05-05-2011, 07:39 PM
Case # 01:
PSO Ltd is a public company incorporated under the Companies Ordinance, 1984, whoseshares were traded on the Karachi Stock Exchange from 1 January 2008 until 29 June2009, on which date the company was delisted. PSO closes its accounts on 30 June eachyear. 49% of the shares in PSO are held by the Government of the Kingdom of Saudi Arabia and 51% by the Federal Government of Pakistan. The control and management ofthe affairs of PSO was situated partly in Saudi Arabia during the year ended 30 June20010.
Required:State, giving reasons, whether for Pakistan tax purposes for the tax year
Case # 02:Mr Waqas, a resident of Pakistan, derived the amounts as under in the tax year 2010:1. Rs. 1,000,000 from crops grown on his agricultural land situated in Canada.2. Rs. 1,500,000 gross, received from the poultry farm he established in June 2010in Rawalpindi.3. Rs. 1,000,000 from the deposit of a prospective buyer of his flat, forfeited by MrWaqas when the buyer failed to fulfill the terms of the contract for the sale of theflat.
Required:State, giving reasons, whether the amounts received by Mr Waqas will be taxable orexempt for the tax year 2010, based on the Income Tax Ordinance, 2001. 2010 PSO Ltd:1. Is a resident or a non-resident company?
PSO Ltd is a public company incorporated under the Companies Ordinance, 1984, whoseshares were traded on the Karachi Stock Exchange from 1 January 2008 until 29 June2009, on which date the company was delisted. PSO closes its accounts on 30 June eachyear. 49% of the shares in PSO are held by the Government of the Kingdom of Saudi Arabia and 51% by the Federal Government of Pakistan. The control and management ofthe affairs of PSO was situated partly in Saudi Arabia during the year ended 30 June20010.
Required:State, giving reasons, whether for Pakistan tax purposes for the tax year
Case # 02:Mr Waqas, a resident of Pakistan, derived the amounts as under in the tax year 2010:1. Rs. 1,000,000 from crops grown on his agricultural land situated in Canada.2. Rs. 1,500,000 gross, received from the poultry farm he established in June 2010in Rawalpindi.3. Rs. 1,000,000 from the deposit of a prospective buyer of his flat, forfeited by MrWaqas when the buyer failed to fulfill the terms of the contract for the sale of theflat.
Required:State, giving reasons, whether the amounts received by Mr Waqas will be taxable orexempt for the tax year 2010, based on the Income Tax Ordinance, 2001. 2010 PSO Ltd:1. Is a resident or a non-resident company?