NOTES ON CLAUSES

Workmens Compensation Act 1923. (Act No. VIII of 1923) Clause 2 Seeks to remove monthly wages ceiling of Rs. 6000 for entitlement to compensation in cases of permanent disablement or death of an industrial workers.

Amendment of Ordinance I of 1967 (Natural Gas Development Surcharge) Clause 18(1) Seeks to provide one time exemption from payment of additional amount, payable, due to the nonpayment of Gas Development Surcharge within stipulated time. Clause 18(2)(a) Seeks to update reference to the relevant section of income tax law.

Clause 18(2)(b)

Seeks to update the nomenclature of the existing Income Tax Statute.

Amendment to the West Pakistan Industrial and Commercial Employment (Standing Orders) Ordinance, 1968 (VI of 1968). Clause 19 Seeks to provide for voluntary contribution, by an industrial worker, to an Approved Pension Fund.

The Companies Profits (Workers Participation Act, 1968 (Act No. XII of 1969). Clause 20 Seeks to abolish wage limit of Rs.10,000 per month for entitlement of share from the Workers Profit Participation Fund. Also maximum share limit has been enhanced to Rs.18000.

Customs Act, 1969 (IV of 1969) Clause 21(1) Seeks to amend preamble to levy fee and service charges on account of various services being provided.

Clause 21(2)

Seeks to amend section 2 to insert the words rules made thereunder in order to make the definition more comprehensive and change of nomenclature from Central Board of Revenue to Federal Board of Revenue.

Clause 21(3)

Seeks to amend section 3A to change the nomenclature of the Directorate General of

Intelligence & Investigation.

Clause 21(4)

Seeks to amend section 3B to change the nomenclature of Directorate General of Internal Audit.

Clause 21(5)

Seeks to amend section 3D to change the nomenclature of Directorate General of Valuation.

Clause 21(6)

Seeks to amend section 18 to remove the omission by including reference to section 25A and also to provide that cumulative incidence of customs duties does not exceed the bound tariff rates under multilateral agreements.

Clause 21(7)

Seeks to insert new section 18D to provide for levy of fees and service charges on account of services

to be provided including through public-private partnership.

Clause 21(8)

Seeks to insert new section 19C to provide for benchmark of minimum duties and taxes which shall not be demanded.

Clause 21(9)

Seeks to amend section 21A to harmonize the provisions of the section with sub-section (2) of the section 83 and the rules.

Clause 21(10)

Seeks to insert new section 22A to provide for duty free re-importation of temporarily exported plant and machinery.

Clause 21(11)

Seeks to amend section 25 to change the title, to distinguish the customs values determined under sections 25 and 25A and to remove the

impracticability in application of this section.

Clause 21(12)

Seeks to amend section 25A to empower the Directorate General of Valuation to determine and notify the values of different categories of goods.

Clause 21(13)

Seeks to insert section 25D to give legal cover to the values determined on the basis of computation of value of raw materials including value addition.

Clause 21(14)

Seeks to amend section 39 to bring it in conformity with proposed section 19B.

Clause 21(15)

Seeks to amend section 81 to include an additional instrument i.e. pay order for the payment of differential duty of provisional assessment and to empower the Director Valuation also to extend the limitation period.

Clause 21(16)

Seeks to amend section 179 to rationalize the adjudication powers by enhancing the monetary limits.

Clause 21(17)

Seeks to amend clause (a) of sub-section (1) of section 185A by excluding reference to an officerin-charge of a police station.

Clause 21(18)

Seeks to amend sub-section (1) of section 185F to empower Directorates of Intelligence and

Investigation also to file appeals before the Special Appellate Court.

Clause 21(19)

Seeks to amend sub-section (3) of section 193A to include time limit for deciding cases and to withdraw powers of Collector (Appeals) to remand back the cases.

Clause 21(20)

Seeks to amend section 194 to appoint suitable officers as technical members in the Appellate Tribunal.

Clause 21(21)

Seeks to amend section 194A to prescribe minimum rank for filing appeals and to provide protection to pending appeals.

Clause 21(22)

Seeks to amend sub-section (2) of section 194B to curtail the limitation to one year for rectification of errors.

