Legal services in Pakistan are available to assist individuals and businesses with a wide range of issues, from compliance matters to civil service laws. The list is well and truly endless. However, one of the most common areas they provide assistance with is taxation. With that being said, read on to discover more about the taxes you may need to pay in Pakistan and how the best law firms in Pakistan can assist.
Sales tax – All goods that are produced or manufactured in Pakistan, or imported into Pakistan, are taxed. This is known as sales tax, which stands at a general rate of 15 per cent. It’s worth noting that turnover tax and retail tax are also applicable to such items. There are some articles that are exempt from this taxation, which is why the assistance of one of the law firms in Islamabad is advised.
Company tax – All companies have to pay ten per cent tax on their dividends, unless they are insurance companies or public companies, which are liable to a lower rate of 10 per cent. Moreover, non-resident shipping and air firms are taxed at a flat rate of eight per cent and three per cent respectively on gross earnings.
Personal tax – All individuals need to pay tax on their taxable income. At present, this stands at a rate of 20 per cent. This is imposed on different sources of income, such as dividends, interest, pensions, and, of course, labour.
Now you know a little bit more about the different taxes that are enforced in Pakistan. The best thing to do is let one of the available law firms in Islamabad handle this for you. By taking advantage of legal services in Pakistan, you can ensure that everything is handled above board and that you are aware of any tax breaks your business may be entitled to.