Tax Book 2023

Final Tax Regime and Minimum Tax Chapter- 22

[Section 7]

A tax shall be imposed at 8 % on the gross amount
(except exempt amount)on every non-resident
person carrying on the business of operating ships as
the owner or charterer in respect of the gross amount
received or receivable (whether in or out of Pakistan)
for the carriage of passengers, livestock, mail or
goods embarked in Pakistan and outside Pakistan.

Non-resident ship owner or charterer [Section
143]

1. Before the departure of a ship owned or
   chartered by a non-resident person from any
   port in Pakistan, the master of the ship shall
   furnish to the Commissioner Inland Revenue a
   return showing the gross amount in respect of
   the ship.


2. Where the master of a ship has furnished a
   return, the Commissioner Inland Revenue shall,
   after calling for such particulars, accounts or
   documents, determine the amount of tax due in
   respect of the ship and shall notify the master in
   writing the amount payable within specified
   time.


3. The master of a ship shall be liable for the tax
   as if it were tax due under an assessment order.


4. Where the Commissioner Inland Revenue is
   satisfied that the master of a ship or non-
   resident owner or charterer of the ship is unable
   to furnish the return required before the
   departure of the ship from a port in Pakistan, the
   Commissioner Inland Revenue may allow the
   return to be furnished within 30 days of
   departure of the ship andon satisfactory
   arrangements for the payment of the tax due in
   respect of the ship.


5. The Collector of Customs or other authorised
   officer shall not grant a port clearance for a ship
   owned or chartered by a non-resident person
   until tax due in respect of the ship has been
   paid or arrangements payment have been made
   to their satisfaction.

person [Section 7]

Same as given in first column except that rate of

tax shall be 3 % and ships shall be replaced by air

transport.

Non-resident aircraft owner or charterer

[Section 144]

1. A non-resident owner his agent or charterer
   of an aircraft liable for tax shall furnish to the
   Commissioner Inland Revenue within 45
   days from the last day of each quarter of
   the financial year quarterly returns
   showing the gross amount.


2. Same as given in first column except that in
   place of master of the ship the non-resident
   agent or charterer shall be replaced.


3. Where the tax is not paid within 3 months
   of service of the notice, the Commissioner
   Inland Revenue may issue a certificate to
   the authority by whom clearance may be
   granted to the aircraft operated by the non-
   resident person and until the tax has been
   paid such authority shall refuse clearance
   from any airport in Pakistan to any aircraft
   owned or chartered by the non-resident.

Return to be furnished by a non resident ship
owner or charterer [RULE 37]

A return required to be furnished u/s 143 shall be
accompanied by such documents, statements and
certificates as specified in the form, and in the
Ordinance, these rules and circulars issued under the
Ordinance and may be furnished by any of the
methods specified in rules 73 & 74.

Return to be furnished by a non resident

aircraft owner or charterer [RULE 38]

Same as given in first column U/R 37 except that

section 143 shall be replaced by section 144.