KARACHI: The Sindh Revenue Board (SRB) has taken decisive action by suspending the sales tax registration of M/s. Adam Shipping (Private) Limited, a shipping company, due to default in payment and failure to file monthly returns.
In an official notification, the SRB outlined that the sales tax registration of M/s. Adam Shipping (Private) Limited has been suspended for the months of March 2015 and April 2015, as well as the period from November 2015 to January 2020. This suspension is a result of the company’s non-compliance with return filing and failure to fulfill its financial obligations.
The SRB emphasized that the suspension of the sales tax registration is effective immediately. However, the SRB has provided an opportunity for remedial action, stating that if the company takes corrective measures by March 05, 2020, the suspension will be revoked.
The board has set a clear deadline for the shipping company to address the outstanding issues, and the SRB expects prompt and satisfactory action to be taken within the specified timeframe. Failure to do so may lead to further consequences for M/s. Adam Shipping (Private) Limited.
The SRB, in its statement, has indicated that it is willing to consider the reinstatement of the sales tax registration if the shipping company demonstrates a genuine commitment to rectify the default and comply with the required filing procedures.
However, the SRB has also issued a stern warning that in the event of a non-satisfactory response or a failure to implement remedial measures by the stipulated date, the board will initiate further proceedings for the cancellation of the company’s registration with the SRB.
This move by the Sindh Revenue Board underscores the importance of businesses adhering to tax regulations and fulfilling their financial responsibilities in a timely manner. The suspension of sales tax registration serves as a serious consequence for non-compliance, sending a strong message to other entities about the significance of meeting tax obligations and maintaining a transparent and accountable financial record.
As the March 05, 2020 deadline approaches, all eyes will be on M/s. Adam Shipping (Private) Limited to see if the company can take the necessary steps to resolve the issues and avoid the more severe consequence of registration cancellation.