Sales Tax Instructions

Sales Tax Instructions, 2009
SUBJECT: IMPOSITION OF PENALTY FOR REVISED RETURN
INVOLVING NO TAX PAYMENT
Kindly refer to Collectorate‘s letter C.No.IV.ST/A&P/Misc/520 dated
10.03.2005 on the subject cited above.
2. The issue has been examined, in terms of sub-section (4) of section 26 of
the Sales Tax Act, 1990, if a registered person files a revised return voluntarily along
with deposit of the amount of tax short paid or amount of tax evaded along with
additional tax, before receipt of notice of audit, no penalty shall be recovered from him.
Accordingly, if a registered person wishes to file a revised return that does not involve
any tax payment, prior to receipt of notice of audit, no penalty shall be recovered from
him.
3. Apparently issue pointed out in the Collectorate‘s letter hinges around
miscalculation when no short payment is involved and a registered person intends to file
a revised return. In terms of second proviso to sub-section (2) of section 33 of the Sales
Tax Act, 1990, no penalty shall be imposed when any miscalculation is made for the first
time during a year.
4. The Collectorate may examine the issue accordingly.
[Issued by the CBR, under the signature of Mr. Aamer Amin Bhatti, Secretary (ST&CE-
L&P), addressed to the Collector, Collectorate of Sales Tax & CE, Lahore.]
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C. NO.3(13)ST-L&P/04 (Vol-1) DATED 21 ST MARCH, 2005
SUBJECT:
EXEMPTION OF SALES TAX
I am directed to refer to Letter Ref: No.05/Sales Tax/004/ISL dated 17.03.2005
from M/s Warid Telecom (Pvt.) Ltd. on the subject cited above seeking a clarification
whether zero-rating of sales tax under SRO 500(I)/2004 dated 12.06.2004 shall be
admissible in case the imported goods are denied the benefit of customs concessionary
notification on grounds that similar machinery and equipment are also being
manufactured locally.
2. The issue has been examined, in terms of clause (a) of S. No.1 of the
Table under SRO 500(I)/2004 dated 12.06.2004, zero-rating of sales tax is available if
such plant, machinery and equipment qualifies for being imported under a customs
concessionary notification and fulfills all the conditions, restrictions and procedures
prescribed there under, except the condition that such goods are manufactured locally.
Accordingly, it is clarified that benefit of zero-rating of sales tax shall not be denied if the
imported goods are capable of being manufactured locally, but otherwise fulfill all the
conditions of the customs concessionary notification. Meaning thereby that even if the