Docstoc

Law and Practive of Sales Tax Vol II

Document Sample
Law and Practive of Sales Tax Vol II Powered By Docstoc
					             Huzaima & Ikram's

      LAW & PRACTICE
                           OF
       SALES TAX
       With case law and legislative history




                     VOLUME II




                     Huzaima Bukhari
                            &
                     Dr. Ikramul Haq




               Lahore Law Publications
# 14, (2nd Floor), Sadiq Plaza, 69 Shahrae Quaid-i-Azam, Lahore.
 Tel: 36280015 Fax: 36365582 Email: sales@huzaimaikram.com
             Website: http://www.huzaimaikram.com
                              © Huzaima Bukhari & Dr. Ikramul Haq.

                                   Reprint          :    July 2005
                                   Reprint          :    July 2004
                                   Reprint          :    December 2003
                                   First Edition    :    December 2002

                                         Price : Rs. 1500/-
                                      (for a set of two volumes)
                                     Subscription : Rs. 1200/-
                                    (For annual updating services)

                                             Published by:
                                      Lahore Law Publications
                                    # 14, (2nd Floor), Sadiq Plaza,
                         69, Sharahe Quaid-i-Azam, Lahore-54000, Pakistan.
                           Tel: (92-42) 36280015; Fax: (92-42) 36365582
                                  Email: sales@huzaimaikram.com
                               Website: http://www.huzaimaikram.com

                                            Printed by:
                                   Miraj Jamshaid Butt Printers
                                    Ratti gan Road, LAHORE.

                                              ISBN No.
                                            969-8403-37-x

                                       Computer formatting:
                                    Abid Javed & Naveed Iqbal

Disclaimer: No responsibility is taken for any error or omission. The material contained in this
publication is not intended to be advice in any particular matter. No reader should act on the basis of
any matter contained in this publication without considering appropriate professional advice. The
publisher, the authors and the editor, expressly disclaim all and any liability to any person in respect
of anything and of the consequences of anything done or omitted to be done by any such person in
reliance upon the contents of this publication.
Lahore Law Publications have exclusive rights of exporting this book outside Pakistan. No other
person is authorised for its sale outside Pakistan without permission in writing of the Publisher.


This book is supported by on-line updating service. For latest position of Law and
amendments, please visit http:\\www.huzaimaikram.com quoting your MEMBERSHIP
NO.______________
                                      PART II
                          [Synopsis of Sales Tax Law]

S. No.        Description                                                                        Page #


   1.    History & Evolution                         .........................................      373

   2.    Basic Concepts                              .........................................      397

   3.    Charge, Scope & Exemptions                  .........................................      425

   4.    Registration, Records & Returns             .........................................      439

   5.    Offences & Penalties                        .........................................      449

   6.    Appeals & Revisions etc.                    .........................................      455

   7.    Sales Tax & Federal Excise
         Budgetary Measures 07-08                    .........................................    460A

   8.    Sales Tax & Federal Excise
         Budgetary Measures 06-07                    ......................................      460(i)




                                           [ iii ]
                                    PART III
                            GENERAL ORDERS
                             [Year-wise arranged]

S. No.                           Description                                     Page No.


                                       2004
   1. G.O. No. 01 of 2004     Condonation of time limit under section 74
      April 20, 2004.         of the Sales Tax Act, 1990                            461
   2. G.O. No. 02 of 2004     Condonation of out of tax period input
      May 27, 2004.           adjustment                                            462
   3. G.O. No. 03 of 2004     Consolidation of sales tax general orders
      June 12, 2004.                                                                463
   4. Sales Tax Order         Committees to examine cases of refund                 485
      September 11, 2004


                                       2005
   1. G.O. No. 1/2005         Electronic filing of sales tax returns at Large
      April 21, 2005          Taxpayers’ Units (LTUs) at Karachi and Lahore         492
   2. G.O. No. 3/2005         Repayment of sales tax to duty free shops on
      September 1, 2005       locally manufactured goods.                          492A
   3. G.O. No. 4/2005         Special procedure for collection and payment of
      September 29, 2005      sales tax on vehicles — instruction regarding.       492B


                                       2006
   1. G.O. No. 1/2006         Procedure for payment of sales tax against
      June 5, 2006            advance receipts.                                    492E
   2. G.O. No. 2/2006         Addition of items to Third Schedule of the Sales
      June 20, 2006           Tax Act, 1990 – printing of retail price.            492F
   3. G.O. No. 3/2006         Issues relating to steel sector – Instructions
      July 28, 2006           regarding.                                           492G



                                          [v]
                                         [ vi ]

S. No.    G.O. No.                      Subject                                    Page #

                                       2007
1     G.O. No. 1/2007      Mitigating the hardship of Islamabad based                492H
      January 10, 2007     taxpayers.
2.    G.O. No. 2/2007      Refund claims relating to local supplies made by          492H
      February 6, 2007     the five export-oriented zero-rated sectors –
                           instructions regarding.
3.    G.O. No. /2007       Inter-tax Refund / Adjustment procedure.                  492I
      April 24, 2007
4.    G.O. No. 3/2007      Issues relating to commercial importers.                  492I
      April 24, 2007
5.    G.O. No. 4/2007      Procedure for electronic filing of sales tax and          492K
      August 21, 2007      federal excise return through CBR’s computerized
                           system (e.cbr.gov.pk).
6.    G.O. No. 5/2007      Payment of sales tax by steel melters and re-rolling      492K
      August 25, 2007      mills operating on self-generation basis.
7.    G.O. No. 6/2007      Transfer of jurisdiction of the Collectorate of Sales     492K
      August 28, 2007      Tax & Federal Excise, Rawalpindi, to the Regional
                           Tax Office, Islamabad.
8.    G.O. No. 7/2007      Charge of sales @ zero percent on electricity             492L
      September 13, 2007   supplied by KESC to certain manufacturers.
9.    G.O. No. 8/2007      Charge of sales @ zero percent on electricity            492M
      September 13, 2007   supplied by LESCO to certain manufacturers.
10.   G.O. No. 9/2007      Charge of sales @ zero percent on electricity            492M
      September 13, 2007   supplied by FESCO to certain manufacturers.
11.   G.O. No. 10/2007     Charge of sales @ zero percent on electricity             492N
      September 13, 2007   supplied by MEPCO to certain manufacturers.
12.   G.O. No. 11/2007     Charge of sales @ zero percent on electricity             492O
      September 13, 2007   supplied by GEPCO to certain manufacturers.
13.   G.O. No. 12/2007     Charge of sales @ zero percent on electricity             492O
      September 13, 2007   supplied by HESCO to certain manufacturers.
14.   G.O. No. 13/2007     Charge of sales @ zero percent on electricity             492P
      September 13, 2007   supplied by IESCO to certain manufacturers.
                                       [ vii ]

S. No.    G.O. No.                    Subject                               Page #
15.   G.O. No. 14/2007     Charge of sales @ zero percent on electricity      492Q
      September 13, 2007   supplied by PESCO to certain manufacturers.
16.   G.O. No. 15/2007     Charge of sales @ zero percent on electricity      492Q
      September 13, 2007   supplied by LIEDA to certain manufacturers.
17.   G.O. No. 16/2007     Charge of sales @ zero percent on natural gas      492R
      September 13, 2007   supplied by SSGCL to certain manufacturers.
18.   G.O. No. 17/2007     Charge of sales @ zero percent on natural gas       492S
      September 13, 2007   supplied by SNGCL to certain manufacturers.
19.   G.O. No. 18/2007     Charge of sales @ zero percent on natural gas       492S
      September 13, 2007   supplied by SSGCL to certain manufacturers.
20.   G.O. No. 19/2007     Charge of sales @ zero percent on natural gas       492T
      September 13, 2007   supplied by SNGCL to certain manufacturers.
21.   G.O. No. 20/2007     Amendment in General Order No. 8 of 2007.          492U
      October 12, 2007
22.   G.O. No. 21/2007     Amendment in General Order No. 9 of 2007.          492U
      October 12, 2007
23.   G.O. No. 22/2007     Amendment in General Order No. 17 of 2007.         492Y
      October 12, 2007
24.   G.O. No. 23/2007     Amendment in General Order No. 7 of 2007.        492Z(i)
      December 6, 2007
25.   G.O. No. 24/2007     Amendment in General Order No. 8 of 2007.        492Z(ii)
      December 6, 2007
26.   G.O. No. 25/2007     Amendment in General Order No. 9 of 2007.       492Z(iii)
      December 6, 2007
27.   G.O. No. 26/2007     Amendment in General Order No. 10 of 2007.       492Z(v)
      December 6, 2007
28.   G.O. No. 27/2007     Amendment in General Order No. 11 of 2007.      492Z(vi)
      December 6, 2007
29.   G.O. No. 28/2007     Amendment in General Order No. 12 of 2007.      492Z(vi)
      December 6, 2007
30.   G.O. No. 29/2007     Amendment in General Order No. 16 of 2007.      492Z(vi)
      December 6, 2007
31.   G.O. No. 30/2007     Amendment in General Order No. 17 of 2007.      492Z(vii)
      December 6, 2007
                                      [ viii ]

S. No.    G.O. No.                   Subject                              Page #

                                     2008
1.    G.O. No. 1/2008     Amendment in General Order No. 7 of 2007.     492Z(viii)
      January 17, 2008
2.    G.O. No. 2/2008     Amendment in General Order No. 9 of 2007.     492Z(viii)
      January 17, 2008
3.    G.O. No. 3/2008     Amendment in General Order No. 16 of 2007.      492Z(x)
      January 17, 2008
4.    G.O. No. 4/2008     Amendment in General Order No. 17 of 2007.      492Z(x)
      January 17, 2008
5.    G.O. No. 5/2008     Amendment in General Order No. 7 of 2007.      492Z(xi)
      February 11, 2008
6.    G.O. No. 6/2008     Amendment in General Order No. 8 of 2007.     492Z(xii)
      February 11, 2008
7.    G.O. No. 7/2008     Amendment in General Order No. 9 of 2007.     492Z(xiii)
      February 11, 2008
8.    G.O. No. 8/2008     Amendment in General Order No. 14 of 2007.    492Z(xiv)
      February 11, 2008
9.    G.O. No. 9/2008     Amendment in General Order No. 16 of 2007.    492Z(xiv)
      February 11, 2008
10.   G.O. No. 10/2008    Amendment in General Order No. 17 of 2007.    492Z(xv)
      February 11, 2008
11.   G.O. No. 11/2008    Amendment in General Order No. 19 of 2007.    492Z(xv)
      February 22, 2008
12.   G.O. No. 12/2008    Amendment in General Order No. 9 of 2007.     492Z(xvi)
      March 11, 2008
13.   G.O. No. 13/2008    Amendment in General Order No. 11 of 2007.   492Z(xviii)
      March 11, 2008
14.   G.O. No. 14/2008    Amendment in General Order No. 14 of 2007.   492Z(xviii)
      March 11, 2008
15.   G.O. No. 15/2008    Amendment in General Order No. 7 of 2007.     492Z(xix)
      April 25, 2008
                                        [ ix ]

S. No.    G.O. No.                     Subject                                   Page #
16.   G.O. No. 16/2008   Amendment in General Order No. 8 of 2007.             492Z(xix)
      April 25, 2008
17.   G.O. No. 17/2008   Amendment in General Order No. 9 of 2007.              492Z(xx)
      April 25, 2008
18.   G.O. No. 18/2008   Amendment in General Order No. 10 of 2007.            492Z(xxi)
      April 25, 2008
19.   G.O. No. 19/2008   Amendment in General Order No. 16 of 2007.           492Z(xxii)
      April 25, 2008
20.   G.O. No. 20/2008   Amendment in General Order No. 17 of 2007.           492Z(xxiii)
      April 25, 2008
21.   G.O. No. 21/2008   Amendment in General Order No. 19 of 2007.           492Z(xxiv)
      April 25, 2008
22.   G.O. No. 22/2008   Revision of sales tax rate w.e.f. 1st July 2008 -    492Z(xxiv)
      June 26, 2008      printing of retail price.
23.   G.O. No. 23/2008   Amendment in General Order No. 7 of 2007.            492Z(xxv)
      June 28, 2008
24.   G.O. No. 24/2008   Amendment in General Order No. 8 of 2007.            492Z(xxvi)
      June 28, 2008
25.   G.O. No. 25/2008   Amendment in General Order No. 9 of 2007.            492Z(xxvi)
      June 28, 2008
26.   G.O. No. 26/2008   Amendment in General Order No. 10 of 2007.          492Z(xxviii)
      June 28, 2008
27.   G.O. No. 27/2008   Amendment in General Order No. 11 of 2007.           492Z(xxix)
      June 28, 2008
28.   G.O. No. 28/2008   Amendment in General Order No. 12 of 2007.           492Z(xxx)
      June 28, 2008
29.   G.O. No. 29/2008   Amendment in General Order No. 14 of 2007.           492Z(xxxi)
      June 28, 2008
30.   G.O. No. 30/2008   Amendment in General Order No. 16 of 2007.           492Z(xxxi)
      June 28, 2008
31.   G.O. No. 31/2008   Amendment in General Order No. 17 of 2007.          492Z(xxxii)
      June 28, 2008
32.   G.O. No. 32/2008   Issues relating to solvent extraction units         492Z(xxxii)
      July 8, 2008
                                         [x]

S. No.    G.O. No.                     Subject                               Page #
33.   G.O. No. 33/2008     Amendment in General Order No. 7 of 2007.     492Z(xxxiv)
      July 30, 2008
34.   G.O. No. 34/2008     Amendment in General Order No. 8 of 2007.     492Z(xxxvi)
      July 30, 2008
35.   G.O. No. 35/2008     Amendment in General Order No. 16 of 2007.    492Z(xxxvi)
      July 30, 2008
36.   G.O. No. 36/2008     Amendment in General Order No. 17 of 2007.   492Z(xxxvii)
      July 30, 2008
37.   G.O. No. 37/2008     Amendment in General Order No. 7 of 2007.    492Z(xxxviii)
      September 19, 2008
38.   G.O. No. 38/2008     Amendment in General Order No. 8 of 2007.     492Z(xxxix)
      September 19, 2008
39.   G.O. No. 39/2008     Amendment in General Order No. 9 of 2007.     492Z(xxxix)
      September 19, 2008
40.   G.O. No. 40/2008     Amendment in General Order No. 10 of 2007.     492Z(xliii)
      September 19, 2008
41.   G.O. No. 41/2008     Amendment in General Order No. 11 of 2007.     492Z(xliii)
      September 19, 2008
42.   G.O. No. 42/2008     Amendment in General Order No. 14 of 2007.     492Z(xliv)
      September 19, 2008
43.   G.O. No. 43/2008     Amendment in General Order No. 16 of 2007.     492Z(xliv)
      September 19, 2008
44.   G.O. No. 44/2008     Amendment in General Order No. 17 of 2007.      492Z(xlv)
      September 19, 2008
45.   G.O. No. 45/2008     Amendment in General Order No. 7 of 2007.      492Z(xlvi)
      November 7, 2008
46.   G.O. No. 46/2008     Amendment in General Order No. 8 of 2007.      492Z(xlvii)
      November 7, 2008
47.   G.O. No. 47/2008     Amendment in General Order No. 9 of 2007.      492Z(xlvii)
      November 7, 2008
48.   G.O. No. 48/2008     Amendment in General Order No. 10 of 2007.      492Z(liii)
      November 7, 2008
49.   G.O. No. 49/2008     Amendment in General Order No. 11 of 2007.       492Z(liv)
      November 7, 2008
                                       [x]-A

S. No.    G.O. No.                     Subject                                Page #
50.   G.O. No. 50/2008    Amendment in General Order No. 12 of 2007.          492Z(lv)
      November 7, 2008
51.   G.O. No. 51/2008    Amendment in General Order No. 14 of 2007.         492Z(lvi)
      November 7, 2008
52.   G.O. No. 52/2008    Amendment in General Order No. 16 of 2007.         492Z(lvi)
      November 7, 2008
53.   G.O. No. 53/2008    Amendment in General Order No. 17 of 2007.        492Z(lvii)
      November 7, 2008
54.   G.O. No. 54/2008    Exercise of powers by Federal Board of            492Z(lviii)
      November 7, 2008    Revenue under section 74 of the Sales Tax Act,
                          1990.


                                      2009
1.    G.O. No. 1/2009     Amendment in General Order No. 7 of 2007.          492Z(lix)
      January 9, 2009
2.    G.O. No. 2/2009     Amendment in General Order No. 8 of 2007.          492Z(lxi)
      January 9, 2009
3.    G.O. No. 3/2009     Amendment in General Order No. 9 of 2007.         492Z(lxii)
      January 9, 2009
4.    G.O. No. 4/2009     Amendment in General Order No. 10 of 2007.         492Z(lxv)
      January 9, 2009
5.    G.O. No. 5/2009     Amendment in General Order No. 11 of 2007.        492Z(lxvi)
      January 9, 2009
6.    G.O. No. 6/2009     Amendment in General Order No. 16 of 2007.       492Z(lxvii)
      January 9, 2009
7.    G.O. No. 7/2009     Amendment in General Order No. 17 of 2007.       492Z(lxviii)
      January 9, 2009
8.    G.O. No. 8/2009     Procedure for Exercise of Powers by Collectors    492Z(lxix)
      February 26, 2009   under Section 74 of the Sales Tax Act, 1990.
9.    G.O. No. 9/2009     Amendment in General Order No. 7 of 2007.         492Z(lxxi)
      March 5, 2009
10.   G.O. No. 10/2009    Amendment in General Order No. 8 of 2007.        492Z(lxxii)
      March 5, 2009
11.   G.O. No. 11/2009    Amendment in General Order No. 9 of 2007.        492Z(lxxiii)
      March 5, 2009
                                     [x]-B

S. No.    G.O. No.                   Subject                              Page #
12.   G.O. No. 12/2009   Amendment in General Order No. 10 of 2007.   492Z(lxxvii)
      March 5, 2009
13.   G.O. No. 13/2009   Amendment in General Order No. 11 of 2007.   492Z(lxxvii)
      March 5, 2009
14.   G.O. No. 14/2009   Amendment in General Order No. 14 of 2007.    492Z(lxxx)
      March 5, 2009
15.   G.O. No. 15/2009   Amendment in General Order No. 16 of 2007.    492Z(lxxx)
      March 5, 2009
16.   G.O. No. 16/2009   Amendment in General Order No. 17 of 2007.    492Z(lxxxi)
      March 5, 2009
17.   G.O. No. 17/2009   Amendment in General Order No. 3 of 2007.    492Z(lxxxii)
      March 19, 2009
18.   G.O. No. 18/2009   Rescind General Order No.08/2009 dated the   492Z(lxxxiii)
      March 19, 2009     26th February, 2009
19.   G.O. No. 19/2009   Amendment in General Order No. 7 of 2007.    492Z(lxxxiii)
      June 3, 2009
20.   G.O. No. 20/2009   Amendment in General Order No. 8 of 2007.    492Z(lxxxv)
      June 3, 2009
21.   G.O. No. 21/2009   Amendment in General Order No. 9 of 2007.    492Z(lxxxvi)
      June 3, 2009
22.   G.O. No. 22/2009   Amendment in General Order No. 10 of 2007.     492Z(xciv)
      June 3, 2009
23.   G.O. No. 23/2009   Amendment in General Order No. 11 of 2007.     492Z(xciv)
      June 3, 2009
24.   G.O. No. 24/2009   Amendment in General Order No. 16 of 2007.     492Z(xcv)
      June 3, 2009
25.   G.O. No. 25/2009   Amendment in General Order No. 17 of 2007.    492Z(xcvii)
      June 3, 2009
                                       CIRCULARS
                                   [Year-wise arranged]

S. No.           Description                                                                 Page #


                                                1989
    1. Circular No. 1/1989            Adjustment of sales tax paid on
       August 22, 1989.               the raw materials wasted during
                                      the manufacturing of taxable goods                          493


                                                1990
    1. Circular No. 1/1990            Exemption under SRO 7(I)/83, dated 5.1.1983,
       January 11, 1990.              procedure regarding                                         493


                                                1991
    1. Circular No. 1/1991            Levy of sales tax on Tubular Plastic Packing Film
                                      __
       February 27, 1991.                Clarification regarding                                  494
    2. Circular No. 2/1991            Grant of exemption from sales tax in terms of Section
       October 30, 1991.              65 of Sales Tax Act, 1990 - Procedure regarding             495
    3. Circular No. 3/1991            Chargeability of sales tax on Second Hand Baling
       December 28, 1991.             Hoops                                                       495


                                                1994
    1. Circular No. 3/1994            In-correct format of Orders-in-Original, Orders-in-Appeal
       April 14, 1994.                --Rectification of                                          496
                                      *
    2. Circular No. 4/1994              Date for calculating additional tax                       497
    3. Circular No. 7/1994            Clarification with regard to Section 34 of Sales Tax
       May 9, 1994.                   Act, 1990                                                   497
    4. Circular No. 8/1994            Removal of Hardship -- Levy, Collection and Adjustment
       October 10, 1994.              of sales tax on iron                                   498
    5. Circular No. 10/1994           Value of imported goods for the purposes of levy of
       October 27, 1994.              sales tax                                                   499
                                      *
    6. Circular                         Sales tax on different types of fabrics      465
       December 20, 1994.
*
Subject-heading is suggested by us. There is no subject-heading in original circular.
                                                 [x]-C
                                         [x]-D

S. No.   G.O. No.                        Subject                                       Page #

                                        1995
  1. Circular No. 4 of 1995     Levy of additional tax on cases
     April 13, 1995.            falling under Section 34 of the
                                Sales Tax Act, 1990                                       500

                                        1996
  1. Circular No. 1 of 1996     Amendments in Sales Tax Law                               500
     July 15, 1996.
  2. Circular No. 2 of 1996     Levy of sales tax on business or non-business use of
     November 21, 1996.         goods produced in the course of business                  500

                                        1997
  1. Circular No. 1/1997        Tax payer's profile -- Arrears and refunds
     January 12, 1997.                                                                    501
  2. Circular No. 2 of 1997     Clarification with regard to section 34 of Sales Tax
     September 22, 1997.        Act, 1990 – Sales Tax Circular No. 7 of 1994              507
  3. C.No. 3(30)-STC/97         Trade Enrolment Certificate                               507
     April 14, 1998.

                                        1999
  1. Circular No. 1/1999        Trade Enrolment Certificates                              511
     April 8, 1999.
  2. C.No. 5(2)STP/98-Retail,   Amendment No. 2 to Circular No. 1/1999,
     April 30, 1999.            dated 08.04.1999                                          515
  3. C.No. 5(2)STP/98-Retail,   Amendment No. 3 to Circular No. 1/1999,
     May 1, 1999.               dated 08.04.1999                                          515
  4. Circular No. 2/1999        Development Tax                                           516
     September 14, 1999.
  5. Circular No. 3 of 1999     Development Tax Advisory Committee
     September 20, 1999.                                                                  519

                                        2000
  1. Circular No. 01 of 2000    Rescinding Circular No. 2/1999 and Circular
     February 19, 2000.         No. 3/1999.                                               520


                                        2005
  1. Circular No. 1/2005        Filing of revised return by distributors and
     August 20, 2005            wholesalers dealing in items of Third Schedule to
                                              [x]-E

S. No.     G.O. No.                           Subject                                      Page #
                                   the Sales Tax Act, 1990 without penalty or default
                                   surcharge — permission regarding.                          520
     2. Circular No. 2/2005        Filing of separate returns by registered persons
        September 3, 2005          dealing simultaneously in different business
                                   activities.                                                520
     3. Circular No. 3/2005        Adjustment of input tax by payphone/cellular
        October 14, 2005           phone/calling card companies and WLL service
                                   providers on account of PTCL bills.                       520A


                                             2006
1.     Circular No. 1/2006    Condonation of fine/penalty and default surcharge for          520A
       January 19, 2006       late filing of returns under SRO 1184(I)/2005 and
                              1185(I)/2005 dated 1.12.2005.
2.     Circular No. 2/2006    Chargeability of sales tax on general repair works             520B
       March 20, 2006         contracts.
3.     Circular No. 3/2006    Chargeability of sales tax on general repair works             520C
       March 20, 2006         contracts.
4.     Circular No. 4/2006    Implementation of SRO 645(I)/2006 dated 21.6.2006              520C
       July 12, 2006          relating to pesticides and active ingredients thereof.
5.     Circular No. 5/2006    Simplified annex-B & C for commercial importers                520D
       August 21, 2006        exclusively importing zero-rated items.
6.     Circular No. 6/2006    Waiver for submission of monthly invoice summary.              520E
       September 12, 2006
7.     Circular No. 7/2006    Waiver for submission of monthly invoice summary.              520F
       November 25, 2006


                                             2007
1.     Circular No. 1/2007    Filing of Single Return under section 26 of the Sales Tax      520F
       July 14, 2007          Act, 1990.
2.     Circular No. 2/2007    Extension in due date for filing of sales tax-cum-federal      520G
       August 13, 2007        excise return for the tax period July, 2007.
3.     Circular No. 3/2007    Further extension in due date for filing of sales tax-cum-     520G
       August 20, 2007        federal excise return for the tax period July, 2007.
4.     Circular No. 4/2007    Extension in due date for filing of Sales Tax-cum-Federal      520G
       September 17, 2007     Excise Return for the tax period August, 2007.
5.     Circular No. 5/2007    Extension in due date for filing of Sales Tax-cum-Federal      520G
       October 12, 2007       Excise Return for the tax period September, 2007.
6.     Circular No. 6/2007    Extension in due date for filing of sales tax-cum-federal      520H
       October 25, 2007       excise return for the tax period September, 2007, for
                              Karachi based taxpayers
                                           [x]-F

S. No.    G.O. No.                         Subject                                        Page #

                                          2008
1.    Circular No. 1/2008    Charging of withholding tax on 2% value addition sales         520H
      January 18, 2008       tax from commercial importers, Sales Tax General Order
                             No.3 of 2007
2.    Circular No. 2/2008    Waiver for submission of monthly invoice summary.              520H
      May 10, 2008
3.    Circular No. 3/2008    Extension in due date for electronic filing of Sales Tax-      520I
      May 17, 2008           cum-Federal Excise Return for the Tax Period April 2008
                             by persons registered in LTU, Karachi.
4.    Circular No. 4/2008    Extension in due date for filing of Sales Tax and Federal      520I
      August 12, 2008        Excise Return by the registered tax payers.
5.    Circular No. 5/2008    Extension in due date for payment of Sales Tax and             520I
      August 16, 2008        Federal Excise duty by the registered tax payers.
6.    Circular No. 6/2008    Extension in due date for filing of Sales Tax and Federal      520I
      August 25, 2008        Excise Return by the registered persons.
7.    Circular No. 7/2008    Extension in due date for filing of Sales Tax and Federal      520J
      August 30, 2008        Excise Return by the registered persons.
8.    Circular No. 8/2008    Extension in due date for filing of Sales Tax and Federal      520J
      September 5, 2008      Excise Return by the registered persons.
9.    Circular No. 9/2008    Extension in due date for payment of tax / duty and filing     520J
      September 15, 2008     of Sales Tax and Federal Excise Return by the registered
                             persons.
10.   Circular No. 10/2008   Extension in due date for filing of sales tax and Federal      520J
      September 26, 2008     Excise Return and special return for production and
                             supplies.
11.   Circular No. 11/2008   Extension in due date for filing of Sales Tax and Federal      520K
      September 30, 2008     Excise Return, Annual Sales Tax Return and Special
                             Return for Production and supplies.
12.   Circular No. 12/2008   Extension in due date for filing of Sales Tax and Federal      520K
      October 17, 2008       Excise Return by the registered persons.
13.   Circular No. 13/2008   Extension in due date for filing of Sales Tax and Federal      520K
      December 1, 2008       Excise Return by the registered persons for Oct. 2008.
14.   Circular No. 14/2008   Extension in due date for filing of Sales Tax and Federal      520K
      December 16, 2008      Excise Return by the registered persons for Nov. 2008.


                                          2009
1.    Circular No. 1/2009    Extension in Due Date for Filing of Sales Tax and Federal      520L
      June 20, 2009          Excise Return by the Registered Persons for Tax Period
                             May, 2009.
2.    Circular No. 2/2009    Extension in Due Date for Filing of Revised Sales Tax and      520L
      July 8, 2009           Federal Excise Returns Due to Discrepancy Notices for
                             Tax Periods of July 2008 to March 2009.
                             CIRCULAR LETTERS/
                           SALES TAX RULINGS ETC.
                                       [Year-wise arranged]

S. No.               Description                                                               Page #


                                                    1992

                                               Letters
      1. C.No. 6(9)GST-I/91                 Registration of different manufacturing units
         February 25, 1992.                 of a company                                          521
      2. C.No. 2(5)GST-I/91                 Authentication of sales tax records                   521
         February 29, 1992.
      3. C.No. 11(35)/91-STR                Legal interpretation of relevant provisions of
         March 21, 1992.                    amended Sales Tax Act, 1990                           522
      4. C.No. 1(5)GST-I/91.Pt.vol. II Adjustment of input tax on goods purchased by a
         September 29, 1992.           registered person from non-registered importers            522

                                                    1993

      5. C.No. 1(4)GST-I/93                 Admissibility of sales tax adjustment on spare
         July 10, 1993.                     parts and accessories                                 523
      6. C.No. 1(4)GST-I/93                 Spare parts of machinery, not eligible for input
         November 1, 1993.                  tax credit                                            523

                                                    1996

      7. C.No. 1/43-STB/96                  Sales Tax Budget instructions 1996-97                 524
         June 13, 1996.
      8. C.No. 1/42-STT/96                  Fresh and dried milk                                  530
         June 27, 1996.
                                                        __
      9. C.No. 1/54-STT/96                  Sales Tax        Printing of Holy Quran               530
         August 21, 1996.

                                                    1997

     10. Letter No. 3(55)STP/97             Registration of wholesalers and distributors          530
         September 8, 1997.
*
    Subject-heading is suggested by us. There is no subject-heading in original letter.
                                                      [ xi ]
                                        [ xii ]

S. No.                          Description                                           Page #
 11. Letter No. 3(70)STP/97    Consumer goods and consumer durable                        531
     September 17, 1997.
 12. Letter No. 2(35)/97       Sales Tax input on goods purchased from units
     October 7, 1997.          located in Azad Kashmir                                    531
 13. Letter No. 1/51-STT/96    Sales tax on disposable syringes (90.18)                   531
     June 18, 1997.
 14. Letter No. 1/73-STT/96    Sales tax on bagasse                                       532
     July 12, 1997.
 15. Letter No. 1/55-STT/96    Sales tax on salt                                          532
     August 2, 1997.
 16. C.No. 3(62)STP/97-Pt.     Exemption of sales tax on supply of consumer goods
     January 1, 1998.          by commercial importer SRO 674(I)/97 dated
                               29-8-1997 Levy of 3% additional tax on the importers
                               who do not get registered SRO 675(I)/97, dated
                               29-8-1997                                                  532

                                      1998

 17. C.No. 3(20)STP/97         Issuance of consumption/installation certificate           533
     January 21, 1998.
 18. C.No. 4/6-STB/97-Pt.      Sales tax on cotton seed & cotton                          533
     April 24, 1998.
 19. Dy. C.No. 5281-M(ST)/98   Levy of sales tax on pre-cast materials used in the
     June 29, 1998.            construction of bridges                                    534
 20. No. 3(11)STP/98           Problems of cotton waste dealers                           534
     June 29, 1998.
 21. No. 3(62)STP/97 (Pt. I)   Sales tax registration of distributors vide Notification
     June 29, 1998.            No. SRO 583(I)/98, dated 12.06.1998                        534
 22. No. 1(33)STP/98           Sales tax on Ice Cream                                     535
     June 29, 1998.
 23. C.No. 1/10-STB/98         Sales Tax – Budget day instructions for the
     June 12, 1998.            budget 1998-99                                             535
 24. No. 3(62)STP/97(Pt-I)     Levy of 1% further tax under section 3(1A) of the
     June 27, 1998.            Sales Tax Act, 1990                                        540
 25. No. 3(1)STP/98            Avoidance of Tax by Misinterpretation of section 2(46)
     June 29, 1998.            of the Sales Tax Act, 1990 – Case of valuation of
                               "rectified spirit" produced in sugar mills                 540
 26. No. 5(1)STP/98            Levy of sales tax on retail stage its chargeability
     June 29, 1998.            on medicines/drugs                                         541
 27. No. 3(62)STP. Pt. I       Specific questions relating to biscuit and confectionery
     June 29, 1998.            manufacturers regarding extension of sales tax to
                               wholesale/retail stage                                     541
 28. No. 1(33)STP/93           Levy of further tax of one percent
     July 4, 1998.             on sale made by manufacturers
                               directly to consumers                                      542




                                                                                          xii
                                      [ xiii ]

S. No.                         Description                                          Page #
 29. No. 3(62)STP/97-Pt.      Applicability of section 3(1A)                            542
     August 27, 1998.
 30. C.No. 3(62)STP/97-Pt.    Additional sales tax                                      543
     August 27, 1998.
 31. No. 1(33)STP/93          Notification regarding exemption of additional tax/
     August 31, 1998.         fine of sales tax issued by CBR                           543
 32. No. 2(98)STP/95 Pt.      Levy of sales tax under SRO 582(I)/98,
     September 3, 1998.       dt. 12.06.1998 effective w.e.f. 01.07.1998                543
 33. No. 3(72)STP/97          Payment of sales tax by government departments,
     September 8, 1998.       privileged agencies and privileged personnel              544
 34. No. 3(62)STP/98(Pt. I)   Sales Tax Registration                                    544
     September 8, 1998.
 35. No. 1(47)S(STJ)/97       Bank guarantee                                            545
     September 14, 1998.
 36. No. 13(4)M(TP)/98        General sales tax on supplies of stores                   546
     September 10, 1998.
 37. C.No. 1(3)S(Val)/92      Royalty of cinematograph films (exposed)                  546
     November 6, 1998.
 38. No. 3(72)STP/95          Confirmation regarding registration of firms under
     November 12, 1998.       sales tax                                                 547
 39. No. 3(72)STP/97          Sales tax on supplies to defence services                 547
     November 13, 1998.
 40. C.No. 1/51-STT/97        Sales tax on canned or packaged poultry meat,
     November 13, 1998.       beef and mutton                                           547
 41. C.No. 3/MISC/ADC-1/      Change in rate of tax and time of supply __
     TAX-INF/F/98             Clarification regarding                                   548
     November 17, 1998.
 42. No. 3(72)STP/97          Sales tax clarification                                   548
     November 19, 1998.
 43. No. 3(84)STP/97          Amendment of sales tax return __ Clarification
     November 19, 1998.       regarding                                                 549
 44. C.No. 1/105-STT/98       Sales tax on timber                                       549
     November 23, 1998.
 45. No. 3(22)STP/98.Pt. I    Additional 1% Sales Tax
     November 23, 1998.       (Office Memorandum)                                       550
 46. C.No. 1/54-STT/98        Formal exemption of sales tax on pre- paid cards for
     November 30, 1998.       mobile cellular services                                  550
 47. No. 1/102-STT/98         Exemption from payment of sales tax on supply of one
     November 30, 1998.       car, one van and one bus for workers employed by the
                              industrial units which are set-up in special industrial
                              zones                                                     551
  48. No. 3(19)STP/98         Clarification regarding inter-unit
      December 4, 1998.       transfer of goods by a registered person
                              with separate branch registration                         551




                                                                                        xiii
                                          [ xiv ]

S. No.                             Description                                          Page #
 49. No. 3(82)STP/97              Change in rate of tax and time of supply __
     December 24, 1998.           Clarification regarding                                   552
 50. No. 3(72)STP/97              Sales tax                                                 552
     December 28, 1998.
 51. C.No. 3(22)STP/98 (Pt. II)   Levy of further tax of one percent on sale made by
     December 29, 1998.           manufacturers directly to the end user/consumers          553
 52. C.No. 3(72)STP/97            Imposition of general sales tax on supplies of
     December 29, 1998.           goods @1.5%                                               553

                                         1999

 53. No. 3(47)STP/98              Clarification regarding Notification No. 38(I)/98,
     January 5, 1999.             dated 21.10.1998                                      554
 54. No. 3(1)STP/98-Pt.           Credit & Debit Notes.                                 555
 55. No. 3(72)STP/99              Supply of sales taxable goods to persons/organizations/
     March 22, 1999.              departments/companies authorized to deduct advance
                                  tax under section 50(1) of the Income Tax
                                  Ordinance, 1979                                       555
 56. No. 3(1)STP/99. Pt.          Sales tax on commercial importers of finished
     March 22, 1999.              products                                              555
                                            __
 57. No. 3(1)STP/99               Sales tax Liability thereof                           556
     March 22, 1999.
 58. C.No. 1(34)ST-ATU/99         Input adjustment/refund on oil & lubricants used in
     March 31, 1999.              power generation plants                                   556
 59. No. 2(38)STP/97              Levy of sales tax on supplies to FATA/PATA or
     April 15, 1999.              supplies from FATA/PATA                                   556
 60. C.No. 1/65-STT/99            Clarification regarding "equipment & machinery" for
     April 17, 1999.              zero rating falling under Serial No. 1(VI) of the Fifth
                                  Schedule                                                  557
 61. Nil                          Sales tax input entitlement on customs auctioned
     April 17, 1999.              goods                                                     557
 62. C.No. 1/68-STT/99            Exemption of sales tax on the printing of audit
     April 21, 1999.              reports                                                   558
 63. No. 3(2)STP/99               Sales tax on delivery charges on goods supplied           558
     April 22, 1999.
 64. C.No. 1/10-STB/99            Sales tax: Instructions for the budget 1999-2000          558
     July 1, 1999.
 65. C.No. 3(17)STP/99            Request for clarification regarding benefit of redemption
     August 17, 1999.             fine/surcharge, in terms of general amnesty under SRO
                                  461(I)/99 dated 09.04.1999 of Sales Tax Act, 1990         567
 66. C.No. 2(35)STP/97            Sales tax on consumer goods manufactured in Azad
     August 18, 1999.             Jammu & Kashmir and Mingora (Swat)                        567
 67. C.No. 1/154-STT/99           Sales tax on "yogurt"                                     567
     August 19, 1999.




