Punjab Active Company Versus AOP Example

Active company provider

Where an active Punjab company provides a normal taxable service to a company recipient, the configured general company-to-company treatment may result in zero withholding, subject to special categories and exceptions.

Active AOP or individual provider

For an active AOP or individual supplying the same service to a company recipient, full withholding of the services tax may apply under the configured Punjab rule.

Income Tax WHT remains separate and follows the section 153 service category on gross amount payable.