Sales Tax Instructions

Sales Tax Instructions, 2009
had been levied as final discharge of liability, the word Commercial Importer has not
been defined anywhere in the Ac therefore, this aspect Clarification viz. that is a
Commercial Importer and are they at all required to opt for registration.
(3) That from what we decipher the Commercial Importer is a person who is importing
goods from abroad and the moment the goods land at the Pakistan ports they are fully
documented and subjected to the Sales tax at source. Thus, asking the Commercial
Importer to go in for this registration is totally absurd as the Bill of Entry is already
with the concerned authorities and this denovo exercise is nothing but subjecting the
Commercial Importers to the same exercise again. Thus, invoking the principle of
double jeopardy.
(4) That from wording used and definition described in the Sales Tax Act, 1990. The
retailer is a person supplying goods to the general public for the purposes of
consumption, in the instant case the Commercial Importers are not supplying any
goods to the general public thus, they do not fall within the purview or definition of
this SRO and as such are not obliged to go in for voluntary registration or the payment
of this tax.
(5) That General Sales Tax has not been defined anywhere n this SRO there is also over
lapping inter se General Sales Tax and Value Added Tax. This is also compounding
the problem resultantly it has created a lot of problems for the general public
especially the importers of Auto Parts. Bearing and Tyres. Even in the case of
industrial; concerns the Tax under this head is ultimately paid by the consumer be it a
sub dealer or retailer or any other person, likewise form he wording of this SRO the
Commercial Importer is being treated at par with an industrial concern, as such this
Tax can ultimately be received from the consumer and not from the Commercial
Importers.
(6) That this Tax can either the recovered by the system of cascading or by the system of
pyramiding. The Indian Tax System and world wised recovery would show that the
pyramiding is easier and effective and it is also helpful in recovering the revenue
easily, whereas the cascading system is very difficult it impalement, it has inherent
faults and many loop holes, as such it is advisable that the pyramiding system is opted
and for that the ultimate tax would be paid by the importer. The commercial importers
should not be brought under this purview as their imports are fully documented and
they are only acting a middleman neither are they procedure nor the consumer and
have liquidated the liability at source, we think that the most effective system is
provided under section 143-B, of the Income Tax Ordinance.
Therefore, we request you to please consider these proposal / questions and give us a
reply so that confusion at our end is settled.
Yours faithfully,
(AMJAD WAZIR)
SENIOR VICE CHAIRMAN (CENTRAL)PASPIDA
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C.No.13(4)M(TP)/98 DATED 10 th SEPTEMBER, 1998
SUBJECT:-
GENERAL SALES TAX ON SUPPLIES OF STORES.
I am directed to refer to your letter dated 11.8.1998 on the above subject and to
say that a person supplying taxable goods to persons deducting advance tax under sub-