ISLAMABAD – The Securities and Exchange Commission of Pakistan (SECP) has introduced special facilitation measures to help businesses in the steel sector register as companies after recent tax law changes made incorporation a prerequisite for certain tax concessions.
According to the regulator, a dedicated facilitation desk has been established on the directions of Minister of State for Finance Bilal Azhar Kayani to assist steel businesses with company registration and expedite the processing of incorporation applications. The initiative is being overseen by SECP Chairman Dr Kabir Ahmed Sidhu.
The move follows amendments introduced through the Finance Act, 2026, which revised the Second Schedule of the Income Tax Ordinance, 2001. Under the new provisions, steel businesses must be registered as companies to qualify for specified tax incentives.
As a result, steel mills operating as Associations of Persons (AOPs) or other unincorporated entities will be subject to a higher tax burden than incorporated companies registered with the SECP.
The Pakistan Association of Large Steel Producers (PALSP) had approached the regulator after the amendments, seeking guidance on the conversion of steel sector AOPs into companies.
The SECP said the incorporation process is fully digital and includes user registration, name reservation, submission of a digitally signed application and payment of the prescribed fee. It added that companies can be incorporated within four hours if all required documents are complete.
The regulator said it currently incorporates more than 3,500 companies each month and will jointly hold an awareness webinar with the Federal Board of Revenue (FBR) on July 8 to guide steel businesses on the incorporation process under the new tax regime.
