Exemptions other than Covered in Respective Chapters Chapter- 20
Provided that all such notifications, except those earlier rescinded, shall be deemed to have
been in force with effect from the 1st day of July, 2016 and shall continue to be in force till the
30th day of June, 2018, it not earlier rescinded.
Provided further that all notifications issued on or after 1st day of July, 2016 and placed before
the National Assembly as required shall continue to remain in force till the 30th day of June
2018, if not rescinded by the Federal Government or the National Assembly.- Exemptions and tax provisions in other laws [U/S 5 4 ]
No provision in any other law providing for —
(a) an exemption from any tax imposed under this Ordinance;
(b) a reduction in the rate of tax imposed under this Ordinance;
(c) a reduction in tax liability of any person under this Ordinance; or
(d) an exemption from the operation of any provision of this Ordinance,
shall have legal effect unless also provided for in this Ordinance.- Limitation of exemption [U/S 55]
(a) Where any income is exempt from tax under this Ordinance, the exemption shall be, in the
absence of a specific provision to the contrary contained in this Ordinance, limited to the
original recipient of that income and shall not extend to any person receiving any payment
wholly or in part out of that income.(1) EXEMPTIONS (OTHER THAN SPECIFIED IN RESPECTIVE CHAPTERS)
FROM TOTAL INCOME [PART I OF 2ND SCHEDULE]- NIT, ICP, Mutual Funds, collective investment schemes, REIT, Venture Capital, Provident,
Gratuity and Superannuation Funds, Benevolent Funds, group insurance schemes, service
funds, EOBI, certain Army institutes and funds, pension fund, Voluntary pension balance. Sh.
Sultan Trust and Sindh Province pension fund [U/c 57]
(1) Any income from voluntary contributions, house property and investments in securities of the
Federal Government derived by the following, namely:-
(i) National Investment (Unit) Trust of Pakistan established by the National Investment Trust
Limited, if not less than ninety per cent of its Units at the end of that year are held by the
public and not less than ninety per cent of its come of the year is distributed among the
Unit-holders;
(ii) Any Mutual Fund approved by the Securities and Exchanges commission of Pakistan and
set up by the Investment Corporation of Pakistan, if not less than ninety per cent of its
Certificates at the end of that year are held by the public and not less than ninety per cent
of its income of that year is distributed among the Certificate holders;
(2) Any income other than capital gain on stock and shares of public company, PTC vouchers,
modaraba certificates, or any instrument of redeemable capital and derivative products held for
less than 12 months derived by any Mutual Fund, investment company, or a collective
investment scheme REIT Scheme or Private Equity and Venture Capital Fund or the National
Investment (Unit) Trust of Pakistan established by the National Investment Trust Limited from
any instrument of redeemable capital as defined in the Companies Act, 2017, if not less than
90% of its income of that year is distributed amongst the Unit- holders.
(3) Any income of the following funds and institution, namely:-
(i) a provident fund to which the Provident Funds Act, 1925, applies;
(ii) trustees on behalf of a recognized provident fund or an approved superannuation fund or
an approved gratuity fund;
(iii) a benevolent fund or group insurance scheme approved by the Board for the purposes of
this clause;
(iv) Service Fund;