Tax Amnesty Scheme for Non-residents Pakistanis
The Tax Amnesty Scheme 2019 is equally applicable on residents as well as non-residents. Tax Amnesty Scheme for Non-residents Pakistanis is not any different than Tax Amnesty is for residents.
Tax Amnesty Scheme Filing Services
However, following are a few differences that came to our attention upon thorough research: –
Tax Amnesty Scheme for Non-residents
Resident / Non-resident Status
The resident status of a non-resident person is of importance as it is directly attributable to the question of filing or not filing the Tax Amnesty Scheme 2019.
The the status of the taxpayer determines the applicability of tax amnesty filing for the non-residents Pakistanis.
Assets purchased inside Pakistan
If the assets are purchased by non-residents in Pakistan while the status of the taxpayer was non-resident or assets purchased in Pakistan while the taxpayer was resident and the status changed as of the date of Amnesty Scheme then the procedure would be entirely for declaration of assets/ income.
If the non-resident person purchased assets inside Pakistan and there is no trace of money trail/ funds (funds sent to Pakistan for acquiring such assets lacks documentary evidence and applicability of section 111(4) of the Income Tax Ordinance, 2001) used in acquiring such assets then Tax Amnesty applies as it is.
In case the assets acquired are backed by money trail and funds flow to Pakistan or money generated abroad sent to Pakistan through legal means, at the same time the taxpayer’s is non-resident at the time of such purchase/ acquisition, then Tax Amnesty Scheme does not apply on such assets.
Assets purchased outside Pakistan
If the non-resident person purchased assets outside Pakistan and there is no trace of money trail/ funds used in acquiring such assets then Tax Amnesty applies as it is.
In case the assets acquired are backed by money trail and funds flow either from Pakistan or money generated abroad, at the same time the taxpayer’s is non-resident at the time of such purchase/ acquisition, then Tax Amnesty Scheme does not apply on such assets.
See Tax Amnesty Scheme 2019 tax rates.
However, it is If the declaration is not based on facts, then the application will be void.
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