National Tax Number Procedure For a Company/Firm/Individual

And AOP

PREPARED BY: LEGAL SERVICES CELL

Small and Medium Enterprise Development Authority Government of Pakistan www.smeda.org.pk HEAD OFFICE
6th Floor, LDA Plaza, Egerton Road, Lahore

Tel: (042) 111-111-456, Fax(042) 6304926-7 legal@smeda.org.pk

REGIONAL OFFICE PUNJAB 8th Floor, LDA Plaza, Egerton Road, Lahore.
Tel: (042) 111-111-456 Fax: (042) 6304926-7 helpdesk@smeda.org.pk

REGIONAL OFFICE SINDH 5th Floor,Baharia Complex-II, M.T.Khan Karachi.

Tel: (021) 111-111-456 Fax: (021) 5610572 helpdesk-khi@smeda.org.pk

REGIONAL OFFICE NWFP Ground floor State Life Building The Mall,Peshawar.
Tel: (091) 9213046-47 Fax: (091) 286908 helpdesk-pew@smeda.org.pk

REGIONAL OFFICE BALOCHISTAN Banglow No.15-A Chaman Housing, Scheme, Airport, Road, Quetta.
Tel: (081) 831623, 831702 Fax: (081) 831922 helpdesk -qta@smeda.org.pk

National Tax Number Procedure for A Company/Firm/Individual/AOP Legal Services Cell

Table of Contents

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Description
Introduction of SMEDA Role of Legal Services Cell Flow Chart Definitions NTN Procedure For Company For Firm For Business Individual For Association of Persons (AOP) Filling of Application Allotment of National Tax Number Displaying and Quoting of NTN Intimation regarding Changes in Particulars Amendment and Re- issue of NTN Annexures

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2 2 3 4 5 5 6 6 7 7-8 8 8 9 9 10-12

National Tax Number Procedure for A Company/Firm/Individual/AOP Legal Services Cell

INTRODUCTION OF SMEDA
The Small and Medium Enterprise Development Authority (SMEDA) was established with the objective to provide fresh impetus to the economy through the launch of an aggressive SME development strategy. Since its inception in October 1998, SMEDA had adopted a sectoral SME development approach. A few priority sectors were selected on the criterion of SME presence. In depth research was conducted and comprehensive development plans were formulated after identification of impediments and retardants. The all-encompassing sectoral development strategy involved overhauling of the regulatory environment by taking into consideration other important aspects including finance, marketing, technology and human resource development. SMEDA has so far successfully formulated strategies for sectors, including fruits and vegetables, marble and granite, gems and jewellery, marine fisheries, leather and footwear, textiles, surgical instruments, transport and dairy. Whereas the task of SME development at a broader scale still requires more coverage and enhanced reach in terms of SMEDAs areas of operation. Along with the sectoral focus a broad spectrum of services are now being offered to the SMEs by SMEDA, which are driven by factors like enhanced interaction amongst the stakeholders, need based sectoral research, over the counter support systems, exclusive business development facilities, training and development for SMEs and information dissemination through wide range of publications.

ROLE OF LEGAL SERVICES CELL

The Legal Services Cell [LSC] is a part of Business Development Division of SMEDA and plays a key role in providing an overall facilitation and support to SMEs. The LSC provides guidance based on field realities pertaining to SMEs in Pakistan and other parts of the world. LSC believes that information dissemination among the SMEs on the existing regulatory environment is of paramount importance and it can play a pivotal role in their sustainable deve lopment. In order to facilitate SMEs at the Micro Level LSC has developed user-friendly systems, which provide them detail description of the Laws, and Regulations including the process and steps required for compliance. The purpose of this document is to provide SMEs with information pertaining to a companys registration / incorporation procedure. Companies interested in enhancing their understanding about the procedures can also use the document and documentation required to comply with registration pr ocedure. For convenience of the readers a process flow chart and sample of various forms are also included.

