Incomes, or classes of income, or persons or
classes of persons, enumerated below, shall be exempt from tax, subject to the conditions
and to the extent specified hereunder:-
Agricultural income :
(1) Agricultural Income [ : ]
Provided
that, in case an assessee has, in any income year, any income (other than the agricultural
income) which is chargeable to tax (hereinafter called "chargeable income"), the
agricultural income shall be included in the total income, so however that the tax payable
on the chargeable income shall be an amount which bears the same proportion to the
chargeable income as the tax on total income bears to the total income:
Provided further that nothing contained in the first proviso shall apply in the case of an
individual, not being a director of a company, whose chargeable income does not consist
of, or include, income chargeable under the head 'income from business or profession'.
Salary income :
(2) Any income chargeable under the head "Salary" derived by any employee of a
foreign Government (including a consular or other officer or a non-diplomatic
representative) as remuneration for services to such Government, if-
(a) such employee is a citizen of the foreign country and not a citizen of Pakistan; and
(b) the services performed by him are of a character similar to those performed by
employees of the Government of Pakistan in foreign countries; and
(c) the foreign Government grants a similar exemption to employees of the Government of
Pakistan performing similar services in such foreign country.
The Expatriate Employees of the International
Irrigation Management Institute (IIMI), Pakistan:
(7B) Any income chargeable under the head "Salary" received by, or due to, any
person being an employee of the International Irrigation Management Institute (MI) in
Pakistan, who is neither a citizen of Pakistan nor was resident in Pakistan in any of the
four years immediately preceding the year in which he arrived in Pakistan.
(7C) Any income chargeable under the head
"Salary" received by, or due to, any person (who is neither a citizen of
Pakistan nor was resident in Pakistan in any of the four years immediately preceding the
year in which the arrived in Pakistan) for the period ending the thirtieth day of June,
1999, from the date of his arrival in Pakistan, as remuneration for services rendered by
him during such period as an expert under a contract of service approved by the
Commissioner of Income Tax for the purposes of this clause, employed by the Agha Khan
Hospital and Medical College Foundation, Karachi:
Provided that the total number of expatriate employees enjoying exemption under this
clause shall not exceed seventeen in number.
Explanation.- For the purpose of this clause, the expression "expert" means a
professionally qualified person who possesses specialized knowledge in the fields of
medicine, surgery, including general medicine pathology, pharmacy, obstetrics,
paediatrics, nursing intensive care, central sterile supply, consulting clinic, medical
record, health/hospital administration, community health sciences and all branches of
basic health sciences, including bio-chemistry, cellular biology, anatomy, physiology,
psychiatry, microbiology, pharmacology, anaesthesiology, radiology and allied fields of
health, hospital management or administration, or in other branches of higher learning in
aforesaid educational fields, teacher training and educational research and whose
employment in Pakistan, irrespective of his designation or capacity in which he is
employed to impart such specialized knowledge and experience.
(7D) Any income chargeable under the head
"Salary" received by, or due to, any person, not being a citizen of Pakistan or
a person resident in Pakistan, as remuneration for services rendered by him as a health
professional under the contract of service concluded with Shaukat Khanum Memorial Hospital
and Research Center, Lahore, and approved by the Federal Government for the purposes of
this clause.
(7E) Any income chargeable under the head
"Salary" due to, or received by a person who, not being a citizen of Pakistan,
is engaged as an expert or technical, professional, scientific advisor or consultant or
senior management staff by institutions of the Agha Khan Development Network, (Pakistan)
listed in Schedule 1 of the Accord and Protocol dated November 13, 1994 executed between
the Government of the Islamic Republic of Pakistan and Agha Khan Development Network. (7F) Any income
chargeable under the head salary received by a Pakistani seafarerworking on a foreign
vessel provided that such income is remitted to Pakistan, not laterthan two months of the
relevant income year, through normal banking channels.
(9) Any allowance or perquisite paid or allowed as such outside Pakistan by the Government
to a citizen of Pakistan for rendering service outside Pakistan.
