ISLAMABAD: Economic Coordination Committee of the Cabinet (ECC) has extended the date for reduced rate of withholding tax on banking transactions @4% on non-filers till May 31, 2016 under section 2,36p of the Income Tax Ordinance 2001.
A meeting of the ECC was held under the chairmanship of the Finance Minister, Mohammad Ishaq Dar, at the Prime Minister’s Office. The ECC at the outset considered and accorded approval for payment of two months’ salaries to the employees of Pakistan Steel Mills, amounting to Rs 858 million. ECC allowed WAPDA to raise a loan of Rs 25 billion from local banks under the sovereign guarantee of the Government of Pakistan for making payment of arrears for Net Hydel Profits (NHP) to the government of Khyber Pakhtunkhua, during the current fiscal year 2015-16.
A total amount of Rs70 billion was settled between the federal and provincial government of KP on account of uncapped NHP as full and final settlement of the claims. The amount will be paid in 4 tranches comprising Rs 25 billion in the current financial year and Rs15 billion every year for the next 3 years.
ECC approved extension in the period of export processing zone status of Duddar Project. The extension will now be available till 14th January 2035 and will facilitate promotion foreign investment of a project in public interest. The recommendation for the extension in this period was given by a special committee formed under the chairmanship of Special Assistant to Prime Minister on Law.E CC also gave approval to the revision of margins of Oil Marketing Companies (OMCs) and dealers on petroleum products.
