Capital market operators public companies to show evidence of tax compliance from march 31 sec
A very specific and timely question!
According to a recent circular issued by the Securities and Exchange Commission of Pakistan (SECP), capital market operators and public companies are required to submit evidence of tax compliance from March 31, 2023.
Here are the details:
Circular No. 14/2023
The SECP has issued a circular to all capital market operators, including stock brokers, merchant bankers, and public companies, requiring them to submit evidence of tax compliance from March 31, 2023.
Purpose
The purpose of this circular is to ensure that all capital market operators and public companies comply with the tax laws of Pakistan and maintain transparency in their financial transactions.
Requirements
To comply with this circular, capital market operators and public companies are required to submit the following documents:
- Proof of payment of income tax, sales tax, and federal excise duty (FED) for the year 2022-2023.
- Proof of payment of withholding tax on dividends, interest, and other payments made during the year 2022-2023.
- Proof of payment of advance tax on income for the year 2022-2023.
- Proof of payment of sales tax on goods and services for the year 2022-2023.
- Proof of payment of FED on goods and services for the year 2022-2023.
Submission
The above-mentioned documents must be submitted to the SECP by March 31, 2023. The submission can be made through the SECP's online portal or by hand delivery to the SECP's office.
Consequences of Non-Compliance
Failure to submit the required documents by the specified deadline may result in penalties, fines, or even suspension of the capital market operator's or public company's license.
Conclusion
In conclusion, capital market operators and public companies are required to submit evidence of tax compliance from March 31, 2023, to the SECP. This is a mandatory requirement to ensure compliance with tax laws and maintain transparency in financial transactions.