Withholding Tax Card 2016/2017: private motor vehicles

fbr

KARACHI: The Federal Board of Revenue (FBR) has updated advance tax rates on registration or leasing of private motor vehicles applicable at different rates for filers and non-filers during fiscal year 2016/2017.
Section 231B of Income Tax Ordinance, 2001 related to advance tax on private motor vehicles.
Provided that the rate of tax to be collected shall be reduced by 10 percent each year from the date of first registration in Pakistan.
Sub-section (1): Every motor vehicle registering authority of Excise and Taxation Department shall collect advance tax at the time of registration of a motor vehicle, at

S. No. Engine capacity For filers Tax for non-filer
(1) (2) (3) (4)
1. upto 850cc Rs. 10,000 Rs. 10,000
2. 851cc to 1000cc Rs. 20,000 Rs. 25,000
3. 1001cc to 1300cc Rs. 30,000 Rs. 40,000
4. 1301cc to 1600cc Rs. 50,000 Rs. 100,000
5. 1601cc to 1800cc Rs. 75,000 Rs. 150,000
6. 1801cc to 2000cc Rs. 100,000 Rs. 200,000
7. 2001cc to 2500cc Rs. 150,000 Rs. 300,000
8. 2501cc to 3000cc Rs. 200,000 Rs. 400,000
9. Above 3000cc Rs. 250,000 Rs. 450,000

Provided that no collection of advance tax under this sub-section shall be made after five years from the date of first registration as specified in clauses (a), (b) and (c) of sub-section (6).
(1A) Every leasing company or a scheduled bank or an investment bank bank or a development finance institution or a modaraba shall, at the time of leasing of a motor vehicle to a non-filer, collect advance tax at the rate of three per cent of the value of the motor vehicle.
Sub-section (2): Every motor vehicle registering authority of Excise and Taxation Department shall collect advance tax at the time of transfer of registration or
ownership of a private motor vehicle, at

S. No. Engine capacity For filers Tax for non-filer
(1) (2) (3) (4)
1. upto 850cc 5000
2. 851cc to 1000cc 5,000 15,000
3. 1001cc to 1300cc 7,500 25,000
4. 1301cc to 1600cc 12,500 65,000
5. 1601cc to 1800cc 18,750 100,000
6. 1801cc to 2000cc 25,000 135,000
7. 2001cc to 2500cc 37,500 200,000
8. 2501cc to 3000cc 50,000 270,000
9. Above 3000cc 62,500 300,000

Provided that no collection of advance tax under this sub-section shall be made on transfer of vehicle after five year from the date of first registration in Pakistan.

Sub-section (3): Every manufacturer of a motor vehicle shall collect, at the time of sale of a motor car or jeep, advance tax from the person to whom such sale is made.

S. No. Engine capacity For filers Tax for non-filer
(1) (2) (3) (4)
1. upto 850cc Rs. 10,000 Rs. 10,000
2. 851cc to 1000cc Rs. 20,000 Rs. 25,000
3. 1001cc to 1300cc Rs. 30,000 Rs. 40,000
4. 1301cc to 1600cc Rs. 50,000 Rs. 100,000
5. 1601cc to 1800cc Rs. 75,000 Rs. 150,000
6. 1801cc to 2000cc Rs. 100,000 Rs. 200,000
7. 2001cc to 2500cc Rs. 150,000 Rs. 300,000
8. 2501cc to 3000cc Rs. 200,000 Rs. 400,000
9. Above 3000cc Rs. 250,000 Rs. 450,000

Sub-section (4): Sub-section (1) shall not apply if a person produces evidence that tax under sub-section (3) in case of a locally manufactured vehicle or tax under section 148 in the case of imported vehicle was collected from the same person in respect of the same vehicle.
Sub-section (5): The advance tax collected under this section shall be adjustable:
Provided that the provisions of this section shall not be applicable in the case of –
(a) the Federal Government;
(b) a Provincial Government;
(c) a Local Government;
(d) a foreign diplomat; or
(e) a diplomatic mission in Pakistan.]
Sub-section (6): For the purposes of this section the expression date of first registration means—
(a) the date of issuance of broad arrow number in case a vehicle is acquired from the Armed Forces of Pakistan;
(b) the date of registration by the Ministry of Foreign Affairs in case the vehicle is acquired from a foreign diplomat or a diplomatic mission in Pakistan;
(c) the last day of the year of manufacture in case of acquisition of an unregistered vehicle from the Federal or a Provincial Government; and
(d) in all other cases the date of first registration by the Excise and Taxation Department.
Sub-section (7): For the purpose of this section ‘motor vehicle’ includes car, jeep, van, sports utility vehicle, pick-up trucks for private use, caravan automobile, limousine, wagon and any other automobile used for private purpose.

(Visited 13,992 times, 2 visits today)