Clause 21(23)

Seeks to amend sub-sections (3), (3A) and (4) of section 194C to provide for a benchmark of rupees five million for deciding cases by single bench.

Clause 21(24)

Seeks to substitute sub-section (1) and amend sub-sections (2) and (3) of section 195C to bring the section in conformity with the Supreme Court decision and to provide time limits for appointment of committees and making recommendations.

Clause 21(25)

Seeks to amend section 196 to enable Directors of Intelligence and Investigation also to make

reference to the high court.

Clause 21(26)

Seeks to insert a new proviso in sub-sections (2) for the recovery of arrears and through proviso in sub-section (5) to empower the Board to write off the non recoverable arrears.

Clause 21(27)

Seeks to insert new section 203A to authorize the Board for making expenditure of fee and service charges under section 18D.

Clause 21(28)

Seeks to amend section 207 to restrict the scope of licencing of Freight Forwarders.

Clause 21(29)

Seeks to amend section 211 to provide for increase

in the period for retention of records.

Clause 21(30)

Seeks to add section 225 for smooth transition to Federal Board of Revenue.

Clause 21(31)

Seeks to substitute The First Schedule to the Customs Act, 1969 (IV of 1969).

Special surcharge

Clause 22

Seeks to levy Special surcharge at the rate of one percent of the value of the imported goods.

The Minimum Wage for Unskilled Workers Ordinance, 1969 (Ordinance No.XX of 1969. Clause 24 Seeks to increase minimum threshold of wages for unskilled workers from Rs. 4000 to Rs. 4600.

Amendment In Banks (Nationalization) Act, 1974 Clause 25(a)(i) Seeks to facilitate the further off-loading of government shareholding upto 49%.

Clause 25(a)(ii)

Seeks to facilitate the further off-loading of government shareholding upto 49%.

Clause 25(b) (i)

Seeks to give voting rights to the minority shareholders and representation to the private shareholders on the Board of Directors.

Clause 25(b)(ii)

Seeks to include the representation of the Federal Governments direct and indirect shareholding.

Clause 25(b) (iii)

Seeks to extend the tenure of the Chairman, the President and other member of the Board.

The Employees Old-Age Benefits Act, 1976 (Act No. XII) of 1976). Clause 26 (i) Clause 26 (ii) Increase pension by 15% Allow pension of the deceased to the surviving spouse where the deceased contributed to EOBI in addition to his/her own pension. Clause 26 (iii) Removal of discrimination for widow to get pension as per entitlement and not minimum pension. Clause 26 (iv) Calculates the pension on last minimum wage and not average wage of last 12 months.

Amendment of Act, V of 1989 Clause-29(1) Seeks to exempt revocable and time bound (not exceeding 60 days) Power Of Attorney between spouses, parents, grand parents, brothers and sisters from charge of CVT.

Clause-29(2)

Seeks to omit levy of CVT on imported motor cars.

Sales Tax Act, 1990 Clause 30(1)(a) Seeks to define the term cottage industry in section 2.

Clause 30(1)(b)

Seeks to define the term input tax in section 2.

Clause 30(1)(c)

Seeks to define the term output tax in section 2.

Clause 30(1)(d)

Seeks to amend clause (27) of section 2 to change the definition of the term retail price.

Clause 30(1)(e)

Seeks to amend clause (37) of section 2 to clarify the scope of tax fraud with reference to falsification of tax invoices.

Clause 30(1)(f)

Seeks to define the term time of supply in section 2.

Clause 30(2)

Seeks to amend section 4 to empower the Central Board of Revenue to zero-rate export related supplies through a General Order.

Clause 30(3)

Seeks to amend section 7 to link the determination of tax liability with the extent of adjustment of input tax.

Clause 30(4)

Seeks to amend section 8 to exclude the words for the manufacture or production of taxable goods.

Clause 30(5)

Seeks to amend section 8A to empower the Central Board of Revenue to exclude certain transactions from the purview of this section.

Clause 30(6)

Seeks to add a new section 8B for adjustable input tax.

Clause 30(7)

Seeks to substitute section 10 to limit the scope of refund to zero-rated supplies or exports only.