                                                                                            xiv
                                               [ xv ]

S. No.                                 Description                                          Page #
  68. C.No. 3(38)STP/99               Sales tax chargeable on the goods exported beyond 30
      July 21, 1999.                  days from filing of bill of export or classes initiated
                                      prior to budgetary measure 1999-2000                      568
 69. C.No. 3(36)STP/99                Application of provisions of Section 73 of the Sales
     December 22, 1999.               Tax Act, 1990                                             568
 70. C.No. 1/42-STT/96                Exemption of sales tax to the food preparations of
     September 29, 1999.              chapter 19 of Pakistan Customs Tariff.                    569
 71. No. 3(15)STP/99                  Sales Tax on Fruit Dried.                                 569
     October 21, 1999.
 72. No. 3(13)STP/96                  Clarification for claiming adjustment of input tax.       569
     September 19, 1999.

                                             2000

  73. C.No. 1/20-STB/2000          Sales Tax Budget Instructions 2000-2001                      570
      June 19, 2000.
  74. No. 4(80)STB/98. Retail (Pt.) Sales Tax on Services.                                      573
      July 1, 2000.

                                             2001

  75. No. 5(1)2000-TECH-I             Misinterpretation by sales tax authorities regarding
      February 15, 2001.              payment of additional sales tax on sale of leasing
                                      companies.                                                574
 76.     C.No. 3/72-STB/2000          Refund claims pending on account of verification
         April 12, 2001.              deposit of Input Tax.                                     574
  77.    C.No. 2(1)STP/2000 (Pt. III) Impact of sections 7 & 73 of the Sales Tax Act, 1990
         April 23, 2001.              – Clarification regarding                                 575
  78.    C.No. 1(27)STR/2000          Application of Provincial Tax Ordinance, 2000 on
         February 28, 2001.           the clubs.                                                576
 79.     C.No. 3(9)ST-L&P/2001 Sales Tax Budget Instructions 2001-2002.                         578
         June 18, 2001.
  80.    C.No. 3(36)STP/99            Implication of the newly added proviso in section 73.     583
         June 27, 2001.
 81.     C.No. 3(9)ST-L&P/2001 Clarification regarding payment of further tax in
         June 28, 2001.               respect of goods chargeable to sales tax @ 20%.           584
 82.     C.No. 3(9)ST-L&P/2001 Voluntary Before – The due payments’ of sales tax.               585
         June 28, 2001.
 83.     C.No. 3(9)ST-L&P/2001 Budget 2001-2002 – Clarification regarding.                      585
         July 2, 2001.
 84.     C.No. 3(9)ST-L&P/2001 Budget 2001-2002 – Clarification regarding.                      586
         July 3, 2001.
 85.     C.No. 3(91)STP/2000          Charging of sales tax withholding tax components
         July 23, 2001.                                                                         587




                                                                                                xv
                                            [ xvi ]

S. No.                               Description                                       Page #
 86. C.No. 3(19)STP/2000         Withholding tax on commercial & Industrial gas
     February 27, 2001.          consumers under section 50(7G)                              587
 87. C.No. 3(17)ST-L&P/2001 Establishment of office of the chief, Sales Tax CBR
     September 28, 2001.         (Textile Sector) at Lahore.                                 587
 88. C.No. 3(54)STP/99           Levy of sales tax on disposal of assets.
     September 6, 2001.                                                                      588
 89. C.No. 4(47)STB/98(Vol. I) Procedure of sales tax on supplies made to government
     August 4, 2001.             and payment thereof through cheques.                        590
 90. C.No. 3(13)STP/2000         Registration of jewelers.                                   591
     August 7, 2001.
 91. C.No. 2(2)-Misc.S(TO-II)01 Procedure of matter relating to complaints filed
     September 21, 2001.         with FTO-Instructions regarding.                            591
 92. C.No. 3(62)STP/97(Pt. I) Sales tax clarification.                                       592
     October 2, 2001.
 93. C.No. 3(72)STP/97(Pt-2)     Supplies of taxable goods to the government and semi-
     October 8, 2001.            government departments, autonomous corporations,
                                 banks and to such other organizations who are
                                 authorized to make deduction of withholding tax under
                                 section 50(4) of the Income Tax Ordinance, 1979.            593
 94. C.No. 3(16)STP/2000         Special audit reports under section 32A of the Sales Tax
     October 8, 2001.            Act, 1990 for preparation of contravention reports.         593
 95. C.No. 412-Gst/reg/2001/4570 De-registration order C.No. 412-GST/REG/2001/4170
     October 8, 2001.            dated 29.9.2001.                                            594
 96. C.No. 3(2)/99(Pt. III)      Enlistment/renewal of approved contractors – general
     October 9, 2001.            sales tax registration – issuance of tender documents
                                 to approved contractors.                                    594
 97. C.No. 3(62)STP/97(Pt. II)   Sales tax on sale of scrap by provincial departments
     October 11, 2001.           through auction.                                            594
 98. C.No. 3(62)ST/97(Pt. I)     Request for clarification of sales tax regarding imported
     October 12, 2001.           vehicles under the gift scheme and registration of
                                 vehicles in Pakistan.                                       594
 99. C.No. 1(33)STR/99(Pt. I)    Chargeability of sales tax on fixed fuel component of
     October 12, 2001.           energy purchase price.                                      595
100. C.No. 3(9)STP/99            Exemption of sales tax for imported machinery.              595
     October 15, 2001.
101. C.No. 3(56)STP/96 Vol-II    Extension of date of filing of sales tax returns.           595
     October 15, 2001.
102. C.No. 1/98-STT/2000         Sales tax on information technology and local area
     October 18, 2001.           network equipment.                                          596
103. C.No. 2(10)STP/97           Clarification applicability of sales tax on fire claim
     October 18, 2001.           received from insurance company.                            596
104. C.No. 9-ST. Ext. Audit/97   Audit conduct by official auditors general of Pakistan
     October 20, 2001.           in the premises of registered persons.                      596
105. C.No. 1/204-STT/99          Exemption of sales tax.                                     597
     October 20, 2001.




                                                                                             xvi
                                          [ xvii ]

S. No.                             Description                                               Page #
106. C.No. 2(77)STP/95(Vol-II)    Input (Sales Tax Refund) on diesel.                           597
     October 20, 2001.
107. C.No. 3(13)STP/96(Pt. I)     Recovery of arrears from textile units on account of
     October 27, 2001.            purchase of cotton from the ginners located within the
                                  jurisdiction of Multan collectorate.                          598

                                         2002

108. C.No. 2(7)STP/99-Pt.         Clarification regarding fulfillment of the conditions of
     January 1, 2002.             the same state goods or continuous chain tax invoices         598
109. C.No. 4(47)STB/98 (Pt-II).   Imposition of sales tax.                                      598
     January 3, 2002.
110. C.No. 3(16)STP/2000.         Amendment in SRO 448(I)/2000, dated 1st July, 2000
     January 7, 2002.             regarding jurisdiction of collectorate of Customs, Sales
                                  Tax and Central (Adjudication).                               599
111. C.No. 1/98-STT/20000         Problems with classification on computer servers by
     January 12, 2002.            customs authorities.                                          599
112. C.No. 1/57-STT/97.           Clarification regarding sales tax on the fertilizer (DAP)
     January 19, 2002.                                                                          599
113. C.No. 1/180-STT/94           Clarification/refund of sales tax against bill of entry
     November 14, 2001.           Nos. 0433, 113, 8389.244, 165                              600
114. C.No. 3(9)STP/99.            Chargeability of sales tax on sales of plant and machinery
     January 15, 2002.            including land and building etc. as on going concern600
115. C.No. 02-ST/ADD-COLL-        Chargeability of sales tax on plant and machinery
     IV/MISC/2000/3562            including land and building etc. as on going concern600
     December 11, 2001.
116. C.No. 1(82)STT/96.           Civil Appeal No. 11-S of 2001.                                601
     January 18, 2002.
117. C.No. 1/180-STT/94           Clarification/refund of sales tax against bill of entry
     November 14, 2001.           Nos. 0433, 113, 8389.244, 165                                 600
118. C.No. 3(20)STP/99.           Removal of taxable supplies for piling up at the sales
     January 24, 2002.            points without issuance of tax invoice.                       602
119. C.No. 1(98)STT/2000.         General Sales Tax/Sales Tax on purchase of
     January 31, 2002.            computer accessories/stationery.                              602
120. C.No. 1(247)STT/99.          Request to clarify that the conditions laid down in para
     January 24, 2002.            2 of SRO 987(I)/99, dated 30.8.1999 are applicable only
                                  to plant and machinery and not to the components              602
121. C.No. 1(210)STT/99.          Clarification regarding SRO 987(I)/99, dated 30th
     February 11, 2002.           August, 1999.                                                 603
122. C.No. 3(36)STP/99.           Clarification of section 73 of the Sales Tax Act, 1990.       603
     February 12, 2002.
123. C.No. 1(98)STT/2000.         M/s Micro Tech Lab – Clarification regarding LPU
     January 24, 2002.            computerized anti-pilerage system – request for
                                  exemption certificate.                                        603




                                                                                               xvii
                                          [ xviii ]

S. No.                             Description                                             Page #
124. C.No. 3(13)STP/98(Vol-I).    15% sales tax on imports at customs station in tribal
     March 2, 2002.               areas to be full and final liability of sales tax for
                                  supply to tribal areas of Balochistan.                      603
125. C.No. 1(210)STT/99.          Clarification regarding collection of activation tax
     March 15, 2002.              and charging/collection of CED/GST.                         604
126. C.No. 3(72)STP/97(Pt-II)     Suggestion for deduction of sales tax from the bill of
     March 19, 2002.              the suppliers/contractors.                                  604
127. C.No. 2(77)STP/95(Vol-II).   Sales tax audit of M/s Pearl Continental.                   604
     March 28, 2002.
128. C.No. 2(77)STP/95(Notes)     Legal Anomalies/clarification.                              605
     October 19, 1999.
129. C.No. 1(8)STT/2002.          Clarification regarding levy of sales tax on
     March 29, 2002.              pharmaceuticals and medicaments.                            605
130. C.No. 1(8)STT/2002.          Sales tax on pharmaceuticals.                               605
     March 29, 2002.
131. C.No. 1(8)STT/2002.          Request for clarification regarding chargeability of
     March 30, 2002.              sales tax on the stock of drugs and medicines
                                  manufactured prior to 21st March, 2002 lying outside
                                  the manufacturing premises and/or with the distributor
                                  holding behalf of the manufacture.                          605
132. C.No. 1(64)STT/2000.         Sales tax exemption for the supply of medicines, non-
     April 1, 2002.               medicines to National Program for Family
                                  Planning and Primary Health Care.                           606
133. C.No. 1(8)STT/2000.          Exemption of sales tax on depo provera/contraceptive.       606
     April 1, 2002.
134. C.No. 4(47)STB/98(Pt-II).    Registration of contractors with sales tax department.      606
     April 2, 2002.
135. C.No. 3(15)STP/99 (Vol-I)    Refund of input tax consumed in the manufacture of
     April 8, 2002.               exempt goods which were subsequently exported as
                                  per section 4 of the Sales Tax Act, 1990.                   607
136. C.No. 4(47)STB/98(Pt-II).    Clarification regarding deduction of sales tax at source
     April 9, 2002.               by government, semi-government and E.F.Is. etc.             607
137. C.No. 9(33)STT/62.           Clarification regarding advances received before 1st
     April 10, 2002.              April, 2001 on pesticides.                                  607
138. C.No. 4(47)STB/98(Pt-II).    Elimination of tax u/s 50(7A) sale of property by public
     April 27, 2002.              auction by Govt. Local Authority, Public Company, etc.      607
139. C.No. 3(24)STP/2000          Exemption of 1.5% further tax on 18.6.2001.                 609
     April 27, 2002.
140. C.No. 1(247)STT/99.          Issuance of installation-cum-production certificate for
     May 3, 2002.                 “Fork Lift Truck”.                                          609
141. C.No. 3(4)STP-99.            S.R.O. 516(I)/2001, dated July 14, 2001.
     May 7, 2002.                 by government, semi-government and E.F.Is. etc.             609
142. C.No. 3(62)STP/97(Pt-I).     Query regarding multiple tax activity under only one
     May 8, 2002.                 registration number                                         609




                                                                                             xviii
                                           [ xix ]

S. No.                             Description                                          Page #
143. C.No. 3(16)STP/2001.         Review applications received by rejected units in terms of
     May 8, 2002.                 SRO 392(I)/2001, & 395(I)/2001, dated 18.06.2001.         610
144. C.No. 1/51-STT/96-Pt. II     Sales tax exemption on the raw materials for the
     May 15, 2002.                manufacture of pharmaceutical products vide SRO
                                  211(I)/2002, dated 7th April, 2002.                      610
145. C.No. 1/4 STB/2002.          Sales Tax Budget Instructions 2002-2003.                  611
     June 15, 2002.
146. C.No. 1(63)STT/99.           Clarification regarding issuance of sales tax invoice in
     June 5, 2002.                respect of CNG fitted vehicles.                            615
147. C.No. 1(18)STT/2002.         Sales tax.                                                 616
     June 7, 2002.
148. C.No. 1(63) ST-L&P/2001-Pt   Voluntary before – The due date payments of sales tax.     617
     June 8, 2002.
149. C.No. 1(15)STT/98.           Levy of sales tax on central excise duty – Import of
     June 10, 2002.               ships for scrapping.                                       617
150. C.No. 1(247)STT/99           Issuance of installation-cum-production certificate
     June 12, 2002.               for “Fork-Lift Truck”.                                     617
151. C.No. 3(2)STP/99             Sales tax on processed/semi-processed food stuff
     June 22, 2002.               made of chicken and beef.                                  617
152. C.No. 3(15) STP/99.Vol-I     Refund of sales tax on packing material used in rice
     July 11, 2002.               exported from Pakistan.                                    618
153. C.No. 3(1)STB/98.            Adjustment of sales tax against debit and credit note
     July 12, 2002.               vide SRO 696(I)/96.                                        618
154. C.No. 3(35)STP/98.           Clarification – Input Sales Tax.                           619
     July 12, 2002.
155. C.No. 1(3)STR/2000.          Input Tax adjustment on electricity bills.                 619
     July 13, 2002.
156. C.No. 3(36)STP/99(Pt-I).     Clarification in respect of section 73 of the Sales Tax
     July 13, 2002.               Act, 1990.                                              619
157. C.No. 1(111)STT/2000.        Levy of 15% GST on vegetable ghee/cooking oil in
     July 13, 2002.               the 2002-2003 budget.                                   620
158. C.No. 1(24)STT/2002.         3% Additional sales tax on dettol.                      620
     July 13, 2002.
159. C.No. 1(7)STT/99.            Exemption of sales tax on water bowzer to armed
     July 16, 2002.               forces.                                                    621
160. C.No. 1(57)STT/96.           Clarification in respect of section 7 of the Sales Tax
     July 17, 2002.               Act, 1990.                                                 621
161. C.No. 3(36)STT/99.           Application of section 73 on supplies of vegetable ghee/
     July 17, 2002.               cooking oil to unregistered person.                        621
162. C.No. 1(51)STT/99.           Sales tax exemption on the raw materials for the
     August 2, 2002.              manufacture of pharmaceutical products vide SRO
                                  211(I)/2002, dated 7th April, 2002.                        622
163. C.No. 1(8)STT/2002.          Refund of sales tax paid on domestically manufactured
     September 11, 2002.          stocks of medicines held on 22nd August, 2002.             622
164. C.No. 3(12)ST&LP/2002.       CBR asked to plug loopholes in amended SRO.                623
     September 16, 2002.




                                                                                             xix
                                           [ xx ]

S. No.                             Description                                         Page #
165. C.No. 3(36)STP/99(Pt-I).     Payment against a supply partly in cash and
     September 17, 2002.          partly in kind                                           623
166. C.No. 1(51)-STB/2002.        Sales tax refund to steel manufacturer.
     September 23, 2002.                                                                   624
167. C.No. 4(80)STR/98.           Application of GST threshold for service
     October 12, 2002.            providers (Hotels).                                      624
168. C.No. 1(33)STR/99.           UCH Power Limited – Notice for Recovery under
     October 11, 2002.            section 48 of the Sales Tax Act, 1990.                   625
169. C.No. 3(62)STP/97(Pt-1)      Clarification regarding levy of further tax u/s 3(3A)
     (Vol-V) October 25, 2002.    of the Sales Tax Act, 1990 on supplies made to banks.    626
170. C.No. 1(33)STP/99-Vol. II.   Levy of further tax of one percent on sales made by
     August 1, 1998.              manufacturers directly to the consumers.                 627
171. C.No. 1(98)STT/2000.         Sales tax on computer printing ribbons –
     November 14, 2002.           clarification regarding.                                 627
172. C.No. 1(17)STR/2000.         Clarification regarding adjustment of input tax paid
     November 11, 2002.           on advertisement services against tax payable on
                                  taxable supplies.                                        628
171. C.No. 3(62)STP/97(Pt-I)      Application of section 73 of the Sales Tax Act, 1990.
     (Vol-V). November 13, 2002.                                                           629
173. C.No. 3(36)STP/99(Pt-II). Implication of section 73 of Sales Tax Act.
     December 28, 2001.                                                                    629
174. C.No. 3(35)STP/98.          Clarification regarding section 23 of the Sales
     November 19, 2002.          Tax Act, 1990.                                            630
175. C.No. 3(36)STP/99.          Application of section 73 of the Sales Tax Act,
     November 21, 2002.          1990 on imported goods.                                   630
176. C.No. 3(20)ST-L&P/2001. Reference dates for determining the monthly export
     November 28, 2002.          shipment of exporters.                                    630
177. C.No. 2(1)STP/2000(Pt). Refund claims pending due to non-fulfillment of
     November 30, 2002.          the condition of Sales Tax General Order 3/2000.          631

                                         2003

178. C.No. 1(17)STR/2002          Application of GST threshold for service providers
     January 6, 2003.             (Beauty Parlours etc. and Laundries and Dry Cleaners).   632
179. C.No. 1(1)STR/2003           Clarification about compulsory enrolment.
     January 21, 2003.                                                                     632
180. C.No. 1(16)STR/2000-Pt.      Sales tax audit of customs agents.
     February 6, 2003.                                                                     633
181. C.No. 2(1)STM/2003           De-registration of certain commercial exporters.
     February 10, 2003.                                                                    634
182. C.No. 1(3)STR/2000           Input adjustment on electricity bills by registered
     February 18, 2003.           cotton ginning factories.                                634
183. C.No. 3(36)STP/99            Receipt of sales tax proceeds in foreign exchange from
     April 1, 2003.               the country to which the goods were exported.            635
184. C.No. 3(36)STP/99            Payment against a supply made in kind.
     April 15, 2003.                                                                       635




                                                                                           xx
                                           [ xxi ]

S. No.                             Description                                             Page #
185. C.No. 3(36)STP/99            Proof of payment under section 73 of the Sales Tax Act,
     April 18, 2003.              1990 for bank drafts/pay orders obtained from a bank
                                  where the buyer does not have an account.                     635
186. C.No. 3(21)STM/2002          Denial of DTRE approval to the sales tax defaulters.
     April 29, 2003.                                                                            636
187. C.No. 3/46-STB/99            Zero-rated supply of petroleum products to export
     April 30, 2003.              processing zones.                                             636
188. C.No. 3(19)STP/2000          Levy of sales tax on value inclusive of withholding tax
     May 12, 2003.                paid at import stage as full and final liability of income tax. 637
189. C.No. 1(17)STR/2000          Clarification regarding adjustment of input tax paid on
     May 19, 2003.                advertisement.                                                638
190. C.No. 1(34)STR/2000          Clarification regarding admissibility of input tax
     May 24, 2003.                adjustment on electricity consumed by restaurants.            638
191. C.No. 3(62)STP/1997 (pt-I)   Clarification regarding registration of importers who are
     May 27, 2003.                conducting any taxable activity at post importation stage. 639
192. C.No. 1/29-STR/99            Clarification on chargeability and payment of sales tax by
     June 16, 2003.               producers of LPG.                                          639
193. C.No. 3(10)ST-L&P/2003       Application of SRO 500(I)/2003, dated 7th June, 2003.
     June 21, 2003.                                                                             640
194. C.No. 3(36)STP/99 (Pt-I)     Proof of payment under section 73 of the Sales Tax Act,
     July 23, 2003.               1990, for Bank Drafts/Pay Orders obtained from a bank
                                  where the buyer does not have an account – Sales Tax
                                  Ruling/Instruction No. 08/2003.                         640
195. C.No. 3(9)STP/99 (Vol-I)     Furnishing of Indemnity Bond under SRO 987(I)/99,
     July 30, 2003.               dated 30.08.1999.                                             641
196. C.No. 1/12-STB/2003          SRO 500(I)/2003, dated 7th June, 2003.
     August 9, 2003.                                                                            641
197. C.No. 3(36)STP/99-Pt-I       Application of provisions of section 73 of Sales Tax
     August 9, 2003.              Act, 1990.                                                    641
198. C.No. 1/29-STR/99            Clarification regarding CNG gas stations.
     August 7, 2003.                                                                            642
199. C.No. 16(4)ST/82-Pt          Chargeability of sales tax on murabbajaat.
     August 15, 2003.                                                                           642
200. C.No. 3(2)STP (Pt-I)         New sales tax registrations.
     August 16, 2003.                                                                           643
201. C.No. 1/18-STB/2003          Amnesty in respect of taxable services under the
     August 26, 2003.             Notification No. SRO 500(I)/2003, dated 07.06.2003.           644
202. C.No. 1/105-STT/98           A.P. No. 160 on para 22 & 25 of the AIR on the accounts
     September 10, 2003.          of Commandant Thall Scouts for the year 2000-2001.
                                  “Loss of Rs. 340140 due to non-deduction of sales tax.” 645




                                                                                                xxi
                                           [ xxii ]

S. No.                              Description                                         Page #
203. C.No. 1(17)STR/2000           Sales tax on advertisements on Closed Circuit
     October 31, 2003.             Television (CCTV).                                        645
204. C.No. 1(17)STR/2000           Clarification regarding adjustment of input tax paid on
     October 31, 2003.             advertisement services by registered clients on
                                   amended invoices issued by PTV.                           645
205. Letter No. 1/5-STB/2003 Sales tax budget instructions 2003-04                           645
206. C. No. 3(12)ST-L&P/2004 Implementation of procedure for payment of sales
     July 8, 2004               tax on fixed value addition.                                 653
207. C.No. 1/33-STB/2004        Sales Tax Budget Instructions 2004-05.                       654
     June 13, 2006.
208. C.No. 1(6)STR/2004         Imposition of CED in VAT Mode on shipping agents.            661
     August 25, 2004
209. C.No. 4(6)DTRE/2003        Audit of DTRE consignments.                                  661
     October 9, 2004
210. C.No. 4(6)DTRE/2003        Request for providing the names of units working
     may 13, 2004               under Duty and Taxes Remission Rules.                        662
211. C.No. 1(8)STR/2004         Post exportation audit against DTRE approval at the
     October 15, 2004           time of conducting routine audit.                            662
212. C.No. 3(12)ST-L&P/02 (Pt.) Special procedure for payment of tax by retailers
     October 18, 2004           on value addition basis.                                     663
213. C.No. 1(6)STR/2004         CED (in VAT Mode) on international freight
     October 19, 2004           forwarders.                                                  663
214. C.No. 1(17)CEB/96-Pt.      CED on Internet Service Providers (ISPs) and
     October 25, 2004           Data Network Service Providers (DNOPs), using
                                VSAT as communication medium.                                664
215. C.No. 4(8)DTRE/2004        Input tax adjustment/refund of taxable purchases
     October 27, 2004           used in DTRE exports.                                        664
216. C.No. 1(3)STR/2000         Clarification regarding entitlement of availing
     December 10, 2004          benefits of input sales tax.                                 665
217. C.No. 1(13)STR/2004        Input adjustment of electricity used in business offices
     December 9, 2004           of the registered person – clarification regarding.          665
218. C.No. 3(10)STP/2000 (Pt-1) Clarification of section 52 read with “The
     January 5, 2005            Taxpayer’s (Authorized Representative) Rules,
                                2001” – misinterpreted & misapplied by the field
                                staff adjudication proceedings.                              666
219. C.No. 1(115)STJ/2004       Out of tax period adjustment of input tax.                   667
     December 4, 2004
220. C.No. 1(115)STJ/2004       Litigation cases.                                            667
     February 22, 2005
221. C.No. 3(13)ST-L&P/2004 Exemption of sales tax.
     (Vol-I), February 28, 2005                                                              667
222. C.No. 5/8-STB/2005         Clarification regarding sales tax zero-rating under
     August 17, 2005            SRO 527(I)/2005 dated 06.06.2005.                            668




                                                                                             xxii
                                       [ xxiii ]

S. No.                          Description                                         Page #
223. C.No. 1/51--STT/96        Import of pharmaceutical raw materials under
     July 16, 2005             S.R.O. 211(I)/2002, dated 4.6.2002.                     669
224. C.No. 1/33-STB/2005       Sales tax and Central Excise Budget instructions
     June 6, 2005              2005-06.                                                670
225. C.No. 1(210)-STT/99       Exemption from sales tax.                               677
     December 19, 2005
226. C.No. 3(4)ST-L&P/2005     SOP for electronic filing of sales tax/federal
     December 22, 2005         excise return.                                          678
227. C.No. 1(11)SECY(FATE)/    List of Bank branches receiving sales tax returns.      681
     2005, December 27, 2005
228. C.No. 1/1-STB/2006        Sales Tax and Federal Excise Budget Instructions
     June 5, 2006              2006-07.                                                683




                                                                                      xxiii
                                       373
Law & Practice of Sales Tax                                    History & Evolution




   1          History & Evolution

1. Constitutional Background
The imposition of sales tax in Pakistan is not new. It has its origin in pre-
partition era under the Government of India Act, 1935. Section 100(1) of the
Government of India Act, 1935, provided that the Federal Legislature had,
notwithstanding anything in sub-sections (2) and (3) of the said section, and a
Provincial Legislature did not have, power to make laws, with respect to any
of the matters enumerated in the Federal Legislative List. Section 100(3)
provided that subject to two preceding sub-sections, Provincial Legislature
had, and the Federal Legislature did not have, power to make laws for a
province or any part thereof with respect to any of the matters enumerated in
the Provincial Legislative List. Entry 48 of the List reads: "Taxes on the sale
of goods and on advertisements".
Even though the entry mentioned taxes on sale of goods, that head was
construed to mean in reality a power to tax the transaction and to tax either
party involved in the transaction. The expression "tax on sale" was, therefore,
construed to include also a tax on purchase of goods, as the transaction
resulted in change of ownership from one person to another and was from its
very nature a bilateral transaction with a seller on the one hand and a
purchaser on the other.
1.1 Historic Evolution and Present Structure.
        a. Sales tax at the time of independence was a provincial subject. In
           1948 it was made a federal subject by the Constituent Assembly of
           Pakistan through the Pakistan General Sales Tax Act, 1948 enacted
           on 31st March 1948. The standard rate under 1948 Act was six pies
           (sub-division of a rupee called a pie) per rupee (12%) at every
           stage whenever a sale took place. Every dealer with an annual
           turnover of more than Rs. 5000/- was assessable with certain
           exceptions/exemptions provided under this Act.
        b. There were strong representations against the stipulated low
           turnover liable to sales tax and also against the levy of sales tax at
           multiple stages, which culminated in the enactment of the Sales
           Tax Act in 1951. It levied sales tax only on consumption.
           However, the sale, purchase, consumption, importation,
           exportation, production and manufacture of goods were also
           subjected to sales tax by the Taxation of Goods (Sales and
           Purchase) Order, 1960.
                                     374
History & Evolution                                   Law & Practice of Sales Tax

       c. The Sales Tax Act, 1951, applied to the whole of Pakistan.
          Although the levy and collection of sales tax in respect of goods
          produced or manufactured in Pakistan was made under section 3 of
          the Sales Tax Act, 1951, the administrative machinery utilised for
          this purpose has been changing from time to time. At first,
          exclusive tax authorities viz Sales Tax Officers and Assistant Sales
          Tax Officers were appointed for the execution of this Act, but later
          through amendment in the Act, various officers of Income Tax
          exercised the power of tax authority under the Sales Tax Act,
          1951, in relation to the same area and cases as they exercised under
          the Income Tax Law.
       d. A major change was brought about on 25th April 1981 through an
          amendment in the Sales Tax Act, 1951. The collection of sales tax
          on non-excisable goods was also entrusted to the Central Excise
          Department and the provisions of the Central Excise & Salt Act,
          1944 and the rules made thereunder were made applicable in this
          regard. Necessary amendments were also made in the Sales Tax
          Act in June 1981 and again in June 1982.
       e. In order to remove distortions in sales tax and to facilitate the
          taxpayers, a new system was formulated and introduced in the
          country in the shape of the Sales Tax Act, 1990 [hereinafter: “the
          Act”] from 1st of November 1990. The Act prescribed a value
          added tax (VAT) type system in which the value added component
          at each stage of business transaction could be taxed. Sales tax is
          chargeable from a registered person at various stages viz. import,
          manufacturing, wholesale and retail etc. Tax credit on input tax,
          subject to certain conditions, is allowed when the registered person
          keeps proper record of claim regarding tax invoices and bills of
          entry. The goods meant for export are termed as zero-rated. The
          new system is based on self-assessment/clearance procedure and
          the payment of tax is deferred by the 15th of the following month.
          Tax paid on raw materials and other goods purchased in the course
          of business is deducted automatically while determining tax
          liability.
       f. The scope of chargeability has widened in recent years. Since 12th
          June, 2004 (date of presentation of Finance Bill 2004 in National
          Assembly), sales tax is charged at the rate of 15% [previously in
          certain cases the applicable rate was higher and further tax of 3%
          was charged for supply to non-registered persons] on the value of:-
          (i) "taxable supplies” made by a "registered person" in the course
              of any "taxable activity"[section 2(33)] carried on by him.
                                        375
Law & Practice of Sales Tax                                     History & Evolution

            (ii) Goods imported into Pakistan.
           (iii) From 1st July, 1998 to 30th June 2000 in case, taxable supplies
                 were made to non-registered persons a further 3% (a total of
                 18%) sales tax was chargeable except by a person registered as
                 retailer or to a person where income was not liable to tax under
                 the Income Tax Ordinance, 1979 [but had deducted tax u/s
                 50(4) of the said Ordinance]. From 1st July 2000 to 30th June
                 2001, rate of further sales tax was reduced to 1.5%, but
                 enhanced to 3% again by the Finance Ordinance 2001. The
                 further tax was not charged on persons and items mentioned in
                 sub-sections (1) to (4) of section 3.
           (iv) With effect from 13th August 1999 on the supply of electrical
                 energy, natural gas, petroleum gases including liquefied
                 petroleum gas, and petroleum products.
            (v) With effect from 21st March 2002 on certain medicines and
                 medicaments (which was withdrawn after country-wide
                 agitation).
           (vi) With effect from 15th June 2002 on vegetable ghee, cooking oil
                 and fertilizers.
          (vii) There are a number of exempt supplies as enumerated in the
                 Sixth Schedule to the Act or otherwise notified by the Federal
                 Government.
         (viii) Taxable supplies specified in the Third Schedule to the Act are
                 charged to tax on retail price and not on value of supply.
           (ix) Retail sales tax regime has been kept alive under section 113B
                 of the Income Tax Ordinance, 2001. It applies to a retailer,
                 being an individual or association of persons, whose turnover
                 exceeds Rs. 5 million during the tax year. He will pay final tax
                 at following rates forming part of single stage sales tax as
                 envisaged in Sales Tax Special Procedure Rules, 2006:
                       S.No.    Amount of turnover          Rate of tax
                        1.      Where turnover exceeds      Rs.25,000 plus 0.5% of
                                Rs.5,000,000 but does not   the          turnover
                                exceed Rs.10,000,000        exceeding
                                                            Rs.5,000,000
                        2.      Where turnover exceeds      Rs. 50,000 plus 0.75%
                                Rs.10,000,000               of    the    turnover
                                                            exceeding
                                                            Rs.10,000,000.
                 Note.–The retailer shall not be entitled to claim any adjustment
                 of withholding tax collected or deducted under any head during
                 the year.”
                                     376
History & Evolution                                    Law & Practice of Sales Tax


1.2 Constitutional Validity
The Federal Government derives powers from the Federal Legislative List, Part
I, Fourth Schedule to the Constitution of Pakistan for the levy of sales tax:
        1. Taxes on the sales and purchases of "goods" [see Article 260 for
            definition of the term “goods”] imported, exported, produced,
            manufactured or consumed. [Entry 49]
        2. Offences against laws with respect to any of the matters in this
            Part. [Entry 56]
        3. Matters which under the Constitution are within the legislative
            competence of Majlis-e-Shoora (Parliament) or relate to the
            Federation. [Entry 58]
        4. Issues incidental or ancillary to any matter enumerated in this Part
            [Entry 59].
        5. The expression "goods" as defined in Article 260(1) includes all
            materials, commodities and articles.
The main entry in Federal List of Constitution, Entry No. 49, under which
sales tax is levied, when read in conjunction with Article 260 gives power to
the Federal Government to levy tax on "goods" imported, exported, produced,
manufactured or consumed which includes all materials, commodities and
articles. The expression "goods" thus not only includes its generally accepted
meaning but under the Constitution also gets a wider scope covering all kinds
of materials, commodities and articles.
The honourable Supreme Court of Pakistan in Noorani Cotton Corporation
& others v. STO (1965) 11 TAX 184 (S.C. Pak) upheld the constitutional
competence of the Federal Legislature to enact the Sales Tax Act. The
same principle has been enunciated in the following judgements of various
courts:
        1. Master Foam (Pvt.) Ltd. & others vs. Govt. of Pakistan and others
            (2005) 92 Tax 1 (S.C. Pak.)
        2. Commissioner of Sales Tax v. Hunza Central Asian Textile Mills
            Ltd. & Others NLR 2000 Tax 20
        3. CIT v. Ghulam Rasool A. Baluch (1967) 15 TAX 69
        4. Sharif Cotton Factory v. Sales Tax Officer (1963) 7 TAX 180
            (H.C. Kar)
        5. S. Haji Mohammad Saeed & Co. v. Sales Tax Officer (1963) 7
            TAX 213 (H.C. Lah).
                                     377
Law & Practice of Sales Tax                                  History & Evolution


1.3 Sales Tax Collections
The sales tax collections showed slight decline in FY 2006-2007, but in earlier
years the growth rate was satisfactory. According to government statistics, the
collection for financial year 2006-07 was Rs 309.6 billion against a target of
Rs. 311 billion while for financial year 2005-06, total net collection stood at
Rs. 294.7 billion. The target for 2007-08 has been fixed at Rs.375. During
1993-94, collection was merely Rs.30,379 million, which jumped to Rs.
153,565 million in the year 2000-2001, reflecting an increase of 175.9%.
Collection, however, dropped from Rs. 55,668 million in 1996-97 to Rs.
53,942 million or in other words, by 3.1% in 1997-98. In 1993-94, the target
was achieved to the extent of 94.6%. In 1995-96, the target was exceeded by
1.3%, followed by a shortfall of 1.6% in 1995-96 and one percent in 1996-97.
In the year 1997-98 the target was achieved by almost 100%. In 1998-99,
1999-2000 and 2000-2001, the percentage achievement of target was 99.2%,
97.35% and 98.6% respectively. Sales tax collection rose from Rs. 72,105
million in 1998-99 to Rs. 195,139 million in 2002-03, reflecting an increase of
170.6% during the five year period. The collection has been showing
appreciable increase even though the assigned targets were missed marginally.
In 1998-99 and 1999-00, the target was achieved to the extent of 99.2% and
97.3%. The targets in 2000-01, 2001-02 and 2002-03 were achieved to the
extent of 98.6%, 97.9% and 95.7% respectively. During the financial year
2004-05, the collection rose to Rs. 238.5 billion. After phenomenal decrease
in customs duties, the government is left with no other choice but to increase
the share of sales tax. Even in the Income Tax Ordinance, 2001, presumptive
taxes on goods and services levied, which in substance are nothing but sales
tax.
The following three Tables show collection, growth and share of sales tax in
total federal tax collection from 1980-81 to 2006-2007:
                                  TABLE - 1
       SALES TAX COLLECTION FROM 1980-81, 81-82 & 1986-87
                                                            (Rupees in million)
 YEAR          SALES TAX       TOTAL FEDERAL            PERCENTAGE OF
              COLLECTION       TAX COLLECTION                TOTAL
                                                          COLLECTION
    1                  2                   3                   4
1980-81       2893.1           34764.3                 8.32%
1981-82       3251.6           38550.4                 8.43%
1986-87       6408.8           65701.7                 9.75%
                                               378
History & Evolution                                                  Law & Practice of Sales Tax

                        TABLE - 2
      COLLECTION OF SALES TAX DURING 1987-88 TO 1991-92
                                              (Rs. in billions)
  Years         Collection         % Share in % Share in Total
                                    % Increase
                                 Indirect Taxes Tax Receipts
    1         2         3               4               5
1987-88 8.74     -               13.6%         11.5%
1988-89 14.70    68.2%           19.1%         16.2%
1989-90 18.57    26.3%           20.7%         17.7%
1990-91 17.01    -8.4%           18.4%         15.2%
1991-92 20.80    22.3%           18.4%         14.7%
                       TABLE - 3
  GROWTH AND % ACHIEVEMENT OF TARGET OF SALES TAX
                   (1993-94 to 2006-07)
                                                   (Rs. in million)
  YEAR                 Target         Collection         Achievement                   %
                       (R.E.)*                            of Target %                Growth
    1                    2               3                     4                       5
1993-94             32,100         30,379                94.6                 29.2
1994-95             43,000         43,574                101.3                43.4
1995-96             50,665         49,841                98.4                 14.4
1996-97             56,000         55,668                99.4                 11.7
1997-98             54,086         53,942                99.7                 -3.1
1998-99             72,650         72,105                99.2                 33.7
1999-00             120,000        116,711               97.3                 61.9
2000-01             155,800        153,565               98.6                 31.6
2001-02             170,100        166,561               97.9                 8.5
2002-03             204,000        195,139               95.7                 17.2
2003-2004           218,400        219,187               100.3                12.3
2004-2005           239,500        240,000               100.2                9.5
2005-2006           282,500        294,600               104.3                22.8
2006-2007           311,000        309,600               99.54                5.1
Note: In 1997-98, the standard rate of sales tax was 12.5% as against 18% in the previous year.
Source: Board’s Year Books & Economic Survey of Pakistan 2006-07.
*Revised estimate
                                      379
Law & Practice of Sales Tax                                    History & Evolution


