The Punjab Finance Act, 2010

[1]THE PUNJAB FINANCE ACT 2010

(Act VI of 2010)

[28 June 2010]

An Act to levy tax and alter the rate of taxes and duties in the Punjab.

Preamble.– Whereas it is expedient to levy tax and alter the rates of tax and duties in the Punjab and other connected matters.

It is hereby enacted as follows:-

1. Short title, extent and commencement.– (1) This Act may be cited as the Punjab Finance Act 2010.

(2) It extends to the whole of the Punjab

(3) It shall come into force on the first day of July 2010.

2. Amendments in Act II of 1899.– In the Stamp Act, 1899 (II of 1899)–

(a) for section 27-A, the following shall be substituted:-

“27-A. Value of immovable property.– (1) Where any instrument chargeable with ad valorem duty under Articles 23, 31 or 33 of Schedule I, relates to an immovable property, the value of the immovable property shall be calculated according to the valuation table notified by the District Collector in respect of immovable property situated in the locality.

(2) Where an instrument, mentioned in sub-section (1), relates to an immovable property consisting of land and structure, it shall state the value of the land or structure separately and the value of the structure stated in the instrument shall, subject to the provision of this Act, be accepted.

(3) Where the value of immovable property stated in an instrument to which sub-section (1) applies is more than the value fixed according to the valuation table, the value declared in the instrument shall be accepted as value for the purposes of stamp duty.

(4) Where the value given in the valuation table notified under sub-section (1), when applied to any immovable property, appears to be excessive, the Executive District Officer (Revenue) or any other person notified by the Government may, on application made to him by the aggrieved person, determine its correct value and for that purpose the provisions of sections 31 and 32 shall apply as nearly as possible.”; and

(b) in Schedule I–

(i) for Article 23, the following shall be substituted:-

“23.	CONVEYANCE as defined by section 2(10) not being a TRANSFER charged or exempted under Article 62–
	(a)	in the case of an immovable property;	two percent of the value of the property.
	(b)	in case of a registered motor vehicle.	one hundred rupees.”

(ii) for Article 31, the following shall be substituted:-

“31.

Exchange of immovable property.

two per cent of the value of the property of the highest value.”

(iii) for Article 33, the following shall be substituted:-

“33.	GIFT– Instrument of, including a memorandum of oral gift of an immovable property, not being a SETTLEMENT (Article 58) or WILL OR TRANSFER (Article 62)–
	when executed in respect of an immovable property.	two per cent of the value of the property.”

3. Amendment in Act XVII of 1967.– In the Punjab Land Revenue Act 1967 (XVII of 1967), for section 46, the following shall be substituted:-

“46. Mutation fees.– (1) The Board of Revenue may fix scale of fee for an entry in any record or register under this Chapter and for provision of a copy of any such entry.

(2) Where the scale of mutation fee is fixed at a certain percentage of the consideration or value of land, the consideration or value of the land shall be calculated according to the valuation table notified by the District Collector in respect of the land situated in the locality under the Stamp Act 1899 (II of 1899).

(3) A fee in respect of any entry shall be payable by the person in whose favour the entry is made.”

4. Amendment in Act XII of 1989.– In the Bank of Punjab Act 1989 (XII of 1989)–

(a) in section 4–

(i) for sub-section (1), the following shall be substituted:-

“(1) Subject to the provisions of this Act, the authorized capital of the Bank shall be fifty thousand million rupees divided into five thousand million ordinary or preference shares of ten rupees each.”;

(ii) for sub-section (2), the following shall be substituted:-

“(2) Out of the authorized capital of the Bank, shares shall, from time to time, be divided into such number of ordinary and preference shares and, be issued in such number and on such terms, including the terms of the brokerage and underwriting, as the Board may decide.”;

(b) for section 7, the following shall be substituted:-

“7. Government to be shareholder.– Notwithstanding anything contained in section 6, the Government shall be a shareholder of the Bank and shall hold up to fifty one per cent of all types of shares issued by the Bank.”

5. Amendment in Ordinance II of 2000.– In the Punjab Sales Tax Ordinance 2000 (II of 2000)–

(a) in section 3, in sub-section (1), for the words “sixteen per cent”, the words “seventeen per cent”, shall be substituted; and

(b) for the schedule, the following shall be substituted:-

“THE SCHEDULE

[see section 3(2)]

1. Services provided or rendered by hotels, clubs and caterers.

2. Advertisement on television and radio, excluding advertisements–

(a) sponsored by an agency of the federal or provincial Government for health education;

(b) financed out of funds provided by a Government under grant-in-aid agreement; and

(c) conveying public service message, if telecast on television by the World Wide Fund for Nature (WWF) or United Nations Children’s Fund (UNICEF).

3. Services provided or rendered by persons authorized to transact business on behalf of others–

(a) customs agents;

(b) ship chandlers; and

4. Courier services.

5. Advertisement on a cable television.

6. Services provided or rendered by shipping agents.

7. Telecommunication services–

(a) telephone services;

(b) fixed line voice telephone service;

(d) cellular telephone;

(e) wireless Local Loop telephone;

(f) video telephone;

(g) payphone cards;

(h) pre-paid calling cards;

(i) voice mail service;

(j) messaging service;

(k) short Message service (SMS);

(l) multimedia message service (MMS);

(m) bandwidth services [used for voice and video telecommunication services];

(i) copper line based;

(ii) fiber-optic based;

(iii) co-axial cable based;

(iv) microwave based;

(v) satellite based;

(n) telegraph;

(o) telex;

(p) telefax;

(q) store and forward fax services;

(r) audio-text services;

(s) tele-text services;

(t) trunk radio services;

(u) paging services;

(v) voice paging services;

(w) radio paging services;

(x) vehicle tracking services; and

(y) burglar alarm services.

8. Services provided or rendered in respect of insurance to a policy holder by an insurer, including a re-insurer–

(a) goods insurance;

(b) fire insurance;

(d) marine insurance; and

(e) other insurance.

9. Services provided by Banking Companies or Non-Banking Financial Institutions including but not limited to all non-interest based services provided or rendered against a consideration in form or a fee or commission or charge.

10. Services provided or rendered by the Stock Brokers.

11. Any other service notified by the Provincial Government in the official Gazette.”

[2][6.* * * * * * * * ** * * * * * ** * * * * * * * * * * * * * * * ** ** * * **]

7. Amendment in Act I of 2008.– In the Punjab Finance Act 2008 (I of 2008)–

(a) section 6 shall be omitted; and

(b) the Schedule shall be omitted.

[1]This Act was passed by the Punjab Assembly on 22 June 2010; assented to by the Governor of the Punjab on 25 June 2010; and, was published in the Punjab Gazette (Extraordinary), dated 28 June 2010, pages 3145-50.

[2] Section 6 “Capital value tax on immovable property” omitted by the Punjab Finance Act, 2017 (XII of 2017).