National Tax Number Procedure for A Company/Firm/Individual/AOP Legal Services Cell

FLOW CHART
APPLICATION FOR NTN CARD

COMPANY/ REG. FIRM

INDIVIDUAL

AOP

For Company/ Reg. Firm form IT-A

For Directors/ Partners form IT-B

For Business Individual form IT-B

For Salaried Individual form IT-B

For AOP form IT-B

For Partners form IT-B

FILING OF APPLICATION

ALLOTMENT OF NTN

DISPLAYING AND QUOTING OF NTN

INTIMATION REGRADING CHANGE IN PARTICULARS

CHANGE IN PARTICULARS

ANNEXURES

National Tax Number Procedure for A Company/Firm/Individual/AOP Legal Services Cell

DEFINITIONS:
NIC: National Identity Card. NTN: National Tax Number. HUF: Hindu undivided families ASSOCIATION OF PERSONS (AOP) Association of persons includes a firm, a Hindu undivided family, any artificial juridical person and any body of persons formed under a foreign law, but does not include a company. FIRM: Firm is a relation between persons who have agreed to share the profit of a business carried on by all or any one of them acting for all. WHO IS REQUIRED TO FILE INCOME TAX RETURN: Subject to Income Tax Ordinance, 2001, the following persons are required to furnish a return of income for a tax year, namely: i) Every Company. ii) Every person (other than a company) whose taxable incomes for a tax year exceeds the maximum amount that is not chargeable to tax under this Ordinance. (Maximum limit for tax year 2005 is 100,000). iii) Any person not covered by (i) or (ii) whoa) has been charged to tax in respect of any of the two preceding tax years; b) claims loss carried forward under this Ordinance for a tax year; c) owns immovable property, with a land area of two hundred and fifty square yards or more or owns any flat, located in areas falling within the Municipal limits existing immediately before the commencement of Local Government Laws in the Provinces; or areas in a Cantonment; or the Islamabad Capital Territory;

National Tax Number Procedure for A Company/Firm/Individual/AOP Legal Services Cell

NTN PROCEDURE
Every taxpayer shall apply in the prescribed form accompanied by the prescribed fee Rs. 50 per NTN Certificate. Every taxpayer will have a distinct National Tax Number. APPLICATION FOR NTN CARD: The two forms IT-A and IT-B has been designed for the following categories. i) IT-A, for Companies and Registered firms ii) IT-B, for Individuals and AOP In case of a company/firm NTN application shall also be accompanied by applications for NTN Certificate on IT-B of members/directors, who previously do not have NTN Certificate. Similarly application for NTN of AOP shall be accompanied by applications on IT-B for NTN Certificate of members of AOP, who previously do not have NTN Certificate. RELEVANT COLUMNS TO BE FILLED-IN AND DOCUMENTS REQUIRED TO BE ATTACHED; FOR COMPANY: RELEVANT COLUMNS OF FORM IT-A; Category (Name of Business i.e. Companys Name), Business Address, Office Phone No. and Fax, Principal Business Activity, Principal business activity (Tick one), Nature of business (Mention here the nature e.g. garments etc.) Company Type (Private or Public etc), Incorporation Number (as given on Certificate of Incorporation from SECP) , Date of Incorporation (as mentioned on certificate of Incorporation), Residential Status, Old NTN(If any), Particulars of Directors (Use additional sheets if required, For partners/directors who previously have no NTN, separate applications on form IT-B of category business individual with relevant columns in which name of business is name of the company must be filed along with this application for issuance of NTN card), Signature of Principal Officer/ Managing Partner of the Company. DOCUMENTS; A) Attested copies or National of CNICs or passport (in case of Foreign National) of all Partners/Directors B) Attested copy of Certificate of incorporation or registration of the company. In case of a trust, the trust deed. All documents must be attested by Class-I gazetted officer or by an officer of the Bank or by president/secretary of the tax bar.

