An analysis of the financial statement of Zenith Bank showed that the bank had a total tax liability of N26.63bn, but was assessed based on the
minimum tax rule because of a significant non-taxable income that resulted in a taxable loss for the bank.
"The
minimum tax slab should now be increased to Rs 5 lakh.
While earlier US laws allowed the investment of reinsurance premiums raised overseas without tax ramifications, the BEAT provisions stipulate that such investments would be taxed in an amount equal to the base erosion
minimum tax amount for the taxable year.
The
minimum tax shall incorporate all classes in the tax base.
PPMA requests Finance Minister Miftah Ismail and FBR to withdraw this proposal of
Minimum Tax u/s 148 as it is already heavily taxed and retain Commercial Import in FTR, he demanded.
'Bringing commercial importers into
minimum tax regime will increase the cost of raw material,' he said and added that this will increase the cost of production for various sectors.
It is unprecedented to convert the WHT to
Minimum Tax at such high rates of 4.5% to 6.0% on Raw Materials which will open up the option to further squeeze the tax-payer through Audits and demands.
50 million and exclude the companies having a gross loss position for the year from the purview of
minimum tax by restoring the position of law prior to Finance Act 2016, allowing them to carry forward the
minimum tax paid in the year of loss.
And tax gathered from packing material by manufacturers of edible oil was treated as
minimum tax and from tax year 2010, the producers of cooking oil and ghee were submitting returns under section 114 of ITO 2001 instead of filing statements under section 115 of the tax act.
The large quantity of tobacco products exceeded the
minimum tax threshold estimate of SR60,000 ($16,000).