1.4 Rates of Sales Tax
In Pakistan various rates of sales tax have been in operation at different
periods of time. These rates have been in the range of 7.5 to 30 percent of the
value of goods subject to sales tax. Presently, (with effect from June 12,
2004), sales tax is levied at the standard rate of 15%. The annual compound
growth rate of the collection from sales tax varied with move-over from one
tax rate to the other. An increase in the standard tax rate, to increase revenue,
resulted in high growth rates when the rate was increased from 10% to 12.5%,
from 12.5% to 15% and from 15% to 23%. The exception to this pattern was
the move-over from 12.5% to 15% in the late sixties. In this period the annual
compound growth rate was only 0.56%. In the 1980s after the tax was
transferred to Customs and Excise Department, the rate was reduced from
20% to 12.5%. In this period the highest annual compound growth rate of
nearly 20% was witnessed. The following table depicts this position:
          Years                 Average Rates            Compound Annual
                                     (%)                  Growth Rates (%)
      1951 to 1959                    10                          11.13
      1960 to 1965                   12.5                         16.85
      1965 to 1969                    15                          0.56
      1970 to 1980                    20                          16.87
      1981 to 1992                   12.5                         19.64
      1993 to 1996                 12.5 to15                      18.70
       1996-1997                      18                          11.7
       1997-1998                     12.5                          -3.1
       1998-1999                      15                          33.7
       1999-2000                      15                          61.9
       2000-2001                      15                          31.6
       2001-2002                      15                           8.5
       2002-2003                      15                          18.2
       2003-2004                      15                          12.3
       2004-2005                      15                           9.5
       2005-2006                      15                          22.8
       2006-2007                      15                           5.1
                                380
History & Evolution                             Law & Practice of Sales Tax

A SUMMARY OF SALES TAX RATES IN PAKISTAN:
UP TO 1980
1.   Standard rate              =     20%
2.   Higher rates               =     25% and 30%
3.   Reduced rates              =     5%, 7.5% and 15%
FROM 1981 TO 1993
1.   Standard rate              =     12.5%
FROM 1993 TO 1996
1.   Standard rate              =     15%
2.   Lower rate                 =     10% (on 14 items only)
3.   Higher rate                =     20% (on 21 items only)
FROM 01.07.1996 TO 30.06.1998
1.   Standard rate              =     18%
2.   Higher rate                =     23%
3.   Lower rate
         a)                     =     10% (export oriented goods,
                                      foodstuff and health care items).
         b)                     =     2% turnover tax in respect of
                                      business whose turnover does not
                                      exceed rupees one million during
                                      the last 12 months.
FROM 01.07.1999
1.   Standard rate              =     15%
2.   Higher rate                =     18% when supplies made to non-
                                      registered persons. For one year
                                      from 1-7-99 to 30-6-2000, this was
                                      reduced to 1.5%
3.   Lower rate                 =     0% on exports
4.   Additional rate            =     3% on supplies to unregistered
                                      persons with certain exception.
FROM 12.06.2004
One single composite rate for
all goods except zero-rated     =     15%
                                       381
Law & Practice of Sales Tax                                     History & Evolution

FROM 09.06.2007
1.   Standard rate                     =       15%
2.   Higher rate                       =       20% (in some cases 17.5%)
                                               (Notification No. SRO 644(I)/2007,
                                               dated 27.06.2007).
3.   Lower rate                        =       0%
1.5 Features and Potentials of Sales Tax.
Sales tax as a federal tax has a great potential, firstly, because of its access to
almost every commodity and secondly, because of its ad valorem nature.
However, it is controversial from the point of view of the exclusive right
vested with the federating units to tax commodities and services within their
territorial jurisdiction. The Federal Government has denied this right to
provinces of Pakistan. [See the article: Need for Judicious Assignment of Tax
– Tax Review 2006, pg. 60.]
There is a great scope in this tax for expansion and extension down to retail
stage. Furthermore, it is more flexible than the central excise duty.
A number of studies were carried out by the official quarters with a view to
examine the entire tax structure and to suggest ways to improve the present
tax system and for generating additional revenue. It was observed by the study
groups that sales tax was the levy that could, with comparative ease, achieve
both the above objectives. It is flexible in nature and can be developed further
to yield more revenues. Successive governments have, therefore, decided that
sales tax should be broadened and gradually be extended to the wholesale and
retail stages. It is also proposed that except for a few items where the tariff of
central excise duty is very high, the rest of the central excise duties be
replaced by sales tax.
1.6 VAT and Pakistani Experience
At present the system of general sales tax is not strictly based on the concept
of VAT [By restricting credit of input tax to 90% in the Finance Act, 2007,
the very basis of VAT legislation has been violated]. There are continuous
efforts from the Board to broaden its base with minimum of exemptions.
VAT, in its classic sense is a specific turnover tax levied at each stage in the
line of production and distribution processes. VAT in its purest form, is a tax
on all final consumption/expenditures for the supply of goods and services,
and this form has not yet been implemented in Pakistan.
Although VAT ultimately bears on the individual consumption of goods and
services, liability for VAT is on the supplier of goods or services. VAT is a
percentage tax levied on the price each taxpayer charges for the goods or
services it supplies. VAT normally utilizes a system of tax credits to place the
ultimate and real burden of tax on the final consumer and to relieve the
                                      382
History & Evolution                                     Law & Practice of Sales Tax

intermediaries of any final tax cost. VAT is calculated by applying the
applicable rate at a taxable stage to the appropriate taxable base of goods or
services; it is then reduced by VAT (as indicated on the invoices delivered to
the purchaser), which has directly affected the cost of various elements
constituting the price of goods or services. In Pakistan there are substantial
deviations from this pure form of VAT (as in vogue in Europe and some other
developed industrial societies), because of exercise of various tax rates,
exemptions and concessions for certain goods and services and specific
provisions governing importation and exportation as well as curtailment of
credit of input tax and denial of right of carrying forward of excess input tax.
It is therefore not VAT but VAT-type tax in Pakistan.
Before proceeding further it appears appropriate to briefly narrate the
historical evolution of VAT that Pakistani authorities are so keen to
implement on the dictates of IMF and other foreign donors.
1.7 Historical Background of VAT
Value Added Tax is levied on the sellers of goods and services based on
value, added by their respective units. The base of VAT is determined by
value added at a particular stage of production or distribution. Meaning of
VAT becomes clearer when it is juxtaposed against conventional turnover tax
(excise duty, sales tax), which falls on the total value of the product at each
stage of production chain and is called a cascade type tax.
VAT, a fiscal innovation of early 1960s, has claimed worldwide attention as
more and more countries are adopting it in varying degrees to reform their
system of commodity taxation.
Pursuant to the Treaty of Rome (March 25, 1957), the European Economic
Community (ECC) was set up with the primary objective ‘to establish, within
the framework of an economic union, a common market providing for healthy
competition and having characteristics similar to those of an internal market.’
From July 1, 1968, all customs duties and quotas in the trade between ECC
member countries were abolished to move towards a common market with
equality of competition as a condition. Following the principle of destination,
exports to member countries became entirely tax-free, and imports from
countries within the community began to be treated in the same way as
domestic production destined for home consumption.
To follow the above policy, two arrangements were made.
       1. Although tax on export of goods as such was abolished, the
            possibility of taxation of these goods during various stages of their
            production and distribution still existed. The rules of the new
            arrangement demanded calculation and refund of tax burden on
            goods as and when they were classified as exports.
                                      382A
Law & Practice of Sales Tax                                    History & Evolution

        2. Imports into the country, which had escaped taxation by claiming
            refund in the exporting country, needed to be taxed in a way which
            avoided discrimination between them and domestically produced
            goods which had already faced taxation at different stages.
            Therefore, it was necessary to replace with a common system the
            differing systems of indirect taxes that had distorted competitive
            conditions between the member states.
With the above purpose in view, the Commission of the EEC had set up a
Committee under the chairmanship of Professor Fritz Neumark, which submitted
its findings entitled Report of the Fiscal and Financial Committee of EEC in
1962. The Neumark Report visualized ultimate acceptance by all EEC countries
of all-stage value added tax similar in terms of tax rates, exemptions etc.
Agreeing with the recommendations of the Neumark Report, the Council of
Ministers of the six original EEC countries issued two directives dated April
11, 1967 which required the common market states to abolish the existing
gross turnover tax systems and to introduce a comprehensive system of value
added taxation by January 1, 1970. Value added tax, an offshoot of economic
union, therefore emerged as an instrument of tax harmonization in the EEC
countries. It was a fiscal necessity in the absence of which the success of
common market experiment would have been seriously hampered. In certain
cases its adoption was almost a precondition for entry in the common market,
e.g. United Kingdom which replaced purchase tax and selective employment
tax by VAT with effect from April 1, 1973. Though VAT grew as an offshoot
of economic union of EEC countries, it has been adopted voluntarily in many
countries as a measure to rationalize commodity taxation.
The EEC Council through Directive 77/388/EEC of 17 May 1977 (“the Sixth
Directive”) as amended from time to time asked the member states to harmonize
their turnover taxes and evolve a common system of VAT with a uniform basis of
assessment. All the member states were given sufficient time till 1 January 2004
to implement these directives. Strangely, Pakistani Authorities tried to implement
VAT system in one go instead of gradual implementation. Probably they consider
themselves more advance than the EEC countries.
The levy of VAT in Pakistan was unnecessarily made a controversial issue.
This tax was introduced successfully in Bangladesh, Indonesia, Philippines,
Thailand and Mauritius without any difficulty. The Government of Pakistan,
in fact, under immense pressure from the IMF, has been trying to impose
VAT, which is neither suitable to our peculiar conditions, nor a model
followed by two very developed countries of Asia, i.e., Japan and Singapore.
It is pertinent to mention that the Board did not bother to study as to which
method of measuring value addition will be workable and how the taxpayers
will be assisted in implementing this rather cumbersome tax in Pakistan. They
thought that by just promulgating the law, VAT would be implemented.
Perhaps this is the worst example of administrative highhandedness and a best
example of the naïve attitude of our tax managers. One is sure that none of the
Board stalwarts is even aware of the following methodologies of measuring
value addition under the VAT regime.
                                        382B
History & Evolution                                        Law & Practice of Sales Tax


1.8 Methodologies to Measure Value Addition
The value added at a particular stage is measured by two alternative
approaches:
       (a) subtraction method, and
       (b) additive method.
Both these approaches are based on the identity that total sale proceeds of a
firm from its output during a given period are equal to the cost of inputs,
wages, rent, interest, depreciation and profits. The Sales Tax Act of 1990
lacks this perspective, which confirms our point that Board at the time of
introducing VAT had no idea about what methodology would be more
suitable for implementing this tax in our peculiar circumstances.
Under the subtraction method, value added is measured by deducting value of
inputs from the value of output (O-I). If the cost of inputs is deducted from total
proceeds, the remainder represents the sum of factor incomes plus depreciation.
Alternatively, additive method adds together various types of factor incomes
generated, and depreciation. In practice, subtraction method is considered
handier and therefore widely relied upon.
There are two ways to compute VAT according to subtraction method. Under
the first method, called the sales less purchases or accounts procedure, the
rate of tax is multiplied by the difference of output and inputs, t (O-I). Under
the second method, called the tax credit or invoice procedure, the product of
the rate of tax and input is deducted from the product of the rate of tax and
output, t (O) – t (I). The latter is most common in practice being the system
applied throughout EEC countries.
The VAT liability of a seller under it is equal to the tax arising from its total
sales minus a credit for the tax paid by it on its purchases. The seller charges
full tax from his buyer but pays to the government the difference between
the tax charged and the one already paid on his (seller’s) inputs. It is now
for Board to amend the law according to what has been elaborated above. They
will have to provide a complete method of VAT-mode accounting procedure. It
alone will help all affected by this tax to shift their existing accounting practices
to conform to VAT methodology. Sufficient time has to be allowed for this shift
as was done in the EEC. However, it is lamentable that the ill-informed Board
officials want to distort VAT and make it a tool for showing higher collections
in order to meet budgetary targets. They should be aware of how much time the
States in the West allowed for this major shift. All of them enforced VAT in a
5-year phased programme, whereas our military rulers, on the instructions of
IMF and World Bank want to do it in a few months time.
It is an astonishing and painful fact that even our political leaders do not have
enough courage to tell IMF and World Bank to behave in a decent manner
while dealing with the people of Pakistan.
                                        383
Law & Practice of Sales Tax                                      History & Evolution


1.9 Treatment of Depreciation under VAT
There are three ways to treat the cost of capital goods whose use in the
production process is spread over time.
1. Since value added is defined as output minus input, it is necessary to
clarify whether input includes depreciation of capital goods. One
interpretation is that it does, i.e. depreciation (also called capital consumption)
is excluded from the value added so that value added reflects the sum of
wages, interest, rent, and profits. This is called the income variant approach
under which the base for taxation is net value added by each producer. The net
value added is defined as gross receipts minus purchases of intermediate
goods and depreciation. This corresponds to the concept of net national
product in national accounting.
2. The second approach is to exclude the cost of capital goods from value
added instead of granting allowance for depreciation over the life of capital
goods, and is called the consumption variant approach. Value added is now
defined as gross receipts minus purchase of intermediate products and capital
expenditure on machinery etc. Since producers are allowed to deduct their
capital expenditure, the base for taxation is restricted to the value of
production of consumer goods only.
3. Lastly, it is possible that the cost of capital goods is not allowed to be
excluded when they are initially purchased and no allowance is made for
depreciation when they are used in production. Value added equals gross
receipts minus the cost of purchasing intermediate goods. In other words, it is
the sum of wages, rent, interest, profits, and depreciation. This may be called
the gross product variant and is the most comprehensive form of VAT. It
corresponds to the gross national product concept of social accounting.
The consumption variant approach permits a firm to deduct purchases of
capital goods (i.e. gross investment) while income variant concept allows it to
deduct depreciation only. In this sense, the base for VAT is bigger under the
income variant than under the consumption variant by the amount of net
investment (gross investment minus depreciation).
In brief,
Income variant                =   Gross receipts – costs of intermediate
                                  goods – depreciation
Consumption variant           =   Gross receipts – cost of intermediate
                                  goods – costs of capital goods
Gross product variant         =   Gross receipts – cost of intermediate goods
It is tragic to note that Board has failed to take into account this very vital part
of VAT mechanism, resulting in continuous litigation between the Sales Tax
Department and the taxpayers. The Sales Tax Act, 1990 is totally silent about
the depreciation factor or cost of capital goods factor in determining the true
value addition under VAT regime. It is an established fact that the
overwhelming majority of officers and staff working in the Sales Tax
Department itself are not aware of even the basic principles of VAT-mode tax.
They are just resorting to administrative highhandedness to enforce a law,
which even they cannot comprehend!
                                       384
History & Evolution                                      Law & Practice of Sales Tax


1.10 Benefits and Limitations of VAT
VAT is a multi-stage tax levied on all stages of production and distribution of
a commodity. It is collected in instalments on the basis of value added at each
stage of production and distribution of a commodity. It is a comprehensive
levy covering almost all production and distribution in its fold. It is different
from excise duties that, in many cases, are selective in nature.
Under VAT, each input is taxed only once. Since an input is taxed only once,
VAT avoids cascading which is the chief disadvantage of the traditional system
of excise and sales taxation. Excise duties, and multi-point sales taxes levied on
gross output, tax the same input repeatedly as goods pass along different stages
of production. This type of taxation encourages vertical integration of
industries, a tendency harmful to the growth of small-scale sector.
Since the cumulative effect of input taxation is absent under VAT, the cost of
production increases by the amount of tax itself. Thus, by preventing
unnecessary cost escalation, VAT promotes competitiveness of domestic
industries in the world market and thereby generates favourable effects on
exports. In the Pakistani scenario, the IMF has neutralized this benefit by
forcing the government to increase the prices of POL and utilities to
ensure that export goods manufactured by the local industry should
remain uncompetitive in the international market.
VAT in its ideal and comprehensive form also has the advantage of being
neutral as between different industries, techniques of production, and business
organizations. Therefore, it does not distort patterns of production and
consumption. However, neutrality of a tax is not always desirable
particularly in the context of an underdeveloped country like Pakistan,
which has to use its scarce resources in the best possible manner.
It can easily be seen from the above account that VAT is suitable to highly
industralised countries, whereas the Pakistani policymakers (sic) did not
bother to study its repercussions for the local industry and economy. They
were more interested to please the IMF to get lucrative jobs and perquisites,
no matter if in the process, the lives of the poor became more miserable. .
1.11 Limitations of VAT
Among the various limitations of VAT, the following are more common:
     * VAT is levied on ad valorem basis and does not admit physical
         output as the basis for determination of tax liability. Excise duties
         may be imposed on ad valorem or specific or ad valorem-cum-
         specific basis, or even in the form of a compounded levy.
     * Ideally, VAT should be imposed at a uniform rate at all stages of
         production and distribution so that tax credit claims can be made
         easily. Excise duties, as also sales taxes, are imposed at different
         rates depending upon the nature of the commodity taxed.
                                        385
Law & Practice of Sales Tax                                       History & Evolution

        * VAT is more suitable under a unitary form of government, i.e.
          under a single tax authority for commodity taxation. In a federation
          like Pakistan where different tiers of government enjoy
          overlapping commodity taxation powers, VAT would be difficult
          to operate due to tax rivalry and lack of co-ordination among
          Federal and Provincial Governments.
1.12 VAT and Evasion
Proponents of VAT claim that evasion under it is difficult and minimal. The
tax credit method ensures cross-checking of the records of taxpayers through
invoices. Buyer firms insist on supplier firms to furnish invoices which help
the former to claim tax credit. Since tax liability of a single taxpayer under
VAT is only a fraction of the total amount of tax, the incentive for evasion is
relatively weak. Even a successful evasion would mean less revenue loss as
compared to the one suffered under a system of turnover (excise or sales) tax
on gross value.
In spite of the self-policing nature of VAT, the experience of Pakistan is quite
contrary where both the taxpayers and the tax officials create a lot of opportunities
for evasion and fraud. In fact, VAT in Pakistan has provided unprecedented
opportunities for fraud (through flying invoices and fictitious claims for refunds)
that are not available under other forms of commodity taxation.
The methods commonly applied to defraud the government under VAT in
Pakistan include, inter alia, the following.
        1. Use of fake invoices (commonly known as ‘flying invoices’) to
             claim tax credit.
        2. Tax credit claims on purchases for personal use.
        3. Over-reporting of sales of zero-rated goods.
        4. Secret deals between buyers and sellers as regards issuance of
             receipts.
        5. Formation of fake companies which sell receipts to traders to
             enable them to claim tax credit on inputs.
In short, the Pakistani mafia, comprising greedy businessmen and corrupt tax
officials, has proved that even a tax like VAT is as prone to evasion and fraud
as any other tax. In other countries it succeeded as they had efficient tax
machineries capable of cross-checking a large number of invoices through an
elaborate computer system, which is a pre-requisite for successful
implementation of VAT. This is precisely what is lacking in Pakistan.
The performance of the special auditors appointed under section 32A of the
Sales Tax Act 1990 is equally disappointing. In fact, they have emerged as
another class of extortionists, who are more interested in minting money than
acting as good professionals. The reports prepared by them, where deals were
                                       386
History & Evolution                                       Law & Practice of Sales Tax

not struck, speak of either incompetence or arbitrariness. Corruption, which
was previously confined to government officials, has now afflicted the
professionals, courtesy an ill-advised decision to delegate essential State
functions to private institutions, which have their own vested interest and
proven record of protecting tax fraud through fictitious audit extended to
business houses. It is really a pathetic state of affairs.
1.13 Administration of VAT
Successful enforcement of VAT requires an elaborate system of book-
keeping, involving numerous computations, at each level of production and,
therefore, may prove very cumbersome for the taxpayers. It calls for
additional and efficient administrative efforts to check and cross-check the
paperwork done by the taxpayers. VAT requires both a collection and a refund
mechanism. Apparently, both collection and compliance costs have a
tendency to increase. We have neither good audit practice nor efficient tax
machinery and yet the Board’s stalwarts (sic) are hopeful to implement VAT
in Pakistan. They perhaps live in a fool’s paradise.
The problems of tax administration are very acute and complex in Pakistan.
Our tax machinery is one of the most inefficient, incompetent and corrupt in
the whole world. Admittedly, accounting practices in Pakistan are least
developed, partly due to very low literacy rate. It is much simpler for firms to
file returns of gross turnover than the VAT returns which require, inter alia,
accounts of taxes paid on inputs. This problem is further compounded because
of the preponderance of small-scale producers and sellers in less developed
economies.
These constraints deprive VAT of its theoretical advantage of automatic cross-
checking to discourage evasion. Lack of proper recording of transactions and the
unmanageable number of small taxpayers engages the administration in a futile
exercise of hide and seek. Extending the VAT system to wholesale stage only and
exempting sectors dominated by small-scale production can partly solve this
problem. For further simplification, VAT may be restricted to the manufacturing
stage. Exclusion of retail and wholesale stages would significantly reduce burden
on the administration without, at the same time, interfering in working out the tax
since they come at the end of the production chain.
The Board stalwarts are not ready to make sales tax a simple tax in Pakistan.
They know that control and corruption lies in the complexities of law, rules
and the SRO system. Successive regimes have failed to understand the modus
operandi of tax bureaucracy, which is becoming an anti-people and anti-
business force with every passing day. The business/industry is facing
unprecedented hardship in managing its tax affairs, courtesy ill-designed,
harsh and illogical tax measures taken by the bureaucrats sitting in the
Ministry of Finance and Board, who are totally ignorant of the fundamentals
of VAT.
                                       387
Law & Practice of Sales Tax                                    History & Evolution

The task of enforcing VAT in Pakistan is very difficult as more than 70 per
cent of its economy is undocumented. Total untaxed part of the overall
economy is 70 percent and, according to the current rate of tax collection, if
the unaccounted economy is taxed then current tax to GDP ratio could jump
from 9.5 percent to 18.9 percent, with an addition of 9.4 percent. Dr. Aqdas
Ali Kazmi, ex-Joint Chief Economist, Planning Commission has stated this in
his research paper Tax Policy and Resource Mobilisation in Pakistan. Dr.
Kazmi has concluded that this 70 percent part of economy consists of 36
percent 'pure' black economy, 18 percent exempted economy, 9 percent illegal
economy, 4.5 percent unrecorded economy and 2.5 percent informal economy
(unreported economy). His study says that the problem in the low resource
mobilisation is the rigid system of taxation, and emphasis of the government
to increase revenue, ignoring the details of long-term policy measures.
It was initially levied at the import and local manufacturing stage but
gradually was extended to wholesale and retail stages (to some extent). All the
governments, civil and military alike, have faced a tough challenge in
extending it to retail stages, as there has been a perpetual and strong resistance
from the Bazarwalas (shopkeepers), who have great shutter power in Pakistan.
VAT, in fact, ensures documentation in an economy that ultimately leads to
better collection of personal taxes which is the main reason why there is so
much resistance against this VAT-type tax in Pakistan. The forces
representing bazaar [different associations of traders] are not willing to come
into proper personal tax net. The traders are not ready to pay personal taxes on
their colossal but undeclared incomes. They know that they can pass on the
burden of sales tax to consumers, but if they do so honestly and record each
and every transaction, their personal incomes in the process will get
documented on which they will have to pay income tax from their own
“pockets”. A perpetual policy of appeasement towards these forces by
successive governments in Pakistan has resulted into many distortions in the
economy forcing the country into lethal debt traps.
While the traders have successfully avoided documentation of their
transactions so far, the corporate sector has suffered irreparably due to heavy
burden of taxes. This has not only resulted in the erosion of tax base but the
State has always tried to compensate this loss by levying taxes on other
entities from whom collection is relatively easier. All along the history of
taxation in Pakistan, the corporate sector in Pakistan remained the target of
extreme highhandedness of the tax authorities and no serious effort was made
to bring into tax net the large population of traders, small businessmen who
otherwise have larger profit margins due to less overhead expenses. This is in
a nutshell the story of failure of the rulers and the tax managers that has
crippled the economy of Pakistan and forced it into debt enslavement, a
phenomenon that is now threatening the very survival of the country. The trio
of corrupt rulers (comprising politicians, civil-military bureaucrats and profit-
hungry traders) is to be blamed for the present state of affairs.
                                       388
History & Evolution                                      Law & Practice of Sales Tax

In recent years, the Board has experimented with different modes of retail
GST. These included: Trade Enrolment Certificates (TECs), Turnover Tax
and the Development Tax. None of them worked. Board failed to collect the
desired revenue despite tall promises by the traders/retailers that through these
schemes the State would secure enormous amounts. Successive governments
in Pakistan, time and again asserted that extending of retail sales tax to all the
exempted areas of economy would ensure its documentation, a much desired
task that is yet to be achieved.
After realising that it might lead to tax revolt in the country, even the strong
military regime decided to save its own skin by striking a deal with the
powerful shutter lobby. Traders/retailers from the very beginning have
maintained that they would not pay sales tax on each and every transaction for
which they were ready to confront even the armed forces and have ultimately
succeeded in proving their strength. “Documentation”, as the regime desired
and propagated, has resulted in yet another unrealised dream. The poor people
of Pakistan are the real losers, being a hapless lot; they have no voice in the
democratic or military eras alike. They have been left to face unprecedented
burden of rising cost of life, as the mighty sections of society are not ready to
pay taxes. They have now not even the slightest doubt about the fact that this
country is only meant for powerful high-ranking civil-military bureaucracy,
corrupt politicians and profit-hungry businessmen.
Pakistan’s tax to GDP ratio is just over 9.5% against an average of around
20% for other developing countries. It is a matter of utter disgrace for the
entire society. We have to improve this situation if want to develop and join
the rank of a respected nation; already the country has suffered irreparable
loss due to policies of appeasement towards the traders in tax matters by
successive governments just to keep their vote bank intact. What was more
shocking was to see that military regimes, having no electoral obligations,
also succumbed to the same pressure.
The study of imposition of retail sales tax in other countries having similar
conditions as prevailing in Pakistan can be useful from the perspective of
policy implementation. For the benefit of readers and Board’s policymakers,
the following is a synopsis of retail GST in a few such countries:
INDIA
India is a Federal State like Pakistan. The Central Government is empowered
to levy taxes as per the entries listed in the First Schedule to the Constitution.
These entries do not include sales tax. Sales tax is a State subject in India,
therefore, each State has enacted its own law to levy sales tax in the concerned
State. Since sales tax is a State subject, the rates of tax vary from State to
State. There is no uniformity regarding levy of sales tax, the procedure for
collection and its administration. However, different States in India levy sales
tax generally in accordance with the following principles:
                                      389
Law & Practice of Sales Tax                                   History & Evolution

       (a) Sales tax is levied at the time of first sales. In other words, when
           the goods are manufactured, the manufacturers charge sales tax to
           the buyer. The buyer fixes its sales price for resale of the said
           product after considering the sales tax that he has paid to the
           manufacturer. In case of a buyer, it is second sale of the same
           product and therefore sales tax is not levied at the time of second
           sale unlike the VAT system.
       (b) When the retailer sells goods to the consumer he fixes his sales
           price depending upon the sales tax he has paid to the manufacturer.
       (c) If the retailer or wholesaler is selling to another person, be it a
           consumer or registered dealer in the same State, sales tax is not
           levied.
       (d) If the buyer is a registered dealer and he has not purchased goods
           from a registered dealer and used the same in his manufacturing
           activity, he has to pay purchase tax on the purchase he has made,
           which is popularly known as purchase tax. However, it is a part of
           sales tax and is levied to check tax evasion.
       (e) There are different rules and regulations for the purpose of levy
           and collection of sales tax. For example, the dealer has to obtain
           sales tax number and thereafter he is considered as a registered
           dealer. The registered dealer has to give different forms to the
           manufacturer. He has to maintain various records and is bound to
           produce the same before the Sales Tax Authority to prove that the
           turnover he has declared is correct and the sales tax is paid
           properly. With a view to increase revenue, the State also levies
           general sales tax on particular items. The procedure is the same.
           The rates of tax for different items are decided in the annual budget
           and they are changed from time to time depending upon the
           requirement of revenue by the State, capacity of the consumer,
           administrative problems etc. For example, everybody including
           poor persons consume salt. To protect the poor, there is no sales
           tax on salt. Further, the rates of sales tax are high on luxurious
           items such as air conditioners, cars etc. The maximum rate of tax is
           on liquor and cigarettes. [In Pakistan neither the Federation
           allows the provinces to impose sales tax within their respective
           territorial jurisdiction, nor are luxury goods subjected to a
           higher rate of tax. The attitude of the Federation is highly
           unjust in view of the country’s federal structure. It proves
           beyond any doubt that so-called slogans of provincial
           autonomy are merely to hoodwink the oppressed people of the
           backward provinces. Recently, the Federal government even
           refused to give their due share in the sales tax collection.]
                                       390
History & Evolution                                      Law & Practice of Sales Tax

        (f) The Central Government has levied Central Sales Tax for the
             purpose of charging sales tax when goods are transferred from one
             State to another. In this case also if certain procedure is followed
             then rates of taxation are less whereas if not followed then they are
             maximum.
       (g) An exceptionally high rate of sales tax is imposed on liquor that is
             42%. The maximum general rate is at 14% and minimum rate is
             2%.
In India all the States and Central Government levied sales tax immediately
after independence in 1947. The main source of revenue in each State remains
sales tax. India has completed 55 years of imposition of sales tax, therefore,
the business community and consumers are well accustomed with it. VAT is
not yet introduced in India. Recently, the Central Government has taken the
initiative to introduce VAT phase wise. As a first step the Central Government
has tried to enforce uniform rates of sales tax in all the States, some of which
have started following and some are yet to follow. From the year in which
sales tax is levied documentation is also compulsory. Since the assessment has
to be made on the basis of documents maintained by the dealer, the Act and
Rules provide for the maintenance of records and different forms.
As regards rates of sales tax on different items, it varies from item to item as
may be decided by the Annual Budget from time to time. However, at present
the maximum rate is 14% and minimum rate is 2%. In case of liquor the rate
of sales tax is 42%. If more revenue is needed, surcharge on sales tax is levied
for a temporary period. Similarly, relief is also given occasionally depending
upon the economy needs, promotion of industry and commerce and business
etc. Many States have levied professional tax for augmenting the revenue of
the State. Professional tax is levied on professionals like Advocates, Chartered
Accountants, Doctors, Consultants, and Businessmen etc.
BANGLADESH
Pakistan is struggling hard to properly impose GST or VAT at the retail stage,
whereas its former East wing, after independence in 1971, successfully
introduced, first GST and then VAT on goods and services. Comparative
study of this levy in both the countries shows that Pakistan lacked a political
will for such taxation and successive governments acted in self-interest to
appease the shutter power.
In Bangladesh from 30th June 1982 to 30th June 1991, a combination of a
sales tax and a business turnover tax was imposed. The Value Added Tax Act
of 1999 abolished the Sales Tax Ordinance of 1982 and the Business Turnover
Tax Act 1982. The VAT legislation effective from July 1, 1991 has the
following features:
        * It is based on consumption.
                                     391
Law & Practice of Sales Tax                                 History & Evolution

        * It uses the invoice or tax credit method designed to tax consumer
            goods rather than capital goods.
        * It applies on imports and not exports.
        * A single-stage VAT on importation, manufacturing and services at
            a uniform rate of 15%.
        * VAT for wholesalers and retailers is optional.
        * It is applicable to all goods except some unprocessed agricultural
            products and listed services.
        * Exports are zero-rated.
        * VAT is levied at the time of supply of goods and services.
        * Cottage industries are exempt from it.
        * Tax paid on inputs is creditable against output tax.
        * Luxury and socially undesirable goods are subject to
            supplementary duties at different rates ranging from 10% to 300%.
It has partially replaced the excise tax on the domestic production and has
completely replaced sales tax on imports. The taxpayers are required to
register before commencement of business. Maintenance of the following
books of accounts is mandatory:
     1. Sales book
     2. Purchase book
     3. Current books of accounts
Each taxpayer is required to submit a tax return for every tax period (each
calendar month) within twenty days of the month following the tax period.
Records have to be retained and made available for inspection on demand for
a period of six years from the end of every tax period. Same procedure applies
to VAT on services.
SINGAPORE
On 1st April 1994, tax on services and goods was introduced in Singapore. It
was implemented without any resistance or reluctance from the taxpayers.
This tax on goods is not VAT, but a simple General Sales Tax payable at retail
level @ 3%.
In a country, where literacy rate is as high as 97% and development is one of
the best in Asia, there was no desire to introduce Value Added Tax (VAT) on
goods. The Government of Pakistan, in fact, under immense pressure from the
IMF, has been trying to impose VAT, which is certainly not suitable to our
peculiar conditions, nor is adoption of the model followed by two very
developed countries of Asia, i.e., Japan and Singapore.
                                     392
History & Evolution                                    Law & Practice of Sales Tax


THAILAND
There is 7% VAT on retail trade in Thailand (from 2001 it has increased to
10%). Introduced in Thailand in 1992, VAT is not only a main source of
income for the government but has also boosted the country’s economy.
MALAYSIA
The Malaysian government introduced 5% service tax on goods and services
more than a decade back. Taxes on various goods and services were
progressively extended from time to time while income tax was progressively
reduced. Small businesses having a turnover of less than RM30 k to 500k
were exempt from imposing and collecting the tax. Further tax was paid on a
receipt basis and paid once in 2 months. Where debts were not collectible after
due legal recourse tax is waived. There is a gradual shift from income tax to
service tax to encourage people to earn and pay tax as they spend. The range
of products and services are be increased together with the rate of tax. The
gradual shift from income tax to service tax has encouraged investment
thereby contributing to the economy through employment etc.
MAURITIUS
The country has a Value Added Tax on goods and services. It came into
operation in 1998. Prior to its introduction, sales tax @ 8% on goods was
introduced in 1982, a large number of small traders are not concerned with
VAT as only those having an annual turnover in excess of Rs. 4.0 million
have to register with the VAT office. Sales tax of 5% was introduced in 1982.
The present rate of VAT is 10%.
INDONESIA
VAT is charged on transfer of imported and manufactured goods and the
provision of services. The normal rate is 10% that may be reduced to 5% or
increased to 15%; further, special rates of output VAT, ranging from 1% to
8.2% may also apply.
Various exemptions and deferments apply.
Excess of output VAT over input VAT is paid by the 15th of the following
month. A monthly VAT return is required to be lodged by the 20th of the
following month. The government has prescribed procedure to claim a refund
of overpaid VAT. An administrative penalty of 2% of the VAT base is
imposed under certain conditions.
Sales tax on luxury goods is levied at the rate of 10%, 20%, 25% and 35% on
imported and domestically produced luxury goods as stipulated by the
Ministry of Finance. This tax is a single-stage tax levied ether on transfer by
the manufacturer or on importation into the customs territory of Indonesia.
Exports and certain imports are exempt. This tax is levied in addition to VAT.
                                     393
Law & Practice of Sales Tax                                  History & Evolution


PHILIPPINES
The VAT regime in the Philippines, effective from 1st January 1988, is
governed by Title IV (Value Added Tax) of the National Internal Revenue
Code (hereinafter NRIC), as amended by Executive Order No. 273
(hereinafter EO No. 273). With effect from 1st January 1996, the Expanded
VAT Law (Republic Act No. 67716) extended the scope of VAT to most
services and the sale or lease of real property.
Generally, all persons who, in the course of their business, sell goods or
render services subject to VAT are required to register as VAT taxpayers if
the aggregate amount of their actual or expected gross sales or gross receipts
exceeds PHP 200,000 for any 12-month period.
VAT is levied on the sale, barter or exchange of goods within the Philippines,
the importation of goods into the Philippines and the rendering of services
within the Philippines. VAT is imposed at the rate of 10%. However, various
transactions are either zero-rated (for example, export sales) or are exempted.
VIETNAM
Value Added Tax
There is no value added tax.
Turnover Tax
Enterprises and individuals engaged in production, construction,
transportation, commerce, provision of services and other business, which
have turnover, must pay turnover tax which is computed as follows:
                             Turnover tax = A x B
Where:
A = Total turnover (most businesses pay tax on gross sales; however, different
     tax bases may apply)
B = Tax rate
Tax rates for foreign bank branches and joint venture banks on net turnover
are as follows:
Taxable activity                                             Tax rate (%)
Professional banking services                                     6.0
Gold and precious stone transactions                             15.0
Foreign exchange operations                                      25.0
Stock and bond transactions                                      25.0
Rates for other entities or activities are as follows (the highest rate will be
imposed when a taxable entity which conducts more than one taxable activity
does not segregate the turnover for each activity):
                                     394
History & Evolution                                   Law & Practice of Sales Tax

Taxable activity                                            Tax rate (%)
Real estate (including housing construction)                      4.0
Trades in foreign currency                                        0.5
"Special" services:
— dancing                                                        30.0
— horse-racing                                                   20.0
— lotteries                                                      30.0
services in mountainous regions:
— transportation and other agencies                              15.0
— gold                                                           20.0
Publishing:
— books                                                        0.0 - 1.0
— films, videos, etc.                                          1.0 - 2.0
Fabrics and textiles                                           2.0 - 5.0
Pulp and paper products                                         1.0 - 4.0
Cement                                                         3.0 - 10.0
Manufacturing and assembling electronic equipment                  4.0
Mechanical production                                              8.0
Chemical products                                                  7.0
Construction materials                                             5.0
Businesses exempt from turnover tax are: agricultural production, which is
subject to separate agricultural taxes; the production of commodities, which
is subject to special sales taxes; and the production of goods for export. A
maximum reduction of 50% is granted for 2 years to: businesses operating in
mountainous areas, deep sea fishing, scientific research, the development of
new technology, newly established companies, companies involved in
import substitution and businesses incurring losses as a result of natural
disaster, war or some other contingency. Businesses operating on
mountainous islands are eligible to be considered for a maximum reduction
of 50% for 3 years.
A taxable entity must register with the Tax Officer no less than 5 days before
the commencement of operations. Within 5 days of the end of every month, a
turnover declaration must be submitted even if there was no turnover for that
month. The tax may be paid in Vietnamese or foreign currency, regardless of
the currency in which the turnover is earned. Where a foreign company sells
goods into Vietnam through an agent in Vietnam, the agent is required to
withhold turnover tax at the applicable rates.
                                       395
Law & Practice of Sales Tax                                    History & Evolution

