Tax Book 2023

Deduction / Payment of Tax Chapter- 23

vehicle or u/s 148 in the case of imported vehicle.

2. No collection of advance tax under sub section 231B(1) and 231B((2) shall be made after five years from the date of first registration in Pakistan.


3. Rate of tax to be collected shall be reduced by 10% each year from the date of first registration in Pakistan.


4. Provisions of section 231 B shall not apply to the following persons;
   (i) The Federal Government;
   (ii) A Provincial Government;
   (iii) A local Government;
   (iv) A foreign diplomat; or
   (v) A diplomatic mission in Pakistan..


5. 'Date of first registration' means -
   (i) The date of issuance of broad arrow number in case a vehicle is acquired from the Armed Forces of Pakistan;
   (ii) The date of registration by the Ministry of Foreign Affairs in case the vehicle is acquired from a foreign diplomat or a diplomat mission in Pakistan;
   (iii) The last day of the year of manufacture in case of acquisition of an unregistered vehicle from the Federal or Provincial Government; and
   (iv) In all other cases the date of first registration by the Excise and Taxation Department.


6. 'Motor vehicle' includes car, jeep, van, sports utility vehicle, pick-up trucks for private use, caravan automobile, limousine, wagon and any other automobile
   used for private purpose.

233 Brokerage and commission

Federal Government,

Provincial Government,

Local authority, Company

AOP constituted by or

under any law.

Brokera

ge &

Commis

sion (^) ATL
Non-
ATL
At the time of
payment
a. In case of advertising agent
b. Life insurance agents where Commission
received is less than Rs. 0.5 million p.a.
c. Any other agent
10%
8%
12%
20 %
16%
24 %
Nil
Minimum Tax
IMPORTANT NOTES
IMPORTANT NOTES:
If the agent retains commission or brokerage from any amount remitted by him to the principal, it shall be deemed that the commission has been paid to him by the
principal and the principal shall collect tax from the agent.
NON APPLICABILITY OF PROVISIONS REGARDING TAX AT SOURCE U/S 233 UNDER VARIOUS CLAUSES OF PART IV OF 2ND SCHEDULE TO THE ITO,
2001:
U/C 38 Special purposes vehicle (SPV)for the purposes of securitization.