Clause 30(8)

Seeks to amend section 11 to exclude the words of Collector Adjudication.

Clause 30(9)

Seeks to amend section 22 to bind the registered persons to declare the business bank accounts to Central Board of Revenue and to require the companies to submit audited accounts duly certified by auditors.

Clause 30(10)

Seeks to amend section 23 to empower the Board to regulate and authenticate the issuance of tax invoices through a notification in the official Gazette.

Clause 30(11)

Seeks to amend section 24 to increase the time limit of record keeping to five years.

Clause 30(12)

Seeks to amend section 30A to adopt the new name of Directorate General of Intelligence and

Investigation.

Clause 30(13)

Seeks to amend section 30B to adopt the new name of Directorate General (Internal Audit).

Clause 30(14)

Seeks to amend section 30D to adopt the new name of Directorate General of Valuation.

Clause 30(15)

Seeks to add a new section for Directorate of Post Clearance Audit.

Clause 30(16)

Seeks to amend section 37A to rationalize the powers of arrest.

Clause 30(17)

Seeks to amend section 38A for obtaining information from regulatory authorities.

Clause 30(18)

Seeks to substitute section 47A regarding Alternate Dispute Resolution.

Clause 30(19)

Seeks to amend section 48 to empower the Board to write off arrears.

Clause 30(20)

Seeks

to

amend of

section

50A

to

define in case

the of

responsibility

registered

person

computerized transactions.

Clause 30(21)

Seeks to amend section 67 to substitute the word return with refund claim to define the time frame of delayed refund.

Clause 30(22)

Seeks to add a new section 76 regarding Federal Board of Revenue.

Clause 30(23)(a)

Seeks to amend the Sixth Schedule.

Amendment In Khushhali Bank Ordinance 2000 Clause 32 Seeks to extend the tenure of the President, Khushhali Bank.

Amendments In the Insurance Ordinance XXXIX of 2000 Clause 33(1)(a) Admissible assets are determined for the purpose of solvency which is a primary concern of a regulator. It is definitely not prudent that an asset is automatically treated admissible just because it is not included in the list of inadmissible list. After amending Section 32(1)(c) it is necessary that commission has the power to declare an asset an admissible if it feels that the assets is secured enough to be treated as admissible. The Business under this sub section has been discontinued w.e.f. 1st January, 2005 Due to amendment of Section-42

Clause 33(1)(b)

Clause 33(2)

Clause 33(3)

Clause 33(4) Clause 33(5)(4)

Clause 33(6)

Clause 33(6)(c)

Clause 33(7)

It is necessary to amend the Section Title due to elimination of compulsory cession. New subsection Power of the Commission for onsite Inspection is necessary to be inserted as Offsite monitoring has limited usefulness. To ensure that the management of the insurer is sound and prudent, on-site inspection is essential To protect the interest of the policyholder, it is necessary that SECP has powers to intervene and remove an unfit or improper CEO or Director. Presently, powers are confused between SECP and Tribunal and it has to be clarified that Tribunal is an Appellate Body and not the trial body. To make it clearer that the Commission shall have the power to levy fine. The Commission must have a clear power of levying fine for effective supervision. To make it clearer that the fine would be imposed by the Commission It is necessary to have this provision to remove any possible difficulty in future as well

Clause 33(8) Clause 33(9)

Amendments in the Income Tax Ordinance, XLIX of 2001 Clause-34(1) (a) Seeks to provide incentive for merger of Companies providing services.

Clause-34(1) (b)(i)

Seeks to make an editorial correction.

Clause-34(1) (b)(ii)

Seeks to allow Computerized National Identify Card in case of non availability of National Tax Number for purpose of Voluntary Pension System.

Clause-34(1) (c )(i)

Seeks to define private Equity and Venture Capital Fund.

Clause-34(1) (c )(ii)

Seeks to define Private Equity and Venture Capital Fund Management Company.

Clause-34(1)(d)

Seeks to redefine the word Small Company the light of SME policy recommendations. Seeks to include income of Private Equity and Venture Capital Fund under the head of income from other business. Seeks to bring in tax net income of Regulatory and Development authorities.

