Most Immediate/ By Fax/UMS Government of Pakistan Central Directorate of National Savings, Islamabat F.No. 13(1) (Rules)Sch-3/2004 Vol-II July 8, 2019 Subject:- REVISED RATES OF WITHHOLDING TAX ON PROFIT OF NATINAL SAVINGS SCHEMES EFFECTIVE FROM 01.07.2019 In pursuance of amendment in Division IA of Income Tax Ordinance, 2001 vide Finance Act, 2019, new rates of Withholding Tax on Profit of National ‘Savings Schemes under Section 151 shall be as under w.e.f. 1 July, 2019; Rate of Withholding Tax under Profit or Yield Section 151 read with Division IA of Finance Act 2019. Where profit or yield paid is up to 10% rupees five hundred thousand or less. Above five hundred thousand rupees. | 15% Relevant amendment in Finance Act, 2019 are Annexed, 2 All the controlling officers are hereby advised to comply the above said amendments in letter and spirit in the field offices under their administrative control. 3 The issue with the approval of Additional Director Geferal, National J Savings - mnvail Assistant Director (PD) 051-9515751 istributior 1. The Director, Directorate of Audit, National Sar ings, Islamabad. 2. All Zonal Heads/ Regional Directorates, Regional Directorate of National Savings with request to distribute among the field offices 3. The Director, Accounts Department, SBP BSC, Karachi. 4. The Director General, Pakistan Post Office, Islamabad. 5. The Director (Accounts), Pakistan Post Office, Lahore. 6. The Principal, TINS, Islamabad/ Karachi. 7. All Zonal Inspection and Accounts Offices, National Savings. 8. 9. I 1 All Regional Accounts Offices, National Savings. Assistant Director (Product Marketing), CDNS for necessary action. 0. P.A to Director General, National Savings, Islamabad. 1. Directors (HR), (PD & M), (Legal), (Services), (F & A), (Project), CDNS, Islamabad for information. 12. The Director (Operations) CDNS for information with the request to incorporate the subject revision in software application 13. All Sections of CDNS 14. The webmaster, MITC, CDNS, Islamabad with the request that the website may be updated accordingly. 15. Office Copy.Part ‘THE GAZETTE OF PAKISTAN, TRA, JUNE 30, 2019 197 (i for paragraph (a), the following shall be substituted, namely:—— (@) 7.5% in case of dividend paid by Independent Power Purchasers where such dividend is a pass through item under an Implementation Agreement or Power Purchase Agreement or Energy Purchase Agreement and is required to be re-imbursed by Central Power Purchasing Agency (CPPA.G) or its predecessor or successor centity."; Gi) in paragraph (b), the words “for filers” shall be omitted; (iii) paragraph (c) and provisos thereafter shall be omitted; (b) in Division 1A — (for the figure “10°, the figure “IS” shall be substituted; (i) the expression “for filers and “17.5%" of the yield or profit paid, for non-filers” shall be omitted; and (ii) for the proviso, the following shall be substituted, namely:— “Provided that the rate shall be 10% in cases where yield or profit paid is rupees five hundred thousand rupees or less,"; (©) in Division 1B, paragraph (4) shall be omitted; (@)_ in Division .— (8) in clause (1), the expression “in case a person is a filer and 13% in case the person is a non-filer” shall be omitted; Gi) in clause (4),—Most Immediate/ By Fax/UMS. Government of Pakistan Central Directorate of National Savings, Islamabad. F.No. 13(1) (Rules)Sch-3/2004 Vol-Il July 8, 2019 Subject- REVISED RATES _OF WITHHOLDING _TAX ON _PROFIT_OF NATIONAL SAVINGS SCHEMES EFFECTIVE FROM 01.07.2019 'n continuation to this Directorate Memo of even number dated 08.07. 