Statement of Trust Act2020

It is necessary to revise and modify the law relating to trust and make provisions for the ancillary matters.

Definition of Trust:

Trust means a obligation annexed to owner ship of a property,and arising out of a confidence reposed in and accepted by transfre or declared and accepted by him for the benefit of another owner.

Definition of Specialized Trust:

collective investment schemes, collective investment vehicles, private funds, pension funds, real estate investment trust, exchange trade funds, private equity and venture capital funds,

Every state of the world has passed the law to curb the transactions to conceal the actual owner.The State of Pakistan passed the law to curb this menace of corruption.There is a overview of law that is similar to laws of other States as well as countries for this purpose.I will begin from the statement and purpose of the law.The law is called the Benami Transaction (Prohibition)Act 2017.

Statement and purpose of Benami Transaction (Prohibition)Act 2017

Benami Transaction (Prohibition)Act 2017 has been passed to provide for prohibition of holding property in benami and restrict right to recover transfer property held benami and provide mechanism and procedure for confiscation of property held benami and for matters contacted there with.

RESJUDICATA

It is in the public interest that there should be an end to litigation.

When judge gives his judgement in any case before him ,he make an order which gives effects to his decision as between the parties to the case .This judgement in strict sense is binding only on the parties to case; as between them the issue in dispute are said to be resjudicata.

OBITERDICTA

If a judge thinks it desirable to give his opinion on some point which is not necessary for the decision of the case that of course has not binding weight of the decision of the case

RATIO DECEDENDI OF A CASE:

It is the ratio decedendi of case which makes the decision binding precedent for a future .However grounds of decision is material facts of the case,

The spirit of constitution has been given in preamble of the constitution of Pakistan and basic duty has been given in the article of 5, its subversion is protecd by article 6 of the Constitution.

Preamble describes whereas sovereignty over entire Universe belongs to Almighty Allah alone, and authority to be exercised by the people of Pakistan with in the limits prescribed by Him a sacred trust is;

An where as it is the will of the people of Pakistan to establish an order—–

             Wherein the state shall exercise its powers and authority through the chosen representatives of the people;

Finance Supplementary Act 2023& Constitutional Rights

Important amendments has been introduced in Sales Tax Act 1990 and Federal Excise Act, 2005 and Income Tax Ordinance 2001 through Supplementary Act, 2023.I want to describe them.

First of all I will discuss the statement and purpose of it. Tax rates has been enhanced to reduced the fiscal gap and increase the income of the State of Pakistan.

Amendments in Tax rates:

1. Enhancement in Standard Rate of Sales Tax:

In order to reduce fiscal gap and increase tax to GDP,

There is an emergent need to learn and know the technology. Every business has been moved to innovative technology. Every business entity can flourish its B2B and B2C business through technology. Every educational institution can educate its students all over the world through information technology.

 The Government of Pakistan is imparting digital education to its youth by using innovative information technology. There are ten courses and Digital skills platform of the Government of Pakistan that enroll one-quarter of a million students after every three months. All courses are free of fee and without cost.

PUNJAB COMMERCIAL COURTS

By Advocate G.M Choudhry Tax & Corporate Consultant

Co-founder and associated partner of G&Z LEGAL NEXUS

The Punjab Assembly Passed the law by name of Punjab Commercial court to provide relief to resolve contractual dispute between the corporate sector from lengthy and protracted conventional court system.

Statement, purpose and spirit of commercial courts

There question arises about the meanings of commercial dispute. The law defined the commercial dispute in elaborately .Dispute among domestic companies, foreign companies and firms’ falls in jurisdiction of commercial courts if disputed amount is more than ½ million of Pakistan currency.

CALCULATION OF INCOME TAX ON CAPITAL GAIN

BY Advocate G.M Choudhry

Tax and Corporate Consultant

Co-founder and associated partner of G.Z Legal Nexus

Capital asset:

Capital asset is asset that a person holds for longer period of time for the purpose of investment and not for the purpose of business.

  A painting, sculpture, drawing or other work of art,  jewelery, a rare manuscript, folio or book, a postage stamp or first day cover,  a coin or medallion or an antique falls in the definition of assets but stock in trade,

By Advocate G.M Choudhry

 Tax and Corporate consultant

Co-founder and associated partner of G & Z LEGAL NEXUS

Questions arise about the un-explained and concealed income and assets of the residents of Pakistan. Some time resident has a value able property or he made extra ordinary expenses or he has made heavy amount of investment in any project but he did not disclosed these amounts  in his Income Tax return and wealth statement submitted on IRIS portal of FBR.

 Conditioned when income and assets shall be considered un-explained and concealed:

• Where —
• any amount is credited in a person’s books of account
• person has made any investment or is the owner of any money or valuable article
• a person has incurred any expenditure
• any person has concealed income or furnished inaccurate particulars of income including —
• the suppression of any production,

INCOME FROM PROPERTY

Heads of income has been given in Income Tax Ordinance. I want to discuss one head of income in this article that is given in title.

Income from property is a passive income. Property is an asset and it gives earnings without working actively.

Income and rent received from property is taxable according to Income Tax laws of Pakistan.

What is rent?

Rent means any amount received or receivable by the owner of land or a building as consideration for the use or occupation of,