Clause-34(2)

Clause-34(3)

Clause-34(4 )

Seeks to provide for set off of losses of companies operating hotels in Pakistan and AJ & K against their business income in Pakistan or AJ .K and vice versa. Seeks to exclude Brought Forward and Capital losses for set off of amalgamating company against profit of amalgamated company and vice versa.

Clause-34(5)

Clause-34(6)

Seeks to introduce group taxation in case of Holding and

Subsidiary companies as one fiscal unit. Clause-34(7) Seeks to regulate/impose conditionalities for Holding and Subsidiary companies to avail benefit of group relief. Seeks to raise the limit of investment in shares for the purpose of tax credit. Seeks to make editorial amendments. Seeks to make disposal of assets from one company to another company a non tax event through a scheme of Arrangement and Reconstruction. Seeks to add special schedule for taxation of banking companies income. Seeks to disallow any claim of adjustment of WHT under any head to retailers during the year. Seeks to prescribe fixed rate of tax on the basis of turnover in the cases of retailers registered with Sales Tax. Seeks to make provision for electronic filing of returns statements and documents

Clause 34(8)

Clause 34(9 to 13) Clause 34(14 )

Clause 34(15)

Clause-34(16)

Clause-34(17)

Clause-34(18)

Clause-34(19)

Seeks to make an editorial correction to require a taxpayer to file a wealth statement where his declared income for the current year exceeds Rs. 500,000 Seeks to make Commissioners and CsIT (Appeals) eligible for appointment as an accountant member of ITAT. Seeks to take into account minimum tax paid for the purpose of estimating the advance tax liability.

Clause-34(20)

Clause-34(21) (a)

Clause-34(21) (b)

Seeks to impose advance tax in first year of business of a company

Clause-34(22) (a)

Seeks to disallow exemption certificate facility to a manufacturer who has paid tax equal to amount of tax paid in the preceding year and who is liable to pay advance tax.

Clause-34(22) (b)

Seeks to issue exemption certificate of 0.5% of the value of goods imported for person not liable to tax.

Clause-34(22) (c)(i)

Seeks to make an editorial correction

Clause-34(22) (c) (ii)

Seeks to exclude from PTR and provide exemption from WHT on sale of goods, to Large Import Houses. Seeks to redefine Value of Goods to include Federal Excise duty for the purpose of WHT on import of goods. Seeks to authorize employers to adjust tax withheld from employees under other heads and also to give tax credit admissible on donations and investments in shares.

Clause-34(22) (d)

Clause-34(23) (a)

Clause-34(23) (b)

Seeks to make an editorial correction.

Clause-34(23) (c)

Seeks to make an editorial correction.

Clause-34(24)

Seeks to make an editorial correction.

Clause-34(25)(i)

Seeks to exclude service providers to exporters from PTR.

Clause-34(25) (ii)

Seeks to make an editorial correction.

Clause-34(25) (iii)

Seeks to allow cotton ginners to pay WHT instead of deduction to be made by the withholding agents i.e.

Textile Mill

Clause-34(25) (iv)(a)

Seeks to exclude from PTR the tax withheld on payments received on account of advertisement services by owners of newspapers and magazines.

Clause-34(25) (iv)(b)

Seeks to exclude from PTR payments on sale of goods and execution of contracts by a listed public company.

Clause-34(25) (v)

Seeks to restrict the exclusion from PTR to company only.

Clause-34(25) (vi)

Seeks to exclude listed companies from PTR on account of payments received from sale of goods.

Clause-34(25) (vii)

Seeks withdrawal of 2% WHT over and above the prescribed rate for non-disclosure of NTN or CNIC to WHT agents.

Clause-34(26) Clause-34(27)

Seeks to make an editorial correction. Seeks to exclude inter-corporate dividend within group companies from PTR.

Clause-34(28) Clause-34(29) Clause-34(30)(1)

Seeks to replace the word CBR with the word FBR. Seeks to levy adjustable WHT on purchase of motor car. Seeks to collect WHT on CNG stations on the amount of gas bills issued by gas marketing companies.

Clause-34(30)(2)

Seeks to define the prescribe person for the purpose deducting advance tax on gas bill of CNG stations.

