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The Federal Board of Revenue has imposed sales tax on the supply of electricity to 24 textile mills, spinning and weaving units of Hyderabad and Peshawar. In this connection, the FBR has issued Sales Tax General Orders (STGOs) Nos 25 and 26, here on Friday. According to the FBR orders, the Board has withdrawn sales tax zero-rating facility from 24 units on power supply to these zero-rated units.
According to the STGO No 25 of 2011, the FBR has withdrawn sales tax zero-rating facility on the power supply of 11 units falling within the jurisdiction of the Chief Commissioner, Regional Tax Office, Peshawar. The Board has directed the Chief Commissioner, Regional Tax Office, Peshawar, to co-ordinate the implementation of order by the Pesco authorities for their respective registered persons. The FBR has further asked M/s Peshawar Electric Supply Company (Pesco), with request to start charging sales tax on the supply of electricity to above mentioned units with immediate effect.
Through another STGO 26 of 2011, the FBR has also withdrawn sales tax zero-rating facility on the power supply to 13 units falling within the jurisdiction of the Chief Commissioner, Regional Tax Office, Hyderabad. The FBR has directed the Chief Commissioner, Regional Tax Office, Hyderabad, to co-ordinate in the implementation of order by the Hesco Authorities for their respective registered persons. The Board has asked the M/s Hyderabad Electric Supply Company (Hesco), with request to start charging sales tax on the supply of electricity to units with immediate effect.

Copyright Business Recorder, 2011

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