Sales Tax Instructions

Sales Tax Instructions, 2009
TAX PERIOD APRIL 2008 BY PERSONS REGISTERED IN
LTU, KARACHI.
Because of difficulties anticipated in transition from e-filing on Banxis to e-filing
on FBR‘s e-portal, the Federal Board of Revenue, in exercise of powers under section 74
of the Sales Tax Act, 1990, and section 43(2) of the Federal Excise Act, 2005, is pleased
to extend the due date for electronic filing of sales tax-cum-federal excise return and
invoice summary statements for the tax period April 2008 to 20 th May, 2008, for
registered persons falling in the jurisdiction of Large Taxpayers Unit, Karachi.
[Issued by C.B.R., Islamabad under the signature of Mr. Abdul Hameed Memon,
Secretary (ST&FE-L&P)]
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C. NO.5/1-STB/2008 DATED 11 TH JUNE, 2008
SUBJECT:
SALES TAX AND FEDERAL EXCISE BUDGET INSTRUCTIONS
2008-2009
The budgetary measures relating to Sales tax & Federal Excise appear in clause
16 & 26 of the Finance Bill, 2008 and in 32 Notification (SRO 521(I)/2008 to
552(I)/2008, all dated 11 th June, 2008). All amendments in Sales Tax Act, 1990, federal
Excise Act, 2005 And Table-I of the First Schedule of the Federal Excise Act, 2005, and
the notifications issued there under shall take effect from 1 st July, 2008, unless
specifically mentioned. The Collectors and other officers of field formations are required
to carefully go through all the legislative amendments and notifications. The salient
features of these measures are briefly stated below:-
I. SALES TAX (RELIEF, REVENUE AND STREAMLINING MEASURES)
(i)
Sales Tax on the following items is being exempted/zero-rated with
immediate effect:-
(1) Fertilizers
(2) Pesticides and their active ingredients
(3) Raw materials used in the manufacture of dextrose and saline
infusion giving sets
(4) Caustic soda solid
(5) Cotton linter
(6) Sequins
(7) Molasses for manufacturing of acetic acid.
(ii) The rate of sales tax is increased from 15% to 16%.
(iii) The sales tax on Provincial services is being increased from 15% to 16%.