Mari Petroleum Company Limited (PSX: MARI) has urged its shareholders to deposit the withholding tax on bonus shares by October 15, 2024. This follows the company’s 800% bonus issue, which was approved during the Annual General Meeting held on September 24, 2024.
The bonus shares, credited to both physical and CDC shareholders on September 27, 2024, were distributed after withholding 10% for tax filers and 20% for non-filers. This deduction covers the shareholders’ withholding tax liability on the bonus shares, calculated based on the day-end price on the first day of the book closure on September 19, 2024.
Key Details:
- Bonus Distribution: 90% of bonus shares were credited for filers and 80% for non-filers.
- Tax Payment Deadline: Shareholders are requested to pay their respective tax amounts by October 15, 2024.
- Withholding Action: If taxes are not paid, Mari Petroleum reserves the right to sell the withheld bonus shares to recover the tax liability on behalf of the shareholders.
The Islamabad High Court has also instructed the Central Depository Company (CDC) to place a lien on an additional 10% of bonus shares for filers and 20% for non-filers. This action ensures full tax recovery under the Income Tax Ordinance.
If shareholders fail to remit the tax, fluctuations in the stock market may affect the company’s ability to recover the full tax amount by selling the withheld shares. To avoid this scenario, shareholders are strongly encouraged to deposit the taxes in time.
Upon the recovery of the full tax amount, either through direct payment or share sales, any remaining shares will be released to the shareholders.