Special Sales Tax
An enterprise which is subject to special sales tax (SST) is not liable for
turnover tax when goods are sold. Enterprises that manufacture tobacco
products, spirits and alcohol, and firecrackers must pay SST on those products
at rates ranging from 15% to 100%. The tax base is the quantity of taxable
goods sold and their taxable value (i.e. sale price at the place of production,
excluding SST). Exemptions may be granted for goods manufactured for
export, or if production is adversely affected by natural disaster, war or some
other contingency. 30% reduction may be available for 2 years for new or
expanded enterprises which use new technology. If losses arise because of
force majeure or some other unforeseen circumstances, a 50% reduction
(which must not exceed 30% of the losses) is granted for 180 days.
Comparative study of above countries shows that the levy of VAT mode retail
sales tax in Pakistan has become a controversial issue due to the impractical
approach of tax administrators. This tax was introduced successfully in a
number of undeveloped countries without any difficulty. In Bangladesh,
Indonesia, Philippines, Thailand and Mauritius even VAT was imposed
without any difficulty. In fact, it was shortsightedness and highhandedness of
the Board’s stalwarts (sic), who forced the traders/shopkeepers towards
strikes. Firstly, they never bothered to do any homework before introducing
VAT type tax; secondly they never bothered to elicit the opinion and
consensus of the business community. They tried to follow the European
model of VAT in Pakistan without realising the following problems, which
are peculiar and distinguishable in our socio-economic milieu:
     1. Widespread illiteracy.
     2. Lack of monetization and poor accounting practices.
     3. Corrupt and inefficient tax apparatus.
It has been pointed out by the tax experts in Pakistan time and again that the
Government must realise that single-stage retail tax (at a low rate of 2 to 3 per
cent) will be less cumbersome for all. The Board’s vested-interests want to
keep sale tax procedures complex and cumbersome so that they retain
complete “authority” (the underlying aim is to have leverage for corruption
and highhandedness). Sections 8A and 38B inserted by the Finance Act 2006
testify to this mentality.
1.14      Global Overview of General Turnover Taxes and Tax
          Rates
     Most countries apply a general turnover tax, i.e. a tax on essentially all
goods and services supplied by manufacturers, traders and services providers,
even though specific goods and services may be exempt from tax. Turnover
tax applied by the majority of those countries is VAT, i.e. a tax collected at all
stages of production and distribution, accumulation of the tax being prevented
by allowing taxable persons to deduct tax that they incur on their inputs from
                                        396
History & Evolution                                       Law & Practice of Sales Tax

the tax they collect on their outputs. Exports of goods and services are
generally within the scope of VAT, although they are commonly zero-rated.
On the other hand, imports of goods and services are subject to tax to ensure
the neutrality of the tax system.
     A minority of countries apply retail taxes, i.e. single-stage taxes on goods
and services supplied at the retail stage to domestic final consumers. Imports
of goods and services by final consumers may be within the scope of retail
taxes but exports are generally outside the scope.
     The following is an overview of general turnover taxes, excluding taxes
that apply to specific goods only, such as excise duties on, for example,
tobacco products, alcohol, mineral oils etc., distinguishing between VAT
(column 1) and retail taxes (column 2). Where taxes are levied under
generally used names or abbreviations, those names or abbreviations are
shown in the first two columns. Note that although “sales tax” commonly
refers to a retail type of tax, it may, in specific countries (e.g. Pakistan), refer
to a VAT type of tax.
     Columns 3, 4 and 5 show the standard, reduced and increased rates
respectively, applicable on 1st January, 2007.
     The standard rate is the rate that generally applies, unless the legislation
explicitly lays down that specific goods and services are subject to different
(reduced or increased) rates. Where insufficient information is available to
distinguish the standard rate from the reduced and increased rates, columns 3
and 4, or 3, 4 and 5 are merged into a single column showing the range of tax
rates.
     Where column 3 (standard rate) is subdivided, for example for Canada
and United States, the (federal) rates in the first sub-column must be added to
(provincial or state) rates in the second sub-column.
     Normally, tax rates apply to a taxable amount exclusive of the tax. In this
respect, Bolivia is an exception: the officially listed tax rate of 14.943%
applies to the taxable amount inclusive of IVA, which corresponds to 13%
(14.943/114.943) of the taxable amount exclusive of IVA.
     Compilation of this overview required an enormous research effort that
had to be competed in a relatively short period of time, for which we are
highly indebted to International Bureau of Fiscal Documentation (IBFD, see
details at www.ibfd.org). It is based on information from various sources with
different levels of dependability and accuracy. Although we realize its
shortcomings, yet we find this worth publishing for various reasons. It may
not only provide you with a useful overview of the turnover taxes and tax
rates around the world, but it may also induce you to send us your comments
contributing towards an improved, updated overview that we intend to publish
next year.
                                     396A
Law & Practice of Sales Tax                                History & Evolution



                                     396B
History & Evolution                                  Law & Practice of Sales Tax



                                     396C
Law & Practice of Sales Tax                                History & Evolution



                                     396D
History & Evolution                                  Law & Practice of Sales Tax



                                     396E
Law & Practice of Sales Tax                                History & Evolution



                                     396F
History & Evolution                                  Law & Practice of Sales Tax



                                     396G
Law & Practice of Sales Tax                                History & Evolution



                                     396H
History & Evolution                                  Law & Practice of Sales Tax



                                     396I
Law & Practice of Sales Tax                                History & Evolution



                                     396J
History & Evolution                                  Law & Practice of Sales Tax




                              [Insert chart here]

 Note: Pages 396A to 396J consisting tables are direct film from IBFD book.
                                        397
Law & Practice of Sales Tax                                         Basic Concepts




   2          Basic Concepts

Understanding of Sales Tax Act requires comprehension of certain basic concepts
[defined in section 2] having direct bearing on CHARGEABILITY [section 3].
The charging section 3 is made “subject to the provisions of this Act” meaning
by that it has to be read with reference to other provisions and not in isolation.
The subservience of the charging section to other provisions of the Act signifies
inter alia the following:-
        1. The goods and persons chargeable to tax must come within the
             letter of this section. In taxing statutes there is no room for any
             intendment – (1991) 64 TAX 60 (H.C. Kar.). The charging section
             must be construed strictly and onus lies on the Department to show
             that the person whom it sought to tax, falls clearly within its
             operation – 1 ITC 172 (Madras) & 1 ITC 189 (Lahore). In case a
             person or a transaction falls outside the ambit of the charging
             section no tax can be levied or collected. The rule of strict
             interpretation of fiscal statutes applies more than anything to the
             charging section. No taxation without express words is the basic
             principle – 1 ITC 37 (Madras).
        2. In calculating tax liability all the provisions of the Act will apply
             as this section is subject to other provisions. Charging section and
             subsequent provisions enable the liability only to be quantified –
             (1980) 42 TAX 59 (H.C. Lah.).
        3. Liability is definitely and finally created by the charging section
             and all the essential requirements for ascertaining it are available in
             the machinery provisions.
The following concepts are important to understand the charging section:
         * “Taxable supplies” [section 2(41)] read with “supply” [section
             2(33)]
         * “Registered person” [section 2(25)]
         * “Taxable activity” [section 2(35)] read with “taxable supply”
             [section 2(41)]
         * Time of supply [section 2(44)]
The charge of 15% sales tax, subject to certain exceptions and exemptions
given in the Act itself, is in respect of “taxable supplies” as defined in section
2(41) of the Act. (Chapter 3 elaborates scope and spectrum of charge of sales
tax).
                                      398
Basic Concepts                                          Law & Practice of Sales Tax

A cursory reading of the expression “taxable activity” and “taxable supply”
reveals that the Act imposes liability on an importer, manufacturer, wholesaler
(including dealer), distributor and retailer in respect of supply of taxable
“goods” in the furtherance of any “taxable activity”. Chargeability thus
cannot be understood unless the concept of goods is properly comprehended.
Following is a detailed discussion regarding the significance and import of
this term under the Act:
2. GOODS UNDER THE ACT [SECTION 2(12)]
2.1 Sales tax liability is on ‘goods’.
Section 2(12) of the Act defines ‘goods’ to “include every kind of movable
property other than actionable claims, stocks, shares and securities”. This
is an inclusive definition and in addition to generally accepted meaning of this
word includes and excludes certain things as mentioned above. It specifically
excludes immovable property, actionable claims, stocks, shares and securities,
even though these may be covered in this expression. Goods include uprooted
trees, second-hand goods, rejected goods, worn out goods etc.
2.2 Definition of ‘goods’ as per Constitution.
Article 260(1) of the Constitution states that: ‘Goods’ includes all materials,
commodities and articles. This definition is very wide. However, the term
‘goods’ used in Sales Tax Act is not as wide as it is defined under the
Constitution.
2.3 Goods of intangible character are ‘goods’.
Goods of incorporeal or intangible character can be liable to sales tax. Thus,
following have been held as goods liable to sales tax:
LOTTERY TICKETS – Though ‘lottery ticket’ is not a physical article, it
evidences right to participate in a draw and hence are goods capable of being
bought and sold in the market – H Anraj v. Government of Tamilnadu (1986)
61 STC 165 (SC) = AIR 1986 SC 63 = 1985 Suppl (3) SCR 342.
SALE OF COPYRIGHT – Corporeal right of copyright is hence ‘goods’
exigible to sales tax.
ADVANCE LICENCES – REP licences have their own value. They are bought
and sold as such. It is by itself a property. For all purposes and intents, it is
‘goods’. – Vikas Sales Corporation v. CCT (1996) 4 SCALE 622 = (1996) 22
CLA 298 = AIR 1996 SC 2082 = (1996) 102 STC 106 (SC) = (1996) 86
Taxman 369 (Mag) (SC 3 member bench). REP Licences which can be sold in
market at premium are ‘goods’ – Bharat Fritz Verner Ltd. v. Commissioner of
Commercial Taxes (1992) 86 STC 170 (Kar HC) affirmed in 86 STC 175 (Kar
HC DB), P S Apparels v. Dy CTO (1994) 94 STC 139 (Mad HC DB), Hermant
Spices v. ACST (1994) 95 STC 336 (Ker HC). Thus, VABAL (Value Based
                                       399
Law & Practice of Sales Tax                                         Basic Concepts

Advance Licence), QBAL (Quantity Based Advance Licence) and SIL (Special
Import Licences) which can be sold at premium can be taxed.
COMPUTER SOFTWARE – Standard Computer software which is available
off the shelf is ‘goods’ for purpose of sales tax. Floppies and manuals are sold
as merchandise. Standard software can be stocked, sold, exported, imported
etc. Discount is offered just like any other merchandise. However, customized
software prepared on the basis of requirements of a particular customer stands
on different footing. Here, it is a contract involving exercise of skill, acumen
and labour to cater to the needs of a specific customer. Here supply of
material (i.e. floppy on which the programme is loaded) is only incidental to
the contract. The floppy is used only as a medium to supply the services.
Hence, this cannot be subject to sales tax.
2.4 No tax on immovable property
Section 3(25) of General Clauses Act,1897 defines that ‘immovable property’
shall include land, benefits arising out of land and things attached to the earth
or permanently fastened to anything that is attached to the earth. However, as
per section 2(7) of Sales of Goods Act, goods include standing crop, grass and
things attached to and forming part of the land, which is agreed to be severed
before sale or under contract of sale.
2.5 Standing trees are not goods
Standing trees are not ‘goods’ and not taxable. However, standing timber will
be taxable under the Act if timber is identified, contract is unconditional and
timber is in deliverable state. In such case, it is ‘movable property’ and hence
‘goods’ can be taxed. – State of Orissa v. Titaghur Paper Mills Co. Ltd.
(1985) 60 STC 213 (SC).
2.6 Steam, electricity energy, copyright, animals and birds in
    captivity are “goods”
Goods includes all movable property. It includes steam – Nizam Sugar
Factory Ltd. v. CST (1957) STC 61 (AP HC), electrical energy – CST v. MP
Electricity Board (1970) 25 STC 188 (SC), animals and birds in captivity – K
J Abraham v. Asst. STO (1960) 11 STC 291 (Ker HC).
2.6.1 Gas and steam.– In Eric Country Natural Gas and Fuel Co Ltd v.
Carrol, a question arose as to the measure of damages for a breach of contract
to supply gas. Lord Atkinson, delivering the judgment of the Privy Council,
applied the same rule which is applicable where the contract is one for sale of
goods. In other words gas was treated to be “goods”. If gas is “goods” there is
no reason why steam should not be considered as goods. Steam is certainly a
tangible property as it is visible, it has weight and it can be felt at any rate to
the detriment of the person venturing to feel it.
                                       400
Basic Concepts                                            Law & Practice of Sales Tax

2.6.2 Sale of electricity.– Electricity is capable of abstraction, consumption
and use. It can be transmitted, transferred, delivered, stored, possessed et
cetera in the same way as any other movable property. In Banjmin on Sales
Tax, 8th Edition, electric energy is assumed to be “goods”.
The term “movable property” when considered with reference to “goods” as
defined for the purposes of sales tax cannot be taken in a narrow sense and
merely because electric energy is not tangible or cannot be moved or touched
like, for instance, a piece of wood or book, it cannot cease to be movable
property when it has all the attributes of such property. It is capable of
abstraction, consumption and use which, if done dishonestly, would attract
punishment under section 39 of Electricity Act, 1910.
2.6.3 Copyright.– The mere sale of a film regarded as material to another
person by the owner of the copyright would count for nothing at all unless
there is conferment of right to exploit the film. In a transaction of this kind, it
is this latter right which is more valuable and the supply of the film is
ancillary to the exercise of that right. Even if copyright is regarded as a
species of movable property, the transactions in question do not connote sales
at all. Since no element of sale is involved, the taxing provisions have no
application at all.
2.6.4 Sale of birds in captivity.– Animals and birds in captivity (monkeys,
cuckoos and parrots) are movable property, hence qualify as “goods”.
2.7 Actionable claims, money, stocks and shares and securities
    are not goods within the scope of this Act.
2.7.1 Actionable claim has been defined under Section 3 of the Transfer of
Property Act of 1882:
     “Actionable claim” means “a claim to any debt, other than a debt secured
     by mortgage of immovable property or by hypothecation or pledging
     movable property, or any beneficial interest in movable property not in
     the possession, either actual or constructive, of the claimant, which the
     Civil Courts recognize as affording grounds for relief, whether such debt
     or beneficial interest be existent, accruing, conditional or contingent.
Chief instances of actionable claims are:--
       (a) Claims for rent
       (b) A future claim for rent, being an accruing debt.
       (c) The benefit of an executory contract for the purpose of goods is a
            beneficial interest in ‘movable property’ and is therefore an
            actionable claim within the meaning of this section.
       (d) A right to get by division a piece of land reserved by a donor for
            his own use in his deed of gift (but possession of which was with
            the donee) is an actionable claim.
                                       401
Law & Practice of Sales Tax                                        Basic Concepts

The transfer is governed by sections 130 to 137 of that Transfer of Property Act.
2.7.2 Money stocks, shares and securities: Money.—In Empress v.
Jugesure Mochi [3 Calcutta 379; 18 P.R. 1905], money was defined as
under:--
     “Money means and includes not only coins but also bank notes,
     Government promissory notes, bank deposits and otherwise and generally
     any paper, obligation or security that is immediately and certainly
     convertible into cash so that nothing can interfere or prevent such
     conversion.”
Money is not goods which can be inspected by the inspector. Section 2(7) of
the Sale of Goods Act, 1930 specially excluded money in the definition of
“goods”. In a sale, the goods and the price are contrasted, and wholly different
considerations apply to them. “Goods” does not include money and emblems
of money constituting “legal tender”, such as currency notes.
2.7.3 Security.– According to section 2(a) of the Securities Act of 1920, a
security is a marketable deed or document that endeavours to secure against
pecuniary loss, e.g., bearer bonds, stock certificates, treasury bills, etc.
Currency notes are not covered under this definition.
2.7.4 Shares.– Under section 2(16) of the Companies Ordinance 1984,
“share” means shares in the share capital of the Company, and includes stock
except when a distinction between stock and share is expressed.
A share is the interest of a shareholder in the company measured by a sum of
money, for the purpose of liability in the first place, and the interest in the
second, but also consisting of a series of mutual covenants entered into by all
the shareholders inter se in accordance with the Companies Act, 1984. The
contract contained in the articles of association is one of the original incidents
of the share. A share is not a sum of money settled in the way suggested, but
is an interest measured by a sum of money and made up of various rights
contained in the contract, including the right to a sum of money of a more or
less amount.
The word “share” as pointed out by Gower in his book on Modern Company
Law, Third Edition at page 344:
            “has become something of a misnomer for share. Holders no
            longer share any property in common, at the most they share
            certain rights in respect of dividends, return of capital on a winding
            up, voting and the like.”
2.7.5 Stock and share – Distinction.– The difference between stock and
shares is that shares are not necessarily paid up whereas stock can exist only
in the paid-up state, and that shares cannot be bought or sold in fractions
whereas the consolidated stock of company can be split up into as many
                                        402
Basic Concepts                                             Law & Practice of Sales Tax

portions as one likes and bought or sold in such fractions. Otherwise stock is
just like shares; it is simply a set of shares put together in a bundle.
2.7.6 Stock – Meaning of.– According to section 2 of the Trustees Act (Act
XXVII of 1866) “stock means:–
            “any fund, annuity or security transferable in books kept by any
            company or society established, or to be established or transferable
            by deed alone, or by deed accompanied by other formalities, and
            any share or interest therein. It also includes share in ships
            registered under the Merchants Shipping Act, or any part in
            Pakistan”.
2.8 Ships
A ship is clearly a chattel personal, but it is governed by so many special rules
that it is doubtful how far it comes under the denomination of “goods” for the
purpose of the Sale of Goods Act. But unless, and except in so far as there is
some provision to the contrary, the Sale of Goods Act appears to apply.
2.9 Lottery tickets are “goods”
If an incorporeal right like copyright or an intangible thing like electric energy
can be regarded as goods exigible to sales tax there is no reason why the
entitlement to a right to participate in a draw which is beneficial interest in
movable property of incorporeal or intangible character should not be
regarded as “goods” for purpose of levy of sales tax.
2.10 Bank lockers are not “goods”
The extended meaning of supply (which includes all kinds of sales) in section 2(33)
of the Act takes in any transfer of the right to use any goods for any purpose for
cash, deferred payment or valuable consideration. But the return that is being
received by the bank is not from the exercise of property rights over the bank
locker only but is derived from rendering various services along with a limited right
to use the bank locker. The subject which is hired out is a complex one.
2.11 Incomplete film is “goods”
An incomplete film is certainly goods for the purpose of the Act.
2.12 Chambers, cupboards and electrical fittings were not
     permanently fastened and were “goods”
Electrical fittings, cupboards and fixed installations being chambers, are
immovable property and therefore “goods” within the meaning of the Act, 1941.
2.13 Hoardings leased out for advertisements are “goods”
On consideration of the definition of the term “immovable property” in
several Acts as well as the definition of the word “goods” in section 2(7) of
the Sale of Goods Act, 1930, it can be inferred that the hoardings and other
                                       403
Law & Practice of Sales Tax                                        Basic Concepts

erections made by a taxpayer for leasing them out to persons or companies for
advertisement of their products are “goods” and not immovable properties.
Since these are goods thus liable to tax under the Act.
2.14 “Supply” as defined in the Act [2(33)]
The definition of “supply” with a view to levy sales tax is at the core of the
Act. Section 2(33) reads as under:
    “(33) “supply” includes sale, lease or other disposition of goods carried
             out for consideration and also includes–
            (a) putting to private, business or non-business use of goods
                 acquired, produced or manufactured in the course of business;
           (b) auction or disposal of goods to satisfy a debt owed by a person;
                 and
            (c) possession of taxable goods held immediately before a person
                 ceases to be a registered person:
                 Provided that the Federal Government, may by notification in
                 the official Gazette, specify such other transactions which shall
                 or shall not constitute supply;”
The following items have been specifically excluded from the scope of term
supply through SRO 445(I)/2004, dated 12.06.2004, issued with Finance Bill,
2004:
     “S.R.O. 445(I)/2004, Islamabad, 12th June, 2004.- In exercise of the
powers conferred by the proviso to clause (33) of section 2 of the Sales Tax
Act, 1990, the Federal Government is pleased to specify that the following
types of transactions shall not constitute supply, namely:-
      (a) forward transactions of commodities at the National Commodity
             Exchange Limited; and
      (b) goods delivered under a Murabaha financing arrangement to or by
             a bank or a financial institution approved by the State Bank of
             Pakistan or the Securities and Exchange Commission of Pakistan,
             as the case may be.”
2.14.1 What is sale.– According to Blackstone, “sale or exchange is a
transmutation of property from one man to another, in consideration of some
price or recompense in value”. In Halsbury’s Laws of England, Second
Edition, Volume 29, page 5, para 1 the following definition is provided–
             “Sale is the transfer of the ownership of a thing from one person to
             another for money or price where consideration for the transfer
             consists of other goods, or some other valuable consideration, not
             being money, the transaction is called exchange or barter; but in
             certain circumstances it may be treated as one of sale.”
                                      404
Basic Concepts                                          Law & Practice of Sales Tax

The law relating to contracts of exchange or barter is undeveloped but courts
seem inclined to follow the maxim of Civil Law, permutation vicina est
emptioni, and to deal with such contracts as analogous to contract of sale. It is
clear, however, that statutes relating to sale would have no application to
transfer by way of barter”.
‘Sale’ is the exchange of property for a price. It involves the transfer of
ownership of a thing sold from the seller to the buyer. Sale is effected by offer
and acceptance of ascertained goods for a price or of a price for ascertained
goods, together with payment of the price or delivery of the goods; or with
tender, part payment, earnest or part delivery; or with an agreement, express
or implied, that the payment of delivery or both shall be postponed. Where
there is a contract for the sale of ascertained goods, the property in the goods
sold passes to the buyer when the whole or part of the price, or when the
earnest, is paid, or when the whole or part of the goods is delivered. If the
parties agree expressly, or by implication, that the payment or delivery or both
shall be postponed, the property passes as soon as proposal of sale is accepted.
[Sections 77 and 78 Contract Act IX of 1872]. See also 1982 SCMR 522;
1983 CLC 1899; 984 SCMR 94; 1985 CLC 1112; PLD 1985 Lah. 637;
PLD 1986 AJ&K 196; PLD 1986 SC 499; 1987 PTD (Trib.) 720; 1987
CLC 1891; 1988 CLC 855; PLD 1989 Lah. 73; 1990 ALD 515 (2); 1992
SCMR 417; 1991 PTD 478.
Sale is a transfer of ownership in exchange for a price paid or promised. Such
transfer, in the case of tangible immovable property of the value of one
hundred rupees and upwards or in the case of a reversion or other tangible
thing can be made only by a registered instrument. In the case of tangible
immovable property of a value less than one hundred rupees, such transfer
may be made either by a registered instrument or by delivery of the property.
Delivery of tangible immovable property takes place when the seller places
the buyer or such person as he directs, in possession of the property--AIR
1945 All. 135.
Sale, in Entry 48, List II, Sch. VIII of the Government of India Act, 1935, was
restricted to enacting legislation imposing tax liability in respect of sale of
goods as understood in the Sale of Goods Act, 1930 and the Provincial
Legislature under the Government of India Act, 1935, had no power to tax a
transaction which was not a sale of goods as understood in the Sale of Goods
Act, 1930, the extended definition which includes consumption by a retail
dealer himself of motor spirit or lubricants sold to him for retail sale was
beyond the competence of the State Legislature--68 Cal. WN 998.
Supply being an expression of general nature, connotes the availability of
aggregate of things needed and demanded for a given use or purpose and thus
includes sales as well as purchase--CIT vs. Prime Dairies Ice Cream Ltd.
1999 PTD 4147 (H.C. Lah.).
                                      404A
Law & Practice of Sales Tax                                        Basic Concepts

In Chalmer’s Sale of Goods Act, 12th Edition, it is stated at page 3 “that
essence of sale” is the transfer of the property from one person to another for
price” and at page 6 it is pointed out that “where the consideration for transfer
consists of the delivery of goods, the contract is not a contract of sale but is a
contract of exchange or barter”. In Corpus Juris, Volume 55, page 36, the law
is thus stated:
             “Sale” in legal nomenclature, is a term of precise legal import,
             both at law and in equity, and has a well defined legal
             signification, and has been said to mean, at all times, a contract
             between parties to give and pass rights of property for money
             which the buyer pays or promises to pay to the seller for the things
             bought and sold.”
It is added that the word “sale” as used by the authorities “is not a word of
fixed and invariable meaning, but may be given a narrow or broad meaning,
according to the context”. In Williston on Sales, 1948 Edition, “Sale of
goods” is defined as “an agreement whereby the seller transfers the property
in goods to the buyer for a consideration called the price” (page 2). At page
443, the learned author observes that: “it has doubtless been generally said
that the price must be payable in money” but expresses his opinion that it may
be any personal property. In the Concise Oxford Dictionary, “sale” is defined
as “exchange of a commodity for money or other consideration, selling” [see
also State of Madras v. Gannon Dunkerley & Co (Madras) Ltd (1958) 9 STC
353, pp 362, 363 (SC)].
The expression “sale of goods” in the Constitution is a nomen juris, its
essential ingredients being an agreement to sell movables for a price and
property passing therein pursuant to that agreement. In a building contract
which is one, entire and indivisible and that is its norm, there is no sale of
goods, and it is not within the competence of the Provincial Legislature under
Entry 48 of List II of Schedule VII, Government of India Act, 1935, to impose
tax on the supply of materials used in such a contract treating it as a sale. [See
State of Madras v. Gannon Dunkerley & Co (Madras) Ltd (1958) 9 STC 353,
pp 362, 363 (SC) pp. 386, 387].
Essential elements of sale are (a) there must be transfer of goods (b) general
property in the goods should be transferred to buyer from seller (c)
consideration i.e. price must be paid or agreed to be paid. (d) there must be
two parties – buyer and seller (e) valid mutual consent of both parties is
essential. – Bhopal Sugar Industries Ltd. v. D P Dube (1963) 14 STC 406
(SC), similar views in Dy. CTO v. Enfield India Ltd. Coop. Canteen Ltd.
(1968) 21 STC 317 (SC) = AIR 1968 SC 838. In this case, it was held that the
words ‘sale of goods’ used in entry 54 of List II of Constitution has the same
meaning as ‘sale of goods’ under Sale of Goods Act, 1930.
                                      404B
Basic Concepts                                          Law & Practice of Sales Tax

In State of Tamilnadu v. Sri Srinivasa Sales Corporation 1996 (7) SCALE
421 (SC), it was held – ‘In order to constitute a sale under the Sale of Goods
Act, it is essential to establish that there is an agreement between the parties
for transfer of title to the goods and that such agreement should be supported
by money consideration and as a result of the transaction, the goods, article or
the property must actually pass to the purchaser. It is settled law that the
expression ‘sale’ under the Sales Tax Act has to be understood with reference
to the definition of ‘sale of goods’ under the Sale of Goods Act. But, if the
title of goods passes without any contract between the parties, express or
implied, there is no sale. Similarly, if the consideration of the transfer is not
money, but some other valuable consideration, it may amount to exchange or
barter but not sale in the strict sense of the law for the purposes of taxation’.
SALE MUST BE A COMPLETE SALE – In TISCO v. S R Sarkar – (1960)
11 STC 655 (SC) = AIR 1961 SC 65 = (1961) 1 SCR 379, it was held that a
transaction of sale is subject to tax under the Act on the completion of sale,
and a mere contract of sale in not a ‘sale’ for purpose of Sales Tax Act.
COMPULSORY SALE IS ALSO TAXABLE – Under Sales Tax Act, the
condition of valid consent of both parties is not essential. Sales Tax is payable
even if there is compulsory transfer under Government orders, if goods are a
controlled commodity.- Vishnu Agencies (P.) Ltd. v. CTO – (1978) 42 STC 31
(SC) = AIR 1978 SC 449 = (1978) 1 SCC 520 ONGC v. State of Bihar –
(1976) 38 STC 435 (SC) = AIR 1976 SC 2478 = (1977) 1 SCR 34. (Sale is a
                                      405
Law & Practice of Sales Tax                                      Basic Concepts

contract between two parties and hence ‘mutual consent’ is essential.
However, in case of controlled commodities, there is no ‘mutual consent’. The
seller has to supply goods to buyer as directed by controlling authorities at
controlled prices. It was felt that this is not ‘sale’ as there is no mutual
agreement. However, the Indian Supreme Court has held that this is ‘sale’
liable to Sales Tax). In Food Corporation of India v. State of Kerala 1997(1)
SCALE 720 = 1997 AIR SCW 1298 = (1997) 105 STC 4 = AIR 1997 SC
1252 (SC 3 member bench), it was held that levy procurement under
Government order is a sale and purchase and hence taxable.
ASCERTAINED GOODS – A seller may agree to sell part of his stock of
goods. However, unless the part which he intends to sell is segregated, these
remain ‘unascertained goods’ and there is no sale. The sale takes place only
when goods are segregated i.e. ‘ascertained’ and property is passed on to
buyer.
SALE OF ILLEGAL GOODS – Sale of illegal goods (like hashish, ganja) are
also liable to sales tax (like income from illegal business is taxable under the
Income Tax Law).
2.14.2 Concept of sale.– The concept of sale, as it now obtains in our
jurisprudence, has its roots in the Roman Law. Under the law, sale emptio
venditio is an agreement by which one person agrees to transfer to another the
exclusive possession (Vacuam posessionem trader) of something (merx) for
consideration. In the earlier stages of its development, the law was unsettled
whether the consideration for sale should be money or anything valuable. By a
prescript of the Emperors Dioceletion and Maximian of the year 294 AD, it
was finally decided that it should be money, and this law is embodied in the
Institutes of Justinian, vide title XXIII, Emptio venditio as what is known in
Roman Law as a consensual contract. That is to say, the contract is complete
when the parties agree to it, even without delivery as in contract re or the
observance of any formalities as in contract verbis and litteris. [See State of
Madras v. Gannon Dunkerley & Co (Madras) Ltd (1958) 9 STC 353, pp 362,
363 (SC) pp. 386, 387]
2.14.3 Elements of sale.– The common law of England relating to sales
developed very much on the lines of the Roman Law insisting on agreement
between the parties and price as essential elements of contract of sale of
goods. In his works on “sale” Benjamin observes:
     “Hence it follows that, to constitute a valid sale, there must be a
concurrence of the following elements, viz,: (1) parties competent to contract;
(2) mutual assent; (3) something, the absolute or general property which is
transferred from the seller to the buyer; and (4) a price in money paid or
promised” (vide 8th Edition, page 2).
Section 4 of the Sale of Goods Act is pari materia to section 1 of English Sale
of Goods Act, 1893, which runs as follows:
                                        406
Basic Concepts                                            Law & Practice of Sales Tax

      “(1) A contract of sale of goods is a contract whereby the seller transfers
            or agrees to transfer the property in goods to the buyer for a price.
            There may be contract of sale between one part owner and another.
       (2) A contract of sale may be absolute or conditional.
       (3) Where under a contract of sale the property in the goods is
            transferred from seller to the buyer the contract is called a sale, but
            where the transfer of property in the goods is to take place at a
            future time or subject to some condition thereafter to be fulfilled,
            the contract is called an agreement to sell.
       (4) An agreement to sell becomes a sale when the time elapses or the
            conditions are fulfilled subject to which the property in the goods
            is to be transferred”.
According to the law both of England and Pakistan, in order to constitute a sale
it is necessary that there should be an agreement between the parties for the
purpose of transferring title to the goods, which of course presupposes capacity
to contract, that it must be supported by money consideration, and that as a
result of the transaction property must actually pass in goods. Unless all these
elements are present there can be no sale. Thus if merely title to the goods
passes but not as a result of any contract between the parties, express or
implied, there is no sale. So also if consideration for the transfer was not money
but other valuable consideration, it may then be an exchange or barter but not a
sale. And if under the contract of sale, title to the goods has not passed, then
there is an agreement to sell and not a completed sale. [State of Madras v.
Gannon Dunkerley & Co (Madras) Ltd (1958) 9 STC 353, pp 386, 387 (SC)].
In a sale the essential elements are the seller, the buyer, the goods and the
consideration for the sale of such goods. Unless a nexus is established between
two such persons and convincing proof is available to show that consideration
did pass as a result of such a sale, it would be difficult to assume that a sale of
goods by one person to the other has resulted in the bargain. [Ramanee Reddy
(N) v. Joint Commercial Tax Officer, Sowcarpet Division, I (1971) 28 STC 683
(Mad); T P Sokkalall Ramsait Factory Private Limited v. Deputy Commercial
Tax Officer, Ambasamudram (1964) 20 STC 419, p 425 (Mad).]
Where general property in goods belonging to a person is under a contract to be
transferred to another for a price paid or promised, the transaction is a sale. The
State Legislature has, under the Constitution, power to legislate under Entry 49,
Federal Legislative List, in respect of taxes on sale or purchase of goods and the
expression “sale” has the same meaning as it bears in the Sale of Goods Act,
1930. [State of Madras v. Gannon Dunkerley & Co (Madras) Ltd (1958) 9 STC
353 (SC).] A transaction which is not of the nature of sale within the meaning of
the Sale of Goods Act cannot, therefore be subjected to tax under a law enacted in
exercise of power under Entry 49 read with 59 of the Federal Legislative List of
Constitution of Pakistan (Parallel to 54 List II of the Indian Constitution). [Joint
                                       407
Law & Practice of Sales Tax                                        Basic Concepts

Commercial Tax Officer, Harbour Division II, Madras v. Young Men’s Indian
Association, Madras (1970) 26 STC 241, p 247 (SC).]
2.14.4 Transfer of property.– It is necessary for constituting a sale that there
should be an agreement between the parties for the purpose of transferring
title in the goods, that the agreement must be supported by money
consideration and that as a result of the transaction the title to the property
must actually pass in the goods. [Sri Tirumala Venkatesware Timber and
Bamboo Firm v. Commercial Tax Officer, Rajahmundry (1968) 21 STC 312,
p 315 (SC). The essence of sale is the transfer of property in the goods. It is
difficult to contemplate a sale of goods without the dominion vesting in the
transferee. [State of Andhra Pradesh v. Somraju (TR) (1965) 16 STC 177
(AP).] There may be compulsory sale of property with which the owner is
compelled to part for a price against his will. [Ridge Nominee Ltd v. Inland
Revenue Commissioner (1962) Ch 376: (1962) 2 WLR 3; See Vishnu
Agencies (Pvt) Ltd v. Commercial Tax Officer (1978) 42 STC 31, p 62 (SC).
2.14.5 Transfer of title.– The word “title” means, right to ownership of
property, and property really includes and means the totality or the bundle of
rights which constitute ownership. Therefore, there is no distinction between the
passing of title and the passing of the property in the goods. It is impossible to
spell out from the transaction effected by the commission agent a two-fold sale,
sale of the title by principal and sale of the property in the goods of the
commission agent. The consideration for sale is only one, that is the price paid
by purchaser to the commission agent, and there is no further price paid for the
conveyance of the title, even if the conveyance of the title was independent of
the passing of the price, and, therefore, the same price cannot be treated as
turnover also of the principal. [State of Madras v. Pohuri Srinivasulu Chetty &
Sons (1954) 5 STc 202, p 206 (Mad); Radhakrishna v. Province of Madras
(1952) 3 STc 121 (mad): 1 MLJ 494: AIR 1952 Mad 718: ILR 1952 Mad 571.]
2.14.6 Title to goods passes the moment they were put on rail.– In a case
there was a clause in the agreement of sale that within seven days of the arrival
at destination point, the buyer can inform the assessee of any defect in the
goods and that after the expiry of the said period he cannot do so. Held that this
clause cannot make any difference to the position obtaining under the other
clauses, which provide that title to the goods passes, the moment the goods are
put on rail. Further held that the freight charges were payable by the purchaser
though by way of accommodation and understanding, the assessee paid them
first and recovered the same from the purchaser later. [State of Andhra Pradesh
v. A.P. Paper Mills Limited (1988) 71 STC 296 (198) (AP); Marwar Tent
Factory v. Union of India and Others (1990) 77 STC 221 (SC), holding that the
property in the goods together with the risk passed from the seller to the buyer
as soon as the goods were loaded in the railway wagons at Jodhpur as per terms
of delivery, i.e., f.o.b. Jodhpur; Deputy Commissioner of Sales Tax (Law),
Board of Revenue (Taxes) (1993) 89 STC 58 (Ker), holding that title passed
immediately after invoices raised any goods put on lorries by distillery.]
                                      408
Basic Concepts                                          Law & Practice of Sales Tax

