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 5: Change in the rate of tax
If there is a change in the rate of tax-
(a) a taxable supply made by a registered person shall be charged to tax at such rate as is in force at the time of supply;
(b) imported goods shall be charged to “tax at such rate as” is in force,
(i) in case the goods are entered for home consumption, on the date on a goods declaration is presented under section 79 of the Customs Act, 1969 (IV of 1969);
(ii) in case the goods are cleared from warehouse, on the date on which a goods declaration for clearance of such goods is presented under section 104 of the Customs Act, 1969 (IV of 1969);
Provided that where a goods declaration is presented in advance of the arrival of the conveyance by which the goods are imported, the tax shall be charged as is in force on the date on which the manifest of the conveyance is delivered:
Provided further that if the tax is not paid within seven days of the of the goods declaration under section 104 of the Customs Act, the tax shall be charged at the rate as is in force on the date on which tax is actually paid.
Section 6: Time and manner of payment
Sub-Section (1): The tax in respect of goods imported into Pakistan shall be charged and paid in the same manner and at the same time as if it were a duty of customs payable under the Customs Act, 1969 and the provisions of the said Act including section 31A thereof, shall, so far as they relate to collection, payment and enforcement including recovery of tax under this Act on such goods where no specific provision exists in this Act, apply.
Section (1A): Notwithstanding anything contained in any other law for the time being in force, including but not limited to the Protection of Economic Reforms Act, 1992 (XII of 1992), and notwithstanding any decision or judgment of any forum, authority or court whether passed, before or after the promulgation of the Finance Act, 1998 (III of 1998), the provisions of section 31-A of the Customs Act, 1969 (IV of 1969), referred to in sub-section (1) shall be incorporated in and shall be deemed to have always been so incorporated in this Act and no person shall be entitled to any exemption from or adjustment of or refund of tax on account of the absence of such a provision in this Act, or in consequence of any decision or judgment of any forum, authority or court passed on that ground or on the basis of the doctrine of promissory estoppel or on account of any promise or commitment made or understanding given whether in writing or otherwise, by any government department or authority.
Section (2): The tax in respect of taxable supplies made during a tax period shall be paid by the registered person by the date as prescribed in this respect:
Provided that the Board may, by a notification in the Official Gazette, direct that the tax in respect of all or such classes of supplies (other than zero-rated supplies) of all or such taxable goods, as may be specified in the aforesaid notification, shall be charged, collected and paid in any other way, mode, manner or at time as may be specified therein.
Sub-Section (3): The tax due on taxable supplies shall be paid by any of the following modes, namely:-
(i) through deposit in a bank designated by the Board; and
(ii) through such other mode and manner as may be specified by the Board.