Wednesday, October 21, 2020

A big Thank You to FM and team, PSX need some more appetite to energise investors

Featured

GIP releases inaugural annual report at second plenary meeting

The Second Plenary Meeting of the Green Investment Principles for the Belt and Road (GIP) was held today in...

Pakistan re-elected as member UNHRC

Pakistan has been re-elected to the United Nations Human Rights Council (HRC) with an overwhelming majority securing 169 votes...

Indonesia to host Trade Expo Indonesia 2020 Virtually

The Government of Indonesia is once again hosting its biggest annual international business exhibition, the Trade Expo Indonesia (TEI)...
Adil Ghaffar
Adil Ghaffar
Experienced Chief Executive Officer with a demonstrated history of working in the financial services' industry. Skilled in Negotiation, Business Planning, Microsoft Word, Accounting, and Team Building. Strong business development professional with an ACA focused in Accounting and Finance from institute of chartered accountants of Pakistan. Contact: [email protected]
Hammad Kehar, President, Munir Khanani, Vice President and the entire Managing Committee of PSX Stockbrokers Association are appreciative to the efforts of Asad Umer, Finance Minister, and Hammad Azhar, State Minister for Revenue, for presenting the Economic Reforms Package in which numerous recommendations given by the PSX stockbrokers association have been incorporated.

 

“We hope that the remaining recommendations will also be included in near future which would boost the economy, promote investments and help in creating employment opportunities” they added.

 

They said “Investment friendly Economic reforms 2019 was presented on January 23, 2019 in National Assembly where PM and his financial team delivered what was committed during various meetings with the Association.

 

Finance Minister, in his budget speech, followed by budget document has incorporated following requests from Stock brokers:

 

Advance Tax under Section 233A of the Income Tax Ordinance be abolished
w.e.f. February 01, 2019

 

This tax was imposed on value of securities purchased & sold thereby increasing cost of doing business. By virtue of this tax volumes dried up resulting in significant drop in revenues of stockbrokers, PSX, SECP and FBR. There will be no loss of revenue to GOP based on the fact that after reducing cost of doing business, day traders will enter in the market who will generate double volumes which will eventually benefit GOP and FBR will be compensated through capital gain tax due to substantial increase in volumes.

 

Carry forward of losses sustained on disposal of securities in tax year 2019

 

Business losses all over the world, including Pakistan, are allowed to be carried forward. In Pakistan all business losses are allowed to be carried forward for 6 years except for business loss on disposal of securities. This anomaly has now been rectified and carry losses for 3 years rather than 6 years allowed. It will be a big source of relief as stock market under performed and huge losses incurred.

 

Inter corporate dividends exempted from tax

 

The long outstanding request based on inequality and double taxation, discouraging holding company concept has been endorsed by GOP.

Adil Ghaffar
Adil Ghaffar
Experienced Chief Executive Officer with a demonstrated history of working in the financial services' industry. Skilled in Negotiation, Business Planning, Microsoft Word, Accounting, and Team Building. Strong business development professional with an ACA focused in Accounting and Finance from institute of chartered accountants of Pakistan. Contact: [email protected]

Latest News

GIP releases inaugural annual report at second plenary meeting

The Second Plenary Meeting of the Green Investment Principles for the Belt and Road (GIP) was held today in...

Pakistan re-elected as member UNHRC

Pakistan has been re-elected to the United Nations Human Rights Council (HRC) with an overwhelming majority securing 169 votes in the 193-member UN General...

Indonesia to host Trade Expo Indonesia 2020 Virtually

The Government of Indonesia is once again hosting its biggest annual international business exhibition, the Trade Expo Indonesia (TEI) on 10 – 16 November...

The World Health Organization warns countries not to be complacent in measures to prevent Corona

The Executive Director of the World Health Organization's emergency program, Dr.Mike Ryan, has warned all countries of the world against negligence in following the...

South Korea records 102 new cases of coronavirus

South Korea's Quarantine Command Center said today, Tuesday, that the total number of people infected with Covid-19 rose to 24,805, an increase of 102...

Related News