National Tax Number Procedure for A Company/Firm/Individual/AOP Legal Services Cell

FOR REGSITERED FIRM (Here Registered firm mean firm registered with Registrar of Firms) RELEVANT COLUMNS OF FORM IT-A; Category, Name of Business (Firms Name), Business Address, Office Phone No. and Fax, Principal Business Activity (Tick one), Nature of business (garments etc.), Registration Number (As mentioned on form-C from Registrar of Firms), Date of Registration (As mentioned on form-C) , Residential Status, Old NTN(If any), Particulars of Partners (Use additional sheets if required, For partners who previously do not have NTN separate applications on form IT-B of category business individual with relevant columns in which name of business will be the name of the firm must be filed along with the application for issuance of NTN of firm), Signature of Principal Officer/ Managing Partner of the firm. DOCUMENTS; a) Attested copies of CNICs or passport (in case of Foreign National) of all Partners. b) Attested copy of Certificate of registration of the firm (Form-C). c) All documents must be attested by Class-I gazetted officer or by an officer of the Bank. FOR BUSINESS INDIVIDUAL/DIRECTOR/PARTNER RELEVANT COLUMNS OF FORM IT-B; Category, Name of applicant (mention here name of individual/director/partner as the case may be), Residential Address, Name of bus iness (An individual can do a business by name. However, in case of Director or Partner mention here company or firms name), Business Address (Mention here address where an ind ividual/company/firm is doing its business), Phone Residence, Phone Business, Business Fax, Principal Business Activity (Tick one), Nature of Business (like garments etc.), NIC No. (Old and new), Sex, Old NTN (If any), Nationality, Residential Status, Passport No. for foreign nationals only, (NTN OF Employer, Name of Employer and Address of Employer is only applicable where applicant is a salaried person), Signature of the applicant. DOCUMENTS; a) b) c) Attested copy of CNIC of Business individual. Attested copy of passport in case of a foreign individual. Other documents with photo identification drivers licence. All documents must be attested by Class-I gazetted officer or an officer of the Bank or by

National Tax Number Procedure for A Company/Firm/Individual/AOP Legal Services Cell president/secretary of the tax bar. In case the applicant is director or partner then he/she will attach this form IT-B with application form of company or firm i.e. IT-A

FOR ASSOCIATION OF PERSON (AOP) RELEVANT COLUMNS OF FORM IT-B; Category (Tick AOP), Name of applicant, Residential Address, Name of Business, Business Address, Phone.(Res/Bus.), Business Fax, Principal Business Activity (Tick one), Nature of Business (Like Garments etc.), New and Old NIC NOs, Old NTN (If any), Nationality, Residential Status, Particulars of members, Particulars of partners or member(give here name, NTN (if any) and NIC Nos. of all members of AOP), (A separate application on form IT-B shall be submitted for those members who have no previous NTN card), Signature of the applicant i.e. (Principal Member). DOCUMENTS; a) Attested copies of CNICs of all the members. b) Attested copy of passport in case of a non-resident members. c) Attested copy of instrument of partnership in case of a firm. All documents must be attested by Class-I gazetted officer or an officer of the Bank or by president/secretary of the tax bar. FILING OF NTN APPLICATION An application for National Tax Number Card shall be submitted to the nearest NTN Center. The applicant can submit application at the following address (NTN Cells).
Islamabad Lahore Karachi

Incharge NTN Cell CDA Block-II, Old CBR Building, Melody, Islamabad Ph # 051-9210040 Fax # 051-9208685

Incharge NTN Cell Ground Floor, Income Tax Building, Nabah Road, Lahore. Ph # 042-9212202 Fax # 042-9211909

Incharge NTN Cell Ground Floor, Income Tax Building, Shahrah-e-Kamal Attaturk, Karachi. Ph # 021-9211330 Fax # 021-9212534

National Tax Number Procedure for A Company/Firm/Individual/AOP Legal Services Cell

Sukkur Multan Faisalabad

Incharge NTN Cell Ground Floor, Income Tax Building, Queens Road, Sukkur Ph # 071-9310148 Fax # 071-9310149
Gujranwala

Incharge NTN Cell, Ground Floor, Income Tax House, L.M.Q. Road, Multan. Ph # 061-9201101 Fax # 061-9201102
Sialkot

Incharge NTN Cell Ground Floor, Income Tax House, Opposite Allied Hospital, Sargodha Road, Faisalabad. Ph # 041-9210310 Fax # 041-9210311

Incharge NTN Cell Incharge NTN Cell, Income Tax Building, G.T. Road, Gujranwala. Ph # 0431-9200796 Fax # 0431-9200797

