Third Schedule: Third Schedule

THE THIRD SCHEDULE [PART-I 1 DEPRECIATION (See Section 22) Depreciation rates specified for the purposes of section 22 shall be, — 1 Substituted by the Finance Act, 2005. The substituted Part I read as follows: PART I DEPRECIATION (See Section 22) Depreciation rates specified for the purposes of section 22 shall be – Class Description. Rate per cent of of the written asset. down value. BUILDINGS I Building (not otherwise specified). 5 (General rate) II Factory, workshop, cinema, hotel, hospital. 10 III Residential quarters for labour. 10 FURNITURE IV Furniture (including fittings). 10 MACHINERY AND PLANT V Machinery and plant (not otherwise specified). 10 (General rate) VI Computer hardware, including printer, monitor and 30 allied items. VII Technical or professional books. 20 VIII Ships. (i) New. 5 (ii) Second hand. Age at time of purchase: (a) Not more than ten years 10 (b) Ten or more years. 20 IX Motor vehicles (all types) 20 X Aircraft, aero-engines and aerial photographic 30 apparatus. XI Below ground installations in mineral oil concerns the 100% income of which is liable to be computed in accordance with the rules in Part I of the Fifth Schedule. XII Below ground installations, including but not limited to 100 the cost of drilling, casing, cementing, logging and testing of wells, in offshore mineral oil concerns the income of which is liable to be computed in accordance with the rules in Part I of the Fifth Schedule. XIII Offshore platforms and production installation in 20 mineral oil concerns the income of which is liable to be computed in accordance with the rules in Part I of the Fifth Schedule. 700 Third Schedule – Part I _________________________________ I. Building (all types). 10% II. Furniture (including fittings) and machinery 15% and plant (not otherwise specified), Motor vehicles (all types), ships, technical or professional books. III. Computer hardware including printer, monitor 30% and allied items 1[,machinery and equipment used in manufacture of I.T. products], aircrafts and aero engines. IV. In case of mineral oil concerns the income of which is liable to be computed in accordance with the rules in Part-I of the Fifth Schedule. 2[ ] (b) Offshore platform and production 20%] installations. 3[V. A ramp built to provide access to persons with 100%] disabilities not exceeding Rs.250,000 each. 1 Inserted by the Finance Act, 2006. 2 Entry (a) of serial number IV of the Table omitted by the Finance Act, 2021. Earlier this amendment was made through Tax Laws (Second Amendment) Ordinance, 2021. The omitted entry read as follows: “(a) Below ground installations 100%” 3 Added by the Finance Act, 2010. 699 Third Schedule – Part II and Part III_______________________ PART II INITIAL ALLOWANCE 1[AND FIRST YEAR ALLOWANCE] 2[(3[See Sections 23, 4[ ] and 23B])] (1) The rate of initial allowance under section 23 shall be 5[25]% 6[for plant and machinery 7[ ] ]. 8[(2) The rate of First Year Allowance under 9[ ] 10[section 23B] shall be 90%. PART III PRE-COMMENCEMENT EXPENDITURE (See Section 25) The rate of amortisation of pre-commencement expenditure under section 25 shall be 20%. 1 Added by the Finance Act, 2008. 2 The word and figure “section 23” substituted by the Finance Act, 2008. 3 The words, figures and letter “See Sections 23 and 23A” substituted by the Finance Act, 2009. 4 The expression “23A” by the Finance Act, 2021. Earlier this amendment was made through Tax Laws (Second Amendment) Ordinance, 2021. 5 Substituted for 50% by the Finance Act, 2013. Earlier it was substituted for 40% by the Finance Act, 2002. 6 Inserted by the Finance Act, 2012. 7 7[15]% Words “and for buildings” omitted through Finance Act, 2019. 8 Added by the Finance Act, 2008. 9 The expression “section 23A and” by the Finance Act, 2021. Earlier this amendment was made through Tax Laws (Second Amendment) Ordinance, 2021. 10 Inserted by the Finance Act, 2009. 702 Fourth Schedule ____________ __________________________

Effective date: 2001-09-13

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