Clause-34(30)(3)

Seeks to make WHT collection as final tax liability on CNG stations Seeks to make withholding tax as minimum tax liability for non-corporate electricity consumers. Seeks to replace Central Board Revenue Act with Federal Board of Revenue Act.

Clause-34(31)

Clause-34(32)

FIRIST SCHEDULE Part 1 Clause-34(33)(a)

Seeks to reduce rate of tax on retailers from 0.75% to 0.50%.

Clause-34(33)(b)

Seeks to continue corporate tax rate of 35% for the Tax Year 2007 onward. Seeks to levy uniform tax @ 10% for dividend income. Seeks to reduce the rate of tax on import from 6% to 5%.

Clause-34(33)(c) Part-II(a)

Part-II (b)

Seeks to enhance WHT on import of polyester filament yarn. Seeks to reduce WHT from 6% to 2% on payments of passenger transport services. Seeks to levy a uniform WHT @ 1% on all exports. Seeks to collect WHT @ 6% on Gas Bills in case of CNG stations. Seeks to levy withholding tax @ 0.5% on purchase price of motor vehicle

Part III

SECOND SCHEDULE

Seeks to extend the scope of exemption to income of

Part-1 Clause-34(34) (a) Clause-34(34) (b)

Private Equity and Venture Capital Fund.

Seeks to allow exemption to Micro Finance Banks for five years w.e.f. 01-07-2007

Clause-34(34)(c)

Seeks to withdraw exemption on interest income of Continuous Funding System of Mutual Funds.

Clause-34(34)(d)

Seeks to exempt a person from real estate income arising from sale of immovable property to a Real Estate Investment Trust (REIT) upto 30-06-2010.

Clause-34(34)(e)

Seeks to extend the scope of exemption to Private Equity and Venture Capital Fund. Seeks to extend exemption to Capital Gains arising from sale of capital assets to Private Equity and Venture Capital Fund. Seeks to extend exemption to Capital Gains arising from sale of shares of a public listed company and modarba certificates etc from 2007 to 2008. Seeks to exempt any capital gain on de-mutualization of Stock Exchanges. Seeks to provide exemption to Hydel Power Generation Projects, set up, in AJ & K or Pakistan. Seeks to extend exemption on income from transfer of membership rights of Stock Exchange to a company upto 2008.

Clause-34(34)(f)

Clause-34(34)(h)

Clause-34(34)(i)

Clause-34(34)(j)

Clause-34(34)(k)

PART II (a) (b)

Seeks to make editorial amendment. Seeks to make editorial amendment.

(c)(i)

Seeks to facilitate non-resident person on rate of WHT in respect of profit on debt. Seeks to prescribe reduced rate of 10% on capital gains from sale of shares/assets of private limited company to private equity and Venture Capital Fund.

(c)(ii)

(d)

Seeks to reduce WHT to 1% on import of capital goods and raw material (other than polyester filament yarn) by a corporate manufacturer for its own use. Seeks to include Federal Excise Duty in the import value for the purpose of WHT. Seeks to make an editorial correction. Seeks to make an editorial correction. Seeks to levy WHT @2% on import of edible oils including crude oil imported as raw material for manufacturer of ghee or cooking oil, Energy saver (Lamp), Bitumen, Fixed Wireless Terminal and Pesticides and wedicides.

(e)(i)

(e)(ii) (e) (iii) (e)(iv)

(f)(a)

Seeks to withdraw reduction in tax rate available to listed company. Seeks to exclude services provider to exporters form PTR. Seeks to make editorial correction.

(b)

(c) PART IV (a)

Seeks to make an editorial correction

(b) (c)

Seeks to make an editorial correction Seeks to exclude payments to foreign news agencies, syndicate services and non-resident contributors who have no PE in Pakistan from levy of WHT.

