Exemption of Income Tax for Park Developers

The government has exempted Income tax of the Park Developers from the date the developer starts gaining income at Hi-Tech Parks as per the following:

Rates:

For the 1st to 10th years  :  100%

11th year-                         :   70%          

12th year                          :    30%

Conditions:

(1) The developer shall be a company as per Section (2), Sub-section (20) of the Income Tax Ordinance;

(2)    The developer shall seek Tax-payers Identification Number (TIN);

(3)    The developer shall record account as per section 35 and submit income tax return in time under section 75 before the income tax authority.

S.R.O. No. 229-Law/Income Tax//2015, Date: 08 July 2015

Exemptions of Income Tax for Foreign Employees

The government has exempted 50%of income tax to any foreign employee for next 03 (three) years from the date of his appointment in any company located at Hi-Tech Parks and within 5 (five) years of started gaining income, subject to the following conditions:

(1) The foreign employee shall receive Tax-payers Identification Number (TIN);

(2) The foreign employee shall record account as per section 35 and submit income tax return in time under section 75 before the income tax authority.

S.R.O. No. 300-Law/Income Tax//2015, Date: 08 July 2015

Exemption of Income Tax for Investors (Company)

The government has exempted Income tax of investor companies from the date the company starts gaining income at Hi-Tech Parks as per the following:

Rates:

For the 1st to 7th  years   :  100%,

For 8th to 10th  years       :    70%;

Conditions:

(1) The company shall seek Tax-payers Identification Number (TIN);

(2) The company shall record account as per section 35 and submit income tax return in time under section 75 before the income tax authority.

Exemption of Tax for Investors- S.R.O. No. 352/Law/Income Tax//2018, Date: 29 November, 2018

Exemption of Income Tax for Investors (Company)

The government has exempted Income tax of investor companies from the date the company starts gaining income at Hi-Tech Parks as per the following:

Rates:

For the 1st to 3rd years   :  100%,

4th year                          :   80%,

5th year                          :    70%

6th year                          :    60%,

7th year                          :    50%,

8th year                          :  40%,

9th year                          :  30%,

10th year                        :   20%;

Conditions:

(1) The company shall seek Tax-payers Identification Number (TIN);

(2)   The company shall record account as per section 35 and submit income tax return in time under section 75 before the income tax authority.

Exemption of Tax for Investors- S.R.O. No. 228-Law/Income Tax//2015, Date: 08 July 2015

[The rates are modified by the S.R.O. No. 352/Law/Income Tax//2018, Date: 29 November, 2018]

Exemption of  Income Tax on  Dividend, Share Transfer, Royalty, Technical Fees for Investor (Company)

The government has exempted 50% of income tax to the Companies for 10 years from the date of  initiation of business i.e. from the date the Company starts gaining income from the business:

(a)  upon its declared Profit/Dividend,

(b) upon its invested profit due to transfer of Shares,

(c)upon its payable Royalties, Technical know-how and Technical assistance fees;

Subject to the following conditions:

(1) The company shall seek Tax-payers Identification Number (TIN);

(2) The company shall record account as per section 35 and submit income tax return in time under section 75 before the income tax authority.

S.R.O. No. 301-Law/Income Tax//2015, Date: 08 July 2015

Exemption of  Income Tax on  declared Dividend for Park Developers

The government has exempted 100% of income tax to the Developers for 10 years from the date of  initiation of business i.e. from the date the Developer starts gaining income from the business upon its declared profit/dividend; subject to the following conditions:

(1)    The developer shall be a company as per Section (2), Sub-section (20) of the Income Tax Ordinance;

(2) The developer shall seek Tax-payers Identification Number (TIN);

(3) The developer shall record account as per section 35 and submit income tax return in time under section 75 before the income tax authority.

S.R.O. No. 302-Law/Income Tax//2015, Date: 08 July 2015