(12) Any income chargeable under the head "Salary" of persons, [ ] who are stationed in Pakistan in accordance with the terms
of an Aid Agreement entered into by the Government of Pakistan with the Government of the
country to which such persons belong or with any international agency and whose salary is
paid by such Government or agency out of funds or grants released as aid to Pakistan in
pursuance of such Agreement.
(12A) Any income of a person who, not being
a citizen of Pakistan [ ] is engaged as a
contractor, consultant or expert on a project in Pakistan financed out of grant funds in
accordance with the terms of a bilateral or multilateral technical assistance agreement
entered into by the Government of Pakistan with any foreign government, international
donor agency or bank or other aid-giving organisation and derives such income out of the
funds of the grant in pursuance of such agreement:
(16) Any pension received by a person, being a citizen of Pakistan, by virtue of his
former employment, with the approval of the Federal Government, in the United Nations or
its specialised agencies (including the International Court of Justice): Provided that this clause shall not apply if the emoluments drawn by any such
person during the course of such employment were not exempt from tax payable under this
Ordinance or the repealed Act.
Provided further that exemption under this clause shall not apply in respect of a retired
person who works for the same employer in any capacity for any remuneration or reward.
(17A) Any pension due to, or received by,
an assessee in respect of any service rendered as a member of the Armed Forces of Pakistan
or as an employee of the Federal Government or a Provincial Government.
Leave encashment on retirement : (17AA) Any sum representing encashment of leave preparatory to retirement of a member
of the Armed Forces, of Pakistan or an employee of the Federal Government or a Provincial
Government.
(18) Any person granted to any public servant [to whom clause (48) does not apply] in
respect of injuries received in the performance of this duties.
(19) Any pension granted to any public, servant [to whom clause (49) does not apply] who
has been invalided from service on account of any bodily disability.
(22) Any income received by an assessee from an annuity issued under the Pakistan Postal
Annuity Certificate, Scheme on or after the 27th July, 1977:
Provided that nothing in this clause shall apply to so much of the income received by an
assessee from an annuity or annuities issued after the 1st May, 1980, as exceeds seven
thousand and two hundred rupees per annum ,and
in respect of any assessment year commencing on or after the first day of July, 1986, as
exceeds ten thousand rupees per annum.
Provided that this clause shall not apply to so much of the income received by an assessee
from an annuity or annuities which, together with the income from any annuity or annuities
referred to in clause (22), exceeds ten thousand rupees per annum.
(23) Any payment from a provident fund to which the Provident Funds Act, 1925 (XIX of
1925) applies.
Benevolent grant :
(23A) Any benevolent grant paid from the Benevolent Fund to the employees or members of
their families in accordance with the provisions of the Central Employees Benevolent Fund
and Group Insurance Act, 1969.
(24) The accumulated balance due and becoming payable to an employee participating in a
recognised provident fund.
(25) Any payment from an approved superannuation fund made on the death of a beneficiary
or in lieu of or in commutation of any annuity, or by way of refund of contribution on the
death of a beneficiary.
(26) Any payment in the nature of commutation of pension received from Government or under
any pension scheme approved by the Central Board of Revenue for the purpose of this
clause.
(27) Any income representing any payment received by way of gratuity or commutation of
pension by an employee on his retirement or, in the event of his death, by his heirs as
does not exceed-
(i) in the case of an employee of the Government or a local authority or a statutory body
or corporation established by any law for the time being in force, the amount receivable
in accordance with the rules and conditions of his service;
(ii) any amount receivable from any gratuity fund approved by the Commissioner of Income
Tax in accordance with the rules contained in Part III of the Sixth Schedule;
(iv) in the case of any employee to whom sub-clauses (i), (ii) and (iii) do not apply,
fifty per cent of the amount receivable or seventy-five thousand
rupees, whichever is the less:
Provided that nothing in this sub-clause shall apply-
(a) to any payment which is not received in Pakistan;
(b) to any payment received from a company by a director of such company who is not
regular employee of such company;
(c) to any payment received by an employee who is not a resident of Pakistan; and
(d) to any gratuity received by an employee who has already received any gratuity from the
same or any other employer.
