A person has following information for the Tax Year 2020

Income from Salary                           9,000,000

Total income from business            (1,000,000)

Total Capital Gains                           2,000,000

Total income from property               5,000,000

Out of the capital gains, Rs. 1,000,000 is from foreign source also exempt from tax as per Income Tax Ordinance, 2001 as well. Income from property is totally taxable and coming from both foreign and Pakistani sources in the following manner:

Foreign Source                  2,000,000

Pakistani Source               3,000,000

Required:

Calculate both Total Income and Taxable Income of the person as per Income Tax Ordinance, 2001 for Tax Year 2020 in both of the following cases separately: If

A.            The person is resident; and if                          (05)

B.            The person is non-resident                              (05)

Answer rating: 100% (QA)

A THE PERSON IS RESIDENT In the case of resident all kind of income earned will be taxable neverthel... View the full answer