Lahore 22°C
Additional tax on certain income, profits and gains
(1) Notwithstanding anything contained in this Ordinance or any other law for the time being in force, for any of the last three tax years preceding the tax year 2023 and onwards, in addition to any tax charged or chargeable, paid or payable under any of the provisions of this Ordinance, an additional tax shall be imposed on every person being a company who has any income, profit or gains that have arisen due to any economic factor or factors that resulted in windfall income, profits or gains.
(2) The Federal Government may, by notification in the official Gazette, –
(a) specify sector or sectors, for which this section applies;
(b) determine windfall income, profits or gains and economic factor or factors including but not limited to international price fluctuation having bearing on any commodity price in Pakistan or any sector of the economy or difference in income, profit or gains on account of foreign currency fluctuation;
(c) provide the rate not exceeding fifty percent of such income, profits or gains;
(d) provide for the scope, time and payment of tax payable under this section in such manner and with such conditions as may be specified in the notification; and (e) exempt any person or classes of persons, any income or classes of income from the application of this section, subject to any conditions as may be specified in the notification.
(3) The Federal Government shall place before the National Assembly the notification issued under this section within ninety days of the issuance of such notification or by the 30th day of June of the financial year, whichever is earlier. PART II OIL, NATURAL GAS AND OTHER MINERAL DEPOSITS
(2) The Federal Government may, by notification in the official Gazette, –
(a) specify sector or sectors, for which this section applies;
(b) determine windfall income, profits or gains and economic factor or factors including but not limited to international price fluctuation having bearing on any commodity price in Pakistan or any sector of the economy or difference in income, profit or gains on account of foreign currency fluctuation;
(c) provide the rate not exceeding fifty percent of such income, profits or gains;
(d) provide for the scope, time and payment of tax payable under this section in such manner and with such conditions as may be specified in the notification; and (e) exempt any person or classes of persons, any income or classes of income from the application of this section, subject to any conditions as may be specified in the notification.
(3) The Federal Government shall place before the National Assembly the notification issued under this section within ninety days of the issuance of such notification or by the 30th day of June of the financial year, whichever is earlier. PART II OIL, NATURAL GAS AND OTHER MINERAL DEPOSITS
Amendment history (7)
- The words “Federal Government” substituted by the Finance Act, 2021.
- Expression “and payment of tax, filing of return” substituted by the Finance Act, 2026.
- New section 99C inserted through Finance Act, 2019
- New section 99D inserted by the Finance Act, 2023.
- Full stop substituted by the Finance Act 2017.
- Inserted by the Finance Act, 2017.
- Inserted by the Finance Act, 2007.
Amendment notes captured from the source page(s); they may include changes to neighbouring provisions.
Source FBR PDF page 172
Unofficial reference, compiled from the FBR’s consolidated Income Tax Ordinance 2001 (amended up to 30 June 2026). Provided for general information only — not an official FBR publication and not legal or tax advice. Always verify against the official FBR text before relying on it for filing or any decision.