Profit or interest from offshore banking to be tax free: NBR

There will be no tax payable on the attained profit or interest from offshore banking units. The National Board of Revenue (NBR) has issued a circular in this regard.

This decision will come into immediate effect, it said.

Off-shore Banking refers to international banking involving non-residents' foreign currency-denominated assets and liabilities. Off-shore Banking Units conduct their deposit-taking and lending activities with foreign investors without conflict with the domestic fiscal and monetary set-up and independent of the local commercial banking system.