SRB suspends sales tax registration of Multinet Pakistan

SRB suspends sales tax registration of Multinet Pakistan

KARACHI: Sindh Board of Revenue (SRB) has suspended sales tax registration of an IT service provider for failure in timely payment of provincial government dues and filing sales tax return.

According to a notice issued on February 22, 2019, the SRB suspended the sales tax registration of M/s. Multinet Pakistan (Pvt) Limited to make payment pertaining to tax period of January 2019.

Further, the company also failed to file sales tax return for the said month.

Besides, the company was also found in late deposit of tax and filing returns for tax periods October 2018 to December 2018.

The SRB said that non-payment of Sindh Sales Tax and non-filing of sales tax returns within the time manner prescribed under the law is contravention of Sindh Sales Tax Act, 2011 and the rules made thereunder.

The SRB said that the record available including the input tax claimed by the recipients of services show that M/s. Multinet had charged and collected the sales tax amount, however, failed to deposit the same into Sindh government head of account.

The provincial revenue body issued a letter on October 17, 2018 to suspend the registration for non-filing of returns and non-payment of tax for the period June 2018 to October 2018.

“However, registered person paid no heed to the compliance of the provisions of the Act 2011 and rules made thereunder and continued to late file the returns and late deposit the tax amount,” the SRB said.

“This shows willful default on the part of registered person and same is serious violation of aforesaid provisions of the Act 2011 and the rules made thereunder which is equal to taking in law into the hands,” it added.

The provincial revenue body said that the suspension would be revoked if the company takes remedial actions by March 11, 2019.

“In case of non-satisfactory response or failure to take remedial measures on or before March 11, 2019, the case would be further proceeded for cancellation the registration with SRB.

Leave a Reply

You have to agree to the comment policy.