KARACHI: The Sindh government has included 13 new services for the collection of sales tax from July 01, 2019.
According to PwC A F Ferguson Chartered Accountants following services are proposed to trigger Sindh Sales Tax (SST) effective July 1, 2019:
1. Renting of machinery, equipment, appliances and other tangible goods.
2. Indoor sports and games center.
3. Services provided or rendered by cab aggregator and owners or drivers of motor vehicles using the cab aggregator services.
4. Warehouses or depots for storage or cold storages.
5. Training services.
6. Actuarial services.
7. Services of mining of minerals and allied ancillary services
8. Site preparation and clearance, excavation and earth moving and demolition services
9. Waste collection, transportation, processing and management services
10. Vehicle parking and valet services
11. Electric power transmission services
12. Insurance agents
13. Tailoring and stitching services by fashion designers.
For the purpose of taxing new services, certain definitions are proposed in the Finance Bill 2019.
The chartered accountants said that no definitions have been proposed for ‘services of mining of mineral and allied & ancillary services in relation thereto’ and ‘electric power transmission services’.
In the definition of training services, exclusion is proposed for ‘coaching or training of sports’ which is apparently for promotion of sports.
