Business-Taxation

Income Tax Definitions 1. Definition: Income includes ·         Any amount chargeable to tax under the Income Tax Ordinance, 2001 ·         Any amount treated as income under any provision of the Ordinance ·         Any loss of income 2. Definition: Person ·         An individual; ·         A company or association of persons incorporated, formed, organized or established in Pakistan or elsewhere; ·         The  …

INCOME FROM BUSINESS and Un-Admissible Deductions Question: Define income from business?  What expenses are not admissible for tax purpose under the head business OR explain un-admissible deductions under the head income from business? Answer: Income from business-section-18         Income from business is a 3rd source of income from which a person can derive income. Income from business is chargeable to …

Federal Board of Revenue (FBR) Powers and Functions Question: Define “Federal Board of Revenue”; explain its powers and functions in detail. Answer: Federal Board of revenue (FBR) Introduction The old name of federal board of revenue (FBR) is central board of revenue (CBR). Income tax ordinance, 2001 uses the word ‘Board’ for FBR and CBR. Board is the highest tax authority …

Question: Discuss the composition of “APPELLATE TRIBUNAL INLAND REVENUE”, what are the functions performed by it? Answer:  APPELLATE TRIBUNAL INLAND REVENUE: APPELLATE TRIBUNAL INLAND REVENUE is the second court of appeal. The Federal Government is the appointing authority of the APPELLATE TRIBUNAL. The taxpayer or the Commissioner Inland Revenue, if not satisfied with the decision of the Commissioner Inland Revenue …

Income From Business     (section .18) Fully Taxable Income 1.        Income from fish forming business/ XXX 2.       Fish catching business  XXX 3.       Royalties on professional books XXX 4.       Income from sale of timber  XXX 5.       Income from poultry farm XXX 6.       Taxable income from foreign country XXX 7.       Rent of furniture & fitting XXX 8.       Income from fruit processing unit setup in …

INCOME FROM PROPERTY (SECTION. 15) From the tax year 2014, Income from property will be taxable under normal tax structure even if the rental income is less than Rs.15000. 1st Calculate Rent Chargeable To Tax (RCT) 1.      Rental income from property xxxx 2.      Income from property xxxx 3.      Taxable income from gift property *  xxxx 4.      For feted amount …

 List of All Amounts Completely Exempted under INCOME FROM SALARY Amounts that are completely EXEMPTED under the head income from salary 1.      Training course fee paid by employer 2.      Hotel bills for official duties 3.      Fee for refresher course paid by employer 4.      Expenditure on entertainment facility during official duty 5.      Pick & drop Facility provided by employer 6.      Entertainment …

INCOME TAX : INCOME FROM SALARY – [SECTION – 12] Ch.Zain & Zubair Tax year 2016 Tax year Ended: 30-06-2016 Residential Status: Resident Computation of tax payable Income From Salary (Section-12) 1.     Basic salary xxxx 2.  Bonus xxxx 3.   Commission xxxx 4. Cost of dearness allowance xxxx 5.  Cost of living allowance xxxx 6. Cost of overseas allowance xxxx 7. …