KARACHI: Sindh Revenue Board (SRB) has suspended sales tax registration of M/s. Baba Farid Carriage Company for default payment related to period January 2017 to August 2018.
The SRB said that non-payment of Sindh sales tax on services is contravention of provincial tax laws. It said that record showed that M/s. Fauji Fertilizer Company Limited, M/s. Engro Fertilizers Limited and M/s. Efert Agritrade (Private) Limited have declared purchases of Rs211 million (including sales tax of Rs33.46 million) from M/s. Baba Farid Carriage Company during January 2017 to August 2018.
However, M/s. Baba Farid Carriage Company have declared sales of Rs192.78 million during November 2016 to August 2018 with SRB leading to sales suppression of Rs18.62 million and short payment of Sindh Sales Tax of Rs5.98 million.
The SRB suspended the sales tax registration of the company and directed to make remedial actions by March 18, 2019, including declaration of correct monthly sales tax returns and submit all sales and purchase record for the tax periods with income tax returns for the period of 2016/2017, 2017/2018 and copies of sales tax return filed with other provincial sales tax authorities.
“In case of non-satisfactory response or failure to take remedial measures as suggested on or before March 18, 2019, further necessary action shall be taken under the law,” the SRB warned.