Headquarters and field-level panels will address pricing, labelling and compliance challenges for imported and locally manufactured goods under the Sales Tax Act, 1990.
ISLAMABAD: The Federal Board of Revenue (FBR) has constituted two committees at the headquarters and field levels to address implementation issues relating to Third Schedule items under the Sales Tax Act, 1990. The initiative is aimed at resolving practical challenges involving pricing, labelling requirements and regulatory compliance for both imported and locally manufactured goods.
According to an official notification, the committees have been established to examine concerns raised by businesses and recommend practical measures to ensure the uniform implementation of the Third Schedule provisions across Pakistan.
Headquarters Committee to Oversee Domestic Goods
The committee established at the FBR Headquarters will focus on matters relating to domestically manufactured Third Schedule items. It comprises Muhammad Anwar Ch, Chief (Sales Tax Operations–IR Ops), as Chairman, Dr Najeeb Ullah, Chief (Transformation Delivery Unit), as a member, and Muhammad Amin Qureshi, Secretary (IR-Policy), as a member.
The committee has been assigned responsibility for examining implementation difficulties faced by businesses, reviewing recommendations submitted by the field-level committee, and issuing Sales Tax General Orders (STGOs), where necessary, to facilitate effective enforcement of the law.
Field-Level Committee to Focus on Imported Goods
The second committee has been constituted at the Large Taxpayers Office (LTO) Karachi to address issues concerning imported Third Schedule goods.
The committee comprises Sharjeel Ahmed, Additional Commissioner Inland Revenue (Operations), LTO Karachi, Hayat Omer Malik, Deputy Commissioner Inland Revenue, LTO Karachi, and Umair Malik, Deputy Commissioner Inland Revenue, LTO Karachi.
The field-level committee has been tasked with examining practical aspects of implementing the Third Schedule for imported goods and submitting detailed recommendations to the FBR.
Its terms of reference include determining the most feasible method of printing prices on imported products, identifying the appropriate quantity and packaging on which prices should be displayed, and recommending the nature, mode and manner of affixing prices in accordance with the legal framework.
The committee will also develop recommendations on an appropriate pricing formula for Third Schedule items, taking into account fluctuations in foreign exchange rates in international and domestic markets, as well as other relevant commercial factors.
Improving Compliance and Uniform Implementation
The FBR said the notification has been issued with the approval of the competent authority. The formation of the two committees is intended to resolve implementation challenges, improve regulatory certainty for businesses and ensure consistent application of Third Schedule requirements for both imported and locally manufactured goods.
The recommendations of the committees are expected to help streamline compliance procedures, address industry concerns and strengthen the implementation of the Sales Tax Act, 1990, particularly in relation to the pricing and labelling of Third Schedule goods.