(28) Any income of a person representing the sums received by him as a worker from out of
the Workers Participation Fund established under the Companies Profits (Workers
Participation) Act, 1968 (XII of 1968).
(29) Any income of an officer representing the sum received by him as Entertainment
Allowance admissible to him under the Ministry of Finance and Provincial Coordination
(Finance Division) Office Memorandum No. F. 2(2)-Imp-I/77, dated the 29th April, 1977.
(29A) Any income of an officer representing
the sum received by him as Entertainment Allowance admissible to him under the Ministry of
Finance (Finance Division) Office Memorandum No. F. 1 (1)-Imp/83, dated the 18th
August, 1983.
(30) Any income of an officer of the Pakistan Armed Forces representing the sum received
as Entertainment Allowance admissible to him under the Ministry of Defence Office
Memorandum No. 716(D)/(B)/77, dated the 29th April, 1977.
(31) Any income of an officer representing the sum received by him as Entertainment
Allowance admissible to him under the Cabinet Secretariat (Establishment Division) Office
Memorandum No. 18/2/78-CV, dated the 13th July, 1978.
(32) Any income of an officer representing the sum received by him as Senior Post
Allowance admissible to him under the Ministry of Finance, Planning and Development
(Finance Division) Office Memorandum No. F1(36) Gaz-IMP-I/73, dated the 18th August, 1973.
(33) Any income of an officer representing the sum received by him as Senior Post
Allowance admissible to him under the Ministry of Finance and Provincial Coordination
(Finance Division) Office Memorandum No. F.1(1) IMP-I/77, dated the 28th April, 1977.
(33A) Any income of any officer
representing the sum received by him as Orderly Allowance admissible to him under the
Finance Division O.M. No. F. 1(3)-IMP-II/85, dated the 24th October, 1985.
(33B) Any income of an employee of a
recognised University in Pakistan representing the sums received by him as Senior Post
Allowance, Entertainment Allowance or Orderly Allowance admissible under the terms and
conditions of his service.
(37) Any income representing compensatory allowance payable to a citizen of Pakistan
locally recruited in Pakistan Mission abroad as does not exceed 75 per cent of his gross salary.
(38) Any income of an officer representing the sum received by him as Personal Staff
Subsidy admissible to him under the Cabinet Secretariat (Establisment Division) Office,
Memorandum No. 18/2/78-CV, dated the 13th July, 1978.
Cost of living allowance : (38A), Any income representing cost of living allowance, admissible, to the Government
employees at the rate of 7% with effect from the first day of July, 1995.
Special allowance to meet certain expenses: (39) Any special allowance or benefit (not being entertainment or conveyance
allowance or other perquisite within the meaning of sub-section (2) of section 16
specially granted to meet expenses wholly and necessarily incurred in the performance of
the duties of an office or employment of profit.
(39A) Any income of a newspaper employee
representing Local Travelling Allowance paid in accordance with the decision of the Third
Wage Board for Newspaper Employees constituted under the Newspaper Employees (Conditions
of Service) Act, 1973, published in Part II of the Gazette of Pakistan, Extraordinary,
dated the 28th June, 1980.
(39B) Any amount received as flying
allowance by pilots, flight engineers and navigators employed by any Pakistani or by CivilAviation Authority
Allowances attached to Honours, awards, etc.: (40) Any allowance attached to any Honour, Award or Medal awarded by the President
of Pakistan and 'any monetary award granted by the President of Pakistan.
(41) Disturbance pay of the armed forces
personnel for the assessment year 1997-98.
Contribution to mess, etc. funds:
(42) Such portion of the income of a member of Pakistan Armed Forces as is compulsorily
payable by him under any orders issued by Government to mess, entertainment or band fund.
