Tax Rates for Companies
Tax Laws of Pakistan are considered too much wide and difficult consulting law or extracting something from law is difficult for a lay man, even if we talk about tax rates or corporate tax rates ,Corporate tax return filing is lengthy process
Tax rate for companies is 30 % for tax year 2017 , 2018 and onward
Corporate Tax Rate for small companies is 25% in Pakistan
Sub section 59 A of Section 2 of Income Tax Ordinance defines small companies in the following words:
―Small Company‖ means a company registered on or after the first day of July, 2005, under the Companies Ordinance, 1984 (XLVII) of which has,—
(i) has paid up capital plus undistributed reserves not exceeding [fifty] million rupees;
[(ia) has employees not exceeding two hundred and fifty any time during the year;]
(ii) has annual turnover not exceeding two hundred and fifty million rupees; and
(iii) is not formed by the splitting up or the reconstitution of company already in existence;]
See also Corporate Tax Return
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