Deduction / Payment of Tax Chapter- 23
(^110) withholding tax which were not applicable prior to commencement of the Constitution (Twenty-fifth Amendment) Act, 2018 shall not
apply to individual domiciled or company and AoP resident in the Tribal Areas forming part of the Provinces of Khyber Pakhtunkhwa
and Balochistan under paragraph (d) of Article 246 of the Constitution with effect from the 1st day of June, 2018 to the 30th day of June,
2023 (both days inclusive)
26. (^115) The provisions of section 153 shall not apply to traders being individuals having turnover upto Rs. 100 million as a prescribed person.
Explanation.-^ Trader in this clause shall have the meaning as provided in clause (28D) of Part II of the Second Schedule.^
153B
Tax to be deducted on payment of royalty to resident
person
Omitted by
Finance Act, 2021
154(1) (^) Export proceeds realization.
1% of the amount
received Nil Final discharge
Authorize dealer in foreign
exchange
Export
proceed
154(2)
Omitted by Finance Act, 2022 and transposed to 154A
154(3)
Realization of the goods to an exporter under an inland back -
to-back letter of credit
1% of the
proceeds of the
export Nil Final discharge Banking Company
export of
goods
154(3A)
Export of the goods by an industrial undertaking located in
EPZ
1% of the
proceeds of export Nil Final discharge
Export processing zones
authority if made by an^
undertaking in
EPZ
154(3B) (^) Making payment for a firm contract to an indirect export
1% of the
proceeds of the
export Nil Final discharge
Direct export and export
house registered under
DTRE Rules 2001
154(3C) Clearing of goods exported
1% of the
proceeds of export Nil Final discharge Collector of customs Do
IMPORTANT NOTES:
154(5) The tax deducted u/s 154 shall be treated as final tax in respect of such income. However, it shall not be final tax in case of a person who opts that such
income not be subject to final taxation. This option shall be available from the tax year 2015 and shall be exercised every year at the time of filing of return u/s 114.
Under such a case the tax deducted shall be treated as minimum tax.
NON APPLICABILITY OF PROVISIONS OF TAX AT SOURCE U/S 154 UNDER VARIOUS CLAUSES OF PART IV OF 2ND SCHEDULE TO THE ITO, 2001:
U/C 47C An exporter in respect of cooking oil or vegetable ghee exported to Afghanistan from whom tax u/s 148 has been collected on import of edible oil.