2.14.7 Goods lost in transit.– Unless there has been a sale, in other words
unless there has been a transfer of property, no question levying any tax
arises. In a case where goods have been lost, no question arises of a transfer of
property in them the loss of goods giving rise only to actionable claims, which
have been specifically excluded from the definition of “goods” in section
2(12) of the Act. [Newton Chikhli Colleries Ltd v. State (1952) 3 STC 243, p
244 (Madhya Pradesh Board of Revenue). Pakistani law is pari materia to the
Indian statute on the basis of which this judgement was given].
2.14.8 Goods returned by buyer without taking delivery – no sale.– In a
case there was stipulation that the property in goods will remain with the
company until payment of the invoice amount is received by the company
either direct or from the bankers of the company against retirement of
documents of title to the goods. Held that this condition was not fulfilled. The
sale did not fructify. If that be so, there was no sale exigible to tax. [Madras
Rubber Factory Ltd v. State of Kerala (1987) 67 STC 183 (185) (Ker); Peico
Electronics & Electricals Ltd v. State of Tamil Nadu (1990) 78 STC 88
(Mad), referred in State of Tamil Nadu v. General Engineering Stores (1993)
88 STC 531 (Mad).]
2.14.9 Sale without violation of contract.– The concept of freedom of
contract, as observed by Hegde, J, in Indian Steel and Wire Products Ltd v.
State of Madras (1968) 21 STC 138, p 148 (SC): (1968) 1 SCR 479, p 490 has
undergone a great deal of change even in those countries where it was
considered as one of the basic economic requirements of democratic life. In
Ridge Nominees Ltd v. Inland Revenue Commissioners, (1962) Ch 376:
(1952) 2 WLR 3, the Court of Appeal, while rejecting the argument that there
was no sale because the essential element of mutual assent was lacking, held
that the dissent of the shareholder was overridden by an assent which the
statute imposed on him, functional though it may be, that a sale may not
always require the element mentioned in Benjamin on Sale, 8th Edition, page
2, and that there may in truth be a compulsory sale of property with which the
owner is compelled to part for a price against his will. [See Vishno Agencies
(Pvt) Ltd v. Commercial Tax Officer (1978) 42 STC 31, pp 62, 63 (SC);
Shivlal v. State of Maharashtra (1990) 79 STC 202 (Bom), holding that old
machinery sold in execution of decree under order of court is a sale;
Durairaja (M J) v. Joint Commercial Tax Officer (1989) 73 STC 199 (Mad),
relating to sale of goods obtained by dismantling of ship under the supervision
of the Commissioner appointed by court; Bash (R M) v. State of Tamil Nadu
(1986) 62 STC 432 (Mad), relating to sale of iron and timber materials after
demolition of building, held to be first sale; Manekchowk & Ahmedabad Mfg
Co Ltd v. State of Gujarat (1991) 83 STC 84 (Guj), relating to sale of plant
and machinery under court order.]
2.14.10 Compulsory acquisition.– In cases of “compulsory acquisition”
where such acquisition is patent as in Kirkness v. John Hudson & Co Ltd
(1955) AC 696, or is inferred in Chitarmal Narain Das v. Commissioner of
Sales Tax (1970) 26 STC 344 (SC): (1971) 1 STR 671, fall in a separate and
                                       409
Law & Practice of Sales Tax                                        Basic Concepts

distinct class. The observation of Lord Reid in Kirkness v. John Hudson & Co
Ltd (1955) AC 696, that sale is a nomen juris, the name of a particular consensual
contract, have therefore to be understood in the context in which they were made,
namely, the compulsory acquisition cannot amount to sale [See Vishnu Agencies
(Pvt) Ltd v. Commercial Tax Officer (1978) 42 STC 31, p 63 (SC).]
2.14.11 No sale to himself.– Sale made to self.– The word “sale” implies
transfer or property in goods from one person to another in the course of trade
or business for cash or for deferred payment or other valuable consideration.
The question whether the goods used by a manufacturer or a producer himself
in the production of finished goods would amount to “sale” within the ambit of
the Sales Tax Act of 1951 was the subject matter of controversial decisions till
the time issue was finally settled by the Supreme Court of Pakistan in Noorani
Cotton Corporation and others v. Sales-tax Officer, A-Ward, Lyallpur and
others [(1965) 11 TAX 185]. The same controversy resurfaced under the Sales
Tax Act, 1990 and Apex Court in Sheikhoo Sugar Mills Ltd. and others v.
Government of Pakistan and others [(2001) 84 Tax 229 (S.C. Pak.)] held as
under:–
             “Thus for the foregoing reasons we are inclined to hold that
             Bagasse is an intermediary produce which is manufactured/
             produced during the process of extrusion of sugarcane to obtain
             juice by the appellants/petitioners being registered persons and is
             consumed differently and distinctly as a fuel against the value
             which is to be calculated at market price excluding the amount of
             tax if its price is not otherwise determinable. As such it being a
             taxable supply in furtherance of taxable activity, is liable to sales
             tax under section 3 of the Act.”
Earlier in the Noorani Cotton case (supra), it was observed in the light of
section 2(15) and section 3(6)(d) of Sales Tax Act of 1951, as under:–
             “The contention put forward on behalf of the appellants was that in
             the definition of ‘sale’ there was no extension of its meaning so as
             to include a case where the manufacturer keeps the goods for
             himself, that sub-section (6) of Section 3 related only to
             assessment of the value for the purpose of charge to tax, and that as
             long as the definition of ‘sale’ did not include such a transaction
             there would be no liability to pay sales tax. While this has to be
             accepted that the correct way of bringing a transaction within the
             definition of ‘sale’ was to make a provision in the definition, there
             can be no doubt at all as to the intention of the Legislature in sub-
             section (6) of Section 3. It has been clearly provided that all such
             transactions are to be regarded as sale for the purpose of this Act.”
To give effect to the aforementioned observations of the Supreme Court, the
Finance Act of 1966 inserted the following words after the words “other
valuable consideration” in clause (15) of Section 2 of the Sales Tax Act, 1951:
                                      410
Basic Concepts                                          Law & Practice of Sales Tax

            “and includes all such transactions and use of one’s own goods as
            are specified in sub-section (6) of Section 3”.
In India, however, it is held that the price of the soda ash utilized by the
assessee in the manufacture of any bye-products, whether taxable or
otherwise, and whether such bye-products are sold or supplied by them to
others, falls outside the ambit of sales tax. [Commissioner of Sales Tax v.
Dharangadha Chemical Works Ltd (1956) 7 STC 515.
2.14.12 Own consumption.– There is a difference of opinion between Indian
and Pakistani courts on the subject. In India, it is not considered as sale,
whereas Pakistani courts opine that self consumption does constitute “sale” as
held by the honourable Apex Court in Sheikhoo Sugar Mills Ltd. and others v.
Government of Pakistan and others [(2001) 84 Tax 229 (S.C. Pak.)] as under:
            “[Thus] notwithstanding the fact whether the sale has taken place
            or not between two persons but fact remains that by supplying
            Bagasse the appellants will be doing a taxable supply during the
            process of taxable activity.”
Earlier, the Honourable Lahore High Court in Ashraf Sugar Mills Ltd v
Central Board of Revenue and others PTCL 1998 CL. 617 observed:
            “The sales tax on the sales of goods is clearly covered by item
            No. 49 of the Federal Legislative List and when read with item
            No. 59 it cannot be successfully contended that by levying tax
            on the manufacture of goods whether for self consumption or
            not, the legislature has out-stepped its limits”.
The petitioners contended that as Bagasse (a bye product obtained on crushing
of sugarcane) is being consumed by themselves and there is no sale to any
third person, they are not liable to pay any sales tax. It was elaborated that
under the charging section viz section 3 of the Sales Tax Act, 1990, tax is
payable only when “taxable activity” occurs which in turn has been defined
in section 2(35) to mean the supply of goods by one person to another. It was
argued that “as there is no second or third person involved to whom goods are
sold, the self consumption of Bagasse does not constitute a taxable supply.
Hence there was no liability to pay the sales tax with reference to section 22
and 26 of the Sales Tax Act, 1990.
The court held that the contention raised by petitioners that the self
consumption is not taxable, could not be accepted. Reference to section 2(35)
shows that taxable supply not only includes sale by one person to another but
also sales, manufacture, and production of any goods. The word manufacture”
has been defined in Section 2(16) and clearly covers production of bagasse.
Consequently, even if the self consumption is not covered by the earlier part
of the definition of taxable supply yet it would clearly fall within the ambit of
“Manufacture” as mentioned in the extended definition.
                                       411
Law & Practice of Sales Tax                                        Basic Concepts

The Indian Courts while interpreting the similar position in their law and
constitution held that consumption by an owner of the goods in which he deals
is not a sale within the meaning of the Sale of Goods Act and therefore it is
not “sale of goods” within the meaning of Entry 54, List II, Schedule VII, of
the Constitution. This entry is pari materia in substance to Entry No. 49 of the
Federal Legislative List of the Constitution of Pakistan.
The Indian Courts hold that the Legislative power for levying tax on sale of
goods being restricted to enacting legislation for levying tax on transaction
which conforms to the definition of sale of goods within the meaning of Sale
of Goods Act, 1930, the extended definition of which includes consumption
by a retail dealer himself of motor spirit or lubricants sold to him for “retail
sale” is beyond the competence of the State Legislature. The clause in the
definition in section 2(1) of the Madhya Pradesh Sales of Motor Spirit and
Lubricant Taxation Act (4 of 1958), “and includes the consumption by a retail
dealer himself or on his behalf of motor spirit or lubricants sold to him for
retail sale” is ultra vires the State Legislature because of lack of competence
under Entry 54 in List II, Schedule VII of the Constitution and held to be
severable from the rest of the definition and declared to be invalid. [Bhopal
Sugar Industries Ltd, MP v. D P Dubey, Sales Tax Officer, Bhopal Region,
Bhopal (1963) 14 STC 406, p 409 (SC); State of Madras v. Gannon
Dunkerley & Co (Madras) Ltd (1959) SCR 379: (1958) 9 STC 353 (SC)
followed; Sri Ram Shankar Mathur v. Assistant Commissioner (Executive),
Sales Tax and Another (1989) 75 STC 394 (All), regarding vehicle registered
in another State brought by person in State of Uttar Pradesh for own
commercial use.
2.14.13 Sale of business as a whole.– Business is not goods and as such
proceeds of the sale of a business do not amount to turnover on which sales
tax is payable. If a dealer carrying on business in certain goods sells the entire
business, he will not be liable to sales tax at all. [Shri Ram Sahai v.
Commissioner of Sales Tax (1963) 14 STC 275, p 280 (All).]
2.14.14 For cash or deferred payment.– The general legal conception of a
sale is that of “a transmission of a property of a right from one man to another
in consideration of a sum of money as opposed to barter, exchange or gifts”:
(see Gill v. Eagleston 187 NWP 871, quoted at page 58 in “Words and
Phrases” Vol 38, West Publishing Co).
2.14.15 Sale on hire-purchase.– A contract of hire-purchase is, properly
speaking, a contract of hire by which the hirer is granted an option to buy, but
is not, as under a contract of sale, under legal obligation to do so. The contract
of hire-purchase is one of the variations of the contract of bailment, but it is a
modern development of commercial life, and the rules with regard to
bailment, which were laid down before any contract of hire-purchase was
contemplated, cannot be applied simpliciter, because such a contract has in it
not only the element of bailment but also the element of sale. In common law
                                      412
Basic Concepts                                          Law & Practice of Sales Tax

the term “hire-purchase” properly applied only to contracts of hire conferring
an option to purchase, but it is often used to describe contracts which are in
reality agreements to purchase chattels by instalments, subject to a condition
that the property in them is not to pass until all instalments have been paid.
The distinction between these two types of hire-purchase contracts is,
however, a most important one, because under the latter type of contract there
is a binding obligation on the hirer to buy and hirer can therefore pass a good
title to a purchaser or pledge dealing with him in good faith and without notice
of the rights of the true owner, whereas in the case of contract which merely
confers an option to purchase, there is no binding on the hirer to buy, and a
purchaser or pledge can obtain no better title than the hirer had. (Halsbury’s
Laws of England, 3rd Edition, Vol 19, para 823, pp 510-511. [See Instalment
Supply Ltd v. Sales Tax Officer, Ahmedabad-I (1974) 34 STC 65, p 69 (SC).]
2.14.16 Taxability of hire-purchase in Parliamentary Legislation.– In
Instalment Supply (Private) Ltd v. Union of India (1961) 12 STC 489 (SC):
(1962) 2 SCR 644, it was argued for the hire-purchase company that the hire
charges were not part of the price of the goods sold. The revenue on the other
hand argued that the payment of all the instalments was the total sale price.
The Commissioner of Sales Tax agreed with the revenue and held that the
sales tax was payable on the total amount charged by the hire-purchase
company from the hire-cum-purchaser.
Before the Supreme Court, the main contention of the hire-purchase company
was that a hire-purchase was not a sale within the meaning of section 2(g) of
the Bengal Finance (Sales Tax) Act, 1941, (as extended to State of Delhi).
This contention was rejected by the Supreme Court because “sale” in respect
of Union Territory could be made without the property in the goods having
passed.
The above decision was made by the Supreme Court following its earlier
decision in Mithanlall v. State of Delhi (1958) 9 STC 417 (SC): AIR 1958 SC
682: (1959) SCR 445, in which the Supreme Court pointed out the fundamental
difference between the power of Parliament in respect of Part C States, which
are now called the Union territories, under Article 246(4) of the Constitution as
compared to the power of the State Legislature under item 54 of the State List
of Seventh Schedule. Parliament was not fettered in exercising its legislative
power by meaning of “sale” in the Sale of Goods Act. It could, therefore, treat
any transaction as sale even though it would not be a sale within the meaning of
the Sale of Goods Act. The mere transfer of goods in a hire-purchase contract
amounts to a sale for the purpose of the Bengal Finance (Sales Tax) Act (6 of
1941) (as extended to the Union Territory of Delhi) in the Union Territory of
Delhi, even though the property in the goods may not have passed. [Goodwill
India Limited v. State (1980) 45 STC 368, p 373 (Delhi).]
2.14.17 Sale and agency distinction.– The concept of sale has undergone a
revolutionary change, having regard to the complexities of the modern times
                                       413
Law & Practice of Sales Tax                                        Basic Concepts

and expanding needs of the society, which has made a departure from the
doctrine of laissez faire by including a transaction within the fold of a sale
even though the seller may by virtue of an agreement impose a number of
restrictions on the buyer, e.g., fixation of price, submission of accounts selling
in a particular area or territory and so on. These restrictions per se would not
convert a contract of sale into one of agency. A contract of agency, however,
differs essentially from a contract of sale inasmuch as an agent after taking
delivery of the property does not sell it as his own property but sells the same
as the property of the principal and under instructions and directions.
Furthermore, since the agent is not the owner of the goods, if the agent suffers
any loss he is to be indemnified by the principal. This is yet another dominant
factor which distinguishes an agent from a buyer pure and simple. [Bhopal
Sugar Industries Ltd v. Sales Tax Officer, Bhopal (1977) 40 STC 42, pp. 47,
48 (SC), quoted with approval in Mysore Chemical Supplies v. Tamil Nadu
(1992) 84 STC 544 (548) (Mad). In this case the matter was remanded.
2.14.18 Bank.– The bank to which the documents of title were sent was
authorized by the non-resident seller to endorse the documents in favour of the
persons nominated by the assessee and that the bank was acting as agent of the
non-resident seller. There has been no transfer of the property in the goods to
the assessee. Therefore, it was impossible for the assessee to effect a sale of
such goods that were not owned by it. The assessee was also not authorized by
the non-resident seller to effect any such transfer. There could, therefore, be
only one sale. [Saraswatha Corporation Private Limited v. State of Kerala
(1963) 14 STC 60, p 63 (Ker) See contra Ram Kumar and Co v. Commissioner
of Sales Tax, UP (1971) 27 STC 13, p 15 (All); State of Punjab v. Bajaj
Electricals Ltd (1970) 25 STC (SC), followed and Nestles Product (India)
Limited v. Commissioner of Sales Tax (1963) 14 STC 606 (All) distinguished.]
2.14.19 Club.– Where the club is merely acting on behalf of the members to
make available to them refreshments, beverages and other articles, the
transaction will not be regarded as a sale for the club is the agency through
which the members have arranged that the refreshments, beverages and other
articles should be made available. The test in each case is whether the club
transfers property belonging to it for a price or the club acts as an agent for
making available property belonging to its members. It was held in this case
that the club was not selling goods but was rendering service to their
members. [Joint Commercial Tax Officer, Harbour Division II, Madras v.
Young Men’s Indian Association, Madras (1970) 26 STC 241, pp 247, 248
(SC), per Shah J; Calcutta Swimming Club and Another v. Commercial Tax
Officer (1991) 83 STC 197 (WBTT); Hindusthan Club Limited v. Additional
Commissioner, Commercial Taxes & Others (1995) 28 STA 255 (WBTT),
relating to permanent members of the club, decisions of Bengal Rowing Club
v. Commissioner of Commercial Taxes an Others, infra and Automobiles
Association of Eastern India v. State of West Bengal & Others (1991) 81 STC
                                        414
Basic Concepts                                             Law & Practice of Sales Tax

185 (WBTT), distinguished and not applied, contra, Bengal Rowing Club v.
Commissioner of Commercial Taxes and Others (1993) 88 STC 389 (WBTT),
Special Leave against this judgment has been granted to the dealer by the
Supreme Court. See (1991) 83 STC FRSC 18, SL No. 64; Jubilee Hills
International Centre v. Commercial Tax Officer (1992) 87 STC 227 (AP);
Fateh Maidan Club v. Commercial Tax Officer (1992) 87 STC 341 (AP), after
amendment of State Sales Tax Act on the basis of clause (29A)(e) of article
366 of the Constitution of India, inserted by the Constitution (46th
Amendment) Act, 1982.]
2.14.20 Agent or purchaser.– It was argued in a case [Ramchandra Rathore
and Bros v. Commissioner of Sales Tax, Madhya Pradesh, Nagpur (1957) 8
STC 845, pp 849, 850 (MP); Alwaye Agencies v. Deputy Commissioner of
Agricultural Income-tax and Sales Tax (1988) 70 STC 107) SC] that
according to the agreement one Kanhaiyalall Pradhan was only an agent of the
assessee company in U.P. particularly as he had to sell the goods at the rate
fixed by it, and this militates against the contention that the transactions
amounted to sales. Held that the real effect of transactions was to confer on
the assessee-company all the rights of vendor, and on Kanhaiyalall Pradhan all
those of purchaser. Therefore Kanhaiyalall Pradhan was not, under law, an
agent but only a favoured buyer, although the agreement was ostensibly one
of agency. As the facts of the case establish the conditions mentioned in
section 2(g), read with Explanation II of C.P. and Berar Sales Tax Act, 1947,
the Board of Revenue was held to be right in holding that the transactions
constituted sales taxable under the Act.
2.14.21 Sale and bailment.– The essential distinction between a sale and
bailment is that in a sale property in the goods passes from the seller to the buyer;
in bailment one person delivers possession of the goods to another for some
purpose on the agreement that the latter shall, when the purpose is accomplished,
return the goods or otherwise dispose them according to the direction of the
former. Thus the bailor has a right to claim the return of the goods. [See South
Australia Insurance Co. v. William Bavis Randell LR 3 PC 101.]
2.14.22 Loan or sale.– The assessee borrowed a certain amount of cotton from
one Valliappa Taxtiles, which had imported the same under the actual user’s
licence. The transaction sought to be taxed consisted of the return of cotton to
Valliappa Taxtiles. Held that the transaction does not amount to sale and is not
sale. The tribunal was right in finding that it was only a loan transaction.
[Deputy Commissioner (CT), Coimbatore v. laxminarayan Textiles (P) Ltd
(1971) 28 STC 288 (Mad); Sri Rani Lakshmi Ginning Spinning and Weaving
Mills Private Ltd v. State of Tamil Nadu (1981) 48 STC 406 (Mad).]
2.14.23 Sale and labour contract – Distinction.– The distinction between a
contract of sale and a contract for work and labour has been pointed out in
Halsbury’s Laws of England, 3rd Edition, Volume 34, para 3, at page 6 in the
following words.
                                        415
Law & Practice of Sales Tax                                         Basic Concepts

             “A contract of sale is a contract whose main object is the transfer
             of the property in, and the delivery of the possession of, a chattel
             as chattel to the buyer. When the main object of work undertaken
             by the payee of the price is not the transfer of a chattel qua chattel,
             the contract is one for work and labour. The test is whether or not
             the work and labour along with supply of material can be the
             subject of sale; neither ownership of the materials is conclusive,
             although such matters may be taken into consideration in
             determining the circumstances of a particular case, whether the
             contract is in substance one for work and labour or one for the sale
             of a chattel.” [See Ram Singh & Sons Engineering Works v.
             Commissioner of Sales Tax, UP (1979) 43 STC 195, p 199 (SC).]
2.14.23.1 Works Contract.– Some contracts are contracts for labour, work or
service and not for sale of goods, though goods are used in executing the
contract for labour, work or service e.g. when a contractor constructs a
building, the buyer pays for cost of building which includes cost of building
material, labour and other services offered by the Contractor. Property in
building is passed on to buyer and there is no contract for supply of building
material as such. This is contract for sale of labour and material and not
contract of sale. Property in air-conditioning equipment passes as incidental to
the works contract. Here, there is no sale of ‘goods’. It is a ‘works contract’
and not liable to Sales Tax. A contract to paint a portrait is a contract for skill
and labour and not a contract for sale of goods.
It is difficult to establish whether a particular contract is ‘contract for work’ or
‘contract of sale’ and rigid and inflexible fast tests cannot be laid down. It
depends on main object of the parties, circumstances and custom of trade.
Generally, a contract of sale is a contract whose main object is the transfer of
the property in, and delivery and possession of, a chattel to the buyer. Where
the main object of work undertaken by the payee of the price is not the
transfer of a chattel qua chattel, the contract is one for labour and work. The
aspects like ownership of material, value of skill and labour compared to
value of material can be considered, but these are not conclusive.- Halsbury’s
Laws of England – quoted with approval in State of Gujrat v. Variety Body
Builders – (1976) 38 STC 176 (SC).
BUILDING CONTRACT – Contract of building is one, entire and indivisible.
There is no sale of movables (building materials) and hence in Gannon
Dunkerley & Co. (Madras) Ltd. v. State of Madras [(1958) 9 STC 353] = AIR
1958 SC 560 = (1959 SCR 379, it was held that the contract for building is not
a contract for ‘sale of goods’.
‘Works Contract’ was one of the ways of avoiding sales tax. Hence,
Constitution was amended on 2nd February, 1983 (46th amendment). Clause
29A was added to Article 366 to cover ‘transfer of property in goods involved
in execution of works contract’. Subsequently, most of States have amended
                                         416
Basic Concepts                                              Law & Practice of Sales Tax

their sales tax laws to cover ‘works contract’, but Sales Tax Act has not yet
been amended. Thus, till Sales Tax Act is amended, sales tax cannot be levied
on indivisible works contracts.
2.14.23.2 Illustrations of works contract.– Some illustrations of ‘works
contract’ would explain the position.
TAILOR AND GARMENT – One example will further clarify the legal position:
        (a) If a person goes to a tailor with cloth and tailor stitches a suit, tailor
            is doing ‘job work’, even if he uses his own thread and buttons.
        (b) If a shop has two sections – one for sale of cloth and other for
            tailoring – and if a person buys cloth and then goes to tailor, there
            is sale of cloth, but work of tailor is still purely of work done and
            labour supplied.
        (c) If a person buys ready made garment, it is an out and out sale of
            goods and hence taxable. [Tailoring work is not considered as
            ‘works contract’ – It is contract of skill & labour.]
SUPPLY AND FIXATION OF ROLLING SHUTTERS – Transaction of
fabrication of a rolling shutter and its actual fitting at site is a continuous one,
it is a composite contract for supply of material, labour and services. This is a
works contract – Vanguard Rolling Shutters v. CST – (1977) 39 STC 372 (SC)
= AIR 1977 SC 1505. In this case, it was observed that it is difficult to lay
down any rule of universal application to decide whether a contract is a works
contract or contract for sale of goods. If the contract is primarily for supply of
materials at prices agreed and the work or service is incidental to the
execution of contract, it will be contract for sale. On the other hand, where
contract is primarily a contract of work and labour and materials are supplied
in execution of such contract, it is a works contract.
Component parts of rolling shutter are fabricated in factory and it becomes a
commercial article only when it is fitted into position and fixed on the
premises. Hence, it is a works contract – Sentinel Rolling Shutters v. CST –
(1978) 42 STC 409 (SC) = AIR 1978 SC 1747.
SUPPLYING WINDOWS DULY FIXED IN BUILDING – In State of
Rajasthan v. Man Industrial Corporation Ltd.- (`1969) 24 STC 349 (SC), on
facts of the case, held that manufacturing window leaves and fixing the same
in the building was a composite contract. There were no two contracts, one for
sale and one for service. Hence, it was held as contract for execution of work
and not contract involving sale of goods. This was followed in N
Srinivasamoorthy v. State of Tamilnadu – (1991) 81 STC 52 (Mad HC DB),
where it was held that contract for fixing auditorium chairs in an auditorium
building by fabricating work at site is a pure works contract.
PHOTOGRAPHIC WORK – In B C Kame v. ASTO – (1977) 39 STC 237
(SC), Hon. Supreme Court held that photographic work is contract for skill
                                       417
Law & Practice of Sales Tax                                         Basic Concepts

and labour and not for sale. A contract for sale is whose main object is to
transfer property in chattel as a chattel to buyer. Where the principal object of
work is not the transfer of chattel as such, it is a contract of work and labour.
Contract for photograph is not for sale of goods, but is for use of skill and
labour by the photographer to bring about a desired result.
TAKING ADDITIONAL PRINTS OF A CINEMA FILM – Taking additional
prints of film is a works contract – not sale, as contract is for use of skill and
labour to bring desired results.- CST v. Advertising Service (1997) 106 STC
50 (Bom HC DB).
FILM PRODUCER – Film producer engaged to shoot, direct, edit produce
and complete film is engaged in ‘work of art’ and not for sale of goods,
though for purchase of raw films, he may be liable to purchase tax.
GIVING XEROX COPY – Where the main object of the work undertaken by
the person to whom price is paid is not the transfer of a chattel as a chattel, the
contract is one of work and labour. The main object of the work undertaken
by the operator or Xerox machine is not the transfer of the paper upon which
the copy is produced; it is to duplicate or make a Xerox copy of the document
which the payer of the price wants duplicated. The paper upon which the
duplication takes place is only incidental to this transaction. The object of the
payment of the price is to get the document duplicated, not to receive the
paper.---Thus it is not a contract of sale upon which sales tax is exigible –
Everest Copiers v. Tamilnadu – 1996(5) SCALE 535 (SC) = AIR 1996 SC
2662 = (1996) 5 SCC 390 = JT 1996(7) SC 40 = (1996) 103 STC360 (SC).
SUPPLY OF PRINTING MATERIAL AS PER REQUIREMENT OF
BUYER – This is a works contract and not sale CTO v. Rajasthan Rajya
Sahakari Mudranalaya Ltd. (1991) 83 STC 481 (Raj HC) similar views in
State of Tamilnadu v. Anandam Viswanathan – (1989) 73 STC 1 (SC), where
it was held that printing of question papers is an extremely confidential matter
and the value includes paper, technical work as well as confidence and faith –
followed in State of Tamilnadu v. Ambika Press – (1992) 86 STC 407 (Mad
HC DB). In Thomson Press (I) Ltd. v. State of Haryana – (1996) 100 STC 417
(P & H HC FB), it was held that printing of lottery tickets is a works contract.
In Court Press Job v. State of Tamilnadu – (1983) 54 STC 382 (Mad HC DB), it
was held that printing of question papers, letter heads, bills, ledgers etc. as per
requirement of customers is a contract of labour, even if the printer himself
supplies the paper – similar views in Sarvodaya Printing Press v. State of
Maharashtra – (1994) 93 STC 387 (Bom HC FB) = (1994) 9 MTJ 438 (Bom HC
FF) Dy. CST v. Victory Offset Printers – (1994) 94 STC 406 (Ker HC D).
SPECIALLY TAILORED MATERIAL BY PRINTING PRESS – Printing
Presses print the material specially as per requirement of customer. The material
printed has no general commercial value. Hence, it is a works contract and not a
sale.- Sarvodaya Printing Press, Nagpur v. State of Maharashtra – (1994) 9 MTJ
                                       418
Basic Concepts                                           Law & Practice of Sales Tax

438 (Bom HC DB) = (1994) 93 STC 387 – similar view in Dy CST v.
Vidhyarambham Press – (1985) 58 STC 322 (Ker HC DB).
BRICK MAKING FROM RAW MATERIAL SUPPLIED – If raw material is
supplied to contractor who makes the bricks, the contractor at no stage owns
the bricks. Hence, it is not a contract of sale.- Gampat Ram v. State of
Rajasthan (1997) 105 STC 305 (Raj HC DB) Verma Construction Co. v. State
of Rajasthan (1997) 105 STC 266 (Raj HC DB).
SUPPLYING SOME SPARES IN REAPIR CONTRACT – In Hindustan
Aeronautics Ltd. v. State of Karanataka – 1984 55 STC 314 (SC) = AIR 1984
SC 744, HAL was undertaking overhauling and servicing of aircraft of Indian
Air Force. HAL used some spare parts and accessories while doing the work
of repairs and overhauling. It was held that spare parts and accessories used
during the work cannot be subjected to sales tax. It was held that it was an
agreement to work for a stipulated consideration, and hence it would not be a
sale even if some sale may be extracted. Passing of property in the materials
used was mere ancillary to the works contract. Court has to find out primary
object of the transaction and the intention of parties entering into the contract.
It should be noted that mere ‘service contracts’ are out of scope of ‘works
contract’.
MODE OF PAYMENT DOES NOT DETERMINE WHETHER IT IS A
WORKS CONTRACT – True nature of contract cannot depend on mode of
payment. The payment may be spread over entire period of execution of
contract. That cannot have any bearing on determination of question whether
the contract is one for sale or for work and labour.- CST v. Mazgaon Docks
Ltd.- (1996) 100 STC 57 (Bom HC DB) (i.e. part payment does not
necessarily mean that property in corresponding material has been transferred
to the buyer).
2.14.23.3 Value Liable for Works Contract Tax.– This aspect is not really
relevant for sales tax, as sales tax is not applicable to works contract. However,
since the matter is of great importance, the highlights are discussed here.
GANNON DUNKERLEY AND CO v. STATE OF RAJASTHAN – This is
also an important judgment on ‘Works Contract (1993) 66 Taxman 229 =
(1993) 10 CLA 56 (SC) = 1992 (3) SCALE 173 = (1993) 1 SCC 364 = (1993)
88 STC 204 (SC – 5 member bench judgment)]. Here, it was held that taxable
event is the transfer of property in the goods involved in the execution of a
works contract. The said transfer of property takes place when goods are
incorporated in the works. Hence, value of goods at the time of incorporation
in the works can constitute measure for levy of tax. However, cost of
incorporation of the goods in works contract cannot be made part of measure
for the levy of tax. It was held that value of goods involved in works contract
would have to be considered for taxation on works contract. Charges for
labour and services have to be deducted from total value of works contract.
                                      419
Law & Practice of Sales Tax                                      Basic Concepts

Moreover, tax cannot be levied on goods which are not taxable under section
3, 4 and 5 of Sales Tax Act and goods covered under section 14 and 15 of
Sales Tax Act. If contractor is not able to give detailed break up, legislature
can prescribe scales for deductions permissible on account of cost of labour
and services for various types of works contract. It is permissible to have a
uniform rate for works contract. This rate may be different from the rates
applicable to individual goods.
The judgment in this case was subsequently followed in Builders’ Association
of India v. State of Karnataka – (1993) 88 STC 248 = AIR 1993 SC 991 =
(1993) 1 SCC 409 = 1993 AIR SCW 152 (SC – 5 member bench).
2.14.24 Sale and lease.– (i) Contracts held to be sale.– In a case [Indralaya
Ltd v. Additional Commissioner of Commercial Taxes, West Bengal (1958) 9
STC 633 (Cal)] the subject-matter of litigation was the competency to collect
sales tax for the bamboo and sali extracted by Orient Paper Mills Ltd, under a
transaction, relating to some Government forest. Held by the Supreme Court
that the description of the document as a “lease deed”, the reference to
royalty, the right to construction of buildings, etc. cannot hamper a contrary
conclusion if there are luminous characteristics of a “sale of goods” in what is
but a lease deed in name. There was sale of bamboo and Sali wood under the
contract and, in the contemplation of the parties they were to be served,
pursuant to the contract itself.
2.15 “Manufacture” or “Produce”,                     “Manufacturer”          or
    “Producer” [Sections 2(16) & 2(17)].
The definitions of these four expressions under the Act are very wide and
cover almost every type of maker of goods. Even printers, publishers,
lithographers or engravers are covered under the definition. There may be a
manufacturer of unfinished goods also. The definition of “manufacture” or
“produce” is inclusive and that of “manufacturer” and “producer” exclusive.
2.15.1 What is meant by ‘manufacturer’? This word is derived from the
Latin word manu which means hand, factura from facere which means to
make. In Cassell’s Compact Dictionary “manufacture” means as “to make or
work up for use, produce for fashion by labour or machinery especially on a
large scale”. According to Shorter Oxford Dictionary, manufacture means
“the action or process of making by hand, the making of articles or materials
(not on a large scale) by physical labour or mechanical power”. In Nilgiri
Ceylon Tea Company v. State of Bombay the question was whether blending
of different brands of tea purchased in bulk from the market by a registered
dealer according to a formula evolved without the application of mechanical
or chemical process can be treated as altered or processed after purchase
within the meaning of section 8(a) of the Bombay Sales Tax Act, 1953, so that
the dealer would not be entitled to deduct the value of purchase of tea for the
purpose of sales tax. It was held that though some skill was involved in the
                                     420
Basic Concepts                                         Law & Practice of Sales Tax

preparation of tea mixture that could not be regarded as processing within the
meaning of section 8(a) of the Act. The commodity remained in the same
condition. There was no alteration in the nature and character of goods in
preparation of tea mixtures as contemplated by the said Act.
The word “manufacture” has not been defined under the Act. The dictionary
meanings are, however, as under:
The word “manufacture” is composed by Latin words “manu” by hand,
“facere”, to do, to make, to form; but the meaning is not confined to that
which is done by hand alone, but by machinery as well. [In re: Tecope Min,
etc. C, 110. Fed., 120, 121, See also Lal Singh v. Arrah Municipality 110 I.C.
788 – 29 Cr.L.J. 756 – 1928 Pat. 596.
In Shamas Din and Brothers v. Sales-tax Officer and Another [(1959) 1 TAX
(IV-31)] Their Lordships held that the process of cutting of forest trees into
pieces and offering them for sale came within the definition of the word
“manufacturer”.
Their Lordships of the Supreme Court in the case of Messers Khan Forest
Company, Jhelum (Civil Appeal No. 56 of 1960, decided on 12th January,
1961) had held that the cutting of the forest into timber is a process of
manufacturing and falls within section 2(11) of the Sales Tax Act.
2.15.2 Cotton waste–Delinted Cotton.– The enunciation of law in Noorani
Cotton Corporation v. Sales Tax Oficer, A-Ward, Lyallpur [P.L.D. 1965
Supreme Court-161] when applied to the facts and circumstances of the
present case will show that delinted cotton or inferior fibre cotton – (as
explained above) (which is called by the assessee as waste cotton)—are
definitely goods within the meanings of section 2(6) of the Act. The next point
to be noticed is that either they are manufactured goods or partly
manufactured goods. If the assessee had utilized them in the production or
manufacture of the end product of which he was the licensee – (as for example
yarn of cloth) – then they would have obtained the character of partly
manufactured goods, provided the end product was taxable. In that eventuality
the assessee would not have been liable to pay tax on the goods partly
manufactured in dispute. However, as the factual position is that the assessee
has not himself utilized them in the manufacture of any licensed, taxable-end-
product and has rather sold them away independently, these goods, therefore,
on the principles laid down by the Supreme Court in the above mentioned
case are manufactured goods on which the assessee was bound to pay tax. The
above discussion will show that the point whether goods had been
manufactured or not can be seen keeping in view the concepts of
manufactured or partly manufactured goods as highlighted by the Supreme
Court and if examined from that stand point, even then the net result as
regards the liability of assessee to pay the tax on the goods in question
remains intact. [Colony Textile Mills Ltd. v. C.S.T. (1975) 32 TAX 282].
                                      421
Law & Practice of Sales Tax                                       Basic Concepts

The Lahore High Court in Colony Textile Mills Ltd. v. C.S.T. (1975) 32 Tax
282 held that the delinted cotton was manufactured goods.
When kapass (cotton) is ginned the commodities which come into being are
two different commodities, namely, cotton seed and ginned cotton both of
which are different in commercial field from the generic item kapass. The
uses to which kapass can be put are not always the same to which cotton seed
or ginned cotton in their own way can be independently put. Similarly
conversely the uses to which cotton seed and ginned cotton are put in their
own independent way are also not those to which the generic kapass could be
put. The process of ginning, therefore, does give rise to manufacture and
production of goods which can be put to separate uses and different
commercial values. Regarding chargeability of tax on ginned cotton and
cotton seed, the legislature rose to the occasion and stopped that controversy
by retrospectively adding a sentence into the definition of “manufacturer or
producer” as contained in section 2(11) of the Act that it shall include “a
person engaged in ginning of cotton”.
The Dacca High Court in a case reported as Muhammad and Ahmad and
Company v. C.I.T., Dacca [(1966) 13 TAX 137] held that the printer of the
cloth is a manufacturer. In that case the question was whether the grey
markeen cloth purchased from textile mills, got dyed and calendered and
marked by the assessee making it improved and vendable product would
constitute the process of manufacture and render the assessee a manufacturer?
It was held that after dyeing and calendaring the markeen was greatly
improved and was made a vendable product in its present condition. The
Tribunal has found that the markeen not only became coloured but its texture
underwent an improvement and that it became more durable and assumed a
better and improved look. This would undoubtedly constitute what is called
manufacture of the goods and is therefore assessable.
In Union of India v. Delhi Cloth Mills, it was held by the Supreme Court that
the word “manufacture” generally meant the bringing into existence and does
not mean merely to produce some changes in a substance, however minor in
consequences the change may be. In this connection reference may be made to
a passage from an American Judgment quoted in the permanent edition of
“Words and Phrases”, Volume 26, which is set out hereunder.
“Manufacture” implies a change but every change is not manufacture and yet
every change of an article is the result of treatment, labour and manipulation.
But something more is necessary and there must be transformation; a new
different article must emerge having a distinctive name, character or use.”
It has been observed that the word “manufacture” implies a change but every
change in the raw material is not manufacture. There must be such transformation
that a new and different article must emerge having a distinctive name, character
or use. There must be transformation or change of the raw material into a
different marketable article. The product which results from the process of
                                       422
Basic Concepts                                            Law & Practice of Sales Tax

pressure piling can be classified as an article manufactured or produced by the
assessee company. A particular manufacturer specializing in the production of a
particular product may, by way of special facility to certain customers, undertake
to produce and supply at the site itself, and, therefore, site where the
manufacturing process is carried on would be immaterial or irrelevant for the
purpose of determining whether the produce of the manufacturing process may be
described as an article.
2.15.3 Mining of mica.– The assessee carried on mica mining operation, and
the crude mica which was taken out of the mine was sorted and processed into
split mica which is a commercial commodity. The process of mining mica
tantamount to manufacture of goods.
2.15.4 Transformation into powder form of “whole” black pepper and
turmeric.– The most generic meaning of the term “manufacture” is “action or
process of making article or material by the application of physical labour or
mechanical power.” The word “processed” in its ordinary connotation would
embrace within its scope the conversion of black pepper and turmeric into its
powdered form.
2.15.5 Milling rice from paddy.– The rice is produced out of paddy but
paddy does not continue to be paddy even after de-husking. It has changed its
identity. Rice is not known as paddy. It is a misnomer to call rice as paddy.
They are two different things in ordinary parlance. When paddy is de-husked
and rice produced, there has been change in the identity of the goods. A
process of “manufacture” is involved in the production of rice milling paddy,
and that rice so produced represents “other goods” different and distinct in
nature and character from the paddy from which it was produced.
2.15.6 Printer of newspaper is a manufacturer.– Printer of newspaper is a
manufacturer and for that purpose all the materials including news print
required by him for the ultimate manufacture of newspaper may be included
in registration certificate.
2.15.7 Sale of office car.– The sale of Ambassador car purchased by the
assessee for its office use is held to be not only incidental but also ancillary to
and connected with business it carries on.
2.15.8 Concrete piles.– Reinforced concrete piles which are intended to be
incorporated in a structure and are so incorporated are “goods”. The fact that
the goods were specially manufactured and designed for a particular purpose
cannot be held to deprive them of the character of goods. The product which
results from the process of pressure piling can be classified as an article
manufactured or produced by the assessee-company. A particular
manufacturer specializing in the production of a particular product may, by
way of special facility to certain customers, undertake to produce and supply
at site itself, and, therefore, site where the manufacturing process is carried on
would be immaterial or irrelevant for the purpose of determining whether the
produce of the manufacturing process may be described as an article.
                                        423
Law & Practice of Sales Tax                                          Basic Concepts

