S.R.O. 166(I)/2017, Islamabad, the 15th March, 2017.

Amendments in Income Tax Rules, 2002 GOVERNMENT OF PAKISTAN REVENUE DIVISION FEDERAL BOARD OF REVENUE ***** Islamabad, the 15th March, 2017. NOTIFICATION (Income Tax) S.R.O. 166(I)/2017.- In exercise of the powers conferred by sub-section (1) of section 237 of the Income Tax Ordinance, 2001 (XLIX of 2001), the Federal Board of Revenue is pleased to direct that the following further amendments shall be made in the Income Tax Rules, 2002, the same having been previously published vide Notification No. S.R.O 101(I)/2017, dated the 17th February, 2017, as required by sub-section (3) of the said section namely In the aforesaid Rules, - (1) After Chapter XII, the following new Chapter shall be added, namely:- "CHAPTER XIIA COMMON REPORTING STANDARD 78A. Application. - This Chapter contains rules for reporting financial institutions to provide information to the Federal Board of Revenue for the purposes of section 107 read with section 165B of the Income Tax Ordinance, 2001 (XLIX of 2001). 78B. Definitions.- In this Chapter, - (a) "Reporting Financial Institution" means any Participating Jurisdiction Financial Institution that is not a Non-Reporting Financial Institution; (b) "Participating Jurisdiction Financial Institution" means- (i) any Financial Institution that is resident in a Participating Jurisdiction, but excludes any branch of that Financial Institution that is located outside such Participating Jurisdiction; and (ii) any branch of a Financial Institution that is not resident in a Participating Jurisdiction, if that branch is located in such Participating Jurisdiction; (c) "Financial Institution" for the purposes of this Chapter, the term means a Custodial Institution, a Depository Institution, an Investment Entity or a Specified Insurance Company; (d) "Custodial Institution" means any Entity that holds, as a substantial portion of its business, Financial Assets for the account of others. An Entity holds Financial Assets for the account of others as a substantial portion of its business if the Entity's gross income attributable to the holding of Financial Assets and related financial services equals or exceeds twenty per cent of the Entity's gross income…