Clause 3: Customs Act, 1969.
A. In clause 3,-
(1) In sub-clause (1), paragraphs (a), (b), (d) and (e) shall be deleted;
(2) Sub-clause (2), shall be deleted;
(3) Sub-clause (3) shall be deleted;
(4) In sub-clause (4) for proviso, the following shall be substituted, namely:-
"Provided that offences relating to goods imported or exported in violation of intellectual Property Rights shall, notwithstanding any thing contained in any other law for the time being in force, be adjudicated in terms of section 179 by the appropriate officer of customs.";
(5) Sub-clause (6), in paragraph (b) for the word "including" the word "or" shall be substituted;
(6) Sub-clause (7), shall be deleted;
(7) In sub-clause (8), for comma between figures "18A" and "18C", the word "and" shall be substituted and the words and figure "and 18D" shall be deleted.
(8) For sub-clause (9), the following shall be substituted, namely:-
"(9) in section 32, in sub-section (1) (b) after the word "particular" the comma be substituted by the word "or" and the words "he shall be guilty of an offence under this section" be deleted and the following shall be added as sub clause(c):-
"(c) submits any false declaration electronically through automated clearance systems regarding any matter of Customs, shall be guilty of an offence under this section.";
(9) Sub-clause (10), shall be deleted;
(10) In sub-clause (13), paragraph (a) shall be deleted;
(11) Sub-clause (15) shall be deleted;
(12) In sub-clause (16) for the paragraph (a), following shall be substituted; namely:-
"(a) In section 155F, for the proviso, the following shall be substituted, namely:-
"Provided that the Collector of customs may, in exceptional circumstances, after recording reasons in writing suspend the use of unique user identifier of any person forthwith on receipt of any complaint or information about violation of provisions of this Act.";
(13) sub-clause (17), paragraph (a) shall be deleted;
(14) sub-clause (18) shall be deleted;
(15) in sub-clause (19), paragraph (c) shall be deleted;
(16) in sub-clause (20),-
(i) paragraph (a) shall be deleted; and
(ii) in paragraph (b), for the proviso, the following shall be substituted, namely:-
"Provided further that for the stay of recovery of any amount of duty and taxes beyond period of one month in aggregate, opportunity of being heard shall be provided to the respondents. Provided further that stay for recovery of duty and taxes shall not exceed six months.
(17) for sub-clause (21), the following shall be substituted, namely:-
"(21) in section 194-C,-
(i) in sub-section (3), the first and second provisos shall be omitted;
(ii) in sub-section (4), in clause ( c ), for the word "ten" the word "five" shall be substituted;"
(18) sub-clause (22), shall be deleted;
(19) in sub-clause (23),-
(i) paragraph (a) shall be deleted;
(ii) in paragraph (b)(i) for the words "one hundred and eighty" the word "ninety" shall be substituted; and
(iii) for the paragraph ( c) following shall be substituted, namely:-
"(c) after sub-section(3), the following new sub-section shall be inserted; namely:-
"(3A). If the Committee constituted under sub-section(2) fails to make recommendations with in a stipulated period of ninety days, the Board may dissolve the committee and constitute a new committee which shall decide the matter within a further period of ninety days, and after expiry of that period, if the dispute is not resolved, the matter shall be taken up by the appropriate forum for decision.";
(iv) paragraph (e) shall be deleted;
(20) sub-clause (24), shall be deleted;
(21) sub-clause (25), shall be deleted;
(22) sub-clause (27), shall be deleted;
(23) in sub-clause (28), in the Schedule, the following amendments shall be made, namely:-
(i) after PCT CODE "2915.3600" in column (1), the following PCT CODE and the entries relating thereto in column (2) and (3), shall be inserted, namely:-
"3204.1100 - Disperse dyes and 10; preparations based thereon
(ii) against PCT CODE "3906.9030" in column (1), in column (3) for the figure "10" the figure "0" shall be substituted;
(iii) after PCT CODE "3906.9030" in column (1), the following PCT CODE and the entries relating thereto in column (2) and (3), shall be inserted, namely:-
"3906.9040 --Dispersing agent and 0" acrylic thickeners
(iv) after PCT CODE "3926.9050" in column (1), the following PCT CODE and the entries relating thereto in column (2) and (3), shall be inserted, namely:-
"4801.0000 Newsprint, in 5". Rolls or sheets.
