Islamabad Capital Territory (Tax on Services) Ordinance, 2001, as published 1 July 2016

This is the Islamabad Capital Territory (Tax on Services) Ordinance, 2001 as it stood on 1 July 2016. It runs to 11 pages and contains 4 sections, with 0 amendment footnotes.

What this document is

Published by the Federal Board of Revenue as part of the Islamabad Capital Territory (Tax on Services) Ordinance, 2001 collection. A consolidation of this kind folds every amendment made up to its cover date into the text, so it shows the law as it stood on 1 July 2016 rather than as originally enacted.

The shape of this version

The operative text holds roughly 1,518 words across 4 sections.

What changed since the previous version

The section list is unchanged from the version published 30 June 2001. That does not mean nothing happened: the footnote count moved from 1 to 0, which points to existing sections being reworded rather than new ones created.

The source file

File name	ICT (Tax on Services) Ordinance, 2001 - amended upto 01.07.2016.pdf
Pages	11
Size	0.36 MB
Text extraction	markitdown
Extraction confidence	high
Position in this collection	2 of 9

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A note on these figures

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The full text of this version

All 4 sections as they appear in this document, reproduced from the source PDF. Amendment footnotes follow at the end.

1. Short title, extent and commencement

-(1) This Ordinance may be called the Islamabad Capital Territory (Tax on Services) Ordinance, 2001. Issued by the Ministry of Law and Justice, under the signature of Mr. Justice Faqir Muhammad Khokhar, Secretary, vide Ex. Ord. Gaz.of Pak., 2001, Pt. I, P.923.

Islamabad Capitol Territory (Tax on Services) Ordinance, 2001

(2) It extends to whole of Islamabad Capital Territory.

(3) It shall come into force at once.

2. Interpretation

-In this Ordinance, unless there is anything repugnant in the subject or context, the words and expression used but not defined shall have the same meaning as in the Sales Tax Act, 1990.

3. Scope of tax

-(1) Subject to the provisions of this Ordinance, there shall be charged, levied and paid a tax know as sales tax at2[rates specified in column (4) of the Schedule to this Ordinance] of the value of the taxable services rendered or provided in the Islamabad Capital Territory.

(2) The tax shall be charged and levied on the services specified in3[column (2) of]the Schedule to this Ordinance in the same manner and at the same time, as if it were a sales tax leviable under sections 3, 3A or 3AA, as the case may be, of the Sales Tax Act,1990. 4[(2A) The following provisions of the Sales Tax Act, 1990, shall apply, mutandis mutandis, to the services rendered or provided under this Ordinance, namely:-

(a) clause (b) of sub-section (2) and sub-sections (6) and (7) of section 3; b) serial number 2, in column (1), and the entries relating thereto of the Fifth Schedule read with section 4; c) sub-sections (2), (3), (6) and (7) of section 13; and

(d) serial number 48, in column (1), and entries relating thereto of Table 1 of Sixth Schedule read with section 13.”. Substituted for the words “the rate of sixteen percent” by the Finance Act, 2015 The words brackets and figure “column (2) of” shall be inserted by the Finance Act, 2015 New sub-sections (2A) & (2B) added through Finance Act, 2016.

Islamabad Capitol Territory (Tax on Services) Ordinance, 2001 4[(2B) The tax levied under sub-section (1) shall not be applicable to regulatory and licensing services rendered or provided by an organization established by or under a Federal statute].

(3) All the provisions of the Sales tax Act, 1990, and rules made and notifications, orders and instructions issued there under shall, mutatis mutandis, apply to the collection and payment of tax under this Ordinance in so far as they relate to -

(a) manner, time and mode of payment;

(b) registration and de-registration;

(c) keeping of records and audit;

(d) enforcement and adjudication;

(e) penalties and prosecution; and

(f) all other allied and ancillary matters. ————————

Islamabad Capitol Territory (Tax on Services) Ordinance, 2001

5[THE SCHEDULE [See section 3(2)]

PCT Heading, if applicable 1 Services provided or rendered by hotels, 9801.1000 Sixteen percent

2 Advertisement on television and radio, 9802.1000 and Sixteen percent

(a) sponsored by an agency of the Federal or Provincial Government for health education;

Substituted by the Finance Act, 2015. Earlier, the Schedule at the time of substitution was as under:

“THE SCHEDULE [See section 3(2)]

(a) Services provided or rendered by hotels;

(b) Omitted.

(c) Services provided or rendered by clubs, and

(d) Services provided or rendered by caterers.

