CIRCULAR NO. 01/2013 (INCOME TAX), Islamabad, the 18th January, 2013

TAXABILITY OF JOINT VENTURES IN WHICH ONE PARTNER IS A NON-RESIDENT COMPANY -INSTRUCTIONS REGARDING F.No.3(56)(Int.Taxes)/1995 GOVERNMENT OF PAKISTAN (REVENUE DIVISION) FEDERAL BOARD OF REVENUE INLAND REVENUE Islamabad, the 18th January, 2013 CIRCULAR NO. 01/2013 (INCOME TAX) CIRCULAR NO. 01/2013 (INCOME TAX), Islamabad, the 18th January, 2013:- It has been brought to the notice of the Board that the taxation of non-resident Association of Persons (AOPs)/Joint Venture (JVs) has been meeted out differening treatments across jurisdictions on the basis of Circular No. 4 of 1964, and Circular No. 8 of 1986, and other instructions issued by the Board from time to time. 2. The matter has been reconsidered at the Board and it has been decided that the income of JVs under all circumstances is to be assessed in the capacity of an AOP as per clear provisions of Section 92 of the Income Tax Ordinance, 2001 (hereinafter "the Ordinance"), and the income of the AOP…