Clause 5: Sales Tax Act, 1990
(1) in clause 5, sub-clause (1)(a) shall be omitted;
(2) in clause 5, in sub-clause (1)(b), for the word "applicable", the word "prevalent" shall be substituted;
(3) in clause 5, in sub-clause (3)(b), the proviso shall be substituted, namely:-
"Provided further that any period during which the proceedings are adjourned on account of a stay order or Alternative Dispute Resolution proceedings or the time taken through adjournment by the petitioner not exceeding thirty days shall be excluded from the computation of the periods specified in the first proviso."
(4) in clause 5, sub-clause (4) shall be omitted;
(5) in clause 5, sub-clause (5) shall be omitted;
(6) in clause 5, sub-clause (6) shall be omitted;
(7) in clause 5, sub-clause (8)(a)(i)(b) shall be omitted;
(8) in clause 5, sub-clause (8)(a)(ii) shall be omitted;
(9) in clause 5, in sub-clause (9)(b), the proviso shall be substituted, namely:-
"Provided further that any period during which the proceedings are adjourned on account of a stay order or Alternative Dispute Resolution proceedings or the time taken through adjournment by the petitioner not exceeding thirty days shall be excluded from the computation of the periods specified in the first proviso."
(10) in clause 5, after sub-clause (9), a new sub-clause shall be inserted, namely:-
"(9A) In section 38, in sub-section (1), the words "or the Collector" shall be omitted;
(11) in clause 5, sub-clause (10) shall be omitted;
(12) in clause 5, sub-clause (11) shall be omitted;
(13) in clause 5, in sub-clause (12)(b), the proviso shall be substituted, namely:-
"Provided further that any period during which the proceedings are adjourned on account of a stay order or Alternative Dispute Resolution proceedings or the time taken through adjournment by the petitioner not exceeding thirty days shall be excluded from the computation of these periods."
(14) in clause 5, sub-clause (14)(a) shall be omitted;
(15) in clause 5, sub-clause (14)(b) shall be substituted, namely:-
"sub-section (3) shall be substituted as under:
(3) The committee constituted under sub-section (2) shall examine the issue and may if it deems fit, conduct inquiry, seek expert opinion, direct any officer of the sales tax or any other person to conduct an audit and shall make recommendations within ninety days of its constitution in respect of the dispute.
If the committee fails to make recommendations within the said period the Board shall dissolve the committee and constitute a new committee which shall decide the matter within a further period of ninety days. If after the expiry of that period the dispute is not resolved the matter shall be taken up by the appropriate forum for decision."
(16) in clause 5, in sub-clause (16), after serial number (v), a new serial number (va) shall be inserted, namely:-
"(va) against serial number 32,-
(i) in column (2), for the word "Newspapers", the words and comma "Newsprint, newspapers" shall be substituted;
(ii) in column (3), before figures and full stop "4901.9100", the figures, full stop and comma "4801.0000," shall be inserted;
Clause 6:Income Tax Ordinance 2001(XLIX
C. in clause 6,
(1) in clause (1), amending section 2,
(a) sub-clause(a) shall be deleted;
(b) sub-clause (c), in new clause (30AA), for the word "offered" the word "Offered" shall be substituted;
(c) sub-clause (d), shall be deleted;
(2) in clause (3), in amending section 12, in the proviso, for the figure "2009" the figure "2010" shall be substituted;
(3) clause (4), amending section 13, shall be deleted;
(4) clause (5), amending section 15, sub-clause (a) and (b) shall be deleted;
(5) cause (17), amending section 90, shall be deleted;
(6) clause (18), amending section 92, sub-clauses (a) and (b) shall be deleted;
(7) clause (22), amending section 115, in sub-clause (b)(i), the figure and comma "154", shall be deleted;
(8) clause (27), amending section 129, sub-clause (b) shall be deleted;
(9) clause (29), amending section131, in sub-clause (b), for the proviso, the following shall be substituted, namely:-
"Provided further that the Appellate Tribunal may stay the recovery of tax on filing the appeal which order will remain operative for thirty days and during which period a notice shall be issued to the respondent and after hearing the parties, order may be confirmed or varied as the Tribunal deems fit."
(10) clause(30), amending section 134A,-
(a) in sub-clause (c), the following new sub-section3A shall be substituted, namely:-
"(3A) The Committee constituted under sub-section(2) shall examine the issue and may if it deem fit necessary conduct inquiry seek expert opinion, direct any officer of the Income Tax or any other person to conduct an audit and shall make recommendations within ninety days of its constitution in respect of the resolution of the dispute.
