24/12/2020
FBR provided clarification on WHT u/s 151 on bank profits. Tax shall be withheld at 10% instead of 15% if person provides certificate that total profit during the year shall be Rs.500,000 or less. The certificate can be on plain paper.
The circular is in respect of tax deducted at source only. The tax rate applicable on profit on debt is 15% at the lowest slab, u/s 7B. Accordingly, at time of filing for next year, the rate applicable shall be a minimum of 15%.
