Amount of tax to be withheld


When computing the amount of tax to be withheld from an employee's salary, can tax credits under the Ordinance to which an employee is entitled be taken into account, such as those relating to:

a) Approved donations;

b) Interest on housing loan;

c) Investment in shares; and

d) Contribution to approved pension funds

Further, can the employer reduce the withholding tax for tax paidby the employee with utility bill payments and with payments for motor vehicle token fee?

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Accounting Basics: Amount of tax to be withheld
Reference No:- TGS0554585

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