VUsolutions Transferred to AchiKhasi.com

From December 2011, this blog www.VUsolutions.blogspot.com is transferred to http://achikhasi.com/vu/ . So, you may visit http://achikhasi.com/vu/ for latest study related help.

Back to home VUsolutions

VUsolutions Fans Club [join us for MORE solutions]

VUsolutions on Facebook

FIN623 GDB No. 1 solution

Wednesday, November 03, 2010 Posted In Edit This

Question/Description

A Pakistani company hires the services of an expatriate employee. The employee relocation costs to move to Pakistan are paid for by the company. Will the expatriate be required to pay tax on such costs? Give reason and also mention the relevant section.


Solution:

Section 51 Foreign-Source Income of Returning Expatriates

Page#23

1. Any foreign-source income derived by a citizen of Pakistan in a tax year who was not a resident individual in any of the four tax years preceding the tax year in which the individual became a resident shall be exempt from tax under this Ordinance in the tax year in which the individual became a resident individual and in the following tax year.

Interpretation

A person (expatriate) who come back to Pakistan any income that he derived included his salary will be wholly exempted in the ongoing tax year in which he comes back or become the resident , and for next year , condition that the person has never been the resident of Pakistan in any tax year since last 4 tax years .

Back to home VUsolutions

Shaadi.com: Just create ur account & find ur partner or EARN money, its reall & EASY

VUsolutions Followers (Join NOW and Get Extra Benefits)

Install LATEST toolbar having lot of features - GET solutions on Desktop

toolbar powered by Conduit
Caliplus 300x250 NoFlam VitoLiv 468x60 GlucoLo