Incharge NTN Cell Incharge NTN Cell, Ground Floor, Income Tax House, Ketchery Road, Sialkot. Ph # 0432-9250430 Fax # 0432-290422 Hyderabad Incharge NTN Cell, Ground Floor, Income Tax Building, Civil Lines, Hyderabad. Ph # 0221-782961 Fax # 0221-782962 Sargodha Incharge NTN Cell, Computer Center, 10-A Club Road, Civil Line Sargodha. Ph # 048-9230682 Fax # 048-9230684

Quetta Incharge NTN Cell, Ground Floor, Income Tax Office , Spinny Road, Quetta. Ph.# 081-9202826 Fax # 081-9201376

Peshawar Incharge NTN Cell, Ground Floor, Income Tax House, Jamrood Road, Peshawar Ph # 091-9216091 Fax # 091-9216092 Sahiwal Incharge NTN Cell, Income Tax Complex, Canal Colony, Sahiwal. Ph. # 0441-225887 Fax # 0441-226997

Bahawalpur Incharge NTN Cell, Computer Center, 32-C Model Town-A, Shabbir Shaheed Road, Bahawalpur. Ph # 0621-9255280 Ph # 0621-9255282 Rawalpindi Incharge NTN Cell, MTU Building Mayo Road, Katchery, Rawalpindi. Ph. # 051-9270411 Ext. 242-243

NOTE: NTN Cards will not be issued against incomplete applications. Presently NTN is only available against new NICs (CNICs). Old NIC Number must be clear on copy of new NIC attached with the application. ALLOTMENT OF NATIONAL TAX NUMBER The commissio ner having jurisdiction over an applicant may after examination of all relevant documents and evidence, and after satisfying himself of the genuiness of the application, may direct issuance of the National Tax Number Certificate for a period prescribed by Commissioner. The Commissioner shall make a decision on an application 8

National Tax Number Procedure for A Company/Firm/Individual/AOP Legal Services Cell for a National Tax Number Card within fifteen days of the application being properly lodged. DISPLAYING AND QUOTING OF NATIONAL TAX NUMBER Every person deriving income from business chargeable to tax who has been issued with a National Tax Number Card shall display the persons National Tax Number at a conspicuous place at every place of business of the person. Every NTN Certificate holder is required to quote the National Tax Number in the following circumstances, namely:a) in all commercial transactions entered into by the person; b) in cash memos issued under rule 30; c) in all returns, statements and other documents required to be furnished under the Ordinance and in any correspondence with the Commissioner ; and d) in all documents relating to the persons business on the following matters, namely:i) ii) iii) iv) all new connections of utilities, including water, gas, electricity and telephone; the entering into a loan with a banking company or financial institution; the opening of letters of credit; and the transfer of urban immovable property.

INTIMATION REGARDING CHANGES IN PARTICULARS Every person having NTN Certificate must intimate to the concerned Commissioner of Income Tax any changes in na me, address and nature of business as mentioned in application for issuing of NTN Certificate. AMENDMENTS AND RE-ISSUE OF NTN An NTN holder can apply for amendments in entries of NTN Certificate or for re-issue on the following grounds. If the NTN holder have not received new NTN Certificate so for have lost NTN Certificate want to have some changes made in the NTN Certificate want to reissue NTN Certificate against expiry of old NTN Certificate

1. 2. 3. 4.

National Tax Number Procedure for A Company/Firm/Individual/AOP Legal Services Cell Documents required to be attached 1. 2. 3. 4. 5. Addresses of NTN Cells

Copy of New NIC (CNIC) of the NTN Holder attested by the class-1 Gazetted Officer, Bank Officer, President or Secretary of Tax Bar Association. The original NTN Certificate (if issued already) should be surrendered, with changes. (Now verification by concerned circle officer is not required) If NTN Certificate has been lost, an affidavit in this regard on stamp paper Rs.20/Photo copy of latest assessment order if change in status is applied (if applicable). Companies and registered firms should issue an authority letter on the official letter head for collection of NTN Certificate.

ANNEXURES 1. Form IT-A 2. Form IT-B

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