Determining an individual’s residency status: some taxation anomalies
The Finance Act, 2022 has virtually decided that a Pakistani citizen can be taxed in Pakistan even if he never comes to Pakistan. This is a bad law, which is…
Taxation power and democracy
In the wake of an apparent economic crisis, caused by multiple reasons, particularly a killing self-inflicted political instability, myopic economic policies of last seven decades, unthoughtful actions and measures taken…
Pakistan’s taxation regime discourages self-employment and small businesses
Pakistan’s tax policy discourages individuals from self-employment or running small businesses. While salaried individuals get taxed at 35 percent tax only above an annual taxable income of Rs 75 million,…
Allama Iqbal on equitable taxation
In this article, we are highlighting the ideas of the great thinker, philosopher and poet, Allama Muhammad Iqbal, on economics and taxation. He is popularly praised and acknowledged as Musawwir-e-Pakistan…
Taxation hindering investment
This survey shows that international and national evidence points out that taxation and growth are negatively correlated. It is time Pakistan took this seriously and changed the adjustment and growth…
Harmful taxation of IT/telecom sectors
The Pakistan telecom sector contributes steady inflow of heavy tax collections under major heads like Activation Tax, GST/FED, the PTA fee & charges and others. The PTA has been advocating…
Taxation: Doctrine of mutuality
It is an established principle that what is not “income” under the income tax law cannot be taxed, and where there is no sale of “goods” or providing and rendering…
Services’ & immovable property income taxation
The taxation of “services” mentioned in section 153(1)(b) of the Income Tax Ordinance, 2001 [“the Ordinance”] with effect from tax year 2020 is subjected to “minimum tax regime” in cases…
We seem to have no understanding of what ails our taxation system — III
This is the third part of a series of articles on the subject ‘We seem to have no understanding of what ails our taxation system’. Like the preamble to Part…
Budget FY22 and taxation
The budget for fiscal year (FY) 2022, the fourth of the coalition government of Pakistan Tehreek-i-Insaf (PTI), is to be announced on June 11, 2021. Every year before the announcement…
