INCOME FROM COLLECTIVE INVESTMENT SCHEME

Any distribution received by a person from a collective investment scheme registered by the Securities and Exchange Commission of Pakistan, e.g. National Investment (Unit) Trust, RIET scheme, Private Equity or Venture Capital Fund, etc. out of the capital gains of the said scheme or trust will be exempt from tax.

INCOME OF REAL ESTATE INVESTMENT TRUST

With effect from 1″ July 2006, income of a real investment trust approved and authorized by the Security and Exchange Commission of Pakistan will be exempt from tax. This exemption has been granted to encourage investment in construction sector by investors of average income group.

The exemption will be available only if at least ninety percent of its accounting income (excluding capital gains, if any) is distributed amongst the unit or Dfa Ho certificate holders or shareholders as the case may be.

Explanation

Accounting income means income calculated under the generally accepted Accounting Principles and verified by the auditors.