INTRODUCTION

Federal Government has approved exemptions in terms of Clause 75 of Part I of Second Schedule of Income Tax Ordinance, 2001 on profit on debt income on Eurobonds and International Sukuk issued under the Government’s medium term note program through Federal Board of Revenue’s S.R.O. 268(I)2021 and S.R.O. 269(I)2021 dated March 01, 2021.

COMBINED COMMENTARY

  • Clause 75 of Part I of Second Schedule of Income Tax Ordinance, 2001 grants exemption to an agency of a foreign government, a foreign national (company, firm or an AOP), or any other non-resident person approved by the Federal Government for this purpose on income earned from profit on money borrowed under a loan agreement or in respect of foreign currency instrument approved by the Federal Government.
  • Through these S.R.O.’s, the federal government has approved exemption to the profit debt income on Eurobonds and International Sukuk issued under the Government’s medium term note program.

LINK OF DOCUMENTS

2021311331617547268(I)of2021

202131133184705269(I)of2021