2019 on the subject cited above, and to enclose herewith the Tenth Schedule of the Finance Act 2019 regarding rules for deduction of Withholding Tax from persons not a wring in the Active Taxpayers’ List, for strict compliance, In this regard, the FBR has uploaded Facilitation Guide for the Taxpayers, Tax Collectors & Withhol link https://www, for.gov.pk/withholding-ta herewith. 3 ‘The issues withthe approval of Additional Director General, National Savings. As above, ran) Assistant Director (PD) 051-9515751 {The Diector, Directorate of Audit, National Savings, Islamabad, 2. All Zonal Heads/ Regional Directorates, Regional Directonte of National Savings with request to distribute among the field offices 3. The Director, Accounts Department, SBP BSC. Karachi 4. The Director General, Pakistan Post Office, Islamabad 3. The Director (Accounts), Pakistan Post Office, Lahore, 6. The Principal, TINS, Islamabad/ Karachi, 7. All Zonal Inspection and Accounts Offices, National Savings. 8 9 10. All Regional Accounts Offices, National Savings. p giatant Director (Product Marketing), CDNS for necessary action P.A to Director General, National Savings, Islamabad [PAA to Addl: Director General, National Savings, Islamabad, 12. All Directors, CDNS, Islamabad. '3. The Director (IT) CDNS with the request to incorporate the subject revision in Software Application, 14. Alll Sections of CDNS, 15. The webmaster, MITC, CDNS, Islamabad with the request that the website may be updated, accordingly. 16. Office Copy.212 THE GAZETTE OF PAKISTAN, EXTRA,, JUNE 30, 2019 “THE TENTH SCHEDULE (See section 100BA) RULES FOR PERSONS NOT APPEARING IN THE ACTIVE TAXPAYERS' LIST appearing in the active taxpayers’ Sollecte, as the case may be, shall be inereaced by hundred percent of the rate ‘Specified in the First Schedule to this Ondinanee 7. Persons not required to file return or statement.—(1) Where the Jatnelding agent or the person from whom taco required to be collected or deducted is satisfied that a person not appearing in the active taxpayers’ list was sb ete 0 file a return of income under secon 114, or a statement under sub-section (4) of section 115, asthe ease imay be, he shall before collecting or deducting tax under this Ordinance, fursihe the Commi: ‘writing electronically setting out (@) the mame, CNIC or NTN and address ofthe Person not appearing in the active taxpayers’ list: (b) ©18, Tax Collectors & Withholding Tax Agent per Finance Act, 2019 — updated up to June 30, 2019 Sesion | Rtevant summary of WHT secon Tax Rate Who wil] FoR wom [When ~| Tine of deposi Taraon Sais deduct! ‘tect ‘gent | 780 Tax shall be deducted on the gross EveryPerson | Recipients of Atti time | In case of Federal /] Final Baier | crant aes rome” [andens™ [awe [macns contned re ae Sraend | Eoverent on te | sakes 8 totes) ae alent oe to fay [Sees fat eae ied ae coey ite =, ire ener Se) Purchase Agreement or Energy Purchase Hon cece! ‘Agreement and i required to be rembursad by Central Power Purchasing Agency (CPPA Goris predecessor or successor ently (©) In cases other than mantoned at (a) ‘The applicable. tax rato is to be increased by 100% (Rule of Tent ‘Schedule tone Ordnance), Le. 15% 19% Persons not appearing in the ‘Active Taxpayers’ List. ‘The tale of tax equred 0 be oductdialected, asthe case may be iso be increased by 100% ofthe ‘above (a5 spectied inthe Fest Schedule "to tho Income Tax Ordinance, 2001 ( updated as per Finance Act, 2019)... 30% Government cases, within 7 days. from the end of each week ending on every Sunday. 