Income Tax Ordinance, 2001

Eleventh Schedule

Eleventh Schedule

1[ELEVENTH SCHEDULE[Sec section 100D]RULES FOR COMPUTATION OF PROFITS AND GAINS OF BUILDERS AND DEVELOPERS AND TAX PAYABLE THEREON1. Eligibility.- These rules shall apply to projects undertaken by builders and developers under section 100D.2. Scope and payment of tax.- (1) Income computed and tax payable thereon shall be on Project-by-Project basis which shall be computed and paid at the rates provided in rule 10.(2) (a) The above-referred rates shall be applicable for computing tax liability for the project on annual basis. The annual tax liability shall be worked out as under:Tax liability as per the rates in rule 10___________________________Estimated project life in years(b) The estimated project life for tax purposes shall not exceed 2[three] and a half years:3[Provided that in case of existing incomplete projects, the estimated project life shall be treated as four years maximum from tax year 2020 through tax year 2023 and the tax payable shall be reduced by the percentage of completion up to the last day of accounting period pertaining to tax year 2019 or tax year 2020 as declared in the registration form.]4[***](c) Year shall include fraction of a year; and(d) The tax liability so calculated and paid shall be final tax.3. Registration and filing of return.- (1) A builder or developer shall electronically register a project on Iris through FBR website on or before the 5[31st day of December, 2021] through submission of-(a) registration form as may be prescribed which shall include, inter alia, details of a member or shareholder of a builder or developer, as the case may be:Provided that a developer who is also a builder in case of a project shall submit two separate forms for registration as a developer and as a builder 6[:]Provided further that where benefit of sub-section (3) of section 100D is required to be claimed by builder or developer, the project shall be registered latest by 30th day of June, 2021; and](b) an irrevocable option to be assessed under this Schedule in respect of each project.(2) A builder or developer availing this scheme shall electronically file a return of income and wealth statement as may be prescribed accompanied with…