Apr 7

Accountability framework for FBR officials suggested to make tax audit transparent

KARACHI: Pakistan Tax Bar Association (PTBA) has said that there should be accountability framework for tax officers in order to make audit transparent. Abdul Qadir Memon, President, PTBA in a message to PTBA Tax Journal outlined eight-point recommendations to tax authorities for making audit system more transparent in order to boost confidence of taxpayers on […]

by Faisal Shahnawaz

Sales Tax Act 1990: tax credit not allowed under various conditions

Apr 7

Exclusive, Taxation

Sales Tax Act 1990: tax credit not allowed under various conditions

KARACHI: A registered sales tax person is not allowed to entitle to reclaim or deduct input tax paid on various activities of manufacturing / supplies. The Section 8 of updated Sales Tax Act, 1990 issued by Federal Board of Revenue (FBR) explained where tax credit is not allowed. Section 8: Tax credit not allowed Sub-Section […]

by Mrs. Anjum Shahnawaz

FBR issues notices to 350 Sindh bureaucrats for non-filing

Apr 7

Exclusive, Taxation

FBR issues notices to 350 Sindh bureaucrats for non-filing

KARACHI: Federal Board of Revenue (FBR) has issued notices to 350 senior bureaucrats of Sindh government for non-filing of income tax returns. The notices have been issued by Regional Tax Office (RTO) –II Karachi on identification of expenditures through various sources by those provincial government officers. The FBR sources said that these government officers had […]

by Faisal Shahnawaz

Sales Tax Act 1990: deduction of input tax by registered persons

Apr 6

Exclusive, Taxation

Sales Tax Act 1990: deduction of input tax by registered persons

KARACHI: A sales tax registered person is allowed to deduct input tax against output tax for determination of taxable supplies made during a period. According to updated Sales Tax Act 1990 issued by Federal Board of Revenue (FBR), Section 7 explained the procedure of deduction of input tax by sales tax registered persons. Section 7: […]

by Faisal Shahnawaz

Sales Tax Act 1990: rate in force to apply at time of supply

Apr 5

Exclusive, Pakistan Customs

Sales Tax Act 1990: rate in force to apply at time of supply

KARACHI: If there is change in rate of sales tax then it shall apply at the time of supply. Section 5 of the updated Sales Tax Act, 1990 issued by Federal Board of Revenue (FBR) explained change of tax rate at the time of supply or at the time of clearance of imported goods. Section […]

by Faisal Shahnawaz

Sales Tax Act 1990: zero rating on export, supply of goods

Apr 4

Exclusive, Taxation

Sales Tax Act 1990: zero rating on export, supply of goods

KARACHI: The sales tax laws have allowed zero rating of sales tax on exports or supply of goods. According to updated Sales Tax Act, 1990 issued by Federal Board of Revenue (FBR), the Section 4 of the Act explained the zero rating. Section 4: Zero rating Notwithstanding the provisions of section 3 except those of […]

by Faisal Shahnawaz

Sales Tax Act, 1990: collection of excess sales tax

Apr 2

Exclusive, Taxation

Sales Tax Act, 1990: collection of excess sales tax

KARACHI: A person is required to pay sales tax, which was collected under misapprehension of any provision of the act and was not collectable or in excess of tax. The FBR recently updated Sales Tax Act, 1990 and its Section 3B explained the collection of excess sales tax. Section 3B: Collection of excess sales tax […]

by Faisal Shahnawaz

Sales Tax Act 1990: 17 percent applicable on taxable supplies

Apr 1

Exclusive, Taxation

Sales Tax Act 1990: 17 percent applicable on taxable supplies

KARACHI: A normal sales tax rate at 17 percent is applicable on taxable supplies made by registered person. Federal Board of Revenue (FBR) issued recently the updated Sales Tax Act, 1990 under which its Section 3 explained the scope of tax. Section 3: Scope of tax Sub-Section (1): Subject to the provisions of this Act, […]

by Faisal Shahnawaz

Income tax return filing may be allowed for a day or two

Mar 31

Exclusive, Taxation

Income tax return filing may be allowed for a day or two

KARACHI: The income tax return filing may continue for next one or two days as last two days were on non-working days. The FBR through Income Tax Circular No. 02 on March 15, 2019 extended the last date for filing annual returns for tax year 2018 up to March 31, 2019. However, the last date […]

by Faisal Shahnawaz

Income Tax Ordinance 2001: Income from pension funds tax exempted

Mar 29

Exclusive, Taxation

Income Tax Ordinance 2001: Income from pension funds tax exempted

KARACHI: The government has allowed tax exemption to the income derived by pensioners invested in various schemes, including pension funds. The Second Schedule of Income Tax Ordinance, 2001 allowed tax exemption to the income derived by pensioners. The following exemptions are available to the pensioners: Any payment from a provident fund to which the Provident […]

by Faisal Shahnawaz