BMA EMPRESS CASH FUND (BECF)

TAX BENEFITS

Invest In BMA Funds- Enjoy Tax Savings & Competitive Returns!

Step 1:

Invest in BMA Funds up to your tax ceiling before June 30, 2017

Invest Rs. 1,500,000 or 20% of taxable income (whichever is lower) in Mutual Funds1

Step 2:

Claim Tax Credit on the investment from your Tax Liability of 2016-2017

How To Avail Tax Credit Facility

To claim your tax credit amount you just need to do following:

1. As a Salaried individual, you can inform your HR or Finance Department about your investments by submitting the account statement to adjust your tax credit amount from the monthly income tax deductions.

2. As a Self-employed individual you can adjust your tax payable by showing investment in your wealth statement at the time of Income tax return filing.

The benefits shown in the following tables are calculated as an illustration based on maximum   Investments subject to respective income brackets as defined in ITO, 2001.

SALARIED INDIVIDUALS

Taxable Income (PKR)Permissible Investment for Tax Credit (PKR)Tax Amount (PKR)Effective Tax Rate %Tax Credit (PKR)Return On Investment (PKR)ROI + Tax Rebate (PKR)*Annual Return (%)
600,000 120,000 7,000 1.20% 1,400 4,800 6,200 5.20%
900,000 180,000 29,500 3.30% 5,900 7,200 13,100 7.30%
1,550,000 310,000 99,500 6.40% 19,900 12,400 32,300 10.40%
2,450,000 490,000 250,750 10.20% 50,150 19,600 69,750 14.20%
4,500,000 900,000 734,500 16.30% 146,900 36,000 182,900 20.30%
8,000,000 1,500,000 1,722,000 21.50% 322,875 60,000 382,875 25.50%
10,000,000 1,500,000 2,322,000 23.20% 348,300 60,000 408,300 27.20%
20,000,000 1,500,000 5,322,000 26.60% 399,150 60,000 459,150 30.60%
4.00% is assumed Average Return*


SELF EMPLOYED INDIVIDUALS

Taxable Income (PKR)Permissible Investment for Tax Credit (PKR)Tax Amount (PKR)Effective Tax Rate %Tax Credit (PKR)Return On Investment (PKR)ROI + Tax Rebate (PKR)*Annual Return (%)
600,000 120,000 17,000 2.83% 3,400 4,800 8,200 6.83%
900,000 180,000 54,500 6.06% 10,900 7,200 18,100 10.06%
1,500,000 300,000 144,500 9.63% 28,900 12,000 40,900 13.63%
2,400,000 480,000 324,500 13.52% 64,900 19,200 84,100 17.52%
4,500,000 900,000 869,500 19.32% 173,900 36,000 209,900 23.32%
8,000,000 1,500,000 2,019,500 25.24% 378,656 60,000 438,656 29.24%
10,000,000 1,500,000 2,719,500 27.20% 407,925 60,000 467,925 31.20%
20,000,000 1,500,000 6,219,500 31.10% 466,463 60,000 526,463 35.10%
4.00% is assumed Average Return*


Notes:

  • To avail Tax Rebate, a minimum investment holding period of two years from the date of investment is required.
  • Please refer to the Income Tax Ordinance 2001, section 62, to understand the Tax Law fully and the terms and conditions that apply. Tax rates are for FY 2016-17.

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