A manufacturer may manufacture goods for another. It may happen in two ways:–
       (i) The materials are supplied by the other person;
      (ii) The materials are not for the use of, but sale by the suppliers – only the
           person supplying the materials shall be deemed to be the manufacturer.
           Material signifies everything of which anything is made.
    A manufacturer will include–
       (i) assignee,
      (ii) trustee in bankruptcy,
     (iii) liquidator,
     (iv) executor or curator of any manufacturer or producer,
      (v) any manufacturer who disposes of his assets in any fiduciary capacity.
Persons using the right to the goods on behalf of the manufacturers are also
regarded as producers.
2.16 Transfer of ‘property’ -- essentials of
There is no sale unless there is ‘transfer of property’. ‘Property’ means a thing
over which a person has a domain. This implies transfer of ownership. Mere
‘agreement to sale’ does not mean sale as there is no transfer of property.
‘Property’ is different from ‘possession’. Property in goods can pass even
before handing over possession. Conversely, transfer of possession does not
necessarily mean that it is a transfer of property.
2.17 Valuable consideration -- essentials of
The consideration is something akin to cash payment or deferred payment.
Otherwise, it is an exchange and not a sale – Devidas Gopal Krishna v. State of
Punjab – (1967) 20 STC 430 (SC). Thus, where Kansa finished utensils were
transferred for equal weight of raw material in the form of old Kansa utensils
plus making charges, it was held as ‘exchange’ and not ‘sale’ – CTO v. Kansari
Udyog Sahakari Samiti – (1979) 43 STC 176 (MP DB). However, where
machinery was transferred in consideration of allotment of shares equal to value
of machinery, it was held a ‘sale’ – Premier Electro Mechanical Fabricators v.
State of Tamilnadu – (1984) 55 STC 371 (Mad HC), followed in State of Tamil
Nadu v. TMT Drill (P.) Ltd. – (1991) 82 STC 59 (Mad HC DB).
It is obvious that free gifts given by Company cannot be taxed as there is no
‘consideration’.
CREDIT SALE IS ALSO ‘SALE’ – Sales tax is attracted as soon as a sale takes
place and payment of such tax becomes statutorily due irrespective of the fact
whether they are credit sales or cash sales – ACC v. CTO – 48 STC 466 (SC).
2.18 Hire Purchase is ‘sale’
Here, possession of goods is delivered by owner to hirer on condition of payment
of agreed number of instalments. Hirer has option to purchase the goods as per
terms of agreement, (usually, a nominal payment is provided at the end of hire
period). Property in goods is passed on to the hirer after all terms of agreement
                                         424
Basic Concepts                                              Law & Practice of Sales Tax

are fulfilled. If the hirer does not fulfil conditions of hire-purchase (e.g. does not
pay instalments on due dates) possession of goods can be taken back by owner
giving goods on hire purchase.
2.19 Transactions which are not sales under Sales Tax Act
There are some transactions which are not sales. [Please see notes/case law
under section 3 in Part I].
2.20 Charge/mortgage/hypothecation, finance and
     operational lease etc.
In a mortgage, immovable property is transferred for securing payment or
performance of a promise. Pledge is bailment of goods as security for
payment of a debt or performance of a promise.
Thus, mortgage is of immovable property while pledge is of goods. In
mortgage, the possession of immovable property may or may not be handed
over. In pledge, the possession of goods is handed over by owner to person
making the advances. Hypothecation means a pledge without immediate
possession of goods. In hypothecation, goods remain in possession of owner
and he can deal with goods in normal course. However, the person making
advance has right to have possession if advances are not paid in stipulated
time. Banks normally make advances on the basis of hypothecation of stock of
raw material, work in process, consumables and finished goods. The borrower
is owner of these goods and can deal with them in the normal course of
business. Bank can take the possession of the hypothecated goods (raw
material, WIP, finished goods, consumables etc.) if borrower fails to make
payment of borrowed money when due.
2.21 Leasing
Here, property in goods remain with owner and he only ‘leases’ the goods for use
to another for certain charges. After the lease period is over, the owner can take
back the goods. Section 2(33) has been specifically amended in 2000 and 2001 to
exclude from the ambit of the word “supply” finance lease and operation lease.
Except these two, all other forms of lease are taxable under the Act.
In ITC Classic Finance v. CCT – (1995) 97 STC 97 (AP HC DB), lessor
placed order with manufacturer (from other state) for equipment to lessee’s
specifications. Goods were supplied by manufacturer outside the state after
inspection by lessee. Invoice was raised on lessor showing lessee as
consignee. This was held as deemed sale in course of Inter-State sale and not
liable to local tax – contrary decision in 20th Century Finance Corpn. v. State
of Maharashtra – (1989) 75 STC 217 (Bom HC).
2.22 Consignment/depot transfer/branch transfer
Goods are despatched to consignment agent/branch/depot by principal. Goods
remain property of the principal. Agent sells goods on behalf of principal.
Consignment agent collects sale proceeds and remits the same to principal (a
concept already explained above).
                                         425
Law & Practice of Sales Tax                              Charge, Scope & Exemptions




   3          Charge, Scope & Exemptions

3. CHARGE OF SALES TAX.
Charging section 3 is a pivotal section around which the whole of the
machinery of sales tax revolves. The present Act imposes VAT-mode tax on
multiple stages [see detail discussion under 1 of this part and section 3 of the
Act in Part I].
The charging section creates liability on different persons, determines the rate
at which sales-tax shall be payable by such persons on transaction of goods,
lays down methods to determine value of the goods for computing tax
thereon, and fixes point of time when liability to tax accrues in different types
of transactions.
3.1 Persons liable to tax [sub-section (1)].
The tax under this Act is payable by a producer or manufacturer, importer,
exporter, retailer, distributor and wholesaler (including dealer).
3.2 Provincial Government’s liability to sales tax.
Goods manufactured and sold by the Provincial Government are liable to sales
tax. According to judicial rulings, neither under the Constitution nor under
any of the provisions of the Sales Tax Act itself, Provincial Government is
entitled to any immunity from sales tax-- [(1971) 23 TAX 45 (Trib)]. The
Lahore High Court has also upheld this view.
3.3 Levy of sales tax.
A person has to pay sales tax as a manufacturer, producer, distributor,
wholesaler, dealer, retailer, importer or exporter unless he or the goods
supplied by him enjoy exemption under the Act.
3.4 Scope of legislation.
The position under the 1973 Constitution is absolutely clear and discussed in
detail under 1 of this Part and section 3 of the Act in Part I. The position under the
1962 Constitution in the light of item 43(f) of the Third Schedule became the
subject matter of judicial review and it was held by the superior courts that the
Central Legislature of Pakistan could legislate on matters relating to taxes on
“sales and purchases”. In this context the term “sale” must be interpreted in the
ordinary English meanings and whatever the position and protection enjoyed by
the old existing laws in the past, Central Legislature could not usurp any power of
legislation by putting any artificial contention on the word. It is worthwhile to
mention that under Article 132 of the 1962 Constitution all the residuary powers
were vested in the Provincial Legislature to make laws with respect to all matters
                                      426
Charge, Scope & Exemptions                              Law & Practice of Sales Tax

other than those enumerated in the Third Schedule [the same position exists in
the 1973 Constitution that in respect of items not covered in Federal and
Concurrent Lists, the power to legislate rests with the provinces]. In this
connection reliance was placed on the Sales Tax Officer Pilibhit v. Messers
Budh Parkash Jai Parkash [A.I.R. 1954 S.C. 459] decided by the Supreme
Court of India. In the said case, under section 2(h) of the United Provinces
Sales Tax Act (XV of 1948), the term “sale” was defined to include forward
contracts as well. This extension in the definition of “sale” by the Provincial
Legislature was held to be in excess of its legislative powers under a similar
Entry 48 in List II of the Seventh Schedule of the Government of India Act,
1935 in force in India. In that connection the Court observed that the power
conferred under that entry to impose a tax on the sale of goods could be
exercised only when there is a sale under which there is a transfer of property
in the goods, and not when there is a mere agreement to sell. In the opinion of
the Court, the State Legislature could not, by enlarging the definition of
“sale”, arrogate to itself a power which was not vested in it. The ratio, in that
case, held to be quite helpful in the context of item 42(f) of 1962 Constitution
as no artificial construction could be placed on the term “sale” and the Central
Legislature of Pakistan was not competent to invade the field that did not
really belong to it. In this view of the matter the amendment introduced in
section 3(2) of the Sales Tax Act by section 6(1) of the Finance Act, 1963
whereby the rate in the tax was raised from 12½% to 15% was ultra vires of
the powers of the Central Legislature in its application to the transaction in
question which did not properly constitute a sale. [Hunza-Asian Textile &
Woollen Mills Ltd. v C.S.T. (1974) 29 TAX 1].
3.5 Basis of charge [Section 3]
The liability of payment of sales tax by manufacturers, distributors, dealers,
wholesalers, importers and exporters at the standard rate is to be computed on
the value of supply [section 2(46)]. In case of items mentioned in the Third
Schedule the tax is payable on retail price @15% which along with the
amount of sales tax “shall be legibly, prominently and indelibly printed or
embossed by the manufacturer on each article, packet, container, package,
cover or label, as the case may be.” The ‘value of supply’ in each of the above
categories is described to mean:–
  “2(46) "value of supply" means:–
           (a) in respect of a taxable supply, the consideration in money
                including all Federal and Provincial duties and taxes, if any,
                which the supplier receives from the recipient for that supply
                but excluding the amount of tax:
                Provided that: __
               (i) in case the consideration for a supply is in kind or is partly
                    in kind and partly in money, the value of the supply shall
                                        427
Law & Practice of Sales Tax                            Charge, Scope & Exemptions

                     mean the open market price of the supply excluding the
                     amount of tax;
                (ii) in case the supplier and recipient are associated persons and
                     the supply is made for no consideration or for a
                     consideration which is lower than the open market price,
                     the value of supply shall mean the open market price of the
                     supply excluding the amount of tax; and
               (iii) in case a taxable supply is made to a consumer from
                     general public on installment basis on a price inclusive of
                     mark up or surcharge rendering it higher than open market
                     price, the value of supply shall mean the open market price
                     of the supply excluding the amount of tax.
            (b) in case of trade discounts, the discounted price excluding the
                 amount of tax; provided the tax invoice shows the discounted
                 price and the related tax and the discount allowed is in
                 conformity with the normal business practices;
            (c) in case where for any special nature of transaction it is difficult
                 to ascertain the value of a supply, the open market price;
            (d) in case of imported goods, the value determined under section
                 25 of the Customs Act, including the amount of customs-duties
                 and central excise duty levied thereon;
            (e) in case where there is sufficient reason to believe that the value
                 of a supply has not been correctly declared in the invoice, the
                 value determined by the Valuation Committee comprising
                 representatives of trade and the Sales Tax Department
                 constituted by the Collector; and
            (f) in case the goods other than taxable goods are supplied to a
                 registered person for processing, the value of supply of such
                 processed goods shall mean the price excluding the amount of
                 sales tax which such goods will fetch on sale in the market;
            (g) in case of a taxable supply, with reference to retail tax, the
                 price of taxable goods excluding the amount of retail tax,
                 which a supplier will charge at the time of making taxable
                 supply by him, or such other price as the Board may, by a
                 notification in the Official Gazette, specify.”
                        Provided that, where the Board deems it necessary it
                 may, by notification in the official Gazette, fix the value of any
                 imported goods or taxable supplies or class of supplies and for
                 that purpose fix different values for different classes or
                 description of same type of imported goods or supplies:
                        Provided further that where the value at which import
                 or supply is made is higher than the value fixed by the Board,
                                         428
Charge, Scope & Exemptions                                  Law & Practice of Sales Tax

                the value of goods shall, unless otherwise directed by the
                Board, be the value at which the import or supply is made.”
3.6 Incidence of tax, when arises.
The charge of sales tax may arise in any of the following stages:–
       (i) When the goods are delivered to the purchaser, or;
      (ii) When the payment is received by the supplier, whichever event
           mentioned at (i) or (ii) takes place earlier;
     (iii) When goods are sent, consigned or exported to any place outside
           Pakistan;
     (iv) When the goods are actually used by the manufacturer or producer
           or exporter
      (v) Where the goods on importation are directly cleared for home
           consumption, the tax shall be paid before the order for such
           clearance is made by the appropriate Officer;
     (vi) When the goods on importation are taken out of bond for home
           consumption, the tax shall be paid before those are removed from
           the warehouse;
    (vii) By sea, the tax shall be paid before the shipping bill is passed by
           the Customs Collector; and
    (viii) Where the goods are exported by land, the tax shall be paid before the
           permit for passage of the goods out of or into foreign territory is issued.
3.6A Abolition of further tax.
Sub-section (1A) of section 3 provided for charge, levy and payment of
'further tax' at the prescribed rate. At the time of announcement of Finance
Bill, 2004 the rate was 3% of the value of supply, in addition to the standard
rate of tax. Sub-section (1A) in section 3 was inserted through the Finance
Act, 1998. Further tax was to be recovered from persons other than registered
persons under the Act. Responsibility for payment of this tax to the
Government, like other levies under the Act, rested with the supplier.
The rates of further tax varied from time-to-time, ranging between 1% to
3% as follows:
          From                       To                           Rate
          June 12, 1998              June 29, 1999                 1%
          June 30, 1999              June 17, 2000                 3%
          June 19, 2000              June 17, 2001               1.5%
          June 18, 2001              June 11, 2004                 3%
Further tax aimed at serving two ends. The first was checking supplies to non-
registered persons by making such supplies more expensive vis-à-vis. supplies
to registered persons and the second was documentation of the economy.
                                                  429
Law & Practice of Sales Tax                                           Charge, Scope & Exemptions

As stated above, registered persons were not required to bear the further tax,
although its payment to the Government was their responsibility. It sought to
enforce will of the legislature that not only every person dealing in certain
goods or supplies should share the burden of tax, the ones not complying with
the Act should be penalised.
The Honourable Lahore High Court in Riaz Bottlers (Pvt) Limited v
Federation of Pakistan (PTCL 2000 CL 1) held:
            "Neither the intention, nor the words of section 3(1A) are in any
            way offensive to the established norms of judicial interpretation.
            Further tax had nothing to do with the fact whether a person was
            making supplies of goods which were subject of sales tax on
            normal basis or otherwise."
Different Chambers of Commerce, Trade Associations, Trade Bodies and
professionals had been agitating against further tax. Some even contested
morality and constitutionality of this levy.
They were of the view that a non-registered person was not entitled to input
tax credit on his procurements for further supply. This was already a sufficient
penalty for him.
The Federal Tax Ombudsman also recommended abolishing this levy which
was considered discriminatory, unwarranted and without justification. In the
wake of scrapping provision of further tax relevant in case of supplies made to
non-registered persons, most conspicuous of the amendments by the Finance
Act is non-scrapping of section 8(6) introduced through Sales Tax
(Amendments) Ordinance, 2001 in terms of which Federal Government has
the power to specify goods which a registered person cannot supply to a
person who is not registered under the Act. 1
3.6AA Abolition of turnover tax.
Through the Finance Act 2004, turnover tax has been done away with.
Accordingly, section 3A which detailed mechanism and manner of payment
of turnover tax has also been deleted. Abolishing the turnover tax of 2% and
raising the exemption limit for manufacturers and retailers would help the
small and medium enterprises (SMEs). Daily Dawn has estimated that as a
result of the budgetary measures, 42,000 taxpayers will be de-registered from
the sales tax net. Of the 42,000 likely to be de-registered 25,000 are retailers
while 17,000 are manufacturers. A task force responsible for processing
applications for de-registration in each Collectorate of Sales Tax is reportedly
in the offing. Procedure prescribed for retailers in Chapter III of Sales Tax
Special Procedure Rules 2004 (SRO No 484(I)/2004) provides for simplified
record keeping with requirement of audit relaxed. 2

1
Amendments in Sales Tax Law through Finance Act, 2004 by Qaisar Mufti published in The Business Recorder.
2
Amendments in Sales Tax Law through Finance Act, 2004 by Qaisar Mufti published in The Business Recorder.
                                       430
Charge, Scope & Exemptions                                Law & Practice of Sales Tax


3.7 Time of supply [section 2(44)].
The concept of “time of supply” is re-defined by the Finance Act 2007 as
under:–
    2(44) “time of supply” a supply shall be deemed to have taken place at
             the time of delivery of goods by the supplier:
             Provided that–
            (a) where any goods are supplied by a registered person to an
                  associated person and the goods are not to be removed, the
                  time of supply shall be the time at which these goods are made
                  available to the recipient; and
           (b) where the goods are supplied under hire purchase agreement,
                  the time of supply shall be the time at which the agreement is
                  entered into.
Prior to Finance Act 2007, the definition even included incidence when whole
or part of payment was received by supplier. On the basis of former definition,
the Supreme Court in D.G. Khan Cement Company Ltd. etc. and others v. The
Federation of Pakistan, etc. and others [2004 PTD 1179] concluded as under:–
             “According to the well established principles of interpretation and
             construction of the Statutes laid down by the superior courts,
             harmonious construction is to be made keeping in view the
             different provisions of the Statute after fully understanding the
             intention with which the same had been made and the object which
             was intended to be achieved. The intention behind the
             promulgation of relevant provisions of the Sales Tax Act as
             reproduced above is clearly manifest that the sales tax should go to
             the Government treasury within the tax period after the same
             having become due and should not be retained by the
             manufacturers. There is no hard and fast rule as to when and at
             what stage, the transaction shall be deemed to be the transaction of
             sale of the goods. Each case has to be decided according to the
             facts and circumstances of the case in particular the practice, usage
             of a particular nature of business or trade. In the case in hand, the
             manufacturers used to receive amount of consideration in advance
             for the supply of cement to be made later.
             It is clear from the provisions of section 2(22) and (30) of the Sales
             Tax Act, that time of supply was deemed to be the date on which
             advance payment was received or the supply made which ever was
             earlier. There is no difficulty in holding that in such a case, the
             amount of consideration received in advance shall be deemed to be
             the price on that date of the proportionate quantity of cement and
             the sale tax should be deposited before 20th of the succeeding
             month in the Government treasury instead of the date of delivery
             of the goods at the subsequent stage. In other words, we in order to
                                               431
Law & Practice of Sales Tax                                      Charge, Scope & Exemptions

          put the matter beyond any ambiguity, have no hesitation in holding
          that in such a situation, the date of receipt of amount of
          consideration in advance can well be construed to be the date of
          sale for the purpose of payment of sales tax.”
This judgment of honourable apex court is now to be read applicable only for
supplies made prior to 1st July 2007.
        Rates of sales tax on different categories (w.e.f. 06.06.2005)
        Category              Application                  Threshold              Rate of tax
Manufacturer           Entry 3 (Table-2) of          Up to 5 million             Exempt
                       Sixth Schedule
Manufacturer           Section 3                     Over Rs. 5 million          15%
Importer               Section 3                     Nil                         15%
Wholesalers            Section 3                     Nil                         15%
(Including dealers)
Retailers              Entry 3 (Table-2) of Up to Rs. 5 million                  Exempt
                       Sixth Schedule
Retailers [see section 113B of the Income Tax ordinance, 2001]
 Sr.         Annual Turnover                   Sales tax rate               Income tax rate
 No.
  (1)               (2)                            (3)                           (4)
1.        Up to Rs. Five million       Nil                             0.5% of total turnover
2.        More than Rs. Five           0.5% of turnover which is       Rs. 25,000 plus 0.5%
          million and up to Rs.        in excess of Rs. Five           of turnover which is
          Ten million                  million                         in excess of Rs. Five
                                                                       million.
3.        More than Rs. Ten            Rs. 25,000 plus 0.75% of        Rs. 50,000 plus
          million                      turnover which is in            0.75% of turnover
                                       excess of Rs. Ten million       which is in excess of
                                                                       Rs. Ten million.
         Rates of sales tax on different categories (prior to 12.06.2004)
           Category                   Application               Threshold        Rate of tax
Manufacturer                       Entry 42 of Sixth       Up to 0.5            Exempt
                                   Schedule                million
Manufacturer (excluding            Section 3A              Rs. 0.5 to 2.5       2% of
limited liability companies)                               million              turnover
Manufacturer                       Section 3               Over Rs. 2.5         15%
                                                           million
Importer                           Section 3               Nil                  15%
Wholesalers                        Section 3               Nil                  15%
(Including dealers)
                                         432
Charge, Scope & Exemptions                                Law & Practice of Sales Tax

Retailers                    Entry 42 of Sixth    Up to Rs. 1         Exempt
                             Schedule             million
Retailers                    Section 3A           Rs. 1 to 2          2%
                                                  million
Retailers                    Section 3            Exceeding Rs. 2     15%
                                                  million
Sales tax accrues at the time of delivery of taxable goods by the supplier,
except in two eventualities as provided in sub-clauses (a) and (b) of clause
(44) of section 2. Taxable goods are the goods which are subject to tax.
Immovable goods are out of the scope of sales tax. Except movable goods
detailed in the Sixth Schedule of the Sales Tax Act, section 13(1), and goods
specified under section 2(12) viz. actionable claims, money, stocks, shares and
securities, all movable goods, are subject to tax.
In terms of section 4, the Sales Tax Act has a concept of zero rating of tax on
supplies. Zero rating means that the goods are not exempt from tax. The rate
of tax on the relevant goods is zero. Details of goods that attract the zero rate
of tax are provided under the Fifth Schedule of the Act.
The definition of supply, restricted to movable goods in view of section 2(12),
given in section 2(33) is very wide. It includes:
       (a) putting to private business or non-business use of goods acquired,
            produced or manufactured in the course of business;
       (b) auction or disposal of goods to satisfy a debt owed by a person;
            and
       (c) possession of taxable goods held immediately before a person
            ceases to be a registered person:
            Provided that the Federal Government, may by notification in the
            official Gazette, specify such other transactions which shall or
            shall not constitute supply;
The above are in addition to the sale, lease or other disposition of goods etc.
Under section 2(33)(d), the Federal Government has the powers to bring such
other transactions in the fold of supply as it may specify in the official gazette.
Definition of supply in the Act is in line with the scope of tax in section 3 and
scope of the tax is in respect of:
       (a) taxable supplies made by a registered person in the course or
            furtherance of any taxable activity carried on by him.
       (b) goods imported into Pakistan.
The concept of “taxable supply” has been further elaborated by honourable
Supreme Court of Pakistan in PTCL 2007 CL. 565 (S.C. Pak.) as under:
        1. Taxable supply has not been confined or limited to the one which
            is the product or the goods manufactured but also includes those
                                        433
Law & Practice of Sales Tax                            Charge, Scope & Exemptions

             goods which involve in some way with the progress, promotion,
             advancement of business/activity/taxable activity.
        2.   The Sales Tax Act makes no distinction between goods supplied
             by a registered person in the normal and continuous course of
             business activity as frequent and constant supply or otherwise.
        3.   Fixed assets are goods or taxable goods and come within ambit of
             taxable supply and liable to levy of sales tax.
        4.   Consideration/sale proceeds received against disposal of fixed
             assets as well as scrap/waste are income being part of business, and
             any investing activity done during course of business is an act of
             furtherance of business.
        5.   Whenever there is a taxable supply made by a registered person in
             the course of a taxable activity, sales tax will have to be levied and
             if any exemption is claimed then it is for the person so pleads to
             show that the same is covered under the exemption clause.
        6.   The disposal of fixed assets, scraps by a registered person, being
             not exempted under section 13 or being not specified in Sixth
             Schedule are chargeable to Sales Tax and supply thereof, are
             taxable supply.
        7.   In the case of a sale there has to be a seller and a buyer. No one can
             sell to himself or buy from himself. In supply, under the sales tax
             statute, also falls private, business or non-business use of goods
             produced or manufactured in the course of business; disposition or
             lease of goods; mere possession of taxable goods immediately
             before a person ceases to be registered also tantamount to supply.
             It means that according to the sales tax law one makes supplies to
             himself by way of business. Thus gifts and other give-aways to
             employees out of business stocks, distribution of samples and such
             other uses of stocks of business attract sales tax.
        8.   According to the Act, sale of goods, as are not in the nature of
             course or furtherance of any “taxable activity” [S. 2(35)] carried
             out for consideration is not a supply. Whether these are or are not
             as such, during the course or furtherance of “taxable activity”, all
             sales are sales in accordance with the Sale of Goods Act. In this
             connection one would be inclined to refer to section 2(35) of the
             Sales Tax Act, titled “taxable activity”, which says:
                 “taxable activity” means any activity which is carried on by
                 any person, whether or not for a pecuniary profit, and involves
                 in whole or in part, the supply of goods or rendering of services
                 on which sales tax has been levied under the respective
                 ordinance and use of goods acquired for private purposes or for
                 the manufacture of exempt goods without making supply to
                                       434
Charge, Scope & Exemptions                               Law & Practice of Sales Tax

                any other person, whether for any consideration or otherwise,
                and includes any activity carried on in the form of a business,
                trade or manufacture;
            The above provision has to be juxtaposed with the words “taxable
            activity” while determining the scope of tax under section 3(1)(a)
            of the Act. The tax officials usually overlook the real import of the
            charge under the Act, which largely depends on “supplies” and
            “taxable activity”. Taxable activity has to involve ‘supply’, which
            is defined by the law. The tax is in respect of taxable supplies and
            is payable by the categories of persons indicated and engaged in
            the business of taxable supplies. What is not a supply according to
            law has nothing to do with taxable activity. To be in the fold of
            taxable activity it has to qualify as a supply in the first instance.
            The value of supplies would be determined in accordance with
            section 2(46) of the Act.
       5.   Sales Tax covers supplies of only movable goods. Sale of Goods
            Act extends to both movable and immovable goods. It is material
            whether the supplier is in the business of the relevant goods or he is
            not so involved. Under the sales tax law a supply includes “sale or
            other disposition of goods carried out for consideration”. The word
            ‘consideration’ has not been defined by the Act. Accordingly, the
            definition given under the Contract Act would hold fort. It would
            stretch to mean that the tax would not be attracted if this condition
            is not met with. Sale of goods has no such condition. Even if not
            made during the course or furtherance of business all sales are
            sales.
       6.   According to the Sales of Goods Act, sale of non-existent or future
            goods or contracts for the sale of goods, the acquisition of which
            depends upon a contingency, which may or may not happen, are
            valid transactions.
       7.   There is no provision in the sales tax law to include non-existent or
            future goods or contingent goods in the fold of a supply. Section
            2(44) of the Sales Tax Act deals with deemed supplies which does
            not cover non-existent or future goods.
       8.   The Income Tax Appellate Tribunal Pakistan (I.T. Nos. 749/LB
            and 1823/LB of 1997, decided on 27 May, 1998) has held:
                “…supply presupposes a beforehand discussion with an
                arranged and controlled price for a period within certain
                prescribed and negotiated conditions. The sale is a wider
                connotation and it includes supply but all sales are not
                necessarily supplies. Similarly, a supplier is a seller but all
                sellers are not suppliers.”
                                       435
Law & Practice of Sales Tax                           Charge, Scope & Exemptions

        9. Sales tax is applicable to:
             (i) Importers
            (ii) Manufacturers
           (iii)Wholesalers (including dealers)
           (iv) Distributors
           (iv) Retailers
It would follow from above that sales tax would be applicable in respect of
supplies of waste arising out of a business activity subject to sales tax, because
this has directly to do with the business operations during the course of business
and in furtherance of business carried out as importer, manufacturer, wholesaler,
dealer, distributor or retailer. Prior to judgement of the Supreme Court PTCL
2007 CL. 565 (S.C. Pak.), it was argued by taxpayers that sale of vehicles
bought for personal use and sold after a period of use by a person not engaged
in the business of purchase and sale of vehicles would not constitute a supply
according to the Sales Tax Act because it is not in the nature of furtherance of
business (carried out) by the concerned person. In PTCL 2007 CL. 565 (S.C.
Pak.), the honourable Supreme Court held as under:
     “There is no legal provision excluding the sale of old plant and
     machinery, vehicles or scrap from the purview of taxable supply. These
     goods were purchased by the respondents in the course of their taxable
     activity, their sale cannot be considered as a transaction which is divorced
     from their normal business and that the said goods are business assets of
     the respondents and both their purchase and sale is a part of their normal
     business activity.”
The critics say that the definition of a “taxable supply” i.e. a supply subject to
the Act does not cover capital goods. According to definition of a taxable
supply it should be a supply subject to levy of tax has to be by an importer,
manufacturer, wholesaler (including dealer), distributor or retailer. Obviously,
a supply made by a person not falling under any of the categories cited is not a
supply for purpose of the Sales Tax Act, hence not a taxable supply. Since it is
the taxable supply which attracts tax, sale of used vehicles would not be a
taxable supply if the supplier is not a person engaged in the business of supply
of vehicles.
Goods sold not for the furtherance of business were taxed by the Sales Tax
Officers without regard to definition of “supply” [section 2(33) and the
definition of “taxable supply” (section 2(41)]. The plea taken by the
Department was that every sale of goods attracts chargeability. Supreme Court
in PTCL 2007 CL. 565 (S.C. Pak.) laid down the following basis for levy of
sales tax:
     “It is abundantly clear that the taxable supply has not been confined or
     limited to the one which is the product or the goods manufactured but
                                      436
Charge, Scope & Exemptions                              Law & Practice of Sales Tax

     also include those goods which involve in some way with the progress,
     promotion, advancement of business/activity/taxable activity.”
The issue of taxability on sale of fixed assets has been a cause of litigation
between the taxpayers and the sales tax department in the country and now the
issue is finally settled by the apex court in categorical terms in PTCL 2007 CL.
565 (S.C. Pak.) cited above. Various operating parts of this judgement are as
under:
     “Fixed assets … are goods or taxable goods and come within ambit of
     taxable supply and liable to levy of sales tax.”
     “Consideration/sale proceeds received against disposal of fixed assets as
     well as scrap/waste … are income being a part of business and investing
     activity done during course of business is an act of furtherance of
     business.”
     “The disposal of fixed assets, scraps by a registered person, being not
     exempted under section 13 or being not specified in 6th Schedule are
     chargeable to Sales Tax and supply thereof, are taxable supply.”
3.8 Exemptions [Section 13 read with Sixth Schedule]
Section 13 exclusively deals with the issue of exemptions granted under the
Act. The items/persons mentioned in the Sixth Schedule to the Act are not
chargeable to tax on fulfilment of conditions mentioned therein. Please see
details in the Sixth Schedule [Part I of the book]. According to the established
principles of interpretation of statutes exemption clauses are to be construed
strictly in favour of revenue and onus lies on the claimant to prove that his
case falls within the ambit of exemption. The Supreme Court of Pakistan in
World Trade Corporation v. The Excise and Sales Tax Appellate Tribunal
(Lahore Bench), Lahore and two others 1999 PTD 1179 elaborated this
principle in great detail when examining serial no. 3 of the Sixth Schedule to
the Act. In this case the Honourable Apex Court observed that words used in
an exemption clause are to be construed strictly and literal meanings shall be
ascribed unless the context requires otherwise or there is clear intent of the
Legislature for expanding or curtailing its connotation.
             However, the Honourable Supreme Court, in the case of Irum
             Ghee Mills Ltd v. ITAT and others [2000] 82 TAX 3 (S.C. Pak.)
             held that exemption clauses provided under industrial incentives
             should be construed liberally.
             Other important cases relating to interpretation of exemption
             clauses are as under:
            (i) Muhammadi Steamship Company Ltd. v. Commissioner of
                 Income Tax, (Central) Karachi [1966] 14 TAX 281 (S.C. Pak.)
                 = PLD 1966 S.C. 828.
                                     437
Law & Practice of Sales Tax                        Charge, Scope & Exemptions

            (ii) Commissioner of Sales Tax Lahore v. Lutfi & Co. Lahore
                 [1973] 28 TAX 168 (H.C. Lah.).
           (iii) Micropak (Pvt.) Ltd., Lahore v. Income Tax Appellate
                 Tribunal, Lahore and 2 others [2001] 83 TAX 451 (H.C. Lah.)
                 = 2001 PTD 1180.
           (iv) Commissioner of Income Tax/Wealth Tax, Multan Zone,
                 Multan v. Allah Yar Cotton Ginning & Pressing Mills (Pvt.)
                 Limited, Multan Road, Vehari [2000] 82 TAX 433 (H.C. Lah.)
                 = 2000 PTD 2958.
            (v) Commissioner of Income Tax/Wealth Tax, Companies Zone,
                 Faisalabad v. Rana Asif Tauseef C/o Rana Hosiery & Textile
                 Mills (Pvt.) Ltd., Faisalabad [2000] 81 TAX 7 (H.C. Lah.) =
                 2000 PTD 497.
                                      439
Law & Practice of Sales Tax                         Registration, Record & Returns




   4          Registration, Record & Returns

The Chapter containing sections 22, 23, 24 and 25 of the Act is titled Book
keeping and invoicing requirements. In addition, section 38 and 38B titled
‘authorised officers to have access to premises, stocks, accounts and
records and Obligation to produce documents and provide information
respectively are for guidance on the requirement for maintaining record.
The CBR has notified rules relating to registration vide SRO 533(I)/2005,
dated June 6, 2005, available in this book [see Rules].
4.1 Book keeping-basic requirements.
The law provides that records can be kept in English or Urdu at the business
premises or registered office of the registered person engaged in the business
of making taxable supplies. Records of goods purchased and supplies,
including zero rated and exempt supplies, made either directly or through an
agent, have to be maintained. These are to be kept in a way that they enable
ready ascertainment of the person’s tax liability during the tax period.
Keeping records is the statutory responsibility of a registered person. Through
an amendment in law introduced in 1998, the Federal Government acquired
the power to specify goods in respect of which liability to pay tax shall be that
of the person receiving the supply. In such a case responsibility to keep the
relevant records of supplies shall be on the shoulders of the purchaser. In the
sales tax law, unlike the companies tax laws etc., there is no concept of
financial year although the words ‘twelve months’ are used. The concept is
tax liability per calendar month. Net tax liabilities are to be paid off by the
suppliers at the end of each month.
4.3 Book keeping-guidelines.
Guidelines for record keeping given in the Act are:
     (a) Records of supplies made should indicate the description, quantity
           and value of goods, name and address of the person to whom
           supplies are made and the amount of tax charged.
     (b) records of goods purchased should show the description, quantity
           and value of goods, name, address and registration number of the
           supplier and the amount of tax on purchases;
     (c) records of zero-rated and exempt supplies;
     (d) invoices, credit notes, debit notes, bank statements, inventory
           records; and
     (e) such other records as may be specified by the Board.
                                      440
Registration, Record & Returns                         Law & Practice of Handbook

