The Islamabad High Court issued an interim order to stay the collection of the additional tax on banks. As provided by the Finance Act 2022, the corporate tax rate on banking companies was set to 39%, with increased rates on taxable income attributable to investments in Federal Government securities (debt investments) depending on the gross advances-to-deposit ratio (ADR) on the last day of the tax year:
- 55% if the ADR on the last day of the tax year is up to 40%; and
- 49% if the ADR on the l…