Withholding Tax Card 2016/2017: advance tax on extraction of minerals
KARACHI: Federal Board of Revenue (FBR) has updated advance tax rates to be collected on extraction of minerals during 2016/2017.
Advance tax on extraction of minerals under section 236V of Income Tax Ordinance, 2001.
Sub-Section (1): There shall be collected advance tax at the rate 5 percent of the value of the minerals for non-filers and 0 percent for filers on the value of minerals extracted, produced, dispatched and carried away from the licensed or leased areas of the mines.
Sub-Section (2): Advance tax under sub-section (1) shall be collected by the provincial authority collecting royalty per metric ton from the lease-holder of mines or any person extracting minerals.
Sub-Section (3): Advance tax collected under this section shall be adjustable.
Sub-Section (4): The value of the minerals for the purpose of this section shall be as specified by the Board.