(42A) Any amount notified as flying
allowance payable to pilots, flight engineers and navigators of the Pakistan Air Force.
(42B) Any amount notified as flying
allowance payable to pilots, flight engineers and navigators of the Pakistan Army and the
Pakistan Navy.
(42C) Any amount notified as submarine allowance payable to officers of the Pakistan Navy.
(42D) any amount received as flying
allowance by junior commissioned officers or other ranks of Pakistan Armed Forces.
Free rations: (43) The value of rations issued in kind, or cash allowance paid in lieu thereof, to
members of Pakistan Armed Forces or of Territorial Forces.
Rent-free quarters: (44) The value of rent-free quarters occupied by, or cash allowance paid in lieu
thereof, to members of the Pakistan Armed Forces, including Territorial Force.
Conservancy allowance: (45) The conservancy allowance granted in lieu of free conservancy to personnel below
commissioned rank of Pakistan Armed Forces and Territorial Force.
Deferred pay: (46) Deferred pay admissible to Armed Forces personnel under the new Pay Code.
Salary of Khasadars, etc.:
(47) Any income chargeable under the head "Salary" paid by Government to
Khasadars, levies and Badraggas employed in the tribal territory on the North West
Frontier and of all persons employed in the tribal levy services in Baluchistan.
Pensions for injuries, etc.
(48) Any pension granted to the personnel of Armed Forces of Pakistan (including personnel
of the Territorial Force and the National Service of Pakistan) in respect of injuries
received in the performance of their duties as such.
Invalid pensions:
(49) Any pension granted to the personnel of the Armed Forces of Pakistan (including
personnel of the Territorial Force and the National Service of Pakistan) invalided from
service with such Forces on account of bodily disability attributable to, or aggravated
by, such service.
Pensions to dependents of Shaheeds:
(50) Any income derived by the families and dependents of the "Shaheeds"
belonging to Pakistan Armed Forces from the special family pension, dependents pension or
children's allowance granted under the provisions of the Joint Services Instruction No.
5/66.
(51) Any income derived by the families and dependents of the "Shaheeds"
belonging to the Civil Armed Forces of Pakistan to whom the provisions of the Joint
Services Instruction No. 5/66 would have applied had they belonged to the Pakistan Armed
Forces from any like payment made to them.
Pension of dependents of public servants:
(51A) Any pension granted under the relevant rules to the families and dependents of
public servants or members of the Armed Forces of Pakistan who die during service.
Perquisites to President, Provincial Governors, etc.:
(52) The perquisite represented by the right of the President of Pakistan, the Provincial
Governors and the Chiefs of Staff, Pakistan Armed Forces to occupy free of rent as a place
of residence any premises provided by the Government.
(53) The perquisite represented by free conveyance provided and the sumptuary
(entertainment) allowance granted by Government to Provincial Governors, the Chiefs of
Staff, Pakistan Armed Forces and the Corps Commanders.
(54) The following perquisites and allowances provided or granted by Government to the
Ministers of the Federal Government, namely:-
(a) rent-free accommodation in so far as the value thereof exceeds ten per cent of the
basic salary of the Ministers concerned;
(b) house-rent allowance paid by Government in lieu of rent-free accommodation in so far
as it exceeds five hundred and fifty rupees per mensem;
(c) free conveyance; and
(d) sumptuary allowance.
Free provision of utilities: (54A) Any sum paid, for purpose of meeting the charges for gas, water and electricity,
to-
(a) the Federal and Provincial Ministers; and
(b) an employee upto ten per cent of the minimum of time scale, and where there is no time
scale, up to ten per cent of the basic salary.
(54B) The value of gas, water and electricity provided free of charge to-
(a) the Federal and Provincial Ministers; and
(b) an employee upto ten percent of the minimum of time scale, and where there is no time
scale, upto ten per cent of the basic salary.
