Lahore University of Management Sciences
ACCT-370– Applied Taxation
Spring 2025
Instructor Huzaima Bukhari
Room No.
Office Hours
Email
[email protected] [email protected]Telephone 0300-8463310
Secretary/TA TBA
TA Office Hours
Course URL (if any)
Support Services LUMS offers a range of academic and other services to support students. These are mentioned below, and you
are encouraged to use these in addition to in-class assistance from course staff. For a complete list of campus
support services available for you click here (https://advising.lums.edu.pk/#supportservices)
COURSE BASICS
Credit Hours 3
Lecture(s) Nbr of Lec(s) Per Week 4 Duration 75 minutes each
Recitation/Lab (per week) Nbr of Lec(s) Per Week NA Duration
Tutorial (per week) Nbr of Lec(s) Per Week NA Duration
COURSE DISTRIBUTION
Core YES
Elective
Open for Student Category Juniors and Finalists.
Closed for Student Category Freshmen and Sophomores
COURSE DESCRIPTION
The course covers operation of Pakistan’s federal tax system, both direct and indirect with specific reference to:
• Computation of taxable income under various heads for individuals, partnerships and companies
• Calculation of tax liability including computation of various exemptions and reliefs available for different categories of
taxpayers.
• Explanation and application of the principles of General Sales Tax in particular and Federal Excise Tax in general.
COURSE PREREQUISITE(S)
An understanding of accounts from “Principles of Financial Accounting”
• All students are compulsorily required to bring their own books and calculators to the class.
Tax laws are ever-changing and each year the Finance Act brings in its wake a number of amendments.
It is advised to consult the latest law as amended by the Finance Act 2024 for the course and not an earlier version.
COURSE LEARNING OBJECTIVES
The course aims at giving the students:
• 1. an opportunity to gain knowledge and understanding in the area of direct and indirect taxes
• 2. learn application of tax laws related to both business and individual’s own tax matters.
•
Lahore University of Management Sciences
LEARNING OUTCOMES
Upon completion of the course, students would be able to;
•
• 1. Demonstrate understanding of both direct and indirect tax laws…
• 2. Apply the acquired knowledge in day to day affairs
GRADING BREAKUP AND POLICY
Assignment: 15%
Attendance: 5%
Test 1 20%
Mid-term Exam 25%
Final Exam 35%
The evaluation instruments would be open book (but not notes) plus the copy of Withholding Tax Chart of
Income Tax as posted on LMS. Calculators are allowed but not mobile phones. Those missing the test or
exams will do so at their own risk. In insuperable case the average marks obtained by the class in general
for that test OR the average mark obtained by the student in any of his/her tests, whichever is lower,
would be allotted otherwise mark obtained would be considered as zero.
Attendance relates to class discipline covering regularity, punctuality and behavior. Marks will be deducted
for violating rules prescribed by the University.
Any missed class or part of a lesson, has been observed to have very adverse effects on students, who tend
to face difficulty in understanding the subsequent lectures or in keeping pace with the class. It is the
student’s own responsibility to make up for any missed lesson by contacting the instructor or the TA for
guidance.
EXAMINATION DETAIL
Yes/No: YES
Combined Separate: Combined
Midterm
Duration: 2 hrs. 30 minutes.
Exam Preferred Date: Any date following the 11th session
Exam Specifications: Open book and withholding tax chart
Yes/No: YES
Combine Separate: Combined
Final Exam Duration: 3 hours
Preferred Date: In the start of final exam schedule
Exam Specifications: Open book and withholding tax chart
Lahore University of Management Sciences
Campus supports & Key university policies
Campus Supports
Students are strongly encouraged to meet course instructors and TA’s during office hours for assistance in course-content, understand the
course’s expectations from enrolled students, etc. Beyond the course, students are also encouraged to use a variety of other resources.
(Instructors are also encouraged to refer students to these resources when needed.) These resources include Counseling and Psychological
Services/CAPS (for mental health), LUMS Medical Center/LMC (for physical health), Office of Accessibility & Inclusion/ OAI (for long-term
disabilities), advising staff dedicated to supporting and guiding students in each school, online resources (https://advising.lums.edu.pk/advising-
resources), etc. To view all support services, their specific role as well as contact information click here
(https://advising.lums.edu.pk/#supportservices).
Academic Honesty/Plagiarism
LUMS has zero tolerance for academic dishonesty. Students are responsible for upholding academic integrity. If unsure, refer to the student
handbook and consult with instructors/teaching assistants. To check for plagiarism before essay submission, use [email protected].
Consult the following resources: 1) Academic and Intellectual Integrity (http://surl.li/gpvwb), and 2) Understanding and Avoiding Plagiarism
(http://surl.li/gpvwo).
