Post Reply 
 
Thread Rating:
  • 0 Vote(s) - 0 Average
  • 1
  • 2
  • 3
  • 4
  • 5
‘Assets can be legalised by paying 2% tax’
07-02-2008, 10:35 AM
Post: #1
‘Assets can be legalised by paying 2% tax’
ISLAMABAD: The government under the Investment Tax –2008 Amnesty Scheme, has given a chance to existing as well as new taxpayers to declare their hidden assets ––moveable or immoveable–– from July 1, 2008 to December 31, 2008 and pay one time 2 percent investment tax.

Undeclared cash, bank deposits, bonds, shares, securities, jewelry, plant, machinery and stock in trade, vehicles, plots, buildings for residential, commercial and industrial use and all other hidden assets would be legalised on payment of 2 percent investment tax.

All new as well as existing taxpayers would be allowed to legalise the hidden moveable and immoveable assets under the said scheme. The value of the un-declared assets would be the fair market value to be determined by the taxpayer himself.

Federal Board of Revenue (FBR) Tuesday issued Income Tax Circular No 03-2008 to explain the details of the scheme. The circular, copy of which is available with Daily Times, explains that in exercise of powers conferred under section 120A of the Income Tax Ordinance, 2001 the FBR is pleased to introduce the scheme for the declaration of moveable and immoveable assets and payment of Investment tax thereon.

Title and Scope of the Scheme: This scheme shall be called Investment Tax –2008 Amnesty Scheme and the scheme shall apply to all existing as well as new taxpayers.

Definition: Investment Tax means a tax as defined under clause (63) of the section (2) of the Income Tax Ordinance, 2001. Un-explained income and assets means any asset for which the taxpayer has no explanation regarding nature and source and was chargeable to tax but could not be so charged under Income Tax Ordinance, 2001 for any tax year or years ended on or before June 30, 2008.

Charge of Tax: Investment Tax shall be payable at 2 percent of fair market value of the asset at the time of declaration of all moveable and immoveable, undisclosed, unexplained investments, assets, as declared by the taxpayers under this scheme, on prescribed form from any time from July-1, 2008 to December 31, 2008.

New taxpayers: New taxpayers availing this scheme shall be obliged to file return of income for the tax year 2008 and subsequent three consecutive tax years. The department shall not question the source of acquisition of assets declared under the scheme for the past three years and obligation of filling incomer tax return, if any, for the last five years.

Incorporation of Unex-plained Income and Assets: Where the declarant has paid tax on his unexplained income and assets in accordance with the scheme, he shall be entitled to incorporate such income and assets in his books of accounts.

Depreciation Allowance: No depreciation allowance in respect of building, plant and machinery or the other depreciable assets declared under the said scheme shall be admissible for any tax year prior to the tax year commencing on or before July- 1, 2008. staff report

http://www.dailytimes.com.pk/default.asp...2008_pg5_4
Quote this message in a reply
Post Reply 


Possibly Related Threads...
Thread: Author Replies: Views: Last Post
  National assets: PM prioritises repair of roads Salman 0 5,977 07-19-2013 12:13 PM
Last Post: Salman
  Banking system assets grow by 8% to Rs 7.7tr in Jan-June 2011 Salman 0 4,372 12-10-2011 12:11 PM
Last Post: Salman
  american misadventure against PAK Atomic Assets will be Properly Retaliated LRE 0 3,735 08-07-2011 10:14 AM
Last Post: LRE
  RGST, Assets Tax coming in taxation proposals Lahore_Real_Estate 0 3,558 06-04-2011 12:10 PM
Last Post: Lahore_Real_Estate
  Assets Declared by our leaders! LRE 1 5,692 04-24-2011 12:49 AM
Last Post: LRE
  LHC issues notices to AG, others in plea against sale of Pakistani assets abroad Lahore_Real_Estate 0 4,269 12-04-2010 01:13 PM
Last Post: Lahore_Real_Estate
  Al Baraka Bank to have assets in excess of Rs 50b Lahore_Real_Estate 0 3,007 11-02-2010 05:56 PM
Last Post: Lahore_Real_Estate
  Pak government asked to provide details of Zardari's assets Lahore_Real_Estate 0 3,580 10-21-2010 04:44 PM
Last Post: Lahore_Real_Estate
  148 MPs suspended for not submitting assets details Lahore_Real_Estate 0 3,288 10-19-2010 11:47 AM
Last Post: Lahore_Real_Estate
  PPP’s Jehangir Badar acquitted from illegal assets case Lahore_Real_Estate 0 3,219 09-27-2010 12:18 PM
Last Post: Lahore_Real_Estate
  Task force to collect data on incomes, assets Lahore_Real_Estate 0 3,965 09-25-2010 12:08 PM
Last Post: Lahore_Real_Estate
  Pak Atomic Assets are Safe... LRE 0 3,279 04-11-2010 11:27 PM
Last Post: LRE
  Surrey Palace NOT mentioned in Assets... LRE 0 4,081 03-02-2010 01:08 AM
Last Post: LRE
  Petition Filed in LHC against Overseas Assets of Our "Leaders" LRE 0 3,814 02-27-2010 03:10 PM
Last Post: LRE
  Assets of Our Poor Parlimentarians LRE 2 5,532 02-24-2010 01:10 AM
Last Post: LRE
  NAB confused about freezing Zardari’s property, assets LRE 0 3,251 02-08-2010 10:21 PM
Last Post: LRE
  NAB Orders to Freeze Zardari's Assets in Islamabad Including 2460K Land in Sangjani LRE 0 3,821 01-22-2010 03:37 PM
Last Post: LRE
  LDA officials directed to furnish assets details Lahore_Real_Estate 0 3,066 01-16-2010 01:54 PM
Last Post: Lahore_Real_Estate
  LDA Staff Asked to Submit Assets Details LRE 0 3,112 01-16-2010 01:44 PM
Last Post: LRE
  Dubai World refuses to sell assets cheaply: report LahoreEstate 0 3,462 11-30-2009 06:17 AM
Last Post: LahoreEstate

Forum Jump:


User(s) browsing this thread: 1 Guest(s)