Properly filled stock statement to ensure refund in 72 hours: FBR

ISLAMABAD: Federal Board of Revenue (FBR) has said that property filled stock statement will ensure processing of sales tax refunds within 72 hours.

The FBR said that properly filled Annex-H, which is form to provide details of stock statement, without objections and anomalies of data will ensure processing in 72 hours.

The FBR said that Annex-H is a stock statement of input goods / services which shows flow of inputs in terms of quantity, value and sales tax involved in opening / closing balances, purchases and consumption in exports and local sales.

Quantities / values of finished products (exports and local) and output tax on local sales should not be mentioned in Annex-H3-Use Annex H to upload for the month transactions i.e. purchase, import and Consumption only, Opening and Closing are derived /calculated automatically.

Same is applicable for Excel file uploading otherwise objection of duplicate value will arise.

The brought forward and carry forward tax amount in the return should match with opening balance and closing balance tax amount in the Annex-H5

The value of purchases and input tax paid thereon in the return should match with the corresponding figures in columns “purchased / imported during the month” in Annex-H6-Generally, refund amount in column 29 of return is based on following formula:

Refund claim=Input Tax Consumed in Exports/ Zero Rated(Col 22 of Annex-H)–Net payment against local supplies

Refund claim = Input Tax Consumed in Exports/ Zero Rated(Col. 22 of Annex-H)+Input tax consumed in local supplies (Col. 20 of Annex-H)− Accumulated debit from monthly return (Row 17 of return)

Mark invoice-wise inadmissible input tax for SRO 490 for accuracy in Annex-A of return

Avoid claiming input tax credit more than once on same GD / invoice (e.g. both in provinces and FBR return)

Credit brought forward from previous claim will be made available in opening balance in Annex-H.

Recovery / arrears data will be made available in Annex H Declaration

Following items relating to toll manufacturing have been added in “Item description” in Annex-H

a.Sizing

b.Yarn Dyeing

c.Yarn Doubling

d.Weaving

e.Knitting

f.Processing (Bleaching, Dyeing and Printing)

g.Stitching