship. Revised rates are as follows;

S. No. Engine Capacity *Rate

1 Up to 850cc -

2 851 to 1000cc Rs.5,000

3 1001 to 1300cc Rs.7,500

4 1301cc to 1600cc Rs.12,500

5 1600cc to 1800cc Rs.18,750

6 1801cc to 2000cc Rs.25,000

7 2001cc to 2500cc Rs.37,500

8 2501cc to 3000cc Rs.50,000

9 Above 3000cc Rs.62,500

*As per Tenth schedule tax rate will be increased by 100% in case the person not appearing in Active Tax
Payer List

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Advance Tax on Functions & Gathering Sec-236 D

Particulars Rate

For Islamabad, Lahore, Multan, Faisalabad, Rawalpindi, Gujranwala, Bahawalpur, 5% of the bill ad
Sargodha, Sahiwal, Shekhurpura, Dera Ghazi Khan, Karachi, Hyderabad, Sukkur, valorem or Rs. 20,000
Thatta, Larkana, Mirpur Khas, Nawabshah, Peshawar, Mardan, Abbottabad, per function, whichever
Kohat, Dera Ismail Khan, Quetta, Sibi, Loralai, Khuzdar, Dera Murad Jamali and is higher
Turbat.
5% of the bill ad
valorem or Rs. 10,000
For cities other than those mentioned above.
per function, whichever
is higher
For the function of marriage in a marriage hall, marquee or a community place with the total function area
less than 500 square yards or, in case of a multi storied premises, with the largest total function area on one
floor less than 500 square yards, shall be 5% of the bill ad valorem or Rs. 5.000 per function whichever is
higher.

Advance Tax Sec-236 F

Advance tax cable television operator

License Category as
Tax on License
Sr. provided in PEMRA Tax on Renewal
Fee
Rules
1. H 7,500 10,000

2 H-I 10,000 15,000

3 H-II 25,000 30,000

4 R 5,000 12,000

5 B 5,000 40,000

6 B-1 30,000 35,000

7 B-2 40,000 45,000

8 B-3 50,000 75,000

9 B-4 75,000 100,000

10 B-5 87,500 150,000

11 B-6 175,000 200,000

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Dealers, Commission Agents & Arhatis Sec-236 J)

Amount of tax
Group
(per annum)
Group or Class A; Rs. 100,000

Group or Class B; Rs. 75,000

Group or Class C; Rs. 50,000

Any other category Rs. 50,000

Other Advance tax rates

Particulars *Rate

On sale of any Property or goods by auction (Sec-236A) 10%*

Leasing of Motor vehicle to persons not appearing in the Active Payers’ List (Sec-
4%
231B(1A))
On Purchase of Air Tickets – domestic (Sec-236B)
5%
Except (routes of baluchistan coastal belt, AJK, FATA and Gilgit-baltistan and chitral)
Advance Tax on purchase of international air ticket -Sec-236L
Rs. 16,000
• First/ Executive Class (per person)
Rs. 12,000
• Other excluding economy (per person)
sale of instruments, including demand draft , pay order, special deposit receipt, cash
deposit receipt, short term deposit receipt, call deposit receipt & rupee travelers’ cheque;
0.6%
where payment for sum total of all transactions exceeds Rs, 50,000 in a day (Person not
in ATL (Sec-236P)
Payment to resident for use of machinery & equipment (sec-236Q)

i. Payments for the right to use Industrial, Commercial, and scientific , equipment 10%
ii. payments on account of rent of Machinery, Industrial, and Commercial and
Scientific equipment
Education related expenses remitted abroad (sec-236R) 5%
Tax on Sale or transfer of immovable Property (Sec-236C)
1%*
Exempt if holding period > 5 years
Advance Tax on Distributors, Dealers, Wholesalers & Retailers-fertilizers (Sec-236G) 0.7%*

Advance Tax on Distributors other than-fertilizers (Sec-236G) 0.1%*

Sale to retailers – electronics (Sec 236H) 1%*

Sale to retailers – others (Sec 236H) 0.5%*

Tax has to be collected on ex-depot sale price of such petroleum products (Sec 236HA) 0.5%*
Every Educational institution has to collect advance Tax on the amount of fee (inclusive of
tuition fee & all charges received by the educational institution, by whatever name called,
5%
excluding the amount which is refundable) exceeding Rs. 200,000 per annum (other than
an amount paid by way of scholarship) (sec-236I)
1%*of fair
Tax on Purchase or transfer of Immovable Property (236K) market
value

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Advance Tax on Insurance Premium (Sec-236U)

• General insurance premium 4%
• Life insurance premium if exceeding Rs 0.3 million per annum 1%
Applicable on person whose name is not appearing in the active taxpayers' list
Advance Tax on extraction of Minerals (Sec-236V)
• On the value of minerals 5%
Applicable on person whose name is not appearing in the active taxpayers' list
Tax to be collected on the gross amount remitted abroad through credit or debit or pre-
1%*
paid cards (Sec-236Y)
Tax to be collected on the purchase value of tobacco from every person (Sec 236X) 5%
*As per Tenth schedule tax rate will be increased by 100% in case the person not appearing in Active Tax
Payer List

Payment of expenses

As per sec-21(l) any expenditure exceeding Rs.10,000 should be paid through cross cheque.

Tax Card 2020