(55) The perquisite represented by the right of a Judge of the Supreme Court of Pakistan
or of a Judge of a High Court to occupy free of rent as a place of residence any premises
provided by the Federal or the Provincial Government, as the case may be, or in case no
such residence is provided, or a Judge chooses to reside in his own house, so much of
income which represents the sum paid to him as house rent allowance, but not exceeding
seven hundred and fifty rupees per mensem.
(55A) The following allowance and
privileges provided to a Judge of a High Court vide the Transfer of High Court Judges
(Allowances and Privileges) Order, 1983 (P.O. No. 2 of 1983), namely:-
(a) monthly allowances of one thousand and five hundred rupees; and
(b) if the family of a Judge does not join him at the place to which he is transferred or
at which he is posted, he shall be provided at such place with-
(i) single rent free accommodation maintained by Government; and
(ii) an official car maintained at Government expense, including the supply of petrol not
exceeding one hundred and fifty litres per month for use in such car.
(56)(1) Any income from voluntary
contributions, house property and investments in securities of the Federal Government
derived by the following, namely:-
(i) National Investment (Unit) Trust of Pakistan established by the National Investment
Trust Limited, if not less than ninety per cent of its Units at the end of that year are
held by the public and not less than ninety percent of its income of the year is
distributed among the Unit-holders;
(ii) any Mutual Fund approved by the Controller of Capital Issues and set up by the
Investment Corporation of Pakistan, if not less than ninety per cent of its Certificates
at the end of that year are held by the public and not less than ninety per cent of its
income of that year is distributed among the Certificate-holders;
(iii) Shaukat Khanum Memorial Trust, Lahore; and
(iv) Sheikh Sultan Trust, Karachi.
(1A) Any income derived by any Mutual Fund , investment company, or a collective investment
scheme approved by the Corporate Law Authority or the National Investment (Unit) Trust
of Pakistan established by the National Investment Trust Limited from any instrument of
redeemable capital as defined in the Companies Ordinance, 1984 (XLVII of 1984), if not
less than ninety per cent of its income of that year is distributed amongst the
Unit-holders.
(2) Any income of the following funds and institutions, namely:-
(i) a provident fund to which the Provident Funds Act, 1925 (XIX of 1925), applies;
(ii) trustees on behalf of a recognized provident fund or an approved superannuation fund
or an approved gratuity fund; (iia) Overseas Pakistanis pension trust.
(iii) a benevolent fund or group insurance scheme approved by the Central Board of Revenue
for the purposes of this sub-clause;
(iv) Service Fund;
(v) Employees Old-Age Benefits Institution established under the Employees Old-Age Benefit
Act, 1976 (XIV of 1976);
(vi) any Unit, Station or Regimental Institute; and
(vii) any recognised Regimental Thrift and Savings Fund, the assets of which consist
solely of deposits made by members and profits earned by investment thereof.
Explanation.- For the purpose of this sub-clause, "Service Fund" means a fund
which is established under the authority or with the approval, of the Federal Government
for the purpose of-
(a) securing deferred annuities to the subscribers or payment to them in the event of
their leaving the service in which they are employed; or
(b) making provision for their wives or children after their death; or
(c) making payment to their estate or their nominees upon their death.
62. (1) Any income of a trust or welfare institution specified in sub-clauses (2) and (3) from donations, voluntary contributions,
subscriptions, house property, investments in the securities of the Federal Government and
so much of the income chargeable under the head "Income from business or
profession" as is expended in Pakistan for the purposes of carrying out welfare
activities:
Provided that in the case of income under the head "Income from business or
profession", the exemption in respect of income under the said head shall not exceed
an amount which bears to the incurred under the said head the same proportion as the said
amount bears to the aggregate of the incomes from the aforesaid sources of income.
(2) A trust administered under a scheme approved by the Federal Government in this behalf
and established in Pakistan exclusively for the purposes of carrying out such activities
as are for the benefit and welfare of-
(i) ex-servicemen and serving personnel, including civilian employees of the Armed Forces,
and their dependents; or
(ii) ex-employees and serving personnel of the Federal Government or a Provincial
Government and their dependents, where the said trust is administered by a committee
nominated by the Federal Government or, as the case may be, a Provincial Government.
