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Hello,

I wanted to know if there is a way i can avoid deduction of taxes from a person on payrol. i have worked for an american firm for 2 years. in such cases in america We use Form 1099 on which person has to pay tax on his own ,not company.

Please guide me.

Regards,

Rehan
Ap ko har hal may withhold karna pary ga tax.
Income tax & sales tax practical training.


Is there any reputed institute which can provide training on above said subject or individual person, having sound exposure to taxation laws, from lahore. ( only serious )

Jan ahmed

+92 331 4095010
Thanks laptop for your answer. i have talked employees into paying tax so i am fine on that side for now. What about tax collected by previous employers? shall i ask or collect such certificate showing deduction from the previous employer?.
<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica, san" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by Rehan Javed</i>
<br />Thanks laptop for your answer. i have talked employees into paying tax so i am fine on that side for now. What about tax collected by previous employers? shall i ask or collect such certificate showing deduction from the previous employer?.
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149. Salary. — (1) Every employer paying salary to an employee shall, at the time of payment, deduct tax from the amount paid at the employee‘s average rate of tax computed at the rates specified in Division I of Part I of the First Schedule on the estimated income of the employee chargeable under the head Salary for the tax year in which the payment is made after making adjustment of tax withheld from employee under other heads and tax credit admissible under section 61, 62, 63 and 64 during the tax year after obtaining documentary evidence, as may be necessary, for .
(i) tax withheld from the employee under this Ordinance during the tax year;
(ii) any excess deduction or deficiency arising out of any previous deduction; or
(iii) failure to make deduction during the year;


Section 149 employer ko ijazat dayti hay k wo necessary adjustment day employee ko documentary evidence layny k bad .

Ap k sawal k mutabik agar ap k new employee ap ko previous employer ka salary certificate dayta hay to ap us income ko add kar k employee ki taxable income nikalyn gay, or jo tax liability nikly gi us may say previous employer nay jo tax withheld kiya hay usy less kar dayn gay.
@laptop
As per section 149 as copied by you in your post "after making adjustment of tax withheld from employee under other heads" is mentioned.

Kindly let us know how this adjustment can mean "Tax deducted by previous employer under the head salary".


Regards
Sharjeel
<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica, san" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by LapTop</i>
<br /><blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica, san" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by Rehan Javed</i>
<br />Thanks laptop for your answer. i have talked employees into paying tax so i am fine on that side for now. What about tax collected by previous employers? shall i ask or collect such certificate showing deduction from the previous employer?.
<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">

149. Salary. — (1) Every employer paying salary to an employee shall, at the time of payment, deduct tax from the amount paid at the employee‘s average rate of tax computed at the rates specified in Division I of Part I of the First Schedule on the estimated income of the employee chargeable under the head Salary for the tax year in which the payment is made after making adjustment of tax withheld from employee under other heads and tax credit admissible under section 61, 62, 63 and 64 during the tax year after obtaining documentary evidence, as may be necessary, for .
(i) tax withheld from the employee under this Ordinance during the tax year;
(ii) any excess deduction or deficiency arising out of any previous deduction; or
(iii) failure to make deduction during the year;


Section 149 employer ko ijazat dayti hay k wo necessary adjustment day employee ko documentary evidence layny k bad .

Ap k sawal k mutabik agar ap k new employee ap ko previous employer ka salary certificate dayta hay to ap us income ko add kar k employee ki taxable income nikalyn gay, or jo tax liability nikly gi us may say previous employer nay jo tax withheld kiya hay usy less kar dayn gay.

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Ap ka sawal kuch samajh nahi aaya, Plz clear kar dayn thora.
Mujhay ye confirm kerna hai k kya jis adjustment ki baat section 149 main horahi hai us main tax deducted by previous employer ko consider karengay???

For example
Mr. A (an employee of Company B) works for 10 months (June 09 to April 10 ) for a salary of Rs 35,000 per month resigned from company B and joins new employer (Company C) in the month of May 10 to June 10 for salary of Rs 40,000 per month.

Ab kya company C Mr. A ki salary main se tax deduction kertay hoi us tax jo already company B ne deduct kia hai ussay consider karegi?

Ya phir Company C Mr.A ki income is tarhan calculate karegi

Rs 40,000 X 2 = Rs 80,000 (Below Taxable Limits) therefore no deduction at source.


<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica, san" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by LapTop</i>
<br />Ap ka sawal kuch samajh nahi aaya, Plz clear kar dayn thora.
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i think Company "C" whole year ko consider kere gi. Laptop let us confirm by ur answer
Definitely keray Income already earned and tax deducted already with the previous employer both consider keray gi, for reference read Section 149(1)i, ii, iii
“estimated income” kya hoti hay, is ko ap kis tarhan nikalty han,
Estimated income nikalny k liye ap previous income or assume income ko employee ki ho sakti hay usy add kar k nikalty han.

Adjustment dayny k liye zarori hay k employee apni total income declare kary ga employer ko otherwise employer adjustment nahi day sakta. Agar employee apni encome declear nahi karta to employer ki liability khatam ho jati hay, or agar total income declear karta hay to phir.

(i) tax withheld from the employee under this Ordinance during the tax year;
is sub section k tahat job hi tax withheld howa hay wo adjest kar sakta hay employer.

(ii) any excess deduction or deficiency arising out of any previous deduction; or
is sub-section k tahat, agar previous employer nay tax kam withheld kiya hay to mojoda employer jo tax mazeed bany ga wo withheld kary ga.

(iii) failure to make deduction during the year;
agar sabka employer nay tax withheld nahi kiya during the year to mojoda employer ko hak hasil hay k wo total tax withheld kar lay.
thanks laptop for informative reply
Got the point thanks laptop.



<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica, san" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by LapTop</i>
<br />“estimated income” kya hoti hay, is ko ap kis tarhan nikalty han,
Estimated income nikalny k liye ap previous income or assume income ko employee ki ho sakti hay usy add kar k nikalty han.

Adjustment dayny k liye zarori hay k employee apni total income declare kary ga employer ko otherwise employer adjustment nahi day sakta. Agar employee apni encome declear nahi karta to employer ki liability khatam ho jati hay, or agar total income declear karta hay to phir.

(i) tax withheld from the employee under this Ordinance during the tax year;
is sub section k tahat job hi tax withheld howa hay wo adjest kar sakta hay employer.

(ii) any excess deduction or deficiency arising out of any previous deduction; or
is sub-section k tahat, agar previous employer nay tax kam withheld kiya hay to mojoda employer jo tax mazeed bany ga wo withheld kary ga.

(iii) failure to make deduction during the year;
agar sabka employer nay tax withheld nahi kiya during the year to mojoda employer ko hak hasil hay k wo total tax withheld kar lay.

<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">