(d)

Seeks to provide exemption from WHT on sale of petroleum product to PE of non-resident Petroleum Exploration and Production Companies. Seeks to avoid double levy of WHT on sale air tickets by traveling agents who have also paid WHT on their commission income. Seeks to extend exemption from WHT on profit on debt, commission and dividend to private equity and Venture Capital Fund. Seeks to exempt from Withholding tax on import of capital goods and raw material to exporters registered with Sales Tax Department as manufacturer. Seeks to provide exemption from WHT on imports by non-resident Petroleum Exploration Companies. Seeks to make editorial amendment. Seeks to make editorial amendment. Seeks to make editorial amendment. Seeks to exclude from PTR and provide exemption from WHT on sale of goods to Large Import Houses.

(e)

(f)

(g)(xxii)

(g)(xxiii)

(g)(xxiv) (g)(xxv) (g)(xxvi) (h)

FOURTH SCHEDULE Clause-34(35) Seeks to extend exemption to Capital Gains from sale of shares and modarba certificates from 2007 to 2008 in the cases of insurance companies.

SEVENTH SCHEDULE Clause-34(36) Seeks to make rules for computation of profits and gains of a banking company.

Amendment of Ordinance LV of 2001 (Micro Finance) Clause 35(1) (a) Seeks to enable MFBs to receive foreign currency remittances from overseas Pakistani workers for their beneficiaries in Pakistan

Clause 35(1)(b)

Seeks to promote development of low-cost delivery channel for remittances market in rural and remote areas.

Clause 35(2)(1)

Seeks to empower State Bank to determine the amount of minimum paid-up capital based on the sector development requirements.

Federal Excise Act, 2005 Clause 36(1)(a) Seeks to define the terms dutiable goods, dutiable supply and dutiable services in section 2.

Clause 36(1) (b)

Seeks to define the term non-fund banking services in section 2.

Clause 36(1)(c)

Seeks to define the term sales tax mode in section 2.

Clause 36(1)(d)

Seeks to define the term supply in section 2.

Clause 36(2)

Seeks to amend section 3 to explain the liability of payment of duty.

Clause 36(3)(a)

Seeks to amend sub-section (1) of section 4 to align the payment of excise duty with sales tax.

Clause 36(3)(b)

Seeks to substitute sub-section (2) of section 4 to allow the payment of excise duty with monthly return.

Clause 36(3)(c)

Seeks to amend sub-section (7) of section 4 to substitute the words challan with return.

Clause 36(4)(a)

Seeks to amend section 7to mention the term sales tax mode.

Clause 22(4)(b)

Seeks to amend the explanation to section 7 to align it with section 4.

Clause 36(5)

Seeks to amend section 10 to link the chargeability of excise duty to supplies instead of clearance.

Clause 36(6)

Seeks to amend section 12 to define the manner of calculation of excise duty in case of items chargeable on retail price basis.

Clause 36(7)

Seeks to add new section 14A empowering the Board to recover the short paid amounts through stoppage of clearance and attachment of bank accounts.

Clause 36(8)

Seeks to amend section 17 to extend the time limit of record keeping for five years.

Clause 36(9)(a)

Seeks to amend section 29 to give effect to the new of Directorate General of Intelligence and

Investigation CBR.

Clause 36(9)(b)

Seeks to amend section 29 to give effect to the new name of Directorate General Internal Audit.

Clause 36(10)

Seeks to amend section 33 to fix the time limit for Collector (Appeals) to decide the appeal.

Clause 36(11)

Seeks to amend section 38 relating to Alternate Dispute Resolution.

Clause 36(12)

Seeks to add new section for Federal Board of Revenue.

Clause 36(13)

Seeks to amend the First Schedule.

Clause 36(14)

Seeks to amend the Third Schedule

Payment Systems and Electronic Fund Transfers Act, 2007 (First Schedule) Section 1 Section 2 Short title, extent and commencement. Definitions:

Section 3

Seeks Powers for the State Bank to regulate the Payment Systems. Seeks Designation of Payment System by the State Bank. Seeks Revocation of Designation of Payment System by the State Bank. Seeks Real-Time Gross Settlement System to be established by State Bank. (RTGS)

Section 4

Section 5

Section 6

Section 7

Seeks Requirement For Retention of Electronic Record by the Financial Institutions. Seeks Disqualification of certain persons for appointment in the Payment Systems. Seeks Effect of Disqualification under section 8. Seeks Governance Arrangements by the operator of a Payment Systems. Seeks Operational Arrangement to be made by the operator of the Payment Systems. Seeks Designation of Payment Instrument. Seeks Issuing of Designated Payment Instruments by the designated operator. Seeks powers for SBP for Prohibition of Issuance of Payment Instruments. Seeks Security arrangements by the Financial Institutions Seeks Third Party disclosure arrangements.

