Tag: Sales Tax Act 1990

Various penalties have been prescribed under Section 33 (15, 16, 17, 18, 19, 21) of Sales Tax Act, 1990, issued by the Federal Board of Revenue (FBR).

The Federal Board of Revenue (FBR) issued the Sales Tax Act, 1990 updated up to June 30, 2021. The Act incorporated amendments brought through Finance Act, 2021.

Following is the text of section 33(15, 16, 17, 18, 19, 21) of the Sales Tax Act, 1990:

33. Offences and penalties.– Whoever commits any offence shall, in addition to and not in derogation of any punishment to which he may be liable under any other law, be liable to the penalty mentioned against that offence: –

15. Any person who obstructs the authorized officer in the performance of his official duties. (Section 31 & General)

Such person shall pay a penalty of twenty-five thousand rupees or one hundred per cent of the amount of tax involved, whichever is higher.

16. Any person who fails to make payment in the manner prescribed under section 73 of this Act. (Section 73)

Such person shall pay a penalty of five thousand rupees or three per cent of the amount of tax involved, whichever is higher.

17. Any person who fails to fulfil any of the conditions, limitations or restrictions prescribed in a Notification issued under any of the provisions of this Act. (Section 71 & General)

Such person shall pay a penalty of five thousand rupees or three per cent of the amount of tax involved, whichever is higher.

18. Where any officer of Inland Revenue authorized to act under this Act, acts or omits or attempts to act or omit in a manner causing loss to the sales tax revenue or otherwise abets or connives in any such act.

Such officer of Inland Revenue shall be liable, upon conviction by a Special Judge, to imprisonment for a term which may extend to three years, or with fine which may extend to amount equal to the amount of tax involved, or with both.

19. Any person who contravenes any of the provision of this Act or the rules made thereunder for which no penalty has, specifically, been provided in this section.

Such person shall pay a penalty of five thousand rupees or three per cent of the amount of tax involved, whichever is higher.

21. Where any person repeats an offence for which a penalty is provided under this Act  Such person shall pay twice the amount of penalty provided under the Act for the said offence.

(Disclaimer: The text of the above section is only for information. Team PkRevenue.com makes all efforts to provide the correct version of the text. However, the team PkRevenue.com is not responsible for any error or omission.)

READ MORE: Penalty for violating embargo placed on goods removal

A person shall pay a penalty of Rs25,000 or 10 per cent of the amount of tax for violating any embargo placed on the removal of goods in connection with the recovery of tax under Section 48 of the Sales Tax Act, 1990.

The Federal Board of Revenue (FBR) issued the Sales Tax Act, 1990 updated up to June 30, 2021. The Act incorporated amendments brought through Finance Act, 2021.

Following is the text of section 33(14) of the Sales Tax Act, 1990:

33. Offences and penalties.– Whoever commits any offence shall, in addition to and not in derogation of any punishment to which he may be liable under any other law, be liable to the penalty mentioned against that offence: –

14. Where any person violates any embargo placed on the removal of goods in connection with the recovery of tax.

Such person shall pay a penalty of twenty-five thousand rupees or ten per cent of the amount of the tax involved, whichever is higher. He shall further be liable, upon conviction by a Special Judge, to imprisonment for a term which may extend to one year, or with a fine which may extend to an amount equal to the amount of tax involved, or with both.

 (Disclaimer: The text of the above section is only for information. Team PkRevenue.com makes all efforts to provide the correct version of the text. However, the team PkRevenue.com is not responsible for any error or omission.)

Imprisonment of five years for fraud under sales tax

A person is liable to imprisonment up to five years for committing fraud under Section 2(37) of the Sales Tax Act, 1990.

The Federal Board of Revenue (FBR) issued the Sales Tax Act, 1990 updated up to June 30, 2021. The Act incorporated amendments brought through Finance Act, 2021.

Following is the text of section 33(13) of the Sales Tax Act, 1990:

33. Offences and penalties.– Whoever commits any offence shall, in addition to and not in derogation of any punishment to which he may be liable under any other law, be liable to the penalty mentioned against that offence: –

13. Any person who commits, causes to commit or attempts to commit the tax fraud, or abets or connives in commissioning of tax fraud.