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Sate Income as Onsinane, 201, amend sl ‘eamen brary Cure wee form nts re fot ey sanyo,Income Tax Regime (WHT Rates Card vance Act, 2019 updated up to June 30, 2019 W Guideline for the Taxpayers, Tax Collectors & Withhok ‘Agents - as per [ Section | Reievant summary of WHT section Tax Rate Who will | From whom |” When | Time of deposit | Taxation Status deduct / collect Lagent [180A] On Payment of return on investment in ‘Special From Sukuk [Atthe ine | (Within 7 days fom | Final Return on | Sukuke: Purpose holderson | of actual | the end of each | Section SAA read \vesime | ~ a) Incase the Sukuk holderisa | 15% Vehicle, payment ot | payment | week ending on | with Section 8 atin company, Company | gross amount ‘every Sunday, Rule Sukuk NS _not appearing in the ofretum on 4346) 7: Uist investment ‘The applicable lax rate is to be increased by 100% (Rde-t of Tenth ‘Scheduie tothe Ordinance), 30% )_ Incase the Sukuk — holder is an | 12.5% individual or an association of person, ithe etumn on nS _not appearing in investments more than one ‘Taxpayers’ List milion, ‘The appleable tar rate is to be increased by 100% (Rso-1 of Tenth ‘Schedule tote Ordnance), 25% ©). Incase the Sukuk — holder is an | 10% Individual and an association of Person, ifthe retu on investments less than one 30ns_not appearing in tive Te Lh sia ‘The applicable tax rate is to be Increased by 100% (Rule of Tent Schedule tothe Ordinance), 20%. iBT ‘A person paying proft7yeld has to Every Person [Recipient of | Alte ne | In caso of Federal 71 Minimum Taxon Profiton | deduct tax from the gross amount of Making (Proton dets) | the yield | proviniat the profits on debt debt | yield prot Payment of (rofton | Goverment on the | arising to a roft/yila debis | day the tax_ is | taxpayer, except credted to | deducted. “ute | wre then | a3t0) accountot | inctherthan Federal | (a) Taxpayer is | 151(4}@) | Yield or prot (profit on debt) on account, deposit or a certificate under the National saving schemes or Post office savings _ - ‘Piscladmerras etn eR od se fr hr yn od fc Seals of Wdlg Ps rine horn Sta nce Tex Orman, 28 Serene efey ender hr Tat hn omen ee 2Withholding Income Tax Regime (WHT Rates Card Guideline forthe Taxpayers, Tax Collectors & Withholding Tax Agent s per Finance Act, 2019 — updated up to June 30, 2019 ‘Section | Relevant summary of WHT section Tax Rate Who will From whom | When | Time of deposit | Taxation Statue] deavet/ ‘allect L agent _| | “account, the 7 Provincial | company, or ] Upto Re. Lae | 10% oe gros lsat pu ‘bi | Goverment ase, ceeding RS ae | 15% ote ges yp acai | win 7 cya to |) rot on ast pelt | Bo ena of each | laroe oa 8 ersons not aoearing inthe ‘tice | not enang st fe tan Seater” | erry Sunday Ae fre pane te ng 80 rads y os le a et Sool Ors) Upton. Six | 20% one aoe yt pit ceeding Re Sas | 30% rte ss yop TSHR) | Pam on wo pa By Bag company nity Respoatel — are Tiina Ta ce Gtrancat atten on ont Cemoanyor | (emtencty | tepet | poten te prs a Senza nana foarea onde | Soren onto | mie itn ete | ay "tet | reer, opt Upto. 52 | 10% othe ges etn pit tn” | dete rue | Yee frcneding Re § ac | 15 tte ys Ya pen saounct | 3 te {meter tan Fer |) Txpayer iso at snpering inte rein | et Pec | Compete fate ae Eacaty | Goverment cave fe ae Se oes oe Bett | iT aay, tom |) Pot on dot Irae de et wher | fe ena “ol ech | lace oa Sieaische ors ce irr” | wok ening "en UptoRs. Sac | 20% ane goss yo pi 3 one se Esceeding Re Sac | 30% tte os Js pe 151(1(¢) | Profit