Haroonabad returns cover ginning, grain trading, input dealing and farm income. This page explains what goes into each.
Ginning Factories
A ginner's year runs from the first seed cotton in August to the last bales sold in spring. The return shows seed cotton bought from growers and arhtis, lint and cottonseed sold, electricity, labour, bale-pressing and transport, and depreciation of gins and presses. Spinning mills deduct tax on lint purchases; those deductions are listed by mill and claimed. The ginner's monthly sales tax returns should tell the same story as the income tax return.
Bad Seasons
Whitefly, rain at picking time or a fall in lint prices can turn a season into a loss. A business loss is shown as such and can generally be carried forward against business profit of later years, provided the return for the loss year was filed.
Arhtis in the Grain Market
Commission on wheat and cotton sold for farmers, less shop rent, munshi's salary and other costs, is the arhti's income. Money lent to growers before harvest is shown as a receivable.
Seed and Fertiliser Dealers
Dealers show sales, purchases from companies and stock at 30 June. Company deductions on supplies are credited.
Farm Families
Cotton and wheat from family land are declared as agricultural income.
Salaried Residents
Teachers and bank staff report salary and the tax withheld.
Transporters
Truck owners carrying bales to mills in Faisalabad and Multan show freight receipts, fuel and repair costs, and the advance tax paid with their annual token.
Also see NTN registration in Haroonabad.
Frequently Asked Questions
Can ginners carry forward losses?
Generally yes, against future business income.
Are credit sales to farmers income?
They are sales; unpaid amounts are receivables.
Is crop income declared?
Yes, as exempt agricultural income.