Sales Tax Instructions

Sales Tax Instructions, 2009
The undersigned is directed to refer to the CBR‘s O.M. C.No.1/57-STT/97 dated 3 rd
December, 1998 on the subject noted above and to state as under:-
(i) Sodium Nitrate:- It is not used as fertilizer and will not be recommended for use
as fertilizer due to sodium content in the product even in the future.
(ii) Ammonium Nitrate:- It can be classified as a fertilizer products.
(iii) Potassium Chloride:- It has been imported and used as fertilizer.
Reservations exist whether it should be used in salinity prone soils or not.
(iv) Potassium Nitrate:- It is afertilizer product but never imported in
Pakistan for agriculture use due to high cost.
2. Since the above said products at S.No.ii & iv are used in agriculture as fertilizers,
therefore, if some body has to import for agricultural purposes, then he should first inform the
MINFAL and get their certificate that the product will be used as fertilizer for agricultural
purposes only. This mechanism will help to check the misuse of the concession extended on
fertilizers. Moreover, the quantity imported will be about a ship load of 10-25,000 tonnes due to
high value required in agriculture.
(Maher Sher Muhammad)
Section Officer
The Secretary (STT),
CBR, Islamabad.
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C. NO. 3(62) STP/97(Pt.I), DATED 3 RD DECEMBER, 1998
SUBJECT:-
GST INCREASE.
I am directed to refer to your letter C. NO. Nil dated 02.12.1998 on the above
subject and say that the change in tax rate promulgated through the Sales Tax (Second
Amendment) Ordinance, 1998, are effective from 1 st December, 1998.
2. Clause (a) section 5 of the Sales Tax Act, 1998, read with section 2(44)
thereof apply in such cases. The Board regrets its inability to allow any relaxation on
supply out of stocks held by registered distributors as requested by you. These
output/sales/supplies are liable to sales tax at 15% from 01.12.1998.
[Issued by the C.B.R., Islamabad, under the signature of Mr.Muhammad Tahir, Secretary
(STP), addressed to Mr. Zahid Zaheer, Secretary General, with reference to his letter No. Nil.
Dated 2 nd December, 1998.] Copy of letter is reproduced below: --
LETTER NO. NIL DATED 2 ND ECEMBER, 1998
ian Iqbal Farid,
Chairman,Islamabad.
SUBJECT: GST INCREASE.
Some of our member compares have advised us that all sales to their distributors are fully
documented.
In light of the Sales Tax increase from 12.5 % to 15 % we seek your approval on the following
proposal as the Sales Tax increase is being experienced by Registers Distributors of
manufacturers for the first time in the History of Pakistan.