Guidance / Awareness session by commissioner FBR Regarding the ongoing Tax Amnesty drive

BUSINESS LATEST

TAAP arranged an awareness session for its members wherein Commissioner (Zone-IV), FBR, Corporate RTO Karachi Mr. Maqsood Jahangir along with Mr. Abdul Qadeer Abbasi, Additional Commissioner (Zone-IV), FBR, Corporate RTO Karachi and Mr. Akhtar Saleem Baloch, Assistant Commissioner (Zone-IV), FBR, Corporate RTO Karachi while briefing members of TAAP at TAAP Head Office Karachi regarding the ongoing Tax Amnesty Drive 2018, he stated that after placing Pakistan in grey list by Financial Action Task Force (FATF) has forced strict monitoring of the capital movement while 143 countries under an international convention are bound to pass on bank accounts and bank transactions of foreigners through an Automatic Exchange of Information System. He said that these two factors have particularly made it impossible to conceal assets and accounts in other countries.

 

In this scenario, the TAS is most appropriate and in time measures as people could register their undeclared assets by paying just 2 to 5 percent taxes. The TAS for foreign assets applies to both liquid and immovable such as bank accounts, shares and mortgaged properties. Tax rates range from 2% to 5% depending nature of assets. Special tax rate is applicable to liquid assets which are repatriated in Pakistan. TAS for domestic assets covers all types of assets and income with tax rates of 2% to 5%. For payment of tax on foreign assets, the SBP has devised a procedure whereby tax in US dollars is deposited into the SBP account.

 

The Commissioner well responded TAAP members’ queries that declaration already filed in June 2018 can be filed additional declaration in July 2018 will be treated for accounting purpose for year 2019, account balance declared as on 10/04/2018 is acceptable. To a question, he said that a property purchased on goodwill may be declared on the value paid, the properties/ assets/ income standing in the name of individual and company, the property outside Karachi can also be declared, any property held in the name/ company can also be declared. He also said that secured receivables expected can also be declared. To a question he replied that in case of foreign income/ assets, the current rate of at date of declaration shall be applicable. He further said that frequently asked question based on apprehensions and reservations regarding TAS have been uploaded on FBR website. Similarly its helpline is also remained operative. Moreover, focal persons have also been in nominated in all Regional Offices to redress the people’s concerns regarding this scheme and may contact further clarification.

 

Vote of thanks and a Memento of TAAP was presented to Mr. Maqsood Jahangir by Mr. Anwar Rasheed, Vice Chairman (South Zone) TAAP.