Pakistan - Taxing Banking Transactions in Pakistan
- B. Hassan
- Derivatives & Financial Instruments, 2018 (Volume 20), No 4
- 6 June 2018
In this article, the author analyses taxes on banking transactions under the Income Tax Ordinance 2001, introduced in the wake of poor tax compliance through informal economic activity and underreporting of formal income. The article finds the impact of banking-transaction taxes on broadening the tax base, discouraging the informal economic activity and enhancing the tax revenue to be insignificant.