Section 8

Section 9 Section 10

Section 11

Section 12 Section 13

Section 14

Section 15

Section 16

Section 17

Seeks establishment of procedure for Payment by Truncated Cheque. Seeks for setting up of Clearing Houses, Audit and Inspection. Seeks for Notice Required of Significant Changes by the clearing House. Seeks provision for Participants Responsible Where Clearing House Fails to Comply, etc. Seeks for Settlement Provisions in the law. Seeks Rights remedies for the Payment Systems Seeks for Settlement Rules. Seeks provision for participation in the Electronic Money Institution. Seeks for Preservation of Rights, etc. of the parties. Seeks powers for SBP for Issuance of Model Clauses. Seeks powers of Modification for SBP Seeks powers to determine Service Providers Other Than Financial Institutions. Seeks Requirement of Notice by the State Bank. Seeks Terms and Conditions of Transfers under the system. Seeks for Notification of Changes by the Financial Institutions and Service Provider. Seeks for provision of Availability of Documentation and Proof to the customer. Seeks Periodic Statement by the parties.

Section 18

Sections 19

Section 20

Section 21 Section 22 Section 23 Section 24

Section 25

Section 26

Section 27 Section 28

Section 29 Section 30

Section 31

Section 32

Section 33

Section 34 Section 35

Seeks for Documentation as Evidence. Seeks for Preauthorized consumers accounts. Transfers from the

Section 36 Section 37 Section 38

Seeks for Notification of error by SBP. Seeks for Correcting Error by the State Bank. Seeks for notifying the Absence of Error to the consumer. Seeks for Triple Damages clause. Seeks for determination of Consumers Liability. Seeks Burden of Proof on the Financial Institution. Seeks for Liability in Case of Extension of Credit to the consumer. Seeks for Liability Authorized Parties. of Financial Institutions/

Section 39 Section 40 Section 41 Section 42

Section 43

Section 44

Seeks for Force Majeure clause for the Financial Institution. Seeks for damages charged to Financial Institution. Seeks for Prohibition on Improper Issuance of license. Seeks for Exceptions in the law. Seeks for Suspension of Obligation by the State Bank. Seeks for Waiver of Rights. Seeks for payment of Damages by the Financial Institution. Seeks Bona Fide Error exemption. Seeks for protection on Actions Taken in Good Faith.

Section 45 Section 46

Section 47 Section 48

Section 49 Section 50

Section 51 Section 52

Section 53 Section 54 Section 55 Section 56 Section 57

Seeks for Notification to Consumer Prior to Action. Seeks for power on Action in Bad Faith. Seeks Jurisdiction of Courts. Seeks Criminal Liability in case of false information. Seeks penalties for Violations Affecting Foreign Commerce. Seeks for deterrence for Cheating by Use of Electronic Device. Seeks for the override the Law of Insolvency. Seeks provision for insolvency of Operator of Designated Payment System. Seeks for Application of Fine under the law. Seeks for determination of Power to Investigate. Seeks for Trial of Offence in the comments. Seeks for Application to acts done outside Pakistan Seeks for Offences to be non-bailable, noncognizable under this Act Seeks for Procedure of the courts. Seeks for Overriding Effect of this law. Seeks for power of Federal Government for Removal of Difficulties. Seeks for Power to Call For Information in the State Bank. Seeks Secrecy and Privacy clause. Seeks Complaint Resolution power for State Bank . Seeks power for State Bank for Suspension of

Section 58

Section 59 Section 60

Section 61 Section 62 Section 63 Section 64 Section 65

Section 66 Section 67 Section 68

Section 69

Section 70 Section 71 Section 72

Operation. Section 73 Seeks Immunity of the State Bank and its Employees. Seeks Penalty clauses in the law.

Section 74