The government has imposed Capital Gains Tax (CGT) on debt instruments like Pakistan Investment Bonds, Treasury Bills, Foreign Currency Bonds and Sukuk in the proposed Finance Bill 2014-15.
Experts said while the CGT on Securities (stocks) was clear and widely discussed, the imposition of CGT on the other component of the capital market the debt instruments was not as apparent.
They noted that the finance bill didn’t explain what would be the process to put the tax on the debt instruments or on what stage the tax would be applicable.