(3) A trust or welfare institution approved
by the Central Board of Revenue for purposes of this sub-clause.
Provided that exemption under this clause
shall not apply in respect of any profit received on the redeposit of Khaas Deposit
Accounts made under the National Savings Scheme on or after the tenth day of November,
1991.
(75) Any interest payable to a non-resident in respect of such private loan to be utilised
on such project in Pakistan as may be approved by the Federal Government for the purposes
of this clause, having regard to the rate of interest and the terms of re-payment of the
loan and the nature of the project on which it is to be utilised.
(75A) Any interest payable to a
non-resident on a loan in foreign exchange against export letter of credit which is used
exclusively for export of goods manufactured or processed for exports in Pakistan.
(76) Any interest payable by an industrial undertaking in Pakistan-
(i) on moneys borrowed by it under a loan agreement entered into with any such financial
institution in a foreign country as may be approved in this behalf by the Federal
Government by a general or special order; and
(ii) on moneys borrowed or debts incurred by it in a foreign country in
respect of the purchase outside Pakistan of capital plant and machinery in any case where
the loan or debt is approved by the Federal Government, having regard to its terms
generally and in particular to the terms of its payment, from so much of the tax payable
in respect thereof as exceeds the tax or taxes on income paid on such interest in the
foreign country from which the loan emanated or in which the debt was incurred
(hereinafter referred to as the 'said country'):
Provided that, where the amount of such tax or taxes paid in the said country exceeds the
amount of the tax payable in Pakistan, no refund of the amount paid in excess shall be
allowed:
Provided further that, where the said country exempts such interest or allows credit
against its own tax for the tax which would have been payable in Pakistan if the said
interest were liable to tax in Pakistan, no tax shall be payable in Pakistan in respect of
such interest.
(76A) Any interest or profit derived by Hub
Power Company Limited on or after the first day of July, 1991, on its bank deposits or
accounts with financial institutions directly connected with financial transactions
relating to the Project operations.
(77) Any income of an agency of a foreign
Government, a foreign national (company, firm or association of persons), or any other
non-resident person approved by the Federal Government for the purposes of this clause,
from interest on moneys borrowed under a loan agreement or in respect of foreign currency
instrument approved by the Federal Government.
(77A) Any interest payable to a
non-resident being a foreign individual, company, firm or association of persons in
respect of a foreign loan as is utilized for industrial investment in Pakistan provided
that the agreement for such loan is concluded on or after the First day of February 1991,
and is duty registered with the State Bank of Pakistan.
(77C) The yield of National Savings of
Deposit Certificate, including Defence Saving Certificate, issued under the National
Saving Schemes.
Provided that exemption under this clause shall not apply in respect of any profit
received on the reinvestment of Khaas Deposit Certificates made under the National Savings
Scheme on or after the tenth day of November, 1991.
(78) Any interest derived from foreign currency accounts held with the authorised banks in
Pakistan, in accordance with Foreign Currency Accounts Scheme introduced by the State Bank
of Pakistan, by citizens of Pakistan and foreign nationals residing abroad, foreign
association of persons, companies registered and operating abroad and foreign nationals
residing in Pakistan.
(78B) Any income derived from a private
foreign currency account held with an authorized bank in Pakistan, in accordance with the
Foreign Currency Accounts Scheme introduced by the State Bank of Pakistan, by a resident
citizen of Pakistan.
Provided that the exemption under this
clause shall not be available in respect of any incremented deposits made in the said
accounts on or after the 16th day of December, 1999, or in respect of any accounts opened
under the said scheme on or after the said date.
(78C) The income of an individual, a
firm, an institution or a body corporate, other than a bank or a financial institution, by
way of interest on foreign Currency Bearer Certificates issued under the Three Years
Foreign Currency Bearer Certificate Rules 1997 ; and
(78D) Any profit on special US. Dollar
Bonds issued under the special US Dollar Bonds Rules, 1998.
