ISLAMABAD, June 16: The finance ministry here on Sunday released the final list of the withdrawals of Income Tax exemptions to be effective from July 1, 2002.
The exemptions withdrawn included: salary of employees of Aga Khan Hospital and Medical College; pension of employees of the United Nations; entertainment allowance admissible to an officer vide Finance Division O.M. dated 29.4.77; entertainment allowance admissible to an officer vide Finance Division O.M. dated 18.8.83; entertainment allowance admissible to an officer of armed forces vide ministry of defence O.M. dated 29.04.77; entertainment allowance admissible to an officer vide establishment division O.M. dated 13.7.78.
And senior post allowance of an officer admissible under Memo dated 18.08.1973; senior post allowance, admissible under Memo dated 28.04.1977; senior post allowance, entertainment allowance or orderly allowance of employees of recognized universities; cost of living allowance admissible to government employees at a rate of 7 per cent; disturbance pay of the armed forces personnel; salary of Khasadars; any sum paid for the purpose of meeting utility charges by the federal and provincial ministers & employees.
The exemption withdrawn on the value of utilities provided free of charge to federal & provincial ministers and employees; yield of national savings deposit certificates, including defence savings certificates under the National Savings Scheme; interest on deposits in post office savings bank or National Savings Centres; income derived from investment in monthly income savings account scheme of national savings; income from WAPDA bearer bonds 1st issue; income from WAPDA bearer bonds 2nd issue; Income of any person from term finance certificates (TFCs); educational institutions set up between July 1, 1991 and June 30, 1995; donation to prime minister fund or national debt retirement; donation to national self reliance fund.
Similarly income tax exemption was withdrawn on income from fish catching/processing units; income of NIT; share income as member of HUF; share income out of income of AOP; share income as partner of URF; share in such profit and gains of a registered firm which is liable to be assessed under sections 90C and 80CC; capital gains arising from the sale of shares of individual units of Public Sector Corporation by Privatization Commission; income of individual from transfer of membership rights or shares of stock exchange; share income from firm in respect of capital gain; pioneer industrial undertakings; industrial undertakings engaged in manufacturing of electronic goods.
And exemption withdrawn from income of Pakistani company from ships registered in Pakistan; income from manufacture of soft and stuffed toys; manufacture of solar energy equipment; income of industrial undertakings set up in EPZs; income from industrial undertaking set up in Karachi Export Processing Zone; industrial undertaking set up in specified areas; industrial undertakings set up in rural areas; foreign income of EPZ units; the amount paid as federal education fee or expended under FEF Scheme; income of Pak Libya Holding Company; income of Pak Kuwait Investment Company; income as a partner of registered firm to which clause (139) applies; income of Pakistan Telecommunication Corporation till incorporation of successor company (PTCL); income of Pakistan Telecommunication Company (Pvt) Limited; income of foreign air and shipping enterprizes; tax on employees’ income; amount collected by Civil Aviation Authority for security charges; tax rebate at the rate of 5 per cent to persons who issues to customers a cash memo with complete detail recorded thereon; 5 per cent tax concession to importers and wholesaler who furnishes complete detail of sales; tax rebate on the basis of average rate of tax who furnishes receipts in respect of expenditure on legal services and tax rebate in respect of expenditure incurred on Education of dependent children.
