Dear Valued Customer,
As per Section 150 of the Income Tax Ordinance 2001 and pursuant to Finance Act 2016, different rates of tax on Dividends for individuals investors have been introduced for “Filer“& “Non Filer” investors on investments other than equity funds. In the context of this change, the share of joint holders in the investment amount is required, if not already communicated, for the purpose of withholding of tax on Dividend.
As per the Constitutive Documents of the funds, we understand that the Principal Account Holder is deemed to be the 100% owner of the investment in Collective investment schemes managed by the Company, therefore, the withholding tax on Dividend will be processed according to the Filer/Non-filer status of Principal Account holder only. This will apply in the context of our notices published in Pakistan Stock Exchange dated 12 June 2017 regarding proposed interim dividend payouts on various dates.
In case you wish to change the holding proportions, as determined through Constitutive Documents, kindly share a duly signed letter by all joint holders latest by Friday June 16, 2017 indicating the holding proportions of the Principal & each joint holder and return to us at Manager Operations, UBL Fund Managers, 4th Floor, STSM Building, Beaumont Road, Civil Lines, Karachi, Pakistan OR email us the scanned signed copy of the letter at CustomerCare@UBLFunds.com
To download a copy of the letter, click HERE. For further assistance feel free to get in touch with your investment advisor or simply call us at 0800-00026.