Sales Tax Instructions

Sales Tax Instructions, 2009
Income Tax:
The Task Force has recommended overhauling of the existing income tax system
towards functional specialization. The Force has proposed that under each RCIT there
should be 06 divisions headed by CITs. These are Management Information System,
Operations and Audit, Legal and Prosecution, Survey and Research, Customer Service,
Enforcement and Collection, and Inspection and Internal Audit. The report recommended
each Division would have a role in disposal of cases in line with its specialized functions.
However, the fundamental responsibility of declaring and assessing tax amount will be
that of the taxpayers. The selection of cases for audit will be based on objective criterions
supported by survey and research. The report emphasizes minimum, interaction the
taxpayers and tax collectors for which all processes will have to be reengineered and
automated.
Sales Tax:
The Force has recommended to simplify the sales tax regime for facilitating the
taxpayers. It has suggested that the task of audit review may be streamlined and
establishment of Internal Audit Division at each Collectorate. The Task Force has also
recommended the creation of taxpayer assistance unit to deal with the complaints of
taxpayers and issuance of certain notices and orders.
Customs:
The Task Force has recommended for re-engineering of customs procedures with
a view to make it user friendly. It has further recommended replacing the manual system
with Electronic Declaration Processing System (EDPS). The system would allow
electronic submission and processing of bills of entry. The Task Force has recommended
to introduce a comprehensive system of profiling and risk management, and replacing the
present system of positive profiling of reliable importers by a system of negative
profiling.
2. A copy of the report of the task force is enclosed. It is requested that the
report may be studied and discussed with officers/staff members under your
administrative control. The report can also be retrieved from the CBR website
www.cbr.gov.pk. Board may be informed about the considered views/comments on the
report, the views / comments and alternate proposal / suggestions can also be sent by
officers/staff individually by post or on e-mail address taxreform@cbr.gov.pk. The
comments / views can also be sent directly to Mr. M. S. Lal, Member (Policy & Tax
Reforms).
3. The receipt of the copy of the task Force report and this letter may be
acknowledged.
4. An urgent response in the matter is requested.