Under the new sales tax law all listed companies will be required to obtain sales tax registration in the jurisdiction of their head office, while for others' registration will be in the area of manufacturing activity.
This was observed at a post-budget seminar on sales tax law and procedures organised by the Directorate of Training and Research, Customs, Excise and Sales Tax, on Saturday. It was chaired by Nisar Muhammad, Collector, Sales Tax, Karachi.
According to the new law, most sugar mills which have manufacturing activity in the interior but have offices in big cities would have to obtain registration in the jurisdiction of their main offices.
The jam-packed audience at the seminar, which was one of a series to be organised by the Directorate to create awareness of the new tax laws among the taxpayers, was informed that a registered person is forbidden to deal with a supplier blacklisted by Sales Tax Collectorate.
The information about persons blacklisted can be obtained from the Collectorate or from the Website of Central Board of Revenue(CBR).
All applications for registration would be scrutinised at the central registration office in Islamabad, contrary to the past practice according to which local sales tax registration offices used to dispose of the applications. The certificate of registration would also be issued by the central office.
This has been done to eliminate the chances of harassment of taxpayers by local sales tax staff.
Presenting highlights of the new Sales Tax Rules, Jamshed Talpur said that before compulsory registration of a taxpayer the concerned Collector will give him a chance of hearing to decide whether he is liable for compulsory registration or not.
The new rules have a standard format for de-registration of persons whose supplies have decreased below the threshold limit of Rs 5 million or who have closed down business.
The Collector, having satisfied that the applicant has no tax liability would recommend to the central office for issuing a de-registration certificate.
Earlier, inaugurating the seminar, Wahid Khurshid Kunwar, Director, Training and Research, said that the objective of the seminar was to elicit views of the taxpayers and transmit the same to the authorities for making changes in the rules to simplify these further.
He said that the seminar was being held under the directive of Central Board of Revenue with a view to build a sustainable public-private partnership essential for economic growth and well-being of the people.
The Director-General of Large Taxpayer Unit (LTU), who was chief guest at the concluding session, appreciated the efforts of the Director of Training and Research and emphasised the need to interact with taxpayers and general public on institutional basis, as being directed by the CBR.
The provisions of Sales Tax Refund were explained by Syed Mohammad Shoaib while Dr Iftikhar spoke about special procedures, and Aamir Theme explained various notifications on sales tax.
Feroze Alam Junejo, Deputy Director of Training and Research, conducted the seminar.
Comments
Comments are closed.