LUMS Academic Accommodations/ Petitions policy
Long-term medical conditions are accommodated through the Office of Accessibility & Inclusion (OAI). Short-term emergencies that impact
studies are either handled by the course instructor or Student Support Services (SSS). For more information, please see Missed Instrument or
‘Petition’ FAQs for students and faculty (https://rb.gy/8sj1h )
LUMS Sexual Harassment Policy
LUMS and this class are a harassment-free zone. No behavior that makes someone uncomfortable or negatively impacts the class or
individual's potential will be tolerated.
To report sexual harassment experienced or observed in class, please contact me. For further support or to file a complaint, contact OAI at
[email protected] or
[email protected]. You may choose to file an informal or formal complaint to put an end to the offending behavior.
You can also call their Anti-Harassment helpline at 042-35608877 for advice or concerns. For more information: Harassment, Bullying & Other
Interpersonal Misconduct: Presentation (http://surl.li/gpvwt )
COURSE OVERVIEW
WEEK/
RECOMMENDED
LECTURE/ TOPICS SESSION OBJECTIVE(S)
READINGS
MODULE
Common rules, definitions and concepts Introduction to the Federal Tax Laws Getting to understand the philosophy
related to Income Tax of taxation and the modus operandi
• 1
of imposing and collecting taxes by
the government.
Common rules, definitions and concepts Sections (Ss) 2,3,4, 5, 5A, 6, 7, Getting accustomed to the charge of
related to Income Tax 7A, 7B, 7C, 7D 8, 101 from the income tax and legal terms.
• 2 Some basic concepts & geographical
Income Tax Ordinance, 2001
(ITO) sources of income
Provisions governing persons Ss 74, 80 to 84 from ITO Concept of Persons in more detail
• 3
Classification of income and taxability Ss 9, 10, 11 from ITO Broad divisions of income and
• 4 Fist Schedule method of calculating tax for various
persons
Salary Ss 12, 13, 14, Para (1A) First Learning to compute income from
• 5
Schedule, Rules 3, 4, 5, 6 & 7 salary
Salary The above plus Parts I of 2nd -do-
• 6
Schedule
Lahore University of Management Sciences
Profits chargeable to tax as 'income from Ss 18, 19 20, 21, 22, 23, 24, 25 & Calculating income from business
business' 32. and its related provisions
• 7 2nd Schedule
Third Schedule
Rules 10 to 13
Profits chargeable to tax as 'income from -do= -do-
• 8 business'
Income From Property Ss 15, 15A, 16
Relevant provisions for computing
• 9 income
Income from Capital Gains Ss 37,37A, 38, 68,75, 76, 77, 78 Understanding capital gain and
• 10 & 79; First, Second & Eighth computing income there from
Schedules -do-
Income from other sources. Ss 39,40 Assessing income from this residual
• 11
head
• 12 TEST
Tax Credits read with the Second Schedule Ss 61 read with Thirteenth Schedule, Learning to compute tax credits for
ss. 62 &, 62A, different types of donations and
• 13
investments
Rules pertaining to set-off & carry forward 56 to 59A only of the ITO Learning the methods
• 14
of losses
• 15 -do-
Minimum Tax S 113 How it is different from regular
• 16
income tax
• 17 -do-
Advance Tax and Withholding Tax PART V Divisions I and II of the Concept of paying taxes in advance
• 18
Regime Ordinance
• 19 -do- -do- -do-
Procedure under the income tax law Ss 114, 115, 116, 118, 182, 191, Who are liable to file returns and
• 20 205 (read with 137(1)) & 119 of how.-do-
the ITO -
Procedure continued SS 127 to 133 of ITO The appellate system-
• 21
Overview, common rules, definitions and Ss 1 to 13 & 3rd 5th 6th and 8th Learning the essential concepts of
• 22 concepts of sales tax Procedure continued Schedules of the Sales Tax Act 1990 indirect taxes
(STO)
• 23 -do- -do- -do-
Mid-Term Exam
• 24
Overview, common rules, definitions and Ss 1 to 8 of the Federal Excise Act More forms of indirect taxes
• 25 concepts of federal excise duty 2005
• 26 Revision
Revision -do- -do-
• 27
• 28
TEXTBOOK(S)/SUPPLEMENTARY READINGS
Lahore University of Management Sciences
Huzaima & Ikram’s Federal Tax Laws of Pakistan in 2 volumes [official version can also be downloaded from www.fbr.gov.pk
by Huzaima Bukhari & Dr. Ikramul Haq, published by AA Consultants & Publishers, # 155 G III, Irtaza Road, Johar Town, Lahore ,
Tel: 35300721 & 35304421 email: [email protected] website: http://aacp.com.pk
