Special provisions relating to persons not appearing in active taxpayers’ list Section 100BA
Special provisions relating to persons not appearing in active taxpayers’ list Section 100BA: Finance Act, 2024 — Explanation regarding Important Amendments made in the Income Tax Ordinance, 2001
Important amendments made in Income Tax Ordinance, 2001 (“the Ordinance”) through Finance Act, 2024 are explained in the subsequent paragraphs.
Special provisions relating to persons not appearing in active taxpayers’ list Section 100BA
Prior to the Finance Act, 2024, section 100BA provided for higher rates of withholding taxes as specified in the Tenth Schedule for persons not appearing in the active taxpayers’ list. Through the Finance Act, 2024, section 100BA has been amended and scope of the Tenth Schedule has been broadened by including persons who although are appearing in the active taxpayers’ list but have filed return after the due date specified in section 118 or by the due date as extended under section 119 or 214A.
After this amendment in section 100BA and insertion of rule IA in the Tenth Schedule, there are now two categories of higher rates: one for persons not appearing in the ATL at the time of transaction and the other for persons appearing in the ATL at the time of transaction but who have not filed return within the due date. Tax rates for persons appearing in ATL but have filed return after the due date have been explained in paragraph 38 of this Circular.
Read full text of Explanation of Finance Act, 2024 Amendments made in the Income Tax Ordinance, 2001 for more updates on taxes from FBR click here.
