Blue Area along Jinnah Avenue is Islamabad's main business district, home to banks, corporate offices, law firms, consultancies and the shops and restaurants that serve them. Our Blue Area clients are firms, professionals and landlords of office floors.
Offices and Professional Firms
Law firms, chartered accountancy practices, consultancies and recruitment agencies dominate Blue Area. Their corporate and government clients deduct income tax from fees, and their services can be taxable under the ICT tax on services. A schedule of each client's deductions, matched with invoices, is the backbone of the annual return.
Firms as Employers
Office-based firms deduct salary tax from staff and file withholding statements. They also deduct tax when paying rent for their offices to individual landlords where the law requires it. Missing these deductions can make the firm liable for the tax it should have withheld.
Owners of Office Floors
Office floors in Blue Area towers are let to banks, corporates and international organisations. Some tenants deduct tax from rent; diplomatic missions and certain international organisations may follow special arrangements. Rent remains taxable for the owner regardless.
Restaurants and Retail
Restaurants on the avenue charge ICT sales tax on services and file income tax returns, while retail outlets deal with sales tax on goods.
| Client | Key issue |
|---|---|
| Law or consulting firm | Client deductions, ICT services tax |
| Employer | Salary and rent withholding |
| Office landlord | Rent declared, tenant deductions |
| Restaurant | ICT services tax and income tax |
Part of our Islamabad tax consultant guide. Nearby: CBR Town, D-12 (homeowners & rentals), D-13.
Frequently Asked Questions
Do Blue Area law firms charge sales tax on services?
Many professional services are taxable under the ICT tax on services law; we check your services and turnover.
Must a firm deduct tax on office rent?
Prescribed persons paying rent to landlords must deduct tax under section 155 where it applies.
Is rent from an international organisation taxable?
Yes, the rent is taxable income for the landlord even if the tenant does not deduct tax.
Tax Consultant in Blue Area, Islamabad — WhatsApp Now
Send your documents on WhatsApp. Tax return filed same day. Fee confirmed before we start.
WhatsApp 0328-4675162