Sukuk company granted tax exemption

KARACHI: The Federal Board of Revenue (FBR) on Thursday allowed exemption from withholding tax on purchase of immovable property by the Second Pakistan International Sukuk Company Limited.

The Second Pakistan International Sukuk Company Limited which was launched in 2014 has already enjoyed several exemption and concessions under Income Tax Ordinance, 2001.

FBR sources said that the further exemption was granted to strengthen the Islamic debt market by attracting investors by grant of tax concessions.

In the latest notification issued on Thursday the company has been allowed exemption from deduction of withholding tax under 236K of Income Tax Ordinance, 2001.

The Sukuk company earlier has been granted exemption from levy of various advance taxes, profit on debt and tax on income from property.