Such person shall pay a penalty of twenty-five thousand rupees or one hundred per cent of the amount of tax involved, whichever is higher. He shall further be liable, upon conviction by a Special Judge, to imprisonment for a term which may extend to five years, or with a fine which may extend to an amount equal to the loss of tax involved, or with both.

(Disclaimer: The text of the above section is only for information. Team PkRevenue.com makes all efforts to provide the correct version of the text. However, the team PkRevenue.com is not responsible for any error or omission.)

Imprisonment of 5yrs for denying access to FBR officials

Taxpayers who deny or obstruct the access to authorized officials of the Federal Board of Revenue (FBR) to the business premises under section 25, Section 38, Section 38A or Section 40B of Sales Tax Act, 1990 , then the taxpayers shall liable to face imprisonment up to five years on conviction by a special judge.

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A taxpayer is liable to face three years in jail for making a false statement or providing forged documents to tax authorities under Section 2(37) of the Sales Tax Act, 1990.

The Federal Board of Revenue (FBR) issued the Sales Tax Act, 1990 updated up to June 30, 2021. The Act incorporated amendments brought through Finance Act, 2021.

Following is the text of section 33(11) of the Sales Tax Act, 1990:

33. Offences and penalties.– Whoever commits any offence shall, in addition to and not in derogation of any punishment to which he may be liable under any other law, be liable to the penalty mentioned against that offence: –

11. Any person who, –

(a) submits a false or forged document to any officer of Inland revenue; or

(b) destroys, alters, mutilates or falsifies the records including a sales tax invoice; or

(c) Knowingly or fraudulently makes a false statement, false declaration, false representation, false personification, gives any false information or issues or uses a document which is forged or false.

Such person shall pay a penalty of twenty-five thousand rupees or one hundred per cent of the amount of tax involved, whichever is higher. He shall, further be liable, upon conviction by a Special Judge, to imprisonment for a term which may extend to three years, or with fine which may extend to an amount equal to the amount of tax involved, or with both.

(Disclaimer: The text of above section is only for information. Team PkRevenue.com makes all efforts to provide the correct version of the text. However, the team PkRevenue.com is not responsible for any error or omission.)

Taxpayers to pay penalty on failure to provide information

Section 33(10) of Sales Tax Act, 1990 stated that taxpayers in failure to provide information are required to pay penalty.

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Section 33(9) of the Sales Tax Act, 1990, stipulates that individuals who obstruct officials of Inland Revenue in accessing records may face penalties ranging from Rs5,000 to Rs50,000.

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The Sales Tax Act, 1990, empowers authorities to impose penalties on individuals or businesses failing to maintain records as required under Section 22 and Section 24 of the Act.

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A person is liable to imprisonment where he is required to get registered for sales tax under Section 14 of the Sales Tax Act, 1990, but he makes supplies without making an application for the registration.

The Federal Board of Revenue (FBR) issued the Sales Tax Act, 1990 updated up to June 30, 2021. The Act incorporated amendments brought through Finance Act, 2021.

Following is the text of section 33(7) of the Sales Tax Act, 1990:

33. Offences and penalties.– Whoever commits any offence shall, in addition to and not in derogation of any punishment to which he may be liable under any other law, be liable to the penalty mentioned against that offence: –

7. Any person who is required to apply for registration under this Act fails to make an application for registration before making taxable supplies.

Such person shall pay a penalty of ten thousand rupees or five per cent of the amount of tax involved, whichever is higher:

Provided that such person who is required to get himself registered under this Act, fails to get registered within sixty days of the commencement of taxable activity, he shall, further be liable, upon conviction by a Special Judge, to imprisonment for a term which may extend to three years, or with fine which may extend to an amount equal to the amount of tax involved, or with both.

(Disclaimer: The text of above section is only for information. Team PkRevenue.com makes all efforts to provide the correct version of the text. However, the team PkRevenue.com is not responsible for any error or omission.)

Penalty for repeated miscalculation in sales tax return

The Federal Board of Revenue (FBR) has reinforced its commitment to maintaining the integrity of the tax system by imposing penalties on individuals who repeatedly make erroneous calculations in their sales tax returns.

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