(i) if sponsored by a Government Agency for health education;

(ii) if sponsored by Population Welfare Division relating to educational promotion campaign; and

(iii) public service messages if telecast on television by World Wildlife Funds for Nature or UNICEF.

(a) customs agents.

(b) ship chandlers.

(c) stevedores.

Islamabad Capitol Territory (Tax on Services) Ordinance, 2001

campaign; Government under grant-in-aid agreement; and telecast on television by the World Wide Fund Children’s Fund(UNICEF) 3 Services provided by persons authorized to 9805.2000 Sixteen percent

(c) ship chandlers. 4 Courier services and cargo services by road 9808.0000 Sixteen percent 5 Construction services, excluding: 9824.0000 Sixteen percent documented cost of land) not exceeding Rs. 50 million per annum.

(ii) the cases where sales tax is otherwise paid as property developers or promoters. Cantonment Boards.

(iv) construction of industrial zones, consular from income tax. tenders against foreign grants-in-aid.

(vi) Residential construction projects where the apartments

Islamabad Capitol Territory (Tax on Services) Ordinance, 2001

6 Services provided by property developers and 9807.0000 Rs.100per square promoters (including allied services) excluding and yard for land the actual purchase value or documented cost respective sub- development, and construction 7 Services provided by persons engaged in 9809.0000 Sixteen percent contractual execution of work, excluding:

(i) annual total value of the contractual works or supplies does not exceed Rs.50 million;

(ii) the contract involving printing or supplies of books. 8 Services provided for personal care by beauty 9810.0000 Sixteen percent parlours/clinics, but excluding: million; or installed or available in the premises. 9 Management consultancy services 9815.4000, Sixteen percent 9819.9300

agents, and packers and movers. lading, whichever is higher 11 Services provided by software or IT-based 9815.6000 Sixteen percent system development consultants. 12 Services provided by technical, scientific and 9815.5000 Sixteen percent

Islamabad Capitol Territory (Tax on Services) Ordinance, 2001

13 Services provided by other consultants 9815.9000 Sixteen percent research services and credit rating services. 14 Services provided by tour operators and travel 9805.5100 Sixteen percent 15 Manpower recruitment agents including labour 9805.6000 Sixteen percent and manpower supplies. 16 Services provided by security agencies. 9818.1000 Sixteen percent 17 Services provided by advertising agents 9805.7000 Sixteen percent Share transfer or depository agents including Sixteen percent services provided through manual or electronic book-entry system used to record and maintain securities and to register the transfer of shares, securities and derivatives. 20 Services provided by fashion designers, 9819.6000 Sixteen percent whether relating to textile, leather, jewellery or display, etc. 21 Services provided by architects, town planners 9814.1000 Sixteen percent 22 Services provided in respect of rent-a-car. 9819.3000 Sixteen percent 23 Services provided by specialized workshops or 98.20 Sixteen percent undertakings (auto-workshops; workshops for

Islamabad Capitol Territory (Tax on Services) Ordinance, 2001

Including computer hard ware; car washing or similar service stations and other workshops). 24 Services provided for specified purposes 98.22 Sixteen percent and repair (including building and equipment other similar services etc. 25 Services provided by underwriter, indenters, 9819.1100, Sixteen percent and 9819.9100 26 Services provided by laboratories other than 98.17 Sixteen percent services relating to pathological or diagnostic tests for patients. 27 Services provided by health clubs, gyms, 9821.1000 Sixteen percent 28 Services provided by laundries and dry 9811.0000 Sixteen percent cleaners. Services provided by cable TV operators. Sixteen percent Technical analysis and testing services 9819.9400 Sixteen percent 30 Services provided by TV or radio program – Sixteen percent producers or production houses. 31 Transportation through pipeline and conduit – Sixteen percent services. 32 Fund and asset (including investment) – Sixteen percent management services. 33 Services provided by inland port operators – Sixteen percent

Islamabad Capitol Territory (Tax on Services) Ordinance, 2001

warehouses, excluding the amounts received by way of fee under any law or by-law. 34 Technical inspection and certification services – Sixteen percent services 35 Erection, commissioning and installation – Sixteen percent services. 6[37 Valuation services; competency and eligibility – Sixteen percent services provided or rendered under a bilateral Government of Pakistan], 39 Services provided in respect of mining of – Sixteen percent minerals, oil & gas including related surveys and allied activities 40 Services provided by property dealers and – Sixteen percent realtors. half per cent

42. Services provided by car/ automobile dealers

• Sixteen percent]]

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6 Serial number substituted through Finance Act, 2016.