If the committee fails to make recommendations within the said period the Board shall dissolve the committee and constitute a new committee which shall decide the matter within a further period of ninety days. If after the expiry of that period the dispute is not resolved the matter shall be taken up by the appropriate forum for decision.:" and
(b) sub-clause (e) shall be deleted;
(11) clause (32), amending section 138, shall be deleted;
(12) clause (33), amending section 147,-
(a) sub-clause (b), shall be deleted;
(b) In sub-clause (c), the words "or an association of persons" shall be omitted;
(c) after sub-clause (e), the following shall be inserted, namely:-
(i) In sub-section(5), for the words "a taxpayer" the words "an individual or an association of persons" shall be substituted;
(ii) after sub-section(5), the following new sub-section shall be inserted, namely:-
"(5A) Advance tax is payable by a company to the Commissioner-
(a) in respect of the September quarter, on or before the 15th day of October;
(b) in respect of the December quarter, on or before the 15th day of January;
(c) in respect of the March quarter, on or before the 15th day of April; and
(d) in respect of the June quarter, on or before the 15th day of June.";
(13) clause (37), amending section 154,-
(i) for sub-clause (3C), the following shall be substituted, namely:-
"(3C) The Collector of Customs at the tiem of clearing of goods exported shall collect tax from the gross value of such goods at the rate specified in Division IV of Part III of the First Schedule:";
(ii) sub-clause (b), shall be deleted;
(14) clause (39), amending section 165, shall be deleted
(15) clause (40), amending section 168, sub-clause (b)(ii), shall be deleted;
(16) clause (41), amending section 169, sub-clause (b), shall be deleted;
(17) clause (42) amending section 170, for the word "ninety" the word "sixty" shall be substituted;
(18) clause (43), inserting new section170A, shall be deleted;
(19) clause (45), amending section 174, shall be deleted;
(20) clause (46), amending section176, for sub-clause (c), the following shall be substituted, namely:-
"(c) the firm of chartered accountants, as appointed by the Board to conduct audit under section177, for any tax year, may with the prior approval of the Commissioner concerned, enter the business premises of a taxpayer, selected for audit, to obtain any information, require production of any record, on which the required information is stored and examine it within such premises; and such firm may if specifically delegated by the commissioner, also exercise the powers as provided in sub-section(4).";
(21) clause (48), amending section 191, sub-clause (a)(i)(ii), shall be deleted;
(22) clause (52), amending section 185, sub-clauses (a)(b), shall be deleted;
(23) clause (53), amending section 196, shall be deleted;
(24) clause (55), amending section 198, shall be deleted;
(25) clause (56), amending section201, shall be deleted;
(26) clause(58), amending section 205, sub-clause ( c)(ii), shall be deleted.
(27) Clause (59), amending section 209, shall be deleted;
(28) Clause (62), amending section 228, shall be deleted;
(29) Clause (66), amending section General Amendments, shall be deleted;
(30) Clause (67), amending First Schedule,-
(a) sub-clause(a),-
(i) paragraph (i), in clause (b) in the Table, at serial numbers "2 to 10" the words "but does" be separated;
(ii) paragraph (i), for the figure "2009" occurring at the end, the figure "2010" shall be substituted;
(iii) paragraph (iii), in clause (b) in the Table, for the figures
"20,500" the figure "20,000" shall be substituted;
(b) sub-clause (c),-
(i) paragraph (i), shall be deleted;
(ii) paragraph (iii), in clause (b) in the Table, for the figures "20,500" the figure "20,000" shall be substituted;
(c) sub-clause (d), paragraphs (i) and (iii), shall be deleted;
(31) clause (68), amending Second Schedule,-
(a) sub-clause(a)
(i) paragraph (ii)(a) (b), shall be deleted;
(ii) paragraph (iv), shall be deleted;
(b) sub-clause (b),
(i) after paragraph (ii), the following new paragraph (iia) shall be inserted, namely:-
"(9A) Tax under section 148 shall be collected at the rate of 3% on the import value of raw material imported by an industrial undertaking for its own use.";
(i) paragraph (iii) and (iv) shall be deleted;
(c) in sub-clause (c), paragraph (ii) shall be deleted.
