Finance Bill 2017 is likely to grant tax credit for investment in Sukuk in budget (2017-18) to encourage individuals to invest in Sukuk bringing its investors at par with the investors of shares. Sources said that the FBR has agreed to the said proposal of the SECP for incorporation in the Finance Bill 2017. According to the budget proposal of the SECP for 2017-18, currently tax credit for investment in shares and insurance is available under section 62 however there is no provision of tax credit in respect of investment in Sukuk.

Copyright Business Recorder, 2017