The CBR can specify other records to be kept by taxable persons or other
persons registered under the Act. Electronic record keeping i.e.
computerization is permitted. The form and manner of computerizing,
however, would need the approval from Collector/CBR.
4.4 Free access to authorised officers.
Under section 38 authorized officers have free access to the records of any
registered person or a person liable for registration and in other specified
conditions can inspect the goods, stocks, records, data, documents,
correspondence, accounts and statements, utility bills, bank statements
information regarding nature and sources of funds or assets with which the
business is financed and any other records or documents. They can impound
any such records in original or copies thereof. The registered person or his
agent is bound to answer any question or furnish such information or
explanation as may be sought by the authorized officer. Under this section the
direct and indirect taxes department or any other governmental department
and others have to supply requisite information and render necessary
assistance to the authorized officer in the course of enquiry or investigation
relating to sales tax.
Under section 38A, in case of a tax fraud, the Collector may require any
person, including a banking company, to furnish such information or such
statement in connection with any investigation or inquiry as may be specified
in a notice to such person.
4.5 Issuance of tax invoice.
Non-registered persons are not authorized to issue a tax invoice. Registered
persons making taxable supplies are required to issue tax invoices which
should, inter alia, have the following details:
       (a) name, address and registration number of the supplier;
       (b) name, address and registration number of the recipient;
             (i) date of issue of the invoice;
            (ii) description and quantity of goods;
           (iii) value exclusive of tax;
           (iv) amount of sales tax;
            (v) value inclusive of tax.
The above are mandatory particulars that an invoice should contain to qualify
as a tax invoice. Other details can be provided to suit business convenience.
In case an invoice for supplies does not contain the cited mandatory details, a
registered person shall be flouting the law and would be liable to penalties. An
invoice which does not contain prescribed details may not be construed a tax
invoice under the law. Accordingly, a purchaser of goods against an invoice
                                       441
Law & Practice of Sales Tax                         Registration, Record & Returns

which is legally not a tax invoice may not be entitled to set off his output tax
liability by the amount of tax paid against such a (non-tax) invoice i.e. claim
the input tax paid against an invoice which is legally not a tax invoice. The
supplier of goods issuing such an invoice i.e. an invoice in which any of the
cited particulars are lacking shall, however, be liable to pay output tax against
the same, because legally it would then be related to a taxable supply.
4.6 Time limitation for keeping old record.
A person required to maintain any record or documents under the Sales Tax
Act is required to preserve the same for five years after the tax period to
which these relate. He is required to produce these records on the demand of
the Sales Tax officials.
4.7 Requirements in terms of transactions and time.
The value of supply means the consideration in money in respect of a taxable
supply. Such monetary consideration is deemed to include all Federal and
Provincial duties, excluding sales tax, which a supplier receives from recipient
of the supply. In case of full or partial consideration being in kind or supply to
an associated person or in special transactions, the value of supply is the open
market price, excluding sales tax. If the transaction involves a discounted
price, this price has to be shown.
The discount has to be in conformity with normal business practices. If the
supply is based on imported goods the value would be inclusive of customs
duties and central excise duty. If the value of supply is alleged to be
incorrectly declared, the Valuation Committee, comprising representatives of
trade and sales tax department, can determine it. The Collector of Sales Tax
constitutes the committee.
Legally, the time of supply is earlier of the time of delivery of goods or receipt
of any payment by the supplier in respect of goods. All payments received or
supplies effected (whether or not cash is received against these) have to be
accounted for in the tax return for the relevant period. Time of supply in
respect of an associated person is the time of making available, relevant goods
to that person. In the case of hire purchase the time of supply is the time at
which the relevant agreement is entered into.
Entering into an agreement for hire-purchase or receiving an advance for a
supply to be made are deemed supplies for the relevant period. Since invoice
is to be issued for each supply and the output tax liability is to be computed on
the basis of aggregate of the invoice values, tax invoice has to be issued at the
time of receipt of an advance for supply to be effected. If supply is not made
according to the plan, cancellation can take place keeping in view the
provisions of Debit and Credit notes & Destruction of Goods Rules, 1996.
These rules do not support the issuance of debit and credit notes on the simple
plea that ‘goods were not supplied’ nor do they cater for the eventuality of
                                       442
Registration, Record & Returns                           Law & Practice of Handbook

non-supply of goods under a hire-purchase agreement or variation in the
actual supply vis-à-vis the agreed supply. If the buyer returns the goods on the
ground that the same are unfit, there arises a need for issuance of debit and
credit notes in terms of rule 4 read with relevant rules.
Section 23 of the Sales Tax Act provides “…not more than one tax invoice
shall be issued for a taxable supply”. In view of this some commentators argue
that no tax invoice can be issued for the advance received against a supply to
be made and that a tax invoice has to be issued for a supply only once i.e.
when the supply is actually made.
Since under section 2(44) the advance received against a supply to be made is
construed a supply and is to be accounted for in the return for the relevant tax
period, issue of a tax invoice for the amount of advance received would be
required. The advance received would have to be accounted for in the month
of receipt of such advance also for purposes of computation of sales tax
liability of the person receiving the advance i.e. the supplier.
4.8 Section 26: Returns.
Section 26 as amended by Finance Act 2006 first time caters for filing of
revised return, subject to approval of the Collectors of Sales Tax, within 90
days of the of original return to correct any omission or wrong declaration.
Returns filed with the Department are based on the data or the record of the
persons. A registered person due to one or more of the following reasons may
feed incorrect information to the Department:
         * Genuine mistake.
         * Incorrect information/data fed into the accounts/records of the person.
         * Temptation to attain a gain.
The monthly or quarterly returns filed are links in a chain. The bottom line of
a return is carry forward or refund claim, which affects the tax liabilities of a
registered person in the future period also.
There is no provision for making re-submission or a revision in the returns. In
line with other tax laws, it should be the legal right of a person to revise a
return submitted by him under the Act. Such a provision would take away a
lot of bickering from the offices of the Department.
Apparently, the CBR is justified in its assertion that a sizable percentage of
persons who should have got registered have not registered and such non-
registration is causing a colossal loss of revenue to the Government. The
present law is, however, not very helpful to a person who for one reason or the
other could not register although he should have registered. This scenario is
causing a state of conflict between the general public and the governmental
agencies. Practical solution of the problem is in the announcement of another
amnesty to persons who should have registered but could not register.
                                      443
Law & Practice of Sales Tax                        Registration, Record & Returns

Sub-section (5) of section 26 requires furnishing such summary or details or
particulars pertaining to imports, purchases and supplies in such format as
may be specified.
4.9 Debit or credit Notes.
There is no concept of cancellation of tax invoice issued. Adjustment in the
tax invoices can be made:
      (a) When the supply is cancelled.
      (b) When the goods are returned.
      (c) When the nature of supply changes.
      (d) When the value of supply changes.
      (e) When some such event takes place that the amount shown in the
            tax invoice or the return needs to be modified.
Under the above conditions a registered person can issue a debit or credit note.
The CBR is empowered to make issue of debit and credit notes subject to such
conditions or limitations, as it considers necessary. Accordingly, rules have
been framed by the CBR for issue of debit and credit notes available at page
261 of this book.
A registered person can adjust his tax liability in the return in view of credit
and debit notes during the month. On the basis of his credit note the supplier
can correspondingly reduce his liability for output tax. In view of the debit
note(s) a buyer is obliged to reduce the amount of input tax in his return for
the period in which he returned the goods to the supplier.
4.10 Requirement of registration [section 14(1)].
The Finance Act 2004, substituted section 14(1) which reads as under:-
    “14. Registration. – Under this Act, registration will be required for such
    persons and be regulated in such manner and subject to rules as the Board
    may, by notification in the official Gazette, prescribe.”
In pursuance the rules for registration have been notified vide SRO
555(I)/2006, dated June 5, 2006 (See relevant section of the book).

             [Page Nos. 444 to 447 stand omitted while updating.]
                                      449
Law & Practice of Sales Tax                                  Offences & Penalties




   5          Offences & Penalties

Sections 33 to 37A of the Act deal with ‘Offences and Penalties’. The text of
these sections is available in the Act [see text at the relevant place].
We have taken only some of the provisions in this chapter to highlight a
number of difficulties faced by the taxpayers due to harsh provisions that have
been abused by the tax officials in utter disregard of the principles of natural
justice. There exists a wrong notion in the department that every default is
punishable notwithstanding the fact of willful or deliberate act on the part of
the defaulter or otherwise. The following principles which have not been
given due attention and regard by the tax officials are very important vis-à-vis
initiation of any penal provisions against taxpayers:
* Absence of direct evidence to establish the exact income alleged to have
     been concealed; penalty cannot be imposed. – Moinuddin Qureshi v. The
     State [1983] 47 TAX 244 (H.C. Kar.).
* Accounts were rejected for certain deficiencies in the account books and
     additions were made to the declared version. Assessee was further
     convicted and sentenced to imprisonment by Special Judge (Customs and
     Taxation), Karachi at the instance of the Department for concealment of
     income and/or deliberately furnishing inaccurate particulars of such
     income. No evidence produced to establish exact alleged income
     concealed by assessee and/or inaccurate particulars of such income,
     conviction and sentence set aside and assessee was acquitted giving him
     benefit of doubt. – Hakimullah v. The State [1983] 47 TAX 169 (H.C.
     Kar.).
* “Immunity”. – Hudaibya Engineering (Pvt.) Ltd. Lahore v. Pakistan
     though Secretary Minister of Interior [1997] 76 TAX 302 (H.C. Lah.).
* “Evasion of Tax”. – Commissioner of Income Tax, Companies II, Karachi
     v. Sultan Ali Jeoffery & Others [1993] 67 TAX 51 (S.C. Pak.).
* Penal interest cannot be levied without passing an order. – Commissioner
     of Income Tax, Central Zone, East Zone and West Zone, Karachi v.
     Anweraly Haji Noor Muhammad & 4 others [1992] 65 TAX 195 (S.C.
     Pak.).
* Affording of opportunity is a pre-requisite for taking penal action. –
     Commissioner of Income Tax, East Pakistan, and 2 Others v. Aswab Ali
     and Another [1975] 31 TAX 101 (S.C. Pak.).
* Imposition of additional tax; held that it did not suffer from any legal
     infirmity. – Service Industry, Ltd. v. Commissioner of Income Tax,
     Lahore [1992] 65 TAX 77 (H.C. Lah.).
                                      450
Offences & Penalties                                     Law & Practice of Sales Tax

*   Effective date for levy of additional tax. – Commissioner of Income Tax,
    Central Zone ‘A’, Karachi v. Shahsons Fisheries Ltd. [1991] 64 TAX 119
    (H.C. Kar.).
*   A penal provision cannot operate retrospectively unless it is so provided
    by the statute itself. – Commissioner of Income Tax, Karachi v. Nisar
    Ahmed [1984] 50 TAX 187 (H.C. Kar.).
*   Failure to pay advance super tax did not attract penalty prior to
    amendment in law. – Commissioner of Income Tax, Lahore v. Jalal
    Automobiles [1976] 33 TAX 205 (H.C. Lah.).
*   Additional tax is in the nature of penalty for delayed payment of tax. –
    Taimur Shah v. Commissioner of Income Tax [1976] 34 TAX 151 (H.C.
    Kar.) = PLD 1976 Kar. 1030.
*   Penal provision cannot operate retrospectively. – Rustom F. Cowasjee
    and 2 others v. Central Board of Revenue and 2 others [1985] 52 TAX
    123 (H.C. Kar.).
*   Appeal against additional tax lies. – Commissioner of Income Tax v. Seth
    Dhanrajmal Manumal & Sons [1985] 51 TAX 96 (H.C. Kar.) = 1985 PTD 33.
*   Income Tax Officer is obliged under the law to apply his mind to the
    imposition of penal interest. – Schazoo Laboratories Ltd. v.
    Commissioner of Income Tax, Lahore [1977] 35 TAX 15 (H.C. Lah.) =
    1976 PTD 361.
*   Word ‘due’, does not imply continuity of liability from the past. – Taimur
    Shah v. Commissioner of Income Tax [1976] 34 TAX 151 (H.C. Kar.) =
    PLD 1976 Kar. 1030.
*   In the absence of terminal date upon which additional tax was payable,
    additional tax could not be levied. – Commissioner of Income Tax v. A &
    B Investment Company [1992] 65 Tax 234 (H.C. Kar.) = 1992 PTD 342.
*   Penal interest cannot be levied without issuance of notice. – Mohammad
    Ibrahim Nasiruddin, Lyallpur v. Income Tax Officer, A-Ward, Lyallpur
    [1969] 19 TAX 118 (H.C. Lah.).
*   Demand notice issued for advance payment of tax mentioning wrong
    status, held that such a mistake in notice did not affect identity of assessee
    who was neither misled nor prejudiced by such a mistake. –
    Commissioner of Income Tax, East Pakistan, Dacca v. Ratna Tea Estate,
    Dacca [1966] 13 TAX 133 (H.C. Dacca).
*   Additional tax levied for non-payment of tax during the pendency of
    constitutional petition is not justified. – Hussain Sugar Mills v. Islamic
    Republic of Pakistan and others [1981] 44 TAX 93 (H.C. Kar.).
*   Additional tax vis-à-vis right to appeal. -- Highway Petrolum Service
    (Regd.), Lahore v. Islamic Republic of Pakistan and another [1977] 36
    TAX 8 (H.C. Lah.) = 1977 PTD 183 = 1977 PLD 797.
                                       451
Law & Practice of Sales Tax                                   Offences & Penalties

Completion of penalty proceeding within a reasonable time limit –
Instructions regarding.
     “……Courts have held that inordinate delay in completing such
proceedings is improper. Penalties must be imposed within a reasonable time
after the issuance of show cause notice intimating the tax payers the intention
of the assessing officer for taking penal action. Orders of the assessing
officers, imposing penalties passed after a lapse of few years from the date of
issuance of show cause notices were quashed by the Courts. This not only
enable the taxpayers to escape penal action but also resulted in loss of revenue
to the department.
     3. Instructions had been issued earlier vide Board’s Circular No. 10 of
1977, dated 21st July, 1977 (copy enclosed) regarding avoiding delay in levy
of penalty. It appears that these have not been kept in view as recently in some
cases penalty orders have been vacated by the Tribunal on the same
grounds…….”—[CBR’s C. NO. IT-JTI-1(135)85, dated 25.8.1985].
Abolition of a penalty – Proceedings pending at the time of abolition –
whether penalty liable.
     Where, by amendment in law, the penalty for an act of omission or
commission is abolished, a question often arises whether penalty proceedings
which were initiated before the amendment came into force but were pending
on that date, should be dropped or penalty can be imposed. In such cases,
penalty is leviable and the amendment in the law abolishing penalty will not
apply. An authority for this view may be found in the following extract from
Maxwell’s Interpretation of Statutes:-
            “In general, when the law is altered during the pendency of an action,
            the rights of parties are decided according to the law as it existed
            when the action was begun, unless the new statute shows a clear
            intention to vary such right.” (Maxwell’s Interpretation of Statutes –
            9th Edition at page 229). – (CBR’s Circular No. 2 of 1960.).
5.1 Section 34: ‘Default Surcharge’
The Finance Act 2005 has substituted section 34 replacing the concept of
“additional tax with “default surcharge” [See text of section in the relevant part
of the book]. Prior to 1st July 2005, if an assessee did not pay the tax due, did
not pay in time or did not pay in accordance with the law, in addition to the
principal amount of tax due and the prescribed penalties, he was required to pay
additional tax. The rate of additional tax was 2% per month of the tax due.
With effect from 1st July 2005, the default surcharge if a person does not pay
the tax due, whether wilfully or otherwise in time then he will be leviable at
different rates for the period of default. For the for sixth months rate is 1% per
month and from the seventh month onward 1.5% per month till the time
amount is paid. In case the default is on account of tax fraud the rate will be
2% per month till the time liability is paid.
                                                   452
Offences & Penalties                                                       Law & Practice of Sales Tax

“Often mistakes/omissions are detected during the course of audit by the
Department or by a special auditor, in term of section 32A of the Act. There
could come to for new dimensions of the Department’s view boiling down to
the point that the assessee had short paid the Tax. In such a situation it would
be unjust to charge the additional tax at the exorbitant rate plus penalty. In
such a case if the assessee had delayed payment, the Department had also
erred by delay in computation and telling the person to pay the correct tax.”1
These above remarks by a scholar on sales tax law have been responded
negatively by the CBR. In utter violation of the following dictum by the
honourable Supreme Court, the Finance Act 2005 has made all kinds on
default punishable with exorbitant rate of “default surcharge [which is nothing
but another name of additional tax] plus penalty.
The Supreme Court in the case of D.G. Khan Cement Company Ltd. etc. and
others v. The Federation of Pakistan, etc. and others held as under:
            Additional tax is not leviable where default was not wilful.–
            “We have been informed that the sales tax in full has all along
            been deposited by the respondents-manufacturers but the same
            having not been paid within the tax period, the next question which
            arises is whether they were liable to pay additional tax by way of
            penalty under section 34 of the Act.
            Learned counsel for the appellants submitted that under the said
            provision of the Act, the additional tax is liable to be paid and there
            is no provision wherein the authorities could waive the same.
            Learned counsel for the respondents-manufacturers argued that the
            said provisions of the Act have been consistently construed that
            additional tax is payable only where non-payment of the tax was
            either willful or was evaded malafide. He has referred to the
            following reported judgments:-
             1. PTCL 1992 CL 23 (Supreme Court).
             2. PTCL 1995 CL 415 (Lahore High Court).
             3. PTCL 2002 CL 495 (Tribunal).
             4. PTCL 2001 CL 315 (Tribunal).
             5. PTCL 2001 CL 627 (Tribunal).
             6. GST 2002 CL 280 (Tribunal).
             7. PTCL 2000 CL 195 (Maple Leaf Cement) High Court.
            In the case reported as PTCL 1992 CL 23, this court held that
            imposition of penalty was illegal where the evasion of duty was
            not wilful. The Lahore High Court in the case reported as PTCL

1
Sales Tax Act 1990 – Problems and Suggestions by Qaisar Mufti, published in Taxation 79 at pages 50-55.
                                      453
Law & Practice of Sales Tax                                  Offences & Penalties

            1995 CL 415 held that where the petitioner did not act malafide
            with the intention to evade the tax, the imposition of penalty of
            additional tax and surcharge was not justified. It was held by the
            Sales Tax Tribunal in the case of PTCL 2001 CL 627 that where
            the controversy between the department and the appellants related
            to interpretation of different legal provisions, the imposition of
            additional tax and penalty had no justification. In other case, the
            appellant’s own Tribunal held that additional tax was punitive in
            nature as such unless default was wilful or malafide, the recovery
            of the same was unwarranted.
            In view of these decisions, it could not be argued by the appellants
            that imposition of penalty or additional tax under section 34 was
            mandatory and there was no discretion left with the authorities to
            allow any concession.
            Each and every case has to be decided on its own merits as to
            whether the evasion or payment of tax was willful or mala fide,
            decision on which would depend upon the question of recovery of
            additional tax. In the facts and circumstances of this case, we find
            that non-payment of the sale tax within tax period was neither
            willful nor it could be construed to be mala fide evasion or
            payment of duty, therefore, the recovery of additional tax as
            penalty or otherwise was not justified in law.
            For the foregoing reasons, Civil Appeals Nos. 1293, 1294, 1296
            and 1306 of 2001 are partly accepted and it is hereby declared that
            the payment of sales tax was due within the tax period under the
            Act from the date of receipt of the amount of consideration in
            advance and not from the date of delivery of goods and declaration
            made by the High Court to the contrary is hereby set aside. The
            appeals as regards acceptance of the constitutional petitions of the
            respondents against the recovery of additional tax for the foregoing
            reasons are hereby dismissed. The connected Civil Appeals Nos.
            1866/1996 and 1288/2000 stand disposed of in the above terms.”
The amendments made through Finance Act 2005 replacing the word
‘additional tax” with “default surcharge at various places and re-enactment of
section 34 are aimed at nullifying the effect of above referred judgement of
the honourable Supreme Court. It is no doubt a highly lamentable step which
shows how the government and CBR interpret the judgements of the
honourable Supreme Court and what little respect they have for rule of law
and rights of the taxpayers.
5.2 Synopsis of ‘Offences & Penalties’.
Any person who fails to furnish a return within the due date has to pay a
penalty of five thousand rupees. The law uses the term “any person”. It does
                                      454
Offences & Penalties                                    Law & Practice of Sales Tax

not say a registered person. This would mean that a person whether registered
or unregistered has to pay penalty for the offence of not filing a return within
the due date. Obviously, with the return obligation on him, he is liable to get
himself registered.
Any person who commits irregularities with regard to invoices, fails to
notify changes of material nature in the particulars of registration of
taxable activity, fails to deposit the due amount of tax in time or repeats
erroneous calculations in the return during a year whereby amount of tax
paid is less than the actual tax due, has to pay a penalty of ten thousand
rupees or 5% of the amount of tax involved, whichever is higher. Details
on this account appear in section 33 of the Act [See text at the relevant
place]. The Finance Act 2005 has substituted the entire section which
provides in tabulated form the details of offences and their punishments.
The Finance Act 2006 has added new Sr. No. 20 to 22 [please see text at
the relevant place].
Similarly, any person who attempts to commit an offence or abets the
commission of any of the specified offences is subject to penalties. Where a
corporate body commits the offence, the chief executive has to pay a specified
penalty of rupees twenty five thousand, in addition to other specified penalties.
Under section 37A of the Act, the Sales Tax Department has the power to
arrest a person, who, they believe, has committed a tax fraud. Arrest has to be
carried out in accordance with the relevant provisions of the Code of Criminal
Procedure. The person committing a tax fraud can be punished with
imprisonment for a term up to five years or with fine extending up to the
amount of the loss of tax involved, or with both.
In the case of a tax fraud by a company, every director or officer of that
company can be made personally responsible and put behind the bars. The
company shall, however, continue to be liable for payment of the tax,
additional tax and penalty under the Act.
The arrested person is required to be produced before the Special Judge or
before the Judicial Magistrate within 24 hours of the arrest. The Special Judge
has the power to admit the arrested person to bail or refuse to admit him to
bail and direct his detention at such place as he deems fit. The Special Judge
can cancel the bail of such person at a subsequent stage. On the request of the
Sales Tax Officer, the Special Judge or the Judicial Magistrate can remand the
person concerned to the custody of the Sales Tax Officer holding enquiry
against that person for a period extending up to 14 days, if he is of the opinion
that for the completion of enquiry or investigation it is necessary to make such
order. While holding such an enquiry the Sales Tax Officer has the same
powers as are exercisable by an officer in-charge of a police station under the
Code of Criminal Procedure.
                                      455
Law & Practice of Sales Tax                               Appeals & Revisions etc.




   6          Appeals & Revisions etc.

Appeal is a statutory right given to taxpayers and the Department through
explicit words in the law itself.
6.1 Scope and meaning of “appeal”
The expression “appeal” has been defined in different dictionaries as under:
       (i) “appeal to higher court for revision of lower court’s decisions” –
            Oxford Dictionary.
      (ii) “complaint to a superior court for an injustice done by an inferior
            court” – Mozley and Whiteley’s Law Dictionary.
     (iii) “proceeding taken to rectify an erroneous decision of a court by
            submitting a question to a higher court, or a court of appeal” – Law
            Dictionary by Sweet.
There is, however, no inherent right of appeal. If a right of appeal is not given
by the statute, no appeal would lie – Harihar Gir v. Commissioner of Income
Tax [1941] 9 ITR 246. The party complaining is styled the appellant and the
defending party as respondent. The right to appeal must be given by express
enactment in the law and it cannot be implied.
Following is the gist of relevant case-law:
       (i) Right of appeal is a creature of statute. – Chairman, Central Board
            of Revenue v. Pak-Saudi Fertilizer Ltd. [2001] 83 TAX 119 (S.C.
            Pak.).
      (ii) Compulsory deposit for filing appeal disapproved. – Messrs Sonia
            Silk, 108-Anarkali, Lahore through Sheikh Wajih-ud-Din Ahmad v.
            The Central Board of Revenue, through Chairman, Islamabad and
            4 others [2001] 84 TAX 492 (H.C. Lah.) = 2001 PTD 1789.
     (iii) If an order is passed at a time when an appeal, which was not
            earlier available, is provided for, appeal is competent. –
            Govindram Seksaria, In re [1943] 11 ITR 104 (Bom.).
     (iv) Appeal is part of machinery for assessment. – Chatturarn v.
            Commissioner of Income Tax [1947] 15 ITR 302 (PC).
      (v) Appeal should be decided on the basis of law prevailing on the
            date of decision. – Raja Bahadur Karnakshya Narain Singh of
            Rarngarh v. Commissioner of Income Tax [1947] 15 ITR 311
            (PC).
                                      456
Appeals & Revisions etc.                                Law & Practice of Sales Tax

      (vi) Time requisite for obtaining certified copy should be excluded in
           computing the period of limitation. “Certified copy”, meaning of. –
           Commissioner of Sales Tax and Income Tax, Rawalpindi Zone,
           Rawalpindi v. Pakistan Television Corporation Ltd., Rawalpindi
           [1978] 38 TAX 181 (H.C. Lah.).
     (vii) Assistant Commissioner is a revenue Court for the purposes of the
           Court Fees Act. – Merchant Flour Mills Co. Ltd. v. Commissioner
           of Income Tax [1937] 5 ITR 459 (Lahore).
    (viii) Act does not contain any express provision debarring an assessee
           from raising an additional ground in appeal and there is no provision
           in the Act placing restriction on power of appellate authority in
           entertaining an additional ground in appeal. – Ram Rakha Mal & Sons
           Ltd. v. Commissioner of Income Tax [1937] 5 ITR 137 (Lahore).
      (ix) An appeal once filed cannot be withdrawn. – Commissioner of
           Income Tax v. Nawab Shah Nawaz Khan [1938] 6 ITR 370 (Lahore).
       (x) Right of appeal subjected to a pre-requisite of payment of 50
           percent of tax demand held to have affected vested rights of
           appellate. – Essential Industries, Model Town, Lahore v. Central
           Board of Revenue, Government of Pakistan, Islamabad [1968] 17
           TAX 247 (H.C. Lah.).
      (xi) If a statutory provision is enacted when appeal is pending,
           appellate authority is bound to give effect to it. – Raja Bahadur
           Kamakshya Narian Singh v. Commissioner of Income Tax [1946]
           14 ITR 683 (Pat.).
6.2 Appeals, revisions          and     alternate     dispute       resolution
    mechanism.
The provisions relating to appeals, revisions and alternate dispute resolutions
are provided in Chapter VIII of the Act. These are summarised as under:
        1. Section 45:     Power of Adjudication
        2. Section 45A: Power of the Board and Collector to call for records
        3. Section 45B: Appeals
        4. Section 46:     Appeal to Appellate Tribunal
        5. Section 47:     Appeal to the High Court
        6. Section 47A: Alternative dispute resolution
6.3 First Appeal [section 45].
First appeal against orders involving assessment of tax, charging of default
surcharge, imposition of penalty or recovery of amount refunded, lies to the
following authorities:
                                         457
Law & Practice of Sales Tax                                 Appeals & Revisions etc.

     (i)     Additional Collector    Cases falling under sub-section (2) of
                                     section 11 and section 36 of the Act without
                                     any restriction as to the amount of tax
                                     involved or the amount erroneously
                                     refunded.
     (ii) Deputy Collector           (a) Cases falling under sub-section (1) of
                                          section 11.
                                     (b) Cases falling under sub-section (2) of
                                          section 11 and section 36 of the Act
                                          provided that the amount of tax
                                          involved or the amount erroneously
                                          refunded exceeds one million rupees,
                                          but does not exceed two and a half
                                          million rupees.
     (iii)     Assistant Collector   Cases falling under sub-section (2) of
                                     section 11 and section 36 of the Act
                                     provided that the amount of tax involved or
                                     the amount erroneously refunded exceeds
                                     ten thousand rupees, but does not exceed
                                     one million rupees.
     (iv)      Superintendent        Cases falling under sub-section (2) of
                                     section 11 and section 36 of the Act
                                     provided that the amount of tax involved or
                                     the amount erroneously refunded does not
                                     exceed ten thousand rupees.
6.4 Power of Revision [section 45A].
This section provides a remedial action where there is loss of revenue due to
an order or decision made by an Officer of Sales Tax or order needs to be
revised in favour of a taxpayer. The power of revision can only be exercised if
there is:
         * Loss of revenue;
         * Proper opportunity of being heard is extended to the party
            concerned; and
         * No appeal under section 45B or 46 is pending.
The Finance Act 2005 has substituted sub-section (4) of this section providing
that the Collector may suo moto call for and examine the record for the
purpose of satisfying himself as to the legality or propriety of any decision or
order passed by an officer of Sales Tax subordinate to him, and pass such
order as he may deem fit.
                                     458
Appeals & Revisions etc.                               Law & Practice of Sales Tax


6.5 Appeal to Collector of Sales Tax (Appeals) [section 45B].
Any person, other than the Sales Tax Department, aggrieved by any decision
or order passed under sections 10, 11, 36, 45 or 66 by an officer can within 30
days of the date of receipt of the order file an appeal before the Collector
Sales Tax (Appeals). The prescribed fee for appeal is Rs. 1,000. The Collector
is empowered to entertain a delayed appeal if the petitioner satisfies that
sufficient cause existed for such a delay.
The procedure and other details relating to adjudication of appeals by the
Collector are elaborated in sub-sections (2) to (8). The Finance Act 2005 has
made a significant change binding the Collector (Appeals) to pass order
within 90 days from the date of filing of appeal or within such extended
period as he may fix in writing by recording the reason for delay.
The Finance Act 2006 deleted subsection (4) removing the condition for
payment of compulsory deposit for availing the right of appeal.
6.6 Appeal to the Appellate Tribunal [section 46].
Any person including an officer of Sales Tax not below the rank of an
Additional Collector aggrieved by any decision/order passed by an officer of
sales tax may appeal to the Appellate Tribunal within 60 days of the date of
communication of such decision/order. However, Appellate Tribunal has the
power to admit a time barred appeal on sufficient cause of delay. The Finance
2005 has made an amendment requiring the Tribunal to pass order within six
months of filing of appeal.
Appeal should be submitted with a fee of Rs. 1000/- (Not applicable to the
department).
Addresses of the Customs, Excise and Sales Tax Appellate Tribunal at
Lahore, Islamabad, Karachi and Peshawar are given below for the benefit of
the readers:
Lahore Bench                           Islamabad Bench
2nd Floor, Customs House               3rd Floor, 13 Rafi Centre,
Opposite A.G. Office,                  Near Zero Point, G-7/I
Lahore.                                Islamabad.
Ph: 042-9211161, 9210963               Ph: 051-9252161
Karachi Bench                          Peshawar Bench
3rd Floor, Jamil Chamber,              9-B, Shami Road,
Behind Cooperative Market,             Peshawar.
Saddar,                                Ph: 091-9211740
Karachi.
Ph: 021-9202351
                                       459
Law & Practice of Sales Tax                               Appeals & Revisions etc.


6.7 Reference to the High Court [section 47].
A reference lies to the High Court in respect of any question of law arising out
of an order under section 46(5) by the Tribunal. The appeal shall be filed
within 90 days of the date upon which the aggrieved person or an Additional
Collector, authorized by the Collector is served with the notice of an order
under section 46(5). An aggrieved person shall pay Rs. 100/- as appeal fee.
In case a taxpayer gets favourable order from the High Court, the Department
in terms of sub-section (7) of this section is bound to refund the overpaid tax
unless the Collector gives an application within 30 days of the receipt of the
judgement that he intends to seek leave to appeal to the Supreme Court. In
such a situation, the High Court can authorize the Collector to postpone the
refund till the disposal of the appeal by the Supreme Court.
The Finance Act 2006 has made a number of curative amendments in this
section (see text in Volume I).
6.8 Alternative dispute resolution [section 47A].
This section was inserted by the Finance Act 2002 to provide for alternate
dispute resolution outside the realm of conventional appellate system, which
is slow and costly. The Finance Act 2006 made certain changes. Now this
section has altogether been substituted by Finance Act, 2007. This section can
only be invoked if a matter is under litigation in any Court of Law or an
Appellate authority, except in the case where FIRs have been lodged under the
Act or criminal proceedings initiated or where interpretation of question of
law having larger revenue impact is involved.
For the dispute resolution the FBR has the right to constitute a committee on
the application of a registered person. The committee shall comprise:–
       1. an officer of sales tax not below the rank of an Additional
           Collector; and
       2. Two persons from the notified panel consisting of retired Judges
           not below the rank of District & Sessions Judge, chartered or cost
           accountants, advocates, representatives of trade bodies or
           associations, or any other reputable taxpayer.
The procedure provided under the law for dispute resolution by a committee is
as under:
     “(3) The committee constituted under sub-section (2) shall examine the
           issue and may, if it deems necessary, conduct inquiry, seek expert
           opinion, direct any officer of sales tax or any other person to
           conduct an audit and make recommendations within sixty days of
           its constitution, in respect of the resolution of the dispute as it may
           deem fit:
                                     460
Appeals & Revisions etc.                              Law & Practice of Sales Tax

              Provided that the Board may extend the period of sixty days
          stipulated for making the recommendations for another sixty days
          on specific request of the committee.
      (4) The Board may, on the recommendations of the Committee, pass
          such order as it may deem appropriate.
      (5) The registered person may make payment of sales tax and other
          duty and taxes as determined by the Board in its order under sub-
          section (4), and such order of the Board shall be submitted before
          the forum, tribunal or the Court where the matter is sub-judice, for
          consideration and orders as deemed appropriate.

For Rules framed by FBR for the purpose of this section see relevant
section of this book.
                                    460A
Law & Practice of Sales Tax                        Budgetary Measures 2007–08




   7          Sales Tax & Federal Excise
              Budgetary Measures (FY 07-08)

Following is the text of Budget Instructions (Financial Year 2007-08)
pertaining to Sales Tax and Federal Excise issued by CBR:
                         BUDGET INSTRUCTIONS
C. No. 4/2-STB/2006                                    Islamabad, June 9, 2007
TO:
     The Collector,
     Large Taxpayers Unit (LTU),
     Karachi/Lahore.
     The Collector,
     (Audit)/(Enforcement) / (Hqrs.),
     Sales Tax House,
     Karachi.
     The Collector,
     Collectorate of Sales Tax & Federal Excise,
     Lahore/ Gujranwala/
     The Collector,
     Sales Tax & Federal Excise,
     Regional Tax Office,
     Rawalpindi/ Faisalabad/Peshawar.
     The Collector,
     Customs, Sales Tax & Federal Excise,
     Hyderabad/ Quetta/ Multan.
 SUBJECT: SALES TAX AND FEDERAL EXCISE BUDGET
                INSTRUCTIONS 2007-08.
     The budgetary measures relating to Sales Tax & Federal Excise appear in
clause 30 & 36 of the Finance Bill, 2007 and in 21 Sales Tax & Federal
Excise Notifications [SRO 460(I)/2007 to 480(I)/2007 and SRO 509(I)/2007,
all dated 9th June, 2007]. The amendments in the Sixth Schedule to the Sales
Tax Act, 1990 shall take effect from 10th June, 2007 while the amendments in
Table-1 of the First Schedule of the Federal Excise Act, 2005 relating to
excisable goods shall also take effect from 10th June, 2007. All other
amendments in the Sales Tax Act, 1990 and Federal Excise Act, 2005 shall be
effective on 1st July, 2007. The Collectors and other officers of field
formations are required to carefully go through all the legislative amendments
                                      460B
Budgetary Measures 2007–08                               Law & Practice of Sales Tax

and notifications. The salient features of these measures are briefly stated
below:–
I. SALES TAX
    (RELIEF, REVENUE AND STREAMLINING MEASURES)
    Relief Measures
       (i) Sales tax on the following items has been zero rated with
            immediate effect:–
           (1) Bicycles
           (2) Sewing machines
           (3) Writing ink
           (4) Exercise books
           (5) Uncooked poultry meat
           (6) Trailers & semi-trailers
      (ii) Sales tax on the following items/sectors has been exempted:–
           (1) Cotton seed oil
           (2) Glass bangles industry
           (3) Surgical tapes and ultrasound gel.
     (iii) Vide SRO 463(I)/2007 dated 09.06.2007, amnesty scheme for
            waiver of default surcharge and penalties has been announced for
            the registered persons depositing the principal amount of sales tax
            by 30.06.2007. The Collectors are directed to widely publicize the
            scheme and keep the Board informed about the recovery of arrears
            under the amnesty scheme.
          (iv) Zero rating of electricity is being extended to rice exporting
                manufacturers for which they can apply either to Collectorate
                or to CBR directly.
    Revenue Measures
       (i) The rate of sales tax on import and supply of 85 raw materials
            mostly relating to iron and steel, plastic and paper industry is being
            increased to 20% with immediate effect under SRO 466(I)/2007
            dated 09.06.2007. The Final products of these sectors shall remain
            chargeable to sales tax @ 15%.
      (ii) Sales tax leviable on supplies of CNG stations will be collected
            from gas distribution companies at the rate of 24% of value of
            supply as mentioned in Sales Tax Special Procedures 2007.
            Collector, LTU, Karachi and Lahore are directed to coordinate
            with SSGC and SNGPL in this regard. CNG stations will not be
            required to remain registered with sales tax.
                                       460C
Law & Practice of Sales Tax                            Budgetary Measures 2007–08

      (iii) SRO 525(I)/2006 relating to zero rating of five export oriented
             sectors has been reissued as SRO 509(I)/2007 dated 09.06.2007
             and chemicals having multiple usage in other industry have been
             omitted from the said SRO.
      (iv) Input tax adjustment on supplies of electricity and gas to the
             residential colonies of manufacturers has been disallowed vide
             notification SRO 464(I)/2007 dated 09.06.2007.
     Streamlining Measures
        (i) In response to the long outstanding demand of the trade and in
             order to facilitate reconciliation with income tax declaration it has
             been decided to omit the provisions, relating to payment of sales
             tax at the time of receipt of advance. From 1st July, 2007, the tax
             shall be payable at the time of delivery of goods.
       (ii) To deal with the issue of excessive input tax adjustments by certain
             taxpayers without any check thereon, it has been decided to
             introduce section 8B in the Act whereby input adjustment during a
             tax period cannot exceed 90% of the output tax. A proper
             mechanism has been provided for companies to obtain input tax
             adjustment beyond 90% at the end of their financial year by
             submitting a certificate from their auditors. For other taxpayers, the
             mechanism shall be notified later on. The system of adjustment
             advices is being done away with.
      (iii) To facilitate the large taxpayers SRO 465(I)/2007 dated
             09.06.2007 has been issued notifying Processing of Refund Claims
             of Large Taxpayers Rules, 2007. The large taxpayers registered in
             LTUs may obtain their refunds within three days of submission of
             a revolving bank guarantee.
      (iv) The following Special Procedures have been abolished:–
            (1) Iron and steel
            (2) Commercial importers
            (3) Stevedores
            (4) Biscuits and confectionary
            (5) Ship breakers
            (6) Customs agents
             The above sectors shall be required to pay sales tax on actual value
             addition as per standard sales tax system of input tax adjustment.
             The Collectors are directed to supervise the switchover to the new
             system and to ensure better monitoring of these sectors.
                                      460D
Budgetary Measures 2007–08                               Law & Practice of Sales Tax