Provided that the exemption under this
clause shall not apply to profits on the said Bonds purchased by a resident person out of
any incremental deposits made in the foreign currency accounts on or after the 16th day of
December, 1999, or out of new accounts opened on or after the said date,"; and
(78E) Any profit or interest derived from Pak rupee account
or certificates of deposit which have been created by conversion of a foreign currency
account or deposit held on the 28th day of May, 1998, with a bank authorised under the
Foreign Currency Accounts Scheme of State Bank of Pakistan:
Provided that nothing contained in this clause shall apply to such Pak rupee account or
certificates which are created out of foreign currency deposits which are not exempt under
clause (78)."; and (79) Any interest income received from a Pakistani bank by a foreign bank,
approved by the Federal Government for the purposes of this clause, foe such period as may
be determined by the Federal Government:
Provided that-
(i) the interest income is earned on deposits comprising of remittances from abroad held
in a rupee account opened with a Pakistani bank with the prior approval of the State Bank
of Pakistan;
(ii) the Pakistani bank maintaining the said rupee account holds 20 per cent or more of
the equity capital of the said foreign bank and the management of the latter vests in the
Pakistani bank; and
(iii) the rate of interest chargeable on the said deposits does not exceed the ate of
interest chargeable on the deposits in the foreign currency accounts allowed to be opened
with banks in Pakistan by the State Bank of Pakistan.
(79A) Any income derived by any person, not
being a bank, a banking company, a financial institution, a development financing
institution or a company engaged in the business of insurance, by way of return on bearer
bonds issued by the Pakistan Water and Power Development Authority, established under the
Pakistan Water and Power Development Authority Act, 1958 (West Pakistan Act No. (XXXI of
1958) [:]
Provided that nothing contained in this
clause shall apply in respect of return on bonds issued on or after the first day of July,
1991.
(79B) Any income derived by any person,
being an individual, by way of return on bearer or registered bonds (Second issue, 1989),
issued by the Pakistan Water and Power Development Authority, established under the
Pakistan Water and Power Authority Act, 1958 (West Pakistan Act, No. XXXI of 1958) [:]
Provided that nothing contained in this clause shall apply in
respect of return on bonds issued on or after the first day of July, 1991.
(79C) Any income derived by a
non-resident from foreign investment in 7th issue of Pak rupee denominated WAPDA Energy
Bonds issued under the WAPDA Energy Bonds (7th issue) Regulations, 1997.
(80) Any income derived by a non-resident
(excluding local branches, subsidiaries or offices of foreign banks, companies,
associations of persons or any other person operating in Pakistan) from Federal Government
securities and redeemable capital, as defined in the Companies Ordinance, 1984, (XLVII of
1984) listed on a registered stock exchange, where the investments are made exclusively
from foreign exchange remitted into Pakistan through a Special Convertible Rupee Account
maintained with a bank in Pakistan.
Income of text-book boards: (85A) Any income of a text-book board of a Province established under any law for the
time being in force, accruing or arising from the date of its establishment.
Income of universities and educational institutions: (86) Any income of any university or other educational institution established solely
for educational purposes and not for purposes of profit.
(86A) Profits and gains derived by an
assessee from the running of any educational institution set up between the first day of
July, 1991, and the thirtieth day of June, 1995, both days inclusive, for a period of five
years beginning with the month in which institution is set up.
Provided that a computer training
institution or computer training scheme approved by the Central Board of Revenue before
the first day of July, 2000, shall continue to avail exemption under this clause till the
expiry of the specified period. Scholarships: (87) Scholarships granted to meet the cost of education.
Local authorities: (88) Any income of a local authority, not being income from business, if any, carried
on by it outside its jurisdictional area.
Sports Boards, etc.: (90) Any income derived by any Board or other organization established by Government in Pakistan for the purposes of controlling,
regulating or encouraging major games and sports recognised by Government.
