Sales Tax

Sales Tax is a tax levied by the Federal Govt under the sales Tax Act 1990, on sale and supply of goods and on the goods imported in Pakistan. Sales Tax on services is levied by the Federal Govt under the Islamabad Capital Territory (Tax Services) Ordinance 2001.

Sales Tax Registrations

Sales Tax is also revenue generation tool of governments which alternate impact on consumers / public. These taxes also utilizing for finance investments in human capital, infrastructure, and the provision of services for citizens. Taxpayer entities should be registered in Sales Tax.
⦁ Importers / Exporters.
⦁ Wholesalers, Dealers & Distributors
⦁ Manufacturers (Except Cottage Industry if Turnover less than ten Million over the year & Manufacturing Powers Bill less than eight lacs.)
⦁ Exporter zero rated Supplies for sales tax refunds.
⦁ Retailers national / international chain of stores.
⦁ Retailers (Whose cumulative utilities bills exceed six law over the year)
⦁ Provincial or Federal Law’s to be registered under Sales Tax for sales tax collections on services.

Sales Tax Returns Fillings

Every taxpayer entity who registered under section 14(1) of Sales Tax Act 1990 for collections of tax on behalf of state should file Sales Tax Return every month. Non-compliance of law will be cause of in-active, suspension & Blacklisting of taxpayer as well as penalties will be enforced.

Sales Tax Refunds

If the input tax paid by a registered person on taxable purchase made during a tax period exceeds the output on account of zero-rated local supplies or export made during that tax period, the excess amount of input tax shall be refunded to the registered person not later than forty-five days of filling of refund claim.

Notice Compliances

Federal Board of Revenue (FBR) can interpret the submissions of taxpayer by issuing notices in different segments of tax collections. Our legal professional complying notice under law full parameters.

ATL Activations

Sales Tax Registered entity will be available in ATL (Active Taxpayer List) if taxpayer didn’t fall in following categories.
⦁ Blacklisted, suspended or Blocked.
⦁ Two consecutive months non-filling of returns.
⦁ Non-Filling of Income Tax Returns.
⦁ Non-Filling of two consecutive months withholding statements.
⦁ If taxpayer entity is in-active in Sales Tax In-put can’t claim in your return.