EFU GENERAL INSURANCE LTD. THROUGH JOINT MANAGING DIRECTOR, KARACHI versus FEDERATION OF PAKISTAN THROUGH MINISTRY OF LAW AND PARLIAMENTARY AFFAIRS, GOVERNMENT OF PAKISTAN, IS
Sections 99, 101, 107 and 152 (1AA) [as inserted by the Finance Act (I of 2008)] Insurance Ordinance (XXIXX of 2000), Section 2 (xxvii) and (Hello) Constitution of Pakistan (1973), Article 199 The constitutional application again covers the insurance premiums paid by a Pakistani company to foreign-based insurance companies that do not have a permanent establishment in Pakistan, but belong to countries that have contracts with Pakistan to avoid double taxation, such as foreigners. No tax deduction by reinsurance premium sent by Pakistani company on insurance premium after inserting section 152 (1AA) in Income Tax Ordinance 2001 Finance Act, by department by 2008 is essential to avoid double taxation of such demand that such a tax would not tax the foreign company. After the amendments made by FINA, through the Finance Act, 2008, the Pakistani company did not require such foreign companies to re-deduct the tax related to insurance remittances. The NIS Act, 1, provides for such insurance remittances. The sources responsible for deducting the tax deduction of Pakistani companies by the applicants at source must depend on the fact that the provisions of the Finance Act, 1 of 4 apply to such foreign companies as there is no permanent establishment. Pakistan, thus, such insurance remittances cannot be considered on their income from Pakistan, there will be no question of tax deduction, where payments to non-residents are exempt from tax, According to the Permanent Establishment stated in the Double Avoidance Agreement. Section 107 of the Income Tax Ordinance 2001
Related judgments — Karachi High Court Sindh, 2010