(91) Subject to the provisions of
sub-section (3A) of section 47, any amount paid as donation to the following institutions,
foundations, societies, boards, trusts and funds, namely:-
(i) any Sports Board or institution recognised by the Federal Government for the purposes
of promoting, controlling or regulating any sport or game;
(ii) President's Fund for Afghan Refugees;
(iii) Fund for promotion of Science and Technology in Pakistan;
(iv) Fund for Retarded and Handicapped Children;
(v) National Trust Fund for the Disabled;
(vi) Bangladesh Flood Relief Fund, 1988;
(vii) Fund for Development of Mazar of Hazarat Burri Imam;
(viii) Rabita-e-Islami's Project for printing copies of the Holy Quran;
(ix) Fatimid Foundation, Karachi;
(x) Al-Shifa Trust;
(xi) Bank of Commerce and Credit International Foundation for Advancement of Science and
Technology;
(xii) Society for the Promotion of Engineering Sciences and Technology in Pakistan;
(xiii) President's Fund for Assistance to Palestine;
(xiv) President's Famine Relief Fund for Africa;
(xv) Bangladesh Cyclone Relief Fund, 1985;
(xvi) Prime Minister's Fund for the Welfare oŁ Widows and Orphans;
(xvii) Prime Minister's Disaster Relief Fund, 1987;
(xviii) Chief Minister Punjab's Flood Relief Fund, 1988;
(xix) Prime Minister's Fund for Welfare and Relief for Kashmiris;
(xx) Prime Minister's Bangladesh Cyclone Relief Fund, 1991;
(xxi) Sindh Governor's Relief Fund, 1990, for the Relief and Rehabilitation of Victims of
Violence in Sindh; (xxiA) Baluchistan Governor’s
Relief Fund for the relief and rehabilitation of drought affected people of
Balochistan,
(xxii) Citizens-Police Liaison Committee, Central Reporting Cell, Sindh Governor House,
Karachi;
(xxiii) ICIC Foundation;
(xxiv) BCCI Foundation;
(xxv) National Management Foundation;
(xxvi) Endowment Fund of the institutions
of the Agha Khan Development Network (Pakistan) listed in Schedule I of the Accord and
Protocol, dated November 13, 1994, executed between the Government of the Islamic Republic
of Pakistan and Agha Khan Development Network
(xxvii) Shaheed Zulfiqar Ali Bhutto Memorial Awards Society;
(xxviii) Iqbal Memorial Fund;
(xxix) Cancer Research Foundation of Pakistan, Lahore; [ ]
(xxx) Shaukat Khanum Memorial Trust, Lahore [;] (xxxi) Christian Memorial Hospital,
Sialkot ; and (xxxii) National Museums, National
Libraries and Monuments or institutions declared to be National Heritage by the Federal
Government. (xxxiii) Mumtaz Bakhtawar Memorial Trust
Hospital, Lahore. (xxxiv) Kashmir Fund for Rehabilitation of
Kashmir Refugees and Freedom Fighters. (xxxv) Institutions of the Agha Khan
Development Network (Pakistan) listed in Schedule 1 of the Accord and Protocol, dated
November 13, 1994, executed between the Government of the Islamic Republic of Pakistan and
Agha Khan Development Network. (xxxvi) Azad Kashmir President's Mujahid
Fund, 1972; National Institute of Cardiovascular Diseases, (Pakistan) Karachi; Businessmen
Hospital Trust, Lahore; Premier Trust Hospital, Mardan; Faisal Shaheed Memorial Hospital,
Gujranwala; Faisal Shaheed Memorial Hospital Trust, Gujranwala; Khair-un-Nisa Hospital
Foundation, Lahore; Sind and Balochistan Advocates' Benevolent Fund; Rashid Minhas
Memorial Hospital Fund; and
(xxxvii) Any relief or welfare fund established by the Federal Government. (xxxviiA) Mohatta Palace Gallery Trust. (xxxviiAa) Bagh-e-Quaid-i-Azam
Project, Karachi.
