The Federal Board of Revenue on Wednesday withdrew a major policy measure for documentation of economy by rescinding SRO821(I)/2011, giving free hand to importers, exporters and manufacturers for not disclosing the computerised national identity card numbers (CNICs) and National Tax Number (NTNs) of their unregistered buyers.
The FBR has issued SRO.880(I)/2012 and SRO.879(I)/2012 to rescind the SRO821(I)/2011 and SRO.191(I)/2011 to take away the documentation measure to increase the number of sales tax registered persons. It was the biggest policy measure and reform initiative to expand the sales tax net through registration of the buyers within the supply chain of importers, exporters and manufacturers. On July 18, 2012, the FBR had withdrawn this documentation measure and the attempts of the tax machinery to bring suppliers into the tax net seems to have been failed following rescinding of the SRO.821(I)/2011 and non-applicability of SRO191.
The FBR has also rescinded the chapter of the sales tax special procedure to abolish phase-wise implementation of the SRO191(I)/2011.
Sources said that SRO821(I)/ 2011 and SRO.191(I)/2011 were issued to improve documentation on the sales tax side. However, powerful lobbies and influential groups have forced the FBR to rescind these notifications.
Following is the text of the notifications issued here on Wednesday:
S.R.O.879 (1)12012. In exercise of the powers conferred by sub-section (1) of section 4 and section 40 of the Federal Excise Act. 2005, section 219 of the Customs Act, 1969 (IV of 1969), section 50 of the Sales Tax Act. 1990, read with sub-section (2) of section 8, clause (ii) of sub-section (2) of section 8B sections 9, 10, 14, 21 and 28, clause (c) of sub-section (1) of section 22. first proviso to sub-section (1) of section 23, section 26, sub-section (6) of section 47A, sections 48, 50A, 52A and 66 thereof, the Federal Board of Revenue is pleased to direct that the following further amendment shall be made in the Sales Tax Rules. 2006, namely:
In the aforesaid Rules, Chapter XIVA shall be omitted and shall be deemed to have been so omitted with effect from the February 23, 2012.
S.R.O. 980 (1)12012: In exercise of the powers conferred by first proviso to sub-section (1) of section 23 of the Sales lax Act, 1990, read with sub-section (3) of section 19 of the Federal Excise Act, 2005, the Federal Board of Revenue is pleased to rescind its Notification No. S. R.O. 821.(I)/2011, dated the 6th September, 2011, which shall be deemed always to have been so rescinded.
Comments
Comments are closed.