(d) In sub-clause (d),-
(i) in paragraph (ii) for sub-paragraph (b), the following shall be substituted, namely:-
"(b) after proviso to clause (16), the following new clause shall be inserted, namely:-
(16A) The provisions of section 153 (1)(b) shall not be applicable to the news print media services in respect of the advertising services.";
(ii) paragraph (vii), shall be deleted;
(32) clause (71), amending Seventh Schedule, the following Seventh Schedule shall be substituted, namely:-
"in the SEVENTH SCHEDULE,
(a) in rule 1,-
(i) for sub-rule ( c), the following shall be substituted, namely:-
"(c) Provisions for advances and off balance sheet items shall be allowed upto a maximum of 1% of total advances; provided a certificate from the external auditor is furnished by the banking company to the effect that such provisions are based upon and are in line with the Prudential Regulations. Provisioning in excess of 1% would not be allowed to be carried over to succeeding years:
Provided that if provisioning is less than 15 of the advances, then actual provisioning for the year shall be allowed."
(ii) after sub-rule ( c), substituted as aforesaid, the following new sub-rules shall be inserted, namely:-
"(d) The amount of "bad debts" classified as "sub-standard" under the Prudential Regulations issued by the State Bank of Pakistan shall not be allowed as expense.
(e) where any addition made under sub-rule (d) is reclassified by the taxpayer under Prudential Regulations issued by the SBP, as 'doubtful' or 'loss', provision of sub-rule ( c) shall mutatis mutandis apply in computing the provision for that tax year.
(f) Where any addition made under sub-rule (d) is reclassified by the taxpayer in a subsequent year as 'recoverable', a deduction shall be allowed in computing the income for that tax year.";
(iii) after rule 6, the following new rule 7A shall be inserted, namely:-
"7A. The provisions of section 113 shall apply to banking companies as they apply to any other resident company.";
Clause 7: Federal Excise Act, 2005
D. In clause 7,
(1) in clause 7, sub-clause (1)(a) shall be omitted;
(2) in clause 7, sub-clause (2) shall be omitted;
(3) in clause 7, sub-clause (3) shall be omitted;
(4) in clause 7, sub-clause (5) shall be omitted;
(5) in clause 7, sub-clause (6) shall be omitted;
(6) in clause 7, sub-clause (8)(a) shall be omitted;
(7) in clause 7, clause (8)(b)(ii) shall be substituted, namely:-
"(ii) after the colon at the end, the following new proviso shall be inserted, namely:-
Provided that any period during which the proceedings are adjourned on account of a stay order or Alternative Dispute Resolution proceedings or the time taken through adjournment by the petitioner not exceeding thirty days shall be excluded for the computation of these periods."
(8) in clause 7, clause (9)(ii) shall be substituted, namely:-
"(ii) for the full stop at the end a colon shall be substituted and thereafter the following new proviso shall be added, namely:-
Provided further that any period during which the proceedings are adjourned on account of a stay order or Alternative Dispute Resolution proceedings or the time taken through adjournment by the petitioner not exceeding thirty days shall be excluded for the computation of these periods."
(9) in clause 7, sub-clause (11) shall be omitted;
(10) in clause 7, sub-clause (12)(a) shall be omitted;
(11) in clause 7, sub-clause 12(b) shall be substituted, namely:-
"Sub-section (3) of section 38 shall be substituted as under:
(3) The committee constituted under sub-section (2) shall examine the issue and may if it deems fit, conduct inquiry, seek expert opinion, direct any officer of the sales tax or any other person to conduct an audit and shall make recommendations within ninety days of its constitution in respect of the dispute. If the committee fails to make recommendations within the said period the Board shall dissolve the committee and constitute a new committee which shall decide the matter within a further period of ninety days. If after the expiry of that period the dispute is not resolved the matter shall be taken up by the appropriate forum for decision."
(12) in clause 7, in sub-clause (13), the proviso shall be substituted, namely:-
"Provided that where there is reason to believe that a person has claimed the refund which is not admissible to him he shall not be entitled to additional amount unless the investigation of his claim is completed."
(13) in clause 7, in sub-clause (14)(b),-
(i) for serial number (i), the following shall be substituted, namely:-
"2A.
Advertisements in newspapers and periodicals (excluding classified advertisements), and on hoarding boards, pole signs and sign boards.
9802.4000 and 9802.9000
Sixteen per cent of the charges.";
(ii) against serial number (ii), for the word "nineteen", the words "nineteen and a half" shall be substituted;
(iii) serial number (iii) shall be omitted;
Ordinance XXV of 1961
Clause 8
In sub-clause 7, in the Fifth schedule forming part of the sub-clause, entry Nol6, relating of the compressed natural gas (CNG) is deleted.
(Hina Rabbani Khar)
Minister of State for Finance & Revenue