CIRCULAR No. 26 / 2016, August 25, 2016

Securities and Exchange Commission of Pakistan’s Official Twitter Account PART I ACTS, ORDINANCES, PRESIDENT'S ORDERS AND REGULATIONS NATIONAL ASSEMBLY SECRETARIAT Islamabad, the 29th January, 2016 No. F.22(41)/2016-Legis.- The following Act of Majlis-e-shoora (Parliament) received the assent of the President on the 29th January, 2016 and is hereby published for general information:- Act No, II of 2016 An Act further to amend the Income Tax Ordinance, 2001 WHEREAS it is expedient further to amend the Income Tax Ordinance, 2001 (XLIX of 2001), for the purposes hereinafter appearing; It is enacted as follows:- 1. Short title and commencement.- (1) This Act may be called the Income Tax (Second Amendment) Act, 2016. (2) It shall come into force at once. 2. Amendment of section 153 and 236P and Second Schedule, Ordinance XLIX of 2001.- In the Income Tax Ordinance, 2001 (XLIX of 2001).- (1) in section 153,- (a) in sub-section (3), in the proviso, in clause (b), for semicolon and the word ";and" the expression ",provided that-" shall be substituted and thereafter the following sub-clauses shall be added, namely: - "(i) where the aforesaid minimum tax for providing or rendering services, in respect of sectors as specified in clause (94) of Part IV of the Second Schedule is in excess of tax payable under Division II of Part I of the First Schedule, the excess amount of tax paid shall be carried forward for adjustment against tax liability under the aforesaid Part of the subsequent tax year; (ii) where the excess tax is not wholly adjusted, the amount not adjusted shall be carried forward to the following tax year and adjusted against tax liability under the aforesaid Part for that year, and so on, but the said excess shall not be carried forward to more than five tax years immediately succeeding the tax year for which the excess was first paid; and (iii) the said excess amount shall not be carried forward in case of a company for which provisions of this clause are not applicable under clause (94) of Part IV of the Second Schedule; and"; and (b) after sub-section (4), the following new sub-section shall be inserted, namely:- "(4A) The Commissioner, on an application…