Sales Tax Instructions

Sales Tax Instructions, 2009
(iii)
(iv)
(v)
(vi)
(vii)
(viii)
(ix)
determined or adjudged without allowing adjustment of any input tax
which they may claim to have paid on their taxable purchases during the
relevant period.
A proviso has been added in section 66 empowering the Collector to
allow a registered person to take un-availed input tax adjustment in lieu
of refund in such tax period as may be specified by the Collector in this
behalf.
72 more branches of National Bank of Pakistan have been designated for
the purpose of deposit of sales tax (SRO 341(I)/2002, dated 15.6.2002).
This will enable taxpayers to file returns and deposit tax nearer to their
place of business, with comparative ease.
A new section 74 has been added empowering the Board to allow
relaxation of time limit prescribed for any act or thing to be done or any
application to be made under any provisions of the Sales Tax Act, 1990
or rules made thereunder.
The Special Procedure for Collection of Payment of Sales Tax (Electricity
Power) Rules, 2000 has been amended (SRO 344(I)/2002, dated
15.6.2002) to allow adjustment of input tax against such electricity bills
as may not bear the name of the registered person but indicate his
registration number and address.
In section 4, a new clause (c) has been added, empowering the Federal
Government to specify goods chargeable to tax at the rate of zero
percent. In exercise of these powers, SRO 343(I) /2002, dated 15.6.2002
has been issued, zero-rating the goods exempted under section 13, if
exported by manufacturers making local supplies of both taxable and
exempt goods. This measure will enable such exporters to take input
adjustment/ refund on their exports of otherwise exempt goods.
Commercial and other exporters who do not fulfil the requirements of the
notification shall not be entitled to zero-rate exempt goods on export.
By an amendment in S. No. 6 of the Fifth Schedule read with SRO
342(I)/2002, dated 15.06.2002, zero-rating facility has been allowed on
locally manufactured plant and machinery supplied to the petroleum and
gas sector Exploration and Production companies including Oil & Gas
Development Corporation (OGDC), their contractors and subcontractors.
The machinery eligible for such zero-rating shall be
determined by the Regulatory Authority specified in Annexure-VI to the
Petroleum Policy 1994, who shall also determine the project
requirements. Collectors are advised to monitor the supplies made under
these provisions and report issues/problems if any.
Supplies of medicines to Government hospitals on or after 21 st March,
2002 have been excluded from the relevant entry (S. No. 6) of the Third
Schedule. Thus, all supplies of taxable pharmaceuticals made to
Government hospitals from 21.3.2002 are chargeable to tax on the
tender/contract price instead of retail price. A letter to this effect has
already been issued by the Board on 22.3.2002.