Sales Tax Instructions

Sales Tax Instructions, 2009
sales tax vide entry at S. No. 22 of the Sixth Schedule to the Sales Tax Act, 1990. Hence
registration is not required. However, if the value of samples exceeds the specified limit
and the consignment is liable to sales tax, registration also becomes compulsory.
[Issued by the CBR, Islamabad, under the signature of Mr. Akhtar Ali, Secretary (STP),
addressed to the Collector, (Appraisement),Karachi.]
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C. NO.3(62)STP/97.Pt.I DATED 26 TH MARCH, 1998
SUBJECT:-
CLARIFICATION REGARDING SALES TAX.
Please find enclosed a letter from M/s. Anjum Asim Shahid & Co., Chartered
Accountants on the above subject. M/s Hyundai-Hidco Joint Venture have imported
certain machinery, spares, laboratory equipment, food stuff, calendars and diaries etc.
Basically, the company is engaged in the construction of Chashma Hydro Power Project
as foreign civil contractors. Hence, it is not engaged in making of any taxable supply.
Company has pointed out that Korean food stuff is basically for consumption of their
Korean staff and calendars and diaries etc. are for distribution and are in limited quantity.
2. Matter regarding their registration for sales tax has been examined in
detail. It is pointed out that since company is not engaged in making of any taxable
supplies and since it is not a commercial importer, it is not required to be registered for
sales tax. Same principle will apply in respect of other foreign contractors working on
projects against international tenders and importing equipment and machinery etc. for the
said projects.
[Issued by the CBR Islamabad, under the signature of Mr. Akhtar Ali, Secretary (STP),
addressed to the Collector (Appraisement), Customs House, Karachi.]
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C. NO.3(62)STP/97(Pt.I) DATED 26 TH MARCH, 1998
SUBJECT:-
SALES TAX REGISTRATION OF IMPORTERS.
The following is clarified with regard to the registration of importers.
1. Goods exempt from sales tax (as reflected in the Sixth Schedule) do not require
compulsory sales tax registration at import stage;
2. Those industrial importers who import goods for in-house use, and are already
registered under sales tax, need no further registration as an importer;
3. Imported machinery is generally exempt from sales tax, hence registration is not
compulsory. However, if auxiliary machines or accessories/parts accompanying