Second Schedule – Part IV____ __________________________
1[(11A)
The provisions of section 113, regarding minimum tax, shall not apply to,-
(i)
National Investment (Unit) Trust or a collective investment scheme
authorized or registered under the Non-banking Finance Companies
(Establishment and Regulation) Rules, 2003 or a real estate
investment trust approved and authorized under the Real Estate
Investment Trust 2[“Regulations, 2015”], 3[or a pension fund registered
under the Voluntary Pension System Rules, 2005] or any other
company in respect of turnover representing transactions in shares,
or securities listed on a registered stock exchange;
(ii)
petroleum dealers, in so far as they relate to turnover on account of
sale of petroleum and petroleum products, notwithstanding their
status as a company, a registered firm or an individual, engaged in
retail sale of petroleum and petroleum products through petrol pumps
for the purposes of assessment of their income and determination of
tax thereon:
Provided that this exemption shall not apply to the sale of
petroleum and petroleum products through petrol pumps which are
directly operated or managed by companies engaged in distribution of
petroleum and petroleum products.
(iii)
Explanation.- For the removal of doubt it is declared that the
companies engaged in distribution of petroleum and petroleum
products other than through petrol pumps shall not be entitled to the
benefits of this exemption;
Hub Power Company Limited so far as they relate to its receipts on
account of sale of electricity;
CapitalFund] which is exempt under clause (101) of Part-I of this Schedule;
(xiii) a Modaraba registered under the Modaraba Companies and Modaraba (Floatation
and Control) Ordinance, 1980 (XXXI of 1980);
(xiv) Corporate and Industrial Restructuring Corporation (CIRC);
(xv) a Small Company as defined in section 2;
(xvi) The corporatized entities of Pakistan Water and Power Development Authority, so far
as they relate to their receipts on account of sales of electricity, from the date of their
creation upto the date of completion of the process of corporatization i.e. till the tariff
is notified; and
(xvii) a morabaha bank or a financial institution approved by the State Bank of Pakistan or
the Securities and Exchange Commission of Pakistan (SECP), as the case may be,
for the purpose of Islamic Banking and Finance in respect of turnover under a
morabaha arrangement; and
(xviii) WAPDA First Sukuk Company Limited.”
1
Inserted by the Finance Act, 2009.
2
The word and figure “Rules, 2006” substituted by the Finance Act, 2015.
3
Inserted by the Finance Act, 2011.
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Second Schedule – Part IV____ __________________________
1[
2[
]
]
(42) The provisions of 3[sub-section 4[(3)] of section 153] shall not apply in
respect of payments received by a resident person for providing services by way
of operation of container or chemical or oil terminal at a sea-port in Pakistan or of
an infrastructure project covered by the Government’s Investment Policy, 1997.
5[
]
]
7[(43A) The provisions of sub-section (1) of section 153 shall not apply to payments
received by a person 8[ ] on account of supply of petroleum product imported by
the same person under the Government of Pakistan’s deregulation policy of POL
products;]
6[
9[(43B)
The provisions of clause (a) sub-section (1) of section 153 shall not apply
to payments received on sale of air tickets by travelling agents, who have paid
withholding tax on their commission income.]
condition that minimum tax liability under normal tax regime shall not be less than 50% of tax already
deducted under sub-section (4) of section 154.”
1
Clause (41AAA) omitted by Finance Act 2014. The omitted clause (41AAA) read as follows:
“(41AAA) The provisions of clause (a) of sub-section (1) of section 153 and clause (b) of sub-section
(1) of section 169 shall not apply in respect of a person if he opts out of presumptive tax regime subject
to the condition that minimum tax liability under normal tax regime shall not be less than 70% of tax
already deducted under clause (a) of sub-section (1) of section 153.”
2
Clause (41B) omitted by Finance Act 2014. The omitted clause (41B) read as follows:
“(41B)The provisions of sub-section (2) of section 152 shall not apply in respect of
payments to foreign news agencies, syndicate services and non-resident contributors, who
have no permanent establishment in Pakistan”
3
Substituted for the word and figure “section 153” by the Finance Act, 2002
4
The brackets and figure (6) substituted by the Finance Act, 2011.
