02-19-2010, 04:56 PM
First of all let me correct you on a basic point.
If an AOP is registered then it is obliged to deduct Tax regardless of its turnover for the year"
AND
If in AOP is unregistered than it is obliged to deduct tax of payments for goods or services (Including employees) only if its Turnover is <b>50 Million Rupees</b> or above for the Tax year 2007 and onwards. The limit is 50 miilion not 5 million. (U/s 153 (9) sub section (g) of Income Tax Ordinance, 2001)
Having explained that, If your AOP is unregistered and its annual turnover is exceeding Rs. 50 Million for the current Tax year 2010 then your AOP has liability to deduct 3.5 % tax on purchase of goods, 6% tax on Services and on Salaries to employees according to the prescribed rates for salaries, U/s 153 and 149 of Income Tax Ordinance, 2001
If an AOP is registered then it is obliged to deduct Tax regardless of its turnover for the year"
AND
If in AOP is unregistered than it is obliged to deduct tax of payments for goods or services (Including employees) only if its Turnover is <b>50 Million Rupees</b> or above for the Tax year 2007 and onwards. The limit is 50 miilion not 5 million. (U/s 153 (9) sub section (g) of Income Tax Ordinance, 2001)
Having explained that, If your AOP is unregistered and its annual turnover is exceeding Rs. 50 Million for the current Tax year 2010 then your AOP has liability to deduct 3.5 % tax on purchase of goods, 6% tax on Services and on Salaries to employees according to the prescribed rates for salaries, U/s 153 and 149 of Income Tax Ordinance, 2001
