Professional Documents
Culture Documents
BY
GROUP LEADER
SHAHRUKH AHMED
ASGHAR ALI
M. SAAD GUJJAR
QASIM KHAN
ZUBAIR JAMEEL
Residential status
1.
Resident
2.
non-Resident
EXPLANATION OF RESIDENTIAL
STATUS
Residential
1.
Individual
2.
Company
3.
Association of person
INDIVIDUAL
1.
2.
EXPLANATION OF INDIVIDUAL
An individual will become a resident of Pakistan, if he stays 183 days or
more in a particular tax year. It is not required by law that he stay
continuously. But he may stay in gaps but the aggregate of his stay should
be 183 days or more in a particular tax year. However, the purpose of stay
and the place of stay in Pakistan may be different and is unimportant.
EXAMPLE 1:Mr. Kashif stayed in Pakistan for 80 days and went abroad in 2005.
he again came on September 10,2005 and stayed for 15 days so, his period of stay
is 95 days and he will be non-resident (less than 183days in Pakistan)
IMPORANT POINTS
1.
2.
3.
4.
5.
IMPORANT POINTS
COUNTING OF PERIOD: Period of 183 days will be determined according to rule 14.
A day when a person is in transit between two places will not be counted.
NON-RESIDENT
INDIVIDUAL
An individual would be considered non-resident of Pakistan in a
particular income year if he fulfills any one of the following.
1.
2.
COMPANY
A company will be resident in Pakistan under ITO 2001, in a
particular tax year if it fulfills any one of the following
condition:
1.
2.
3.
EXPLANATION
1.
2.
IMPORANT POINTS
1.
2.
3.
4.
NON-RESIDENT
COMPANY
A company will be non-resident in Pakistan under ITO 2001, in a
particular tax year if it fulfills any one of the following conditions;
1.
2.
3.
ASSOCIATION OF PERSON
EXPLANATION OF (AOP)
1.
2.
It is not necessary that the control should be exercised for the whole
year. It means that an AOP will not be a resident if its control and
management is completely outside Pakistan through the year.
NON-RESIDENT AOP
CONCLUSION
It is necessary to know whether a person is resident of Pakistan or not,
because there is difference in rates of tax for for resident and non resisent.