Sales Tax Instructions

Sales Tax Instructions, 2009
[Issued by the C. B. R., Islamabad, under the signature of Mr. Iftikhar Qutab, Secretary
(STP), addressed to the Collector, Collectorate of Customs, Custom House (Sambrial Dry port)
Sambrial Silakot.]
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C.No.1(7)WHT/2000 DATED 12 TH APRIL, 2000
SUBJECT:-
REQUEST FOR PERMISSION TO EXPORT ‗PAKISTANI
TRACTORS SECOND HAND/USED‘.
I am directed to refer to your letter No.Kt/Exp-Tractor/ 1203/2K/01 dated
30.1.2000 and to state that exemption of sales tax on the local supply of agricultural
tractors and agricultural implements/equipments is governed under S.No.49 and S.No.50
of the Sixth Schedule to the Sales Tax Act, 1990 read with SRO.839(I)/98, dated
23.7.1998 and 753(I)/98, dated 1.7.1998 (copies enclosed). The goods exported out of
Pakistan (except goods exported via land routes to Afghanistan or through Afghanistan to
Central Asian Republics) are entitled to the facility of zero-rating under section 4 of the
Sales Tax Act, 1990. The amount of sales tax, if any, paid on such goods is therefore
refundable to the registered exporter in the manner prescribed under Sales Tax Refund
Rules, 1998 (SRO.825(I)/98, dated 21.7.1998). The registered manufacturers who
directly export their products can claim refund of input tax paid on the materials used in
the manufacture of exported goods.
2. As regards the exportability of second hand/used tractors and agricultural
implements/equipments, you may please approach the Ministry of Commerce.
[Issued by the CRB, Islamabad under the signature of Mr. Iftikhar Qutab, Secretary
(STP) addressed to M/s Karachi Tractors, Karachi. Copy endorsed to Joint Secretary (Exports)
Ministry of Commerce alongwith the copy of letter under reference.]
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C.No.2(4)STP/99 DATED 13 TH APRIL, 2000
SUBJECT:-
CLARIFICATION IN RESPECT OF CHARGE OF FURTHER
TAX UNDER SECTION 3(1A) OF THE SALES TAX ACT – ON
EXPORT TO AFGHANISTAN VIA LAND ROUTE.
I am directed to refer to your letter No.ST(Tech)Export/52/99/ 7046, dated 28 th
September, 1999, on the above noted subject and to state that the matter was referred to
Law & Justice Division and the said Division has confirmed that further tax under section
3(1A) of the Sales Tax Act, 1990 will be chargeable on goods exported via land route to
Afghanistan or through Afghanistan to Central Asian States. The relevant portion of the
Law & Justice Division‘s advice is reproduced below:-
―Further tax under section 3(1A) is chargeable on zero-rated exports made via land
route to Afghanistan or to Central Asian Republics through Afghanistan in terms of