Tax Advisory & Compliance Services

Direct Taxation

A government levy on the income, property, or wealth of people or companies. A direct tax is borne entirely by the entity that pays it, and cannot be passed on to another entity.

Following Services are being provided under the ambit of Direct Taxation:

Indirect Taxation

Indirect taxes including General Sales Tax (GST) can place a significant cost burden on business entities. GST in particular can affect a business’s cash flow and therefore it needs to be managed effectively. Indirect taxes impact on every business and navigating the myriad of rules can be onerous. Where business entities have overseas activities and customers then administrative burden is increased which increase the chances of errors and non-compliances with different rules and regulations. Our team assist all types of business entities with indirect taxes, from privately held businesses, Not for Profit organizations to large listed and multinational companies. Our professional services include advice on compliance requirements, filling of returns, legal notices, objections and appeals on the following:

Transfer Pricing Services

Major tax reforms have been taken place due to the globalization and cross border transactions of business. If taxation matters are not handled effetely, that can toll the continuous working of any organization working internationally.  Today, Pakistan has a double taxation avoidance agreement with a number of countries. Many countries have established their offices in Pakistan. For cross border transactions between the associated companies, there needs to have a clear legislation about arm’s length price, which is called transfer pricing. Now what’s Arms’ Length Price- when two or more enterprises which are associated and get into transactions of profit, service or facility, then there is a need of some solid base of costing to exist. Such a price of services or facility should be as will not impact tax revenue etc. of the country. Thus, Transfer Pricing, which is an international compliance with individual country norms, is of high importance. But being very technical in nature, a person with professional and specialized skills only can analyze Transfer Pricing legislations. Transfer pricing concept is mostly used for the global taxation systems and is implemented by countries to ensure segregation of revenue for taxation. MHSS helps business entities to decide, implement and justify the Arm’s length pricing mechanism of each transaction. Our firm provides following sub-services under transfer pricing:

Transfer Pricing Health Check

Our firm review existing intercompany transfer pricing arrangement within the group inter country or across the border and help in mitigating the risk of transfer pricing litigations.

Transfer Pricing Study 

Our firm assist business entities in planning and formulating an effective global pricing policy for pro-actively reducing tax litigations.

Transfer Pricing Litigation Support

Regulatory bodies wings dealing with transfer pricing are very aggressive in Pakistan and is one of the most sensitive and litigation prone field. We asses transfer pricing based upon the business models of the organizations to avoid and resolve disputes with the regulatory authorities.