Exemption of Default Surcharge and Penalties against Current Tax Liability of PIACL
SRO 799(I)/2026 is an Income Tax SRO dated 4 May 2026, listed by FBR as "Exemption of Default Surcharge and Penalties against Current Tax Liability of PIACL".
FBR publishes this SRO as scanned images, so the text below was transcribed by Qanoon Digest from the page images, with tables set out as tables. Check the official PDF before relying on any wording or figure.
Page 1
Government of Pakistan
Revenue Division
Federal Board of Revenue
Islamabad, the 04th May, 2026
NOTIFICATION
S.R.O. 799 (I)/2026. - In exercise of the powers conferred under section 183 of the Income Tax Ordinance, 2001 (XLIX of 2001), and in pursuance of the Cabinet Decision in Case No. 928/Rule-19/2025/1253 dated the 31st December, 2025, the Federal Government is pleased to exempt default surcharge and penalties against the current tax liabilities of the Pakistan International Airlines Corporation Limited (PIACL), amounting to Rs. 8,765,972,000/-, subject to the final determination, in order to successfully conclude the process for divestment of PIACL to the successful bidder and to ensure timely execution of the bid documents and satisfaction of terms contained therein.
This exemption shall be subject to the condition that the current liabilities of the PIACL (amounting to PKR 8,765,972,000/-) as at 30th June, 2025 shall be paid to the Federal Board of Revenue within a period of four years, following a grace period of one year in equal annual installments, after First Completion as defined in the Share Purchase and Subscription Agreement between the Government of Pakistan and successful bidders.
[No. 1(5)R&S/2026]
(Sajjad Taslim Azam)
Member (Inland Revenue)/
Additional Secretary
Related Income Tax SROs on exemptions and concessions
- SRO 1129(I)/202616 July 2026dated 16.07.2026, regarding Exemption of Default Surcharge and Penalties against Current Tax Liability of PIACL under section 183 of the Income Tax Ordinance, 2001
- SRO 663(I)/202622 April 2026Rationalization of Tax Concessions on Import of White Crystalline Sugar and Withdrawal of Extended Cut-off Date
- SRO 1833(I)/202522 September 2025Income Tax Exemption on Import of White Crystalline Sugar
- SRO 1366(I)202530 July 2025Exemption from Application of Digital Presence Proceeds Tax Act, 2025
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- SRO 722(I)/202524 April 2025Regarding under clause (12E) of Part IV of the Second Schedule