The Government Trading Taxation Act, 1926

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      THE GOVERNMENT TRADING TAXATION ACT, 1926




                                        CONTENTS

1.   Short title and commencement

2.   Liability of Provincial Governments to taxation in respect of trading operations




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                 THE GOVERNMENT TRADING TAXATION ACT, 1926
                                                        ACT No. III OF 1926

                                                                                                                    [24th February, 1926]

            An Act to determine the liability of certain Governments to taxation in 1[Pakistan] in respect
                                             of trading operations.

        WHEREAS it is expedient to determine the liability to taxation for the time being in force in
1
 [Pakistan] of 3[* * *] 4[the Government of a Province of Pakistan] in respect of any trade or business
carried on by or on behalf of such Government;

        It is hereby enabled as follow:⸻

       1. Short title and commencement.___(1) This Act may be called the Government Trading
Taxation Act, 1926.

       (2) It shall come into force on such date as the 5[Federal Government] may, by notification in
    6
the [official Gazette], appoint.
        2
         [2. Liability of Provincial Governments to taxation in respect of trading
operations.⸻Where a trade or business of any kind is carried on by or on behalf of the Government
of a Province outside that Province, that Government shall, in respect of the trade or business and all
operations connected therewith and all income arising in connection therewith and all property
occupied for the purposes thereof, be liable to taxation under the Income Tax Ordinance, 1979
(XXXI of 1979), in the same manner and to the same extent as in the like case a company would be
liable.]

                                                               __________




                                                                                                                          Date: 24-03-2025
        1
          Subs. by the Central Laws (Statute Reform) Ordinance, 1960 (XXI of 1960), s. 3 and 2nd Sch. (with effect from the 14th of October, 1955).
        2
          Subs. by the Federal Laws (Revision and Declaration) Ordinance, 1981 (XXVII of 1981), s. 3 and Sch., II.
        3
          Omitted by the Central Adaptation of Laws Order, 1964 (P. O. No. 1 of 1964), s. 2 and Sch.
        4
          Ins. by the Finance Act, 1956 (I of 1956), s. 12.
        5
          Subs, by the Federal Adaptation of Laws Order, 1975 (P. O. No. 4 of 1975), Art. 2 and Table.
        6
          Subs. by Adaptation Order, 1937.



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Source: Pakistan Code, Ministry of Law and Justice (pakistancode.gov.pk). Text on this page is reproduced verbatim from the official PDF and is provided for reference only. For the authoritative version, always consult the source document or a current reported edition.