Sales Tax Instructions

Sales Tax Instructions, 2009
(f) levy of central excise duty on services in terms of the judgment in 1993
SCMR 1342 does not prohibit levy of sales tax on consumption of sales
taxable goods so served/sold by the hotel/restaurants owning/managing
the permit room. The simultaneous levy of central excise duty, customs
duty, sales tax and provincial taxes are possible where levied by law.
7. Since, the issue involves interpretation of law, the Law & Justice
Division are requested kindly to give their considered opinion if the CBR‘s views, as in
paragraph 6 above, are correct in law.
[Issued by the CBR., Islamabad, under the signature of Mr.Muhammad Tahir, Secretary (STP).]
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C.No.1/134-STT/98 DATED 4 TH JANUARY, 1999
SUBJECT:- EXEMPTION OF GENERAL SALES TAX ---- CLASSIFICATION
OF SILICA SAND AND CHARGEABILITY OF SALES TAX
THEREON.
I am directed to refer to your letter No.nil, dated 2 nd December, 1998, on the
above subject and to clarify that ―silica sand‖ (commonly known as ―raitee/bajri‖) of
PCT heading 2505.1000 is not covered for exemption from sales tax under Sixth
Schedule to the Sales Tax Act, 1990 and, therefore, its sale is chargeable to sales tax.
[Issued by the CBR, Islamabad under the signature of Mr. Nisar Muhammad, Secretary
(STT) addressed to M/s Liaison International, Karachi. Copy to all the Collectors of Sales
Tax/Mirpur(AJ&K). The S(ST.Ed.), CBR.]
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No.3(47)STP/98 DATED 5 TH JANUARY, 1999
SUBJECT:- CLARIFICATION REGARDING NOTIFICATION NO.38(I)/98
DATED 21.10.1998.
I am directed to refer to your letter No.T-12/98/CBR/0219 and T-12/98/
CBR/0220, both dated 6 th November, 1998 on the subject cited above and to say that:--
a) CNG kits and cylinders owned by the recognized CNG Companies and
given to its clients for the usage against a security deposit and on a
certain fee is a taxable activity as this falls within the purview of the
definition of ―supply‖ under section 2(33) of the Sales Tax Act, 1990,
which ―includes sale, lease or other disposition of goods in furtherance of
business carried out for consideration .…‖ and hence liable to sales tax.
b) Since the charges/(so received) are not service charges/fee as explained
above, therefore, these charges are taxable.
c) Sales tax is leviable on CNG kits and cylinders if imported and sold to
the clients by recognized CNG companies as the exemption from sales
tax under SRO 38(I)/98, dated 21 st January, 1998 is available at the
import stage only, as clearly mentioned in the preamble of the
notification. Subsequent local sale/supply is taxable, being not exempt.