ISLAMABAD: The Federal Board of Revenue (FBR) has redrafted the law dealing with the payments made to non-residents to simplify the procedure both for the taxpayers, as well as tax officials.
The revised law is part of the proposed draft amendments in the Income Tax Ordinance, 2001 for simplification and harmonisation through the next Finance Bill, 2024.
In this regard, the FBR has proposed changes in section 152 of the Income Tax Ordinance 2001 covering all payments to be made to non-residents on which tax is to be withheld by residents and permanent establishments of non-residents.
The revised section has also elaborated on non-deduction of tax and deduction at reduced rates and exemption certificates, etc. The section has been streamlined and also broken into two sections to make it comprehensible and ensure its easy implementation, the sources added.
