Legal Shorthand Passage : Sindh High Court Judgment Part-VI

 

LEGAL SHORTHAND PASSAGE FROM SINDH HIGH COURT JUDGMENT DATED 24.07.2020 Part-VI


Total Words= 405    Dated:        22/12/2020     @PSTC Academy, Peshawar 

Prepared by: M Junaid Khan, SS Stenographer, Civil Secretariat, KP Peshawar. 

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PASSAGE ENGLISH






The charge of income tax is created under Section 4 of the Income Tax Ordinance, 2001, according to which, subject to this Ordinance, income tax shall be imposed for the each tax year, on every person, who has taxable income, for which tax year at the rate and rates as specified in Division I, IB or II of Part I of the First Schedule as the case may be. The term taxable income has been defined under Section 9 of the Income Tax Ordinance, 2001, according to which, the taxable income of a person for a tax year shall be the total income [under clause (a) of section 10] of the person for the year reduced (but no below zero) by the total of any deductible allowances under

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Part IX of this Chapter of the person for the year, whereas, the term total income   has been defined under Section 10 of the Income Tax Ordinance, 2001, according to which, the total income of a person for a tax year shall be the sum of the (a) person‘s income under all heads of income for the year; and (b) person‘s income exempt from tax under any of the provisions of this Ordinance.

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Legal Shorthand Passage : Sindh High Court Judgment Part-VI

 



2.         The terms heads of income under Section 11 of the Income Tax Ordinance, 2001 has been defined, according to which, for the purposes of the imposition of tax and the computation of total income, all income shall be classified under the following heads, namely, (a) Salary; (b) Income from Property; (c) Income from Business; (d) Capital Gains; and (e) Income from other Sources. Section 12 of the Income Tax Ordinance, 2001 defines the term salary. Whereas, for the purposes of the subject controversy agitated through instant petitions, we have to examine the provisions of sub-section (1) and sub-section (c) of sub-section (2) of Section 12 of the Income Tax Ordinance, 2001, in order to appreciate the chargeability of income of a person falling under the head Salary. 

 




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3.        According to sub-section (1) of Section 12, any amount of salary received by an employee in a tax year, other than salary that is exempt from tax under this Ordinance, shall be chargeable to tax in that year under the head ―Salary. In other words, whatever amount received by an employee from any employment as detailed in Section 12 is chargeable to tax, unless it is exempted from tax under the Ordinance 2001. 

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