Sales Tax Instructions

Sales Tax Instructions, 2009
Lahore/ Faisalabad/ Multan/ Peshawar/ Rawalpindi/ Mirpur (AJ&K) and the Additional
Collector. Collectorates of Sales Tax, Hub (Balouchistan)/Hyderabad.]
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C.No.3(62)STP/97-Pt.IV DATED 18 TH DECEMBER, 1998
SUBJECT:-
EXEMPTION OF SALES TAX ON FREE SAMPLING.
I am directed to refer to your letter No.nil dated 3.11.1998 on the subject cited
above and to say that under Sales Tax Act, 1990, free sampling is also a ―supply‖ under
section 2(33) and a ―taxable activity‖ under section 2(35) of the Sales Tax Act, 1990.
Under section 2(46) of the Act, value of supply takes care of ―Trade Discounts‖.
However, ―free of charge‖ or ―special reduced price for sampling‖ situations are not
covered under the Act.
2. The Board regrets its inability to accede to your request. However, you
may make such a proposal during February-March, 1999, as one of the Budget Proposals
for 1999-2000 for consideration by the Government.
[Issued by the CBR, Islamabad under the signature of Mr. Muhammad Tahir, Secretary
(STP) addressed to M/s Procter & Gamble Pakistan (Pvt) Ltd., Karachi. Copy endorsed to S(STB)
for placing in the file on ―Budget Proposals from Trade & Industry for 1999-2000‖.]
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SALES TAX GENERAL ORDER NO.10/1998.
C.No.2(24)STP/95 DATED 22 ND DECEMBER, 1998
SUBJECT:-
MULTIPLE REGISTRATION OF SAME ―PERSON‖ UNDER
THE SALES TAX ACT, 1990.
A question has arisen whether an establishment having various businesses or
having various locational business activities can have only one registration under the
Sales Tax Act, 1990, or can have multiple registrations as per his choice.
2. The word "person" is defined under section 2(21) to include "a company,
a association, a body of individuals whether incorporated or not, a public or local
authority, a provincial Government or the Federal Government". The word "registered
person", under section 2(25) of the Act "means a person who is registered or is liable to
be registered under this Act.", the liability to registration being explained in section 14 of
the Act.
3. Section 15 prescribes that "a person required to be registered under this
Act shall make an application in the prescribed form to the Collector before making
taxable supplies". This clearly shows that a person liable to registration is required to
make an application and Collector shall grant him one certificate of registration under
section 17. There is no requirement for the said person to separately register each of his
taxable activity, branch, division or manufacturing unit except for specifying all
particulars thereof in the original registration application and/or intimating subsequent
changes in such particulars in terms of section 20.