Payments to non-Residents Section 152
Payments to non-Residents Section 152: Finance Bill proposes that every person responsible for making payment directly or through an agent or intermediary to a Non-Resident person for foreign produced commercial for advertisement on any television channel or any other media, shall deduct tax at the rate of twenty percent from the gross amount paid. The tax deducted under this sub-section shall be final tax on the income of non-resident person arising out of such payment.
In addition to above, it has also been proposed that every banking company maintaining a Foreign Currency Value Account (FCVA) or a non-resident Pakistani Rupee Value Account (NRVA) of a Non-
Resident individual holding Pakistan Origin Card (POC) or National ID Card for Overseas Pakistanis (NICOP) or Computerized National ID Card (CNIC) shall deduct tax under Final Tax Regime from capital gain arising on the disposal of debt instruments and government securities and certificates (including Shariah compliant variant) invested through aforesaid accounts at the applicable rate.
iii. Every special purpose vehicle or a company, at the time of making payment of a return on investment in Sukuks to a Non- Resident Sukuk Holder shall deduct tax under Final Tax Regime from the gross amount of return on investment at the applicable rate.
For more information on FBR’s new regulations / circulars/ SROs/ amendments in taxation laws in Pakistan please visit https://www.fbr.gov.pk/