Sales Tax Instructions

Sales Tax Instructions, 2009
[Issued by the C. B. R., Islamabad, under the signature of Dr. Muhammad Zubair,
Secretary (STR&C), addressed to the Collector, Customs, Sales Tax & Central Excise,
Hyderabad/Quetta/Multan, the Collector, Collectorate of Sales Tax & Central Excise, Lahore/
Faisalabad/ Gujranwala/Rawalpindi/Peshawar, the Collector, (Enforcement/ (Hdqrs)/ (Audit),
Sales Tax House, Karachi & The Collector, Large Taxpayers Unit (LTU), Karachi.]
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C.NO. 1(14) STR/2000 (VOL-II) DATED 31 ST JULY, 2004
SUBJECT:- CLARIFICATION REGARDING THRESHOLD LIMIT OF
SALES TAX ON HOTELS
I am directed to refer to your letter / fax dated 29 th July 2004 on the subject cited
above and to say that it has already been clarified that the threshold limit of five million
per annum has been prescribed for retailers & manufacturers only, and not for the service
providers. Hence, a hotel, if providing or rendering taxable services to its clients or
members shall charge, collect and pay sales tax @ 15% of the service charges received
for such services and file monthly sales tax return-cum-payment challan within the due
date. However, in case of a restaurant providing food, beverages & other eatables only
and not providing taxable services, it is to be treated as `Manufacturer‘ and accordingly
exemption threshold prescribed for manufacturers should apply for the purposes of sales
tax registration. In case of a restaurant providing food, beverages & other eatables only
and not providing taxable services, it is to be treated as `Manufacturer‘ and accordingly
exemption threshold prescribed for manufacturers should apply for the purposes of sales
tax registration.
[Issued by the Government of Pakistan, Revenue Division, C. B. R.., Islamabad, under
the signature of Dr. Muhammad Zubair, Secretary (STR & C), addressed to Mr. Khawaja Tariq
Siddiq, Chief Editor, Daily Aag‘, Karachi.]
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C. NO.3(13)ST-L&P/2004 (Pt.) DATED 3 RD AUGUST, 2004
SUBJECT:- SALES TAX ON SUPPLY OF IMPORTED COTTON IN THE
LOCAL MARKET
I am directed to refer to your letter NO.PO/CE/ST/05/1098 dated July 29, 2004
on the subject cited above and to say that sales tax is to be charged @ 15% on local
supply of imported cotton.
[Issued by the C. B. R., Islamabad, under the signature of Mr. Aamer Amin Bhatti,
Secretary (ST-L&P),addressed to Mr. M. Waqar Mannoo, Chairman, All Pakistan Textile Mills
Association, APTMA House, 44-A, Lalazar, Moulvi Tamizuddin Khan Road, Karachi.]
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