📎📎📎⚖️👍 Issue of law, law fields, wealth tax statement, registering income first and tracking wealth second, tax policy, revenue administration, income tax return, structural flaw, financial accounting & Great Pakistan......
The basic tax principle is that every single rupee increase in your assets or bank accounts during a tax year must be backed by a legitimate, documented source of funds (such as income or capital gains). Meaning thereby, whenever your money or assets go up during the tax year, you must have a clear, supported answer as to where this increased money came from, whether it was earned from a business, a salary, a property sale, a loan, or a gift. Further, in economic theory and legal jurisprudence, wealth serves as the foundational stock from which all streams of income inevitably flow. An individual’s profession, skill set, and labor capacity constitute human capital, an intangible asset from which salaries and professional fees are generated. Similarly, tangible assets such as real estate or commercial property represent physical wealth that yields monetary returns through rent, profits, or capital appreciation. Consequently, under a comprehensive legal and tax framework, income d...