Sales Tax Instructions

Sales Tax Instructions, 2009
(ii)
(iii)
(iv)
number, yet it is clarified that only trucks falling under PCT heading
87.04 are covered under serial No. 2 of the said Schedule. Relevancy of
PCT heading 87.04 has already been confirmed by the Board vide its
U.O. No. 4(47)STB/98(Pt.II), dated 28 th June, 2001 (copy enclosed).
Vehicles like pickups, delivery vans, removal vans, browsers and fire
fighting vehicles, etc. are not entitled to the said exemption.
As regards the fabrication through third party of super structures on the
truck chassis procured from local assemblers, exemption of sales tax on
such trucks remain admissible provided that the description and
classification do not change. If description or classification changes,
exemption of sales tax remains no more admissible. Thus, the
manufacturers fabricating super structures on truck chassis converting
them into vehicles of different description or classification are liable to
charge and pay sales tax on the total value of such vehicles.
As for the payment of sales tax against tax invoices, it is clarified that a
sales tax invoice issued by the registered person is a sufficient proof in
case of established and recognized suppliers. However, in case of new
suppliers, a copy of the sales tax registration certificate and latest sales
tax return may be demanded. In doubtful cases, the documents may be
referred to the Collector of Sales Tax having jurisdiction over the
registered person (supplier) for verification as already advised by the
Board vide its letter C.No. 4(47)STB/98(Vol.I), dated 27.11.2000 (copy
enclosed).
Since Board is interested to ensure that sales tax is paid to the
Government as due under the law, you are requested to kindly furnish to
the Board information about the supplies made through Controller
Military Accounts in the following format for the period of last three
years and such information may be furnished in future on monthly basis
as well:
Sr. Name & address Registration Description of
No. of supplier
Goods
(1) (2) (3) (4)
Value of Amount of sales Remarks (Please indicate,
goods tax involved if exempt from sales tax)
(5) (6) (7)
It will be appreciated, if the said information is provided in hard form as well as
on computer diskette.
[Issued by the CBR, Islamabad under the signature of Mr. Iftikhar Qutab, Chief (Sales
Tax-IV), addressed to Mr. Ahmed Taimoor Nasir, Deputy Controller, Military Accounts (Defence
Purchase), Office of the Controller of Military Accounts (Defence Purchase), Rawalpindi and
copy endorsed to all the Collectors of Sales Tax.]