on securities , other than those Federal / Recipient of | Aithe time | in the case oF ‘Minimum Tax on Ientones n't iii), anes by Prov | Proftonce | tego’ | Goverment & | warns uch ter ovina goatnent tt Cow tort sndebtc | itnlang. Agen | anaes so coven aor etic | an the" eay "a | tree, eg Upto Rs. Sc | 10% ane goss yo pi Be I eacten al | eae fsoetdng RS ac | 19h ote Sosa conte | te | eer tan Fer! |) Taxpayer 2 rein |" | raeGuideline for the Taxps Tax Rate From whom Taxation Status | | Section | Relevant ‘summary of WHT section ] ] ‘Who will, When | Time of deposit | deduct / collect. | es agent _ = ia Se a Sas Ey elmer fa [wn Pye Ces |) mon ex] sate lemme lat ae [Bene S| Shoe | ad roar” | heen ch | San ee Ret merge P| | ced Re Sts | 3 fie ss yo ig | Fl sme aca eo nig eaperel — meio ea 7 ma Teese sue) | ena eee Ra carom» | Bokaro |e” | Boi Gea eon Ta (other than loan agreements between financial on debt's | on the day the tax is arising to a Borowers and banking” companies or inatuton, a Sere, | ate Fale | eae, Sept sett antne caren om Spe | fren Fear | iaye finance society recpientor | cases witin Taye UptoRs Sac | 10% othe es pets pts EEOSe | Stic S 2 2 | taper ws ercaoding Re | 19 SS Belt ig Br [ete oa | Tce Cems | Sores aS | ee a ee an Active Taxpayers’ List Stole us 7 | ‘The applicable tax rato is to be increased by 100% (Rule-t of Tech ‘Schedule tothe Ordinance). 20% of the gross yeldiproft paid UptoRs. 5 Lac 30% of the gross yield Iproft paid Eroeedng 5a | Piselalr:-r webiste as ato oct oe ate dct he er of Wielding Tax Regine Th rina Ste come ony eeatotee hr sc tl arb pte sige kame fap Cn Sher 14 es Ondine, 261, mendes hl we fr an satproMost Immediate/ By Fax/UMS, Government of Pakistan Central Directorate of National Savings, Islamabad. F.No, 13(1) (Rules)Sch-3/2004 Vol-Il July 9, 2019 Subject:- REVISED RATES OF WITHHOLDING TAX ON PRIZE Mi ON PRIZE B EFFECTIVE FROM 01.07.2019 ‘The undersigned is directed to refer to the amendments made in Clause 1 of Division VI of Part-II of 1* Schedule of Income Tax Ordinance 2001 and to state that new rates of Withholding Tax on Prize Money on Prize Bonds deductible under Section 156 (1) w.e.f.01.07.2019 will be as follows: Category Money under Section 156 (1) Persons appearing in Active Tax 15% Payer List (ATL) Persons not appearing in Active 30% Tax Payer List (ATL) 2. These rates will be applicable on the payment of Prize Money irrespective of date of Prize Bonds draw. 3 The issues with the approval of Additional Directgt General, Nati Savings. al Distributior The Director, Directorate of Audit, National Savings, Islamabad. All Zonal Heads! Re; 1al Directorates, Regional Directorate of National Savings with request to distribute among the field offices. 3. The Director, Accounts Department, SBP BSC, Karachi. 4. The Director General, Pakistan Post Office, Islamabad. 5. The Director (Accounts), Pakistan Post Office, Lahore. 6. 7. 8. ‘The Principal, TINS, Istamabad/ Karachi. . All Zonal Inspection and Accounts Offices, National Savings. . All Regional Accounts Offices, National Savings. 9. Assistant Director (Product Marketing), CDNS for necessary action. 10. P.A to Director General, National Savings, Islamabad. 11. P.A to Addi: Director General, National Savings, Islamabad, 12. All Directors, CDNS, Islamabad. 13. The Director (IT) CDNS with the request to incorporate the subject revision in Software Application, 14, Alll Sections of CDNS 15. The webmaster, MITC, CDNS, Islamabad with the request that the website may be updated, accordingly. 16. Office Copy.