Sales Tax Instructions

(viii)
(ix)
Sales Tax Instructions, 2009
registered persons against prescribed sales tax invoices and payment of
sales tax. The registration status of any supplier can be confirmed by
obtaining a copy of the sales tax registration certificate and/or latest sales
tax return filed in the bank from the supplier.
If purchases have been made in the above circumstances, no deduction of
sales tax at source is to be made by the purchasing
department/organization, as the amount of sales tax is to be paid to the
registered supplier for deposit in the designated branch of National Bank
of Pakistan alongwith his monthly sales tax return. The purchasing
department/organization may forward an intimation to the concerned
Collectorate for the purpose of audit/verification of deposit of tax by the
supplier.
The instructions in para 3 & 4 of Board‘s letter of even number dated
27 th January, 2001 (copy enclosed) were intended only to resolve the
issue regarding bills pending at that time due to purchases made from unregistered
suppliers by some Government departments in violation of
Cabinet‘s decision. These instructions cannot be applied to subsequent
purchases and should not be misconstrued as a
condonation/regularization of violations of the Cabinet decision.
[Issued by the CBR, Islamabad under the signature of Dr. Ashfaq Ahmed Tunio,
Secretary (ST L&P) addressed to Office of the Auditor General of Pakistan Islamabad. Copy
endorsed to all the Collectors of Sales Tax/Military Accountant General Rawalpindi/Director
Accounts Rear Air Headquarters, Peshawar.]
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C. NO. 1(256)STJ/2000 DATED 8 TH AUGUST, 2001
SUBJECT:- SRO. 448(I)/2000, DATED 1.07.2000.
I am directed to refer to Collector (Adjudication) Rawalpindi‘s letter C.No.Coll:
(Adj.)Misc/2000/17754, dated the 6 th June, 2001 on the subject cited above and to say
that the views of Collector (Adjudication) regarding taxability of roadside blocks are
correct. According to the definition of value given in section 2(46) of the Sales Tax Act,
1990 value includes the consideration in money including all federal and provincial
duties and taxes, if any, which the supplier receives from the recipient for that supply but
excluding amount of tax. Thus, if the terms of supply include transportation cost and cost
of fixing of the blocks, value of supply shall include these components. However, if the
supplier only receives the cost of the blocks while transportation, etc. are borne by the
buyer, then sales tax shall not be chargeable on transportation or fixing components.