       (v) A simplified scheme for retailers has been notified in Sales Tax
             Special Procedure whereby the retailers shall not be required to file
             sales tax return and shall discharge their sales tax liabilities at
             reduced rates mentioned in the said procedure through income tax
             return on annual basis.
      (vi) Refund of sales tax under section 10 shall only be paid on zero
             rated supplies and exports. Refund shall not be admissible on
             supplies made to unregistered persons.
     (vii) The period of record retention in sales tax and Federal excise is
             being enhanced from three years to five years.
    (viii) With the abolition of a number of Special Procedures, a single
             monthly sales tax return is being notified shortly to be filed in
             August, 2007. Sale/purchase summary is being made an annexure
             of return.
      (ix) To check unregistered manufacturing, the registration threshold for
             manufacturing has been linked with their utility bill in addition to
             turnover of Rs.5 million by amending section 2 and Sixth Schedule
             of the Act.
       (x) For better monitoring, section 22 has been amended to empower
             the Board to notify the requirement binding the registered person
             to declare the business bank accounts to the concerned Collector
             and only to make and receive payments with regard to sales tax
             transactions through the said bank accounts.
      (xi) For companies, it has been made mandatory to furnish their
             audited accounts duly certified by the auditors regarding discharge
             of tax liabilities.
     (xii) For exports made by land route to Afghanistan, it has been made
             mandatory to produce manufacturer's invoice for claiming sales tax
             refund.
II. FEDERAL EXCISE
     Relief Measures
        (i) Excise duty on the following POL products is being abolished:–
            (1) Petroleum bitumen
            (2) Motor spirit
            (3) Jet fuel
       (ii) Excise duty on the following services is being abolished:–
            (1) Foreign exchange dealers and exchange companies
            (2) Health insurance service
                                      460E
Law & Practice of Sales Tax                          Budgetary Measures 2007–08

           (3) Cable TV
    Revenue Measures
       (i) Scope of excise duty has been extended to all non-fund services
            provided by the banks and other financial institutions. However,
            non-fund services like utility charges collection services, Umra and
            Hajj service charges and cheque book issuance charges shall
            remain exempt from payment of this duty. Collector LTU Karachi
            and Lahore are advised to coordinate with banks to ensure
            implementation of this measure.
      (ii) In respect of cigarettes the excise duty slabs have been increased
            by 7%. This measure shall have immediate effect.
     (iii) Through amendment in the First Schedule to the Federal Excise
            Act, the levy of Federal excise duty on air travel has been extended
            to the passengers traveling to Pakistan from abroad and on their
            return journey. Moreover, other air travel related taxes i.e. Airport
            Tax and Foreign Travel Tax have been merged into Federal excise
            duty. As a result the rate of duty has been enhanced.
    Streamlining Measures
       (i) Presently, the time for payment of Federal excise duty is different
            from that for sales tax. In order to harmonize the two taxes, the
            payment of excise duty has been linked with the time of supply of
            excisable goods. This will facilitate the reconciliation between the
            two taxes.
      (ii) Similarly, the time for payment of Federal excise duty has been
            synchronized with the time for payment of sales tax. Henceforth,
            excise duty shall be deposited by the 15th of the following month.
2. The Collectors are requested to carefully study all budgetary amendments
and notifications, etc. for their proper comprehension and application. The
taxpayers may also be provided guidance by holding seminars and workshops.
In case of any ambiguity regarding implementation of budgetary measures,
the Board may be approached immediately for clarification and guidance.
                                    460(i)
Law & Practice of Sales Tax                        Budgetary Measures 2006–07



Sales Tax & Federal Excise Budgetary
Measures (FY 06-07)
Following is the text of Salient Features of Budgetary Measures (Finance
Year 2006-07) pertaining to Sales Tax and Federal Excise published on
CBR’s website.
“SALIENT FEATURES FINANCE ACT, 2006.
SALES TAX & FEDERAL EXCISE BUDGETARY MEASURES (FY 2006-
07)
Budget FY 2006-07 is aimed at simplification of tax system, improvement in
resource mobilization, boosting economic activity to ensure robust economic
growth, reducing the cost of doing business for trade & industry, reducing tax
burden for lower income strata of the society and promoting a taxpayer
friendly culture.
The following budgetary measures will add further to these objectives:
           Relief for the taxpayers by providing concessions and rationalizing
           the Excise tariff, thereby creating a conducive and business
           friendly environment for the taxpayers.
           Broadening of Tax Base by minimizing exemptions and bringing
           more services in the excise regime.
           Simplification of tax laws to make them easier for the taxpayer and
           compatible with international best practices.
           Removal of irritants and impediments in fiscal laws and procedures.
           Reducing the cost of doing business by furthering the automation
           of business processes and minimizing taxpayer interface.
           Improving tax compliance through better relationship between
           taxpayers and tax officials as well as by introducing stronger
           penalties for deliberate & repeated offences.
BRIEF POINTS ON INDIVIDUAL BUDGETARY MEASURES:
RELIEF MEASURES
        Withdrawing excise duty on travel by train.
           Travel by train in air-conditioned and first class sleeper is
           chargeable to excise duty @ 12.5%. Measure is aimed at
           providing relief to the general public.
           Enforced through Notification SRO 562(I)/2006 dated
           05.06.2006, effective from the 5th June, 2006.
                                    460(ii)
Budgetary Measures 2006–07                             Law & Practice of Sales Tax

           Zero-rating of sales tax on dairy products and stationery items:
              Currently, dairy products including milk, desi ghee, whey,
              yogurt, etc. enjoy sales tax exemption under the Sixth Schedule
              thereby sales tax paid on the inputs consumed in manufacture
              thereof is not adjustable. Thus, adding to the cost of dairy
              products.
              Zero-rating of sales tax on dairy products would enable the
              manufacturers to offset the impact of tax paid on inputs and
              resultantly lower the cost of these products. Dried milk without
              addition of sugar or any other sweetener would continue to
              remain exempt.
              Likewise, zero-rating of sales tax on stationery items like pens,
              lead pencils and children colours would reduce the cost of
              these items by taking off the burden of tax there-from without
              depriving the manufacturers of these items from the facility of
              input tax adjustment.
              Enforced through Notification SRO 548(I)/2006 dated
              05.06.2006, effective from the 5th June, 2006.
           Providing sales tax zero-rating on import and supply of trucks and
           dumpers of g.v.w. of 5 tonnes and above:
              Impact of sales tax would be withdrawn. Simultaneously,
              adjustment of tax paid on inputs used in the manufacture of
              such vehicles would be available to the manufacturers.
              The measure would promote heavier transport vehicles
              required in construction and allied industry.
              Enforced through Notification SRO 548(I)/2006 dated
              05.06.2006, effective from the 5th June, 2006.
           Levying upfront single stage sales tax on 30% value addition on
           import of pesticides.
              Dealers and distributors are mostly out of tax net. Hence,
              pocketing sales tax despite recovering it from the farmers.
              The measure is aimed to provide pesticides to the farmers at
              reduced price, besides capturing the revenue of value addition
              of subsequent stages.
              Enforced through Notification SRO 553(I)/2006 dated
              05.06.2006, effective from the 5th June, 2006.
           Zero-rating of sales tax on Compost (Non-chemical fertilizer).
              Under the present regime, chemical fertilizers are chargeable to
              sales tax on reduced deemed prices. Hence, per acre amount of
                                                  460(iii)
Law & Practice of Sales Tax                                  Budgetary Measures 2006–07

                       sales tax for compost is nearly six times higher than the urea
                       fertilizer.
                       The measure is aimed at encouraging organic farming, efficient
                       utilization of water resources, efficient waste management and
                       provide an effective import substitution of chemical fertilizers.
                       Enforced through Notification SRO 551(I)/2006 dated
                       05.06.2006, effective from the 5th June, 2006.
                   Reducing excise duty on reclaimed oil and introducing uniform
                   rate of excise duty of Rs.2000/- for all grades of Asphalt /
                   Bitumen.
                       The industry producing lubricating oil from reclaimed oil
                       confronting tough competition from unorganized sector. Thus
                       requires some incentive for survival. Accordingly, excise duty
                       on reclaimed oil is being reduced from Rs.5/- per liter to Rs.2/-
                       per liter
                       In the Budget 2005-06, excise duty on Asphalt / Bitumen was
                       levied on specific basis at different rates for paving and blown
                       grades. However, the difference in rate did not correspond with
                       the difference in product.
                       Enforced through amendment in the First Schedule to the
                       Federal Excise Act, 2005, effective from the 5th June, 2006.
                   Sales tax exemption on *aircrafts of all types.
                       Under the existing regime, exemption was restricted to
                       imported aircrafts having un-laden weight of 8000 kgs or more.
                       Measure is aimed at promoting the aviation industry, which
                       uses aircrafts below 8000 kgs as opposed to commercial
                       airlines using heavier aircrafts.
                       Enforced through amendment in the Sixth Schedule to the Sales
                       Tax Act, 1990, effective from the 6th June, 2006.
                   Levying single stage tax @ 3% for retailers having annual turnover
                   of more than 5 million rupees per annum.
                       Presently the scheme is restricted to retailers of specified goods
                       chargeable to tax @ zero per cent, while other retailers paying
                       sales tax on the basis of fixed value addition.
                       The measure is aimed at removing the confusion prevailing in
                       the sector, particularly among the retailers dealing in both types
                       of goods.

*
    There is no plural form of word “aircraft”.
                                     460(iv)
Budgetary Measures 2006–07                              Law & Practice of Sales Tax

               The levy includes 2% sales tax and 1% income tax as final
               discharge of tax liability.
               Enforced through the Sales Tax Special Procedure Rules, 2006
               [SRO 560(I)/2006 dated 05-06-2006] effective from the 1st July,
               2006.
           Allowing input tax adjustment to retailers and wholesaler-cum-
           retailers (Chain Stores) who opt to pay sales tax at standard rate.
               The phenomenon of hypermarkets and cash & carry stores is
               fast emerging. Majority of such stores make bulk imports,
               hence prefer to pay sales tax under normal VAT regime so as
               to entitle them to input tax adjustment.
               Enforced through the Sales Tax Special Procedure Rules, 2006
               [SRO 560(I)/2006 dated 05-06-2006] effective from the 1st July
               2006.
           Abolishing the condition of depositing 15% of the principal
           amount at the time of filing appeal under the Sales Tax law.
               The provision, which was introduced in the Budget 2002-03,
               was not only harsh for the taxpayers, but was also inconsistent
               with other fiscal statutes.
               Enforced through amendment in section 45B of the Sales Tax
               Act, 1990. Effective from 1st July, 2006.
           Amending Sales Tax & Excise laws to improve the working of
           ADRC.
               The concept of minimizing litigations disputes through dispute
               resolution mechanism was first introduced in the year 2002 in
               the Sales Tax Act, 1990 and in 2005 in the Excise law.
               The measure is aimed at improving the working of ADRC,
               besides synchronizing both laws with other fiscal statutes.
               Enforced through amendment in section 47A of the Sales Tax
               Act and section 38 of the Federal Excise Act. Effective from 1st
               July, 2006.
           Allowing commercial importers to file sales tax return on quarterly
           basis.
               The commercial importers pay upfront sales tax on 10% value
               addition at import stage and pay the difference of value
               addition, if any, at the end of the financial year.
               In order to facilitate them, quarterly return has been prescribed.
               Enforced through the Sales Tax Special Procedure Rules, 2006
               [SRO 560(I)/2006 dated 05.06.2006] effective from the 1st July,
               2006.
                                     460(v)
Law & Practice of Sales Tax                           Budgetary Measures 2006–07

REVENUE MEASURES
            Withdrawing exemption of sales tax on computer hardware.
                Sales tax exemption on computer hardware was provided to
                encourage the spread of information technology and use of
                computers.
                I.T industry has now taken roots and established itself as a
                booming industry attracting huge investments. The trend for
                buying branded computers has increased substantially.
                The levy has been introduced in lieu of 5% customs duty,
                which has been abolished. Besides, WHT rate has also been
                brought down from 6% to 1%.
                Enforced through amendment in the Sixth Schedule to the Sales
                Tax Act, 1990. Effective from the 6th June, 2006.
            Levying 15% excise duty on international air travel.
                Presently, domestic air travel is subject to 15% excise duty
                while international air travel is exempt. The levy would
                rationalize the excise tariff, besides bringing a positive effect
                on the public exchequer. Hajj fare / ticketing is exempt from
                the levy.
                Enforced through amendment in the First Schedule to the
                Federal Excise Act, 2005. Effective from the 1st July, 2006.
            Levy of excise duty @ 5% on non-fund services provided by
            financial services sector.
                Applicable on fee charged by financial institutions including
                banks on the services provided by them in respect of opening
                of letter of credit, brokerage, credit card processing & renewal,
                foreign exchange dealing and issuance of bank guarantees, etc.
                Enforced through amendment in the First Schedule to the
                Federal Excise Act, 2005. Effective from the 1st July, 2006.
            Levying 5% excise duty on commission and brokerage of foreign
            exchange dealers, exchange companies and money changers.
                Financial services have grown at an enormous pace during the
                last couple of years. The levy shall be charged on the gross
                amount of commission or brokerage charged for the services
                provided by foreign exchange dealers including money
                changers.
                Enforced through amendment in the First Schedule to the
                Federal Excise Act, 2005. Effective from the 1st July, 2006.
                                     460(vi)
Budgetary Measures 2006–07                              Law & Practice of Sales Tax

           Levying 5% excise duty on ‘franchise’ services.
               Franchise service is an internationally recognized service and
               in Pakistan also, the franchise business has flourished
               significantly.
               Excise duty @5% shall be levied on the gross amount paid by
               the franchisee to franchiser for having the right to sell products
               under his brand name or trademark.
               Enforced through amendment in the First Schedule to the
               Federal Excise Act, 2005. Effective from the 1st July, 2006.
           Cable TV operators to pay Rs.25/- per connection per month as
           excise duty.
               The business of Cable TV operators has witnessed a substantial
               growth in the recent years and almost every household is
               utilizing the cable TV service.
               Collection shall be made in collaboration with PEMRA, which
               is the regulatory authority in case of Cable TV network.
               Enforced through amendment in the First Schedule to the
               Federal Excise Act, 2005. Effective from the 1st July, 2006.
           Increasing retail price of cigarettes.
               Cigarettes are chargeable to excise duty on the basis of retail
               price.
               To complement the growth in cigarette industry and to enhance
               excise duty collection without disturbing the present three tier
               system for the purposes of levy, retail price of cigarettes is
               increased by 7%.
               Enforced through amendment in the First Schedule to the
               Federal Excise Act, 2005. Effective from the 5th June, 2006.
           Enhancing the rate of excise duty from 3% to 5% on Insurance
           Service.
               The rate of 3% excise duty on insurance services remained
               unchanged for last many years.
               Excise duty shall be levied on gross premium of services
               provided by insurance companies, excluding the life insurance.
               Enforced through amendment in the First Schedule to the
               Federal Excise Act, 2005. Effective from the 1st July, 2006.
           Excise duty on lubricating oil to be levied on retail price.
               The rate of excise duty on lubricating oil as well as its primary
               raw material viz. Base lube oil is same i.e. Rs.7.15/- per liter.
                                     460(vii)
Law & Practice of Sales Tax                          Budgetary Measures 2006–07

               Hence, value addition from Base lube oil to lubricating oil was
               not captured.
               Lubricating oil is generally sold in retail packing and usually
               the products sold in retail packing are charged to tax on retail
               price basis.
               Enforced through amendment in the First Schedule to the
               Federal Excise Act, 2005. Effective from the 5th June, 2006.
            Broadening the scope of Third Schedule to the Sales Tax Act,
            1990.
               Presently, only 17 items are charged to sales tax on retail price
               basis, whereas there are a number of other consumer items that
               are being sold in retail packing.
               The items being included are snacks including potato chips,
               shoe polish / creams, spices, bulbs and tube lights.
               Enforced through amendment in the Third Schedule to the
               Sales Tax Act, 1990. Effective from the 1st July, 2006.
            Fixation of the value of supply of coal @ Rs.670/- PMT.
               The measure is primarily aimed at simplifying taxation regime
               for coalmines, besides doing away with the valuation disputes.
               Incidence of tax would be Rs.100/- PMT.
               Enforced through Notification SRO 544(I)/2006 dated
               05.06.2006, effective from the 5th June, 2006.
            Explicitly identifying telecommunication services in the First
            Schedule to the Excise Act.
               The telecom sector has undergone a remarkable modernization
               during the recent years. The present Excise Schedule, drafted
               in 1991 does not cater to the modern telecom regime.
               There was a need to rationalize the existing Excise Schedule to
               remove any ambiguity regarding the scope of levy.
               Enforced through amendment in the First Schedule to the
               Federal Excise Act, 2005. Effective from the 1st July, 2006.
SIMPLIFICATION OF TAX LAWS & PROCEDURES
            Introducing a consolidated return for sales tax and excise and
            prescribing annual return for corporate sector.
                Measure to facilitate the composite units as well as services
                liable to excise duty in VAT mode and thereby reducing the
                compliance cost.
                                   460(viii)
Budgetary Measures 2006–07                            Law & Practice of Sales Tax

               Annual return prescribed for corporate sector only.
               Enforced through the Sales Tax Rules, 2006 [SRO. 555(I)/2006
               dated 05-06-2006] effective from the 1st July, 2006.
           Introducing the concept of electronic filing of return and other
           documents through e-intermediaries.
               The scheme of electronic filing of sales tax and excise returns
               was launched in November, 2005, which was well received by
               the corporate sector.
               In view of the success of the scheme, the government is
               considering to extend the facility to other businesses.
               In order to facilitate the taxpayers desirous of filing their
               returns and other statements electronically, the concept of e-
               intermediaries is being introduced in the sales tax law. A
               detailed procedure is also being prescribed.
               New section (52A) added to the Sales Tax Act, 1990. Effective
               from 1st July, 2006.
           Simplification of Refund Rules.
               The existing refund rules, due to the changes made from time
               to time and due to introduction of new procedures, have
               virtually lost their efficiency with regard to expeditious
               processing of refund claims.
               The new rules envisage minimum documentation, simplified
               procedures based on automated risk based processing,
               centralized disbursement and online payment of refund,
               provision for online submission of refund claims thereby
               minimizing taxpayer interface and no manual scrutiny in
               respect of verifiable inputs.
               Enforced through the Sales Tax Rules, 2006 [SRO 555(I)/2006
               dated 05-06-2006] effective from the 1st July, 2006.
           Simplifying and expediting the processing of sales tax refunds
           through authorized Chartered Accountants.
               With a view to expedite the refund claims filed by exporters
               and other persons engaged in zero-rated supplies, necessary
               amendment is being made in sales tax law to authorize the
               Chartered Accountants to process the refund claims on the
               analogy of fiscal statutes of other successful economies of the
               World.
               Enforced through amendment in section 32A of the Sales Tax
               Act, 1990. Effective from 1st July, 2006.
                                    460(ix)
Law & Practice of Sales Tax                         Budgetary Measures 2006–07

            Consolidation of Notifications.
                Currently, as many as 76 Notifications are in the field, making
                it difficult for the taxpayers to synchronize the amendments
                made from time to time in or through these notifications.
                With a view to simplify the law and make its comprehension
                easier for the taxpayers, these 76 notifications have been
                amalgamated into 21 notifications only.
                All notifications effective from the 5th June, 2006.
            Removing anomaly in the definition of ‘Wholesaler.’
                By virtue of the amendment, the wholesalers while making
                supplies to the persons, other than Government departments,
                who are deducting income tax at source, shall be required to
                pay sales tax on such supplies.
                Enforced through amendment in clause (47) of section 2 of the
                Sales Tax Act, 1990. Effective from 1st July, 2006.
            Amending the Excise legislation to restrict the Collector (Appeals)
            to remand back a case for de novo consideration.
                The measure aimed at synchronizing the excise law with the
                sales tax legislation, besides expediting the disposal of cases
                pending appeals before the Collector (Appeals).
                Enforced through amendment in section 33 of the Federal
                Excise Act, 2005. Effective from 1st July, 2006.
            Identifying the scope of plant, machinery and equipment for sales
            tax zero-rating.
                Import and supply of plant, machinery & equipment was zero-
                rated in the Budget 2004-05, while parts thereof were also
                zero-rated subsequently in 2005-06 with a view to promote the
                growth of capital goods’ manufacturing.
                In order to remove the anomaly and confusion regarding extent
                of zero-rating, Chapters 84, 85 & 90 of the Pakistan Customs
                Tariff have been explicitly specified for sales tax zero-rating
                purposes and a consolidated notification is being issued.
                Sales Tax notifications SRO 527(I)/2005 and SRO 530(I)/2005
                would remain operative.
                Enforced through Customs Notification SRO 575(I)/2006 dated
                06.06.2006, effective from the 6th June, 2006.
            Collection of sales tax on accrual basis from WAPDA.
                Presently, sales tax on supply of electric power by WAPDA is
                levied on ‘cash collection basis’ i.e. sales tax becomes due on
                                   460(x)
Budgetary Measures 2006–07                           Law & Practice of Sales Tax

          payment of bill amount by the consumers. Whereas, KESC
          pays sales tax on billing basis.
          The measure is aimed at providing a level playing field for
          both the major players in the field.
          Enforced through the Sales Tax Special Procedure Rules, 2006
          SRO 560(I)/2006 dated 05-06-2006 effective from the 1st July,
          2006.
LEGAL   AMENDMENTS             FOR      IMPROVEMENT             IN     TAX
COMPLIANCE
       Incorporating the enabling provisions in the Federal Excise Act,
       2005 to monitor production through CCTV and technical experts.
          The measure, which is in line with the system in vogue in
          many advanced economies, would not only help in recording
          the production also succor in differentiating between tax paid
          and non-tax paid stocks.
          CCTV cameras linked to offsite centralized facilities may be
          installed at the manufacturing premises, for monitoring by tax
          authorities.
          Enforced through amendment in section 45 of the Federal
          Excise Act, 2005. Effective from 1st July, 2006.
       Incorporating legal provisions in the Sales Tax law to introduce the
       concept of Joint and Several liability of all partners in the supply
       chain.
          The measure is aimed at countering the ‘missing trader fraud’
          to secure the government revenue.
          By virtue of the amendment, all partners in the supply chain
          would be jointly and severally liable in case the tax due on any
          stage of supply is not deposited.
          New section (8A) added to the Sales Tax Act, 1990. Effective
          from 1st July, 2006.
       Disallowing input tax credit/refund in case the tax is not deposited.
          The measure is aimed to ensure that the phenomenon of fake
          and flying invoices does not transgress into the non zero-rated
          regime.
          Refund or adjustment of input tax not deposited in the
          exchequer shall not be allowed.
          Enforced through amendment in section 8 of the Sales Tax Act,
          1990. Effective from 1st July, 2006.
                                   460(xi)
Law & Practice of Sales Tax                        Budgetary Measures 2006–07

       Amendment to prescribe time limit for filing of revised return.
           Sales tax and excise laws are being amended to prescribe a
           time limit of ninety days for filing of revised return, which
           would now be done with the prior approval of the concerned
           Collector.
           Enforced through amendment in section 26 of the Sales Tax Act
           and section 4 of the Federal Excise Act. Effective from 1st July,
           2006.
       Imposing higher penalties for repeated offences.
           In line with the international best practices, higher pitch of
           penalty is prescribed for repeated offence, to differentiate
           between an occasional and a habitual defaulter.
           Enforced through amendment in section 33 of the Sales Tax
           Act, 1990. Effective from 1st July, 2006.
       Incorporating ‘Sales Tax Accounts’ in the list of records to be
       maintained by a registered person.
           Majority of the taxpayers maintain double entry accounts,
           generally known as Sales Tax Accounts. However, they do not
           allow access to audit staff to such records due to the restriction
           imposed by the law.
           Accordingly, section 22 of the Sales Tax Act, 1990 is being
           amended to include such records in the list of records
           maintained by a registered person.
           Enforced through amendment in section 22 of the Sales Tax
           Act, 1990. Effective from 1st July, 2006.
       Requiring the Cigarette manufacturers to print their name on the
       cigarette packets.
           The measure is aimed to promote tax compliance as well as to
           discourage the counterfeit products, thereby benefiting the
           legitimate industry.
           Enforced through amendment in the Federal Excise Rules,
           2005 vide SRO 561(I)/2006 dated 05-06-2006 effective from
           the 1st July, 2006.
MISCELLANEOUS LEGAL & PROCEDURAL CHANGES
       Powers to search without warrant withdrawn.
           Section 40A of the Sales Tax Act, 1990 is being abolished,
           thereby withdrawing the powers of Sales Tax officers to search
           the premises of a registered person without warrant.
                                    460(xii)
Budgetary Measures 2006–07                              Law & Practice of Sales Tax

               Searches can now be made only after obtaining a search
               warrant from the Magistrate.
               Enforced through amendment in the Sales Tax Act, 1990.
               Effective from 1st July, 2006.
           Amending the excise legislation to disallow drawback of excise
           duty.
               The powers to restrict or disallow input tax credit / adjustment
               are provided in the Sales Tax law, but are not explicitly
               provided in the Federal Excise Act, 2005. Since the two levies
               are administered in same mode, there was a need to harmonize
               the two laws.
               Enforced through amendment in section 5 of the Federal
               Excise Act, 2005. Effective from 1st July, 2006.
           Inclusion of financial & operating leases in the definition of
           supply.
               By virtue of the amendment, financial and operating leases
               would come under the ambit of chargeability of sales tax, in
               line with the fiscal statutes of various successful economies
               across the globe.
               Enforced through amendment in clause (33) of section 2 of the
               Sales Tax Act, 1990. Effective from 1st July, 2006.
           Amending section 10 of the Sales Tax Act, 1990.
               Sub-section (2) of the said section restricts the refund of input
               tax incurred in connection with zero-rated supplies only.
               However, there are other situations also where the refund
               accrues i.e. in cases where the input tax exceeds output tax.
               By virtue of the amendment, more clarity is brought in the law
               governing the refund in such cases.
               Enforced through amendment in the Sales Tax Act, 1990.
               Effective from 1st July, 2006.
           Amending section 26 of the Sales Tax Act, 1990 to give coverage
           to e-filing.
               Considering the success of e-filing for corporate sector
               taxpayers, it was deemed proper to extend the scheme to all
               registered persons. Hence, an amendment was required in the
               Sales Tax Act, 1990 to give proper legal coverage to e-filing.
               Enforced through amendment in section 26 of the Sales Tax
               Act, 1990. Effective from 1st July, 2006.
                                     460(xiii)
Law & Practice of Sales Tax                           Budgetary Measures 2006–07

            Providing the powers to the Board to fix the value of imported
            goods for sales tax purposes.
                Clause (46) of section 2 of the Sales Tax Act, 1990, empowers
                the Board to fix minimum value of taxable supply. However,
                there was no such provision to empower the Board to fix value
                of imported goods for the purposes of assessment of Sales Tax.
                Enforced by substituting clause (46) of section 2 of the Sales
                Tax Act, 1990. Effective from 1st July, 2006.
            Power to collect excise duty on minimum fixed price.
                On the analogy of the Sales Tax law, sub-section (5) of section 12
                of the Federal Excise Act, 2005 is being amended to empower the
                Board to collect excise duty on a fixed minimum value.
                Enforced through amendment in the Federal Excise Act, 2005.
                Effective from 1st July, 2006.
            Printing of retail price on imported cigarettes.
                The condition of printing retail price on imported goods was
                done away with in the last budget, resulting which the
                excisable goods were also imported without printing of retail
                price thereon.
                The amendment is being made on the recommendation of
                cigarette manufacturers who contended that commercial import
                of the commodity has increased due to this relaxation.
                By virtue of the amendment proposed in the Finance Bill, 2006,
                no cigarettes shall be imported without printing retail price.
                Enforced through Notification SRO 545(I)/2006 dated
                05.06.2006, effective from the 5th June, 2006.
            Introducing the concept of Common Taxpayer Identification
            Number.
                The concept of introducing CTIN is an important ingredient of
                tax reform process initiated by CBR. However, the term was
                not defined either in the Sales Tax or in the Excise laws.
                Accordingly, the term is being defined in the two statutes.
                Enforced by inserting a new clause (5A) in section 2 of the
                Sales Tax Act, 1990. Effective from 1st July, 2006.
            Amending the Sales Tax law to initiate proceedings in cases of
            deliberate short filing, without giving show cause notice.
                Since there was no effective mechanism in the Sales Tax law to
                recover the legitimate revenue deliberately short paid by
                taxpayers.
                                    460(xiv)
Budgetary Measures 2006–07                              Law & Practice of Sales Tax

               The measure is aimed to empower the department to proceed
               against such deliberate short filers without show cause
               notice.
               Enforced by substituting section 11A of the Sales Tax Act,
               1990. Effective from 1st July, 2006.
           Prescribing penalty for non-submission of the summary of sale and
           purchase invoices.
               The summary of sales and purchase invoices was prescribed in
               the last budget with a view to verify input tax adjustments and
               refunds claimed by the taxpayers. However, there was no
               specific penalty provided for non-compliance, which provided
               impetus to delinquent taxpayers not to declare their sales and
               purchases.
               For a better tax compliance, a penalty of Rs.25000/- is being
               prescribed for non-submission of the said summary
               statement.
               Enforced through amendment in section 33 of the Sales Tax
               Act, 1990. Effective from 1st July, 2006.
           Granting one time extension of time limit for cases pending
           adjudication.
               To safeguard the government revenue involved in cases
               pending adjudication, one time extension upto 31st December,
               2006, has been granted for disposal of such cases.
               Enforced through amendment in section 45 of the Sales Tax Act
               and section 31 of the Federal Excise Act. Effective from 1st
               July, 2006.
           Abolishing the provisions regarding voluntary registration of
           person making exempt supplies.
               The provision regarding voluntary registration was omitted last
               year. Accordingly, the provision regarding voluntary
               registration of persons making exempt supplies has become
               redundant and is therefore, being abolished.
               Enforced through amendment in section 13 of the Sales Tax
               Act, 1990. Effective from 1st July, 2006.
           Authorizing the Additional Collector to file appeal before the
           Appellate Tribunal and reference to the High Court.
               Under the existing Sales Tax and Excise laws, an officer upto
               the rank of Deputy Collector is authorized to file a reference in
               the High Court. However, there was no officer specified for
               filing appeal in the Appellate Tribunal. To remove this
                                    460(xv)
Law & Practice of Sales Tax                         Budgetary Measures 2006–07

               anomaly as well as to synchronize the two laws with other
               fiscal statutes, necessary amendments are being made therein.
               Enforced through amendment in sections 46 & 47 of the Sales
               Tax Act and section 34 of the Federal Excise Act. Effective
               from 1st July, 2006.
            Amending the Sales Tax law to introduce the use of Computerized
            System.
               The present drive for automation initiated by CBR includes
               introduction of a comprehensive Computerized System for
               complete automation of business processes.
               The amendment is aimed to empower the Board to make rules
               for regulating the use of Computerized System by the
               taxpayers.
               Enforced by adding a new section (50A) in the Sales Tax Act,
               1990. Effective from 1st July, 2006.
            Enabling the Sales Tax officers to obtain third party information.
               Section 38A empowers Sales Tax officer to procure
               information from any person in cases of tax fraud.
               The amendment has been proposed to enable Sales Tax officer
               to obtain such information in the cases other than the cases of
               tax fraud.
               Enforced by adding a new section (38B) in the Sales Tax Act,
               1990. Effective from 1st July, 2006”.
                       General Orders
Sales Tax General Order No. 1/2004                       Islamabad, the 20th April, 2004

Subject: Condonation of time limit under section 74 of the Sales Tax Act, 1990.

     A large number of applications are being received in the Board for condonation,
under section 74 of the Sales Tax Act, 1990, of the delay in transfer of payment through
banking channels beyond the prescribed time limit of 120 days as required under section
73 of the Act. Processing of these applications has led to unnecessary involvement of the
Board in operational matters besides creating hardship for taxpayers.
2. In order to mitigate the hardship of taxpayers, the Board, in exercise of powers
conferred by section 74 of the Sales Tax Act, 1990, is pleased to condone the delay in
payment in terms of section 73 beyond the prescribed period of 120 days, subject to
the following conditions:
        (i) the payment has been verifiably transferred through banking channels
            from the business account of the buyer to the business account of the
            seller as specified in section 73 of the Sales Tax Act, 1990;
       (ii) the invoice relating to the transaction contains the full and correct
            name, address and registration number of both the supplier and the
            buyer besides other particulars specified in section 23 of the Act;
      (iii) the amount of tax involved has been paid;
       (iv) the transaction does not involve any closed, de-registered or
            blacklisted/suspended registration person;
       (v) no case of tax fraud has been made out against the buyer or the seller;
           and
       (vi) in case the delay is more than 60 days (beyond the prescribed period
            of 120 days specified in section 73), the Collector of Sales Tax
            concerned is satisfied that the delay is genuine and due to
            circumstances beyond the control of the applicant.
3. By means of this order, all cases of delay of upto 60 days stand condoned
automatically, provided the conditions at (i) to (v) above are fulfilled, and the
taxpayers do not have to approach any sales tax official for prior
verification/certification. Such verification will be done at the time of audit.
However, in case of delay beyond 60 days (which should be rare in case of genuine
business transactions), the condonation will operate only when the Collector, after
examining the case, is satisfied that the delay was genuine and due to circumstances
beyond the control of the applicant.
                                     _________________




                                           461
                                          462
G.O. No. 2 of 2004                                           Law & Practice of Sales Tax

Sales Tax General Order No. 2/2004                      Islamabad, the 27th May, 2004

Subject: Condonation of out of tax period input adjustment

     It has been reported to the Board that a number of cases have been made out and
are pending in adjudication or appeal due to the fact that the input tax was claimed or
adjusted by the registered person out of the relevant tax period.
2. In several such cases, the Appellate Tribunal or the High Court ordered for
waiver of additional tax and penalty on the ground that this was merely a procedural
lapse on the part of the taxpayer in which no loss of Government revenue was
involved. In fact, in cases where the taxpayer claimed input tax adjustment in a
period subsequent to the period in which it should have actually been claimed in
terms of section 7 of the Sales Tax Act, 1990, the taxpayer has suffered a loss on
account of such late claiming and excess payment of tax in the correct tax period.
3. Since late claiming of input tax is only a procedural lapse and no loss of the
Government revenue is involved, the Board, in exercise of powers under section 74
of the Sales Tax Act, 1990, is pleased to condone the delay in claiming or adjusting
input tax, provided the following conditions are fulfilled:-
        (i) the tax invoice or bill of entry on which input tax is claimed is
            genuine, in the name of the claimant, and contains all details specified
            in section 23 of the Sales Tax Act, 1990;
       (ii) no input tax adjustment has earlier been taken on the same tax invoice
            or bill of entry;
      (iii) in case of a tax invoice, payment was made in terms of section 73 of
            the Sales Tax Act, 1990; and
       (iv) in case the input tax adjustment was claimed after three months of the
            tax period in which it should have been claimed in terms of section 7,
            the registered person files an application to the Collector of Sales Tax
            having jurisdiction giving reasons for such delay, and such Collector,
            on being satisfied that no input tax has been previously claimed or
            adjusted on such tax invoice or bill of entry, issues a written order
            permitting such adjustment.
4. Thus, all cases in which input tax was claimed or adjusted by a registered person
within three months after the tax period in which it should actually have been
claimed in terms of section 7 of the Sales Tax Act, 1990 stand condoned and the
taxpayers need not approach any official of sales tax for this purpose. The fulfillment
of the conditions mentioned above shall be verified at the time of audit. However, in
cases where input was claimed after three months of the appropriate tax period, an
order of the Collector of Sales Tax concerned is required for availing the benefit of
this General Order.
                                    _________________
                                          463
General Orders                                                        G.O. No. 3 of 2004

Sales Tax General Order No. 3/2004                       Islamabad, the 12th June, 2004

Subject: Consolidation of sales tax general orders.

     In line with the Government’s desire to simplify the tax laws and regulations, it
has been decided to reduce the number of rules, notifications and General Orders in
the Budget 2003-04. Consequently, the Sales Tax Rules, 2004 and Sales Tax Special
Procedures, 2004 are being issued after updating and consolidating a number of
Rules and Special Procedure Rules issued from time to time.
2. Similarly, various General Orders issued by the Board from time to time are also
hereby consolidated and updated, to reflect the current status. This General Order
shall replace the existing Sales Tax General Orders issued by the Board from time to
time as specified in Part VII.
                                       PART - I
                         TIME AND VALUE OF SUPPLY
(A) CLARIFICATION REGARDING TIME OF SUPPLY.
3. According to the definition of “time of supply” given in clause (44) of section
(2) of Sales Tax Act, 1990, supply is deemed to take place at the earlier of the time of
the delivery of goods or the time when any payment is received by supplier in respect
of that supply. This means that sales tax is chargeable if the amount is received in
advance. Although this concept is clear, problems arise when full payment is not
received and only some percentage of the actual amount is received in advance.
Similarly, in certain other situations, supplies are made in parts over a period of time.
Thus, a supply can spread over a period of several months.
4. It is therefore, clarified that sales tax for a tax period should be charged only on
that portion of money which is received or only on that portion of supply which is
made during that tax period and not on the whole of amount which is to be received
in due course or on the whole of the supply which has yet to be completed.
(B) VALUE OF TAXABLE SUPPLY.
5. Value of a supply has been defined in clause 46 of the section 2 of the Sales Tax
Act, 1990, which does not allow any deductions except the sales tax itself and the
trade discounts which are in conformity with normal business practices. On the
question as to whether or not the mark up on credit sales be included in the assessable
value for the purpose of assessment of sales tax, it is clarified that the mark up on
credit sales should not be taken into account for arriving at the assessable value for
the purpose of assessment of sales tax.
(C) VALUE OF SUPPLY WHEN GOODS ARE REMOVED/SUPPLIED
    UNDER CHAPTER - X OF THE CENTRAL EXCISE RULES, 1944.
6. A question has arisen as to whether for the purposes of clearances made under
Chapter-X of the Central Excise Rules, 1944, the amount of central excise duty
remitted would also be included in the value of taxable supply or not.
                                         464
G.O. No. 3 of 2004                                          Law & Practice of Sales Tax

7. Since the amount of central excise duty is remitted under Chapter - X of the
Central Excise Rules, 1944, and is also not actually paid to the seller, the bond
submitted under rule 192 of the Central Excise Rules, 1944, cannot be considered as