5
Omitted by the Finance Act, 2008. The omitted clause (42A) read as follows:
“(42A) The provisions of sub-section (6) of section 153 shall not apply in respect of payments
received by a person for supply of relief goods for earthquake victims against funds from the
President Relief Fund for Earthquake Victims, 2005, or any other such source of the Government or
the purchases made by approved voluntary Non-Profit Organizations or welfare bodies for the
aforesaid purpose.”
6
Clause (43) omitted by the Finance Act, 2004. The omitted clause (43) read as follows:
“(43)The provisions of sub-section (1) of section 153shall not apply to payments received by PakArab Refinery Limited on account of supply of its products.”
7
Clause (43A) substituted by the Finance Act, 2003. The substituted clause (43A) read as follows:
“(43A) The provisions of section 153, shall not apply to payments received by M/s Total PARCO
Pakistan Limited for the supply of petroleum products.”
8
The words and brackets “including Permanent Establishment of Non-resident Petroleum Exploration
and Production (E&P) Companies” omitted by the Finance Act, 2008.
9
Inserted by the Finance Act, 2007. Earlier it was omitted vide Finance Act, 2003 which read as follows:
“(43B) The provisions of section 153 shall not apply to the payments received by Al Rahim Trading
Co. (Pvt) Limited, Karachi for the supply of petroleum products.”
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Second Schedule – Part IV____ __________________________
1[(43C)
The provision of clause (a) of sub-section (1) of section 153 shall not be
applicable to any payment received by a petroleum agent or distributor who is
registered under Sales Tax Act, 1990 on account of supply of petroleum products.]
2[(43D)
The provisions of 3[clauses (a) and (b)] of sub-section (1) of section 153
shall not apply in case of an oil tanker contractor with effect from 1 st July 2008,
provided that such contractor pays tax @ 2.5%, on the payments for rendering or
providing of carriage services 4[ ] ].]
5[(43E)
The provisions of 6[clauses (a) and (b)] of sub section (1) of section 153
shall not apply in case of goods transport contractors, provided that such
contractors pay tax at the rate of 7[ ] 8[3.5%] on payments for rendering or providing
of carriage services.]
9[(43F) The provisions of section 153 shall not apply in the case of a start-up, being
recipient of payment, as defined in clause (62A) of section 2.]
10[(43G)
The provisions of section 153 shall not apply to commodity futures
contracts listed on a Futures Exchange licensed under the Futures Market Act,
2016 (XIV of 2016).]
11[(43H) The provisions of clause (b) of sub-section (1) of section 153 shall not
apply to an exhibitor or a distributor of a feature film, as a payer, on payment made
to a distributor, producer or importer of a feature film.]
1
Added by S.R.O. 57(I)/2012, dated 24.01.2012. Earlier it was inserted by S.R.O. 961(I)/2002, dated
23.12.2002 and then omitted by the Finance Act, 2003. The omitted clause (43C) read as follows:
“(43C) The provisions of section 153 shall not apply to the payments received by Hascombe Storage
(PVT) Limited, Karachi, for the supply of petroleum products.”
2
Inserted by S.R.O. 126(I)/2013, dated 13.02.2013. Earlier it was inserted by S.R.O. 253(I)/2003, dated
07.03.2003 and then omitted by the Finance Act, 2003. The omitted clause (43D) read as follows:
“(43D) The provisions of section 153 shall not apply to the payments received by M/s. Overseas
Trading Corporation, Karachi, for the supply of petroleum products.”
3
The expression “clause (a)” substituted by the Finance Act, 2021.
4
The expression “w.e.f. tax year 2012” omitted by the Finance Act, 2021.
5
Inserted by S.R.O 980(I)/2013, dated 18.11.2013. Earlier it was inserted by S.R.O. 408(I)/2003,
dated 08.05.2003 and then omitted by the Finance Act, 2003. The omitted clause (43E) read as
follows:
“(43E) The provisions of section 153 shall not apply to the payments received by M/s. ICI Pakistan
Limited, for the supply of petroleum products.”
6
The expression “clause (a)” substituted by the Finance Act, 2021.
7
Figure “2.5” substituted through Finance Act, 2019.
8
The figure “3%” substituted by the Finance Act, 2021.
9
Inserted by the Finance Act, 2017.
10
Clause (43G) inserted by the Finance Act, 2021.
11
Clause (43H) inserted by the Finance Act, 2022.
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