AIRLINK 74.85 Increased By ▲ 0.56 (0.75%)
BOP 4.98 Increased By ▲ 0.03 (0.61%)
CNERGY 4.49 Increased By ▲ 0.12 (2.75%)
DFML 40.00 Increased By ▲ 1.20 (3.09%)
DGKC 86.35 Increased By ▲ 1.53 (1.8%)
FCCL 21.36 Increased By ▲ 0.15 (0.71%)
FFBL 33.85 Decreased By ▼ -0.27 (-0.79%)
FFL 9.72 Increased By ▲ 0.02 (0.21%)
GGL 10.45 Increased By ▲ 0.03 (0.29%)
HBL 112.74 Decreased By ▼ -0.26 (-0.23%)
HUBC 137.44 Increased By ▲ 1.24 (0.91%)
HUMNL 11.42 Decreased By ▼ -0.48 (-4.03%)
KEL 5.28 Increased By ▲ 0.57 (12.1%)
KOSM 4.63 Increased By ▲ 0.19 (4.28%)
MLCF 37.80 Increased By ▲ 0.15 (0.4%)
OGDC 139.50 Increased By ▲ 3.30 (2.42%)
PAEL 25.61 Increased By ▲ 0.51 (2.03%)
PIAA 20.68 Increased By ▲ 1.44 (7.48%)
PIBTL 6.80 Increased By ▲ 0.09 (1.34%)
PPL 122.20 Increased By ▲ 0.10 (0.08%)
PRL 26.58 Decreased By ▼ -0.07 (-0.26%)
PTC 14.05 Increased By ▲ 0.12 (0.86%)
SEARL 58.98 Increased By ▲ 1.76 (3.08%)
SNGP 68.95 Increased By ▲ 1.35 (2%)
SSGC 10.30 Increased By ▲ 0.05 (0.49%)
TELE 8.38 Decreased By ▼ -0.02 (-0.24%)
TPLP 11.06 Decreased By ▼ -0.07 (-0.63%)
TRG 64.19 Increased By ▲ 1.38 (2.2%)
UNITY 26.55 Increased By ▲ 0.05 (0.19%)
WTL 1.45 Increased By ▲ 0.10 (7.41%)
BR100 7,841 Increased By 30.9 (0.4%)
BR30 25,465 Increased By 315.4 (1.25%)
KSE100 75,114 Increased By 157.8 (0.21%)
KSE30 24,114 Increased By 30.8 (0.13%)

Further our Technical Release 12/2023 dated November 28, 2023 wherein we have given our comments on the Windfall Income Tax on Banking Companies proposed to be levied by SRO 1588(I)/2023 dated November 21, 2023.

It is informed that Islamabad High Court as a result of the Writ Petition No 3926/2023 in the case of Askari Bank Limited and others has suspended the operation of the aforesaid SRO till next date of hearing.

It is good to note that the Honourable High Court has accepted both the matters raised in our Technical Release on windfall income on banking companies as a prima facie case for suspending the operation of the SRO till the next hearing.

Firstly, it has been accepted that the calculation proposed is not in line with the intent and purpose of substantive provision contained in Section 99D of the Income Tax Ordinance, 2001.

Secondly, it has also been accepted that there is no possibility of implementation of law before the said provisions are laid before the National Assembly as laid down in the substantive provisions of subsection (3) of Section 99D of the Ordinance.

The Federal Government is requested to withdraw SRO 1588(1)/2023 dated November 21, 2023 and issue a fresh notification in line with the provisions of Section 99D of the Income Tax Ordinance, 2001.

Copyright Business Recorder, 2023

Comments

Comments are closed.

Zaya Zaya Dec 02, 2023 05:37am
This is against the Islamic Banking Profit Share Rule, as it reduces the investors earning as they rely on profits instead of interest and if the cash is reduced then the payout to investors is reduced too; and Pakistan expects FID to attract investors only to lose money.
thumb_up Recommended (0)