WHT on Electricity Bills: As per finance act 2021-22, the Non-Filers whose names not appear in the Active Tax Payer List will be charged 7.5% additional Withholding tax if their electricity bills exceed Rs.25000 per month.
In Previous years the threshold to charge withholding on electricity bills was Rs.75000 per month.
For filers whose name appears on the active tax, a payer list has been given away to exempt from this withholding tax.
Simply type a message to register yourself if you are a filer to get the tax exempted from your electricity bills. Text message format will be as under
REG(space)Bill Reference Number(CNIC Number)
and then send it to 8118.
But what nonfilers can do to avoid being charged with these electricity bills Withholding tax?
Non-filers if have more electric appliances to be used at home or at the shop then to avoid this WHT they must become filers.
2nd option to avoid this WHT is to use more than one meter. Through this way, the consumption of electricity will be divided into more than one meter and the bill may be less than the applicable threshold of Rs.25000 and hence through this way Nonfiler can avoid WHT on electricity bills.
If the house or shop is rented one and you are a filer whereas the owner of the house or shop is nonfiler then you may register on your own CNIC Number to avoid tax.
In case you are a nonfiler and the owner of the shop or house is a filer then register it in the name of the owner.
This WHT is not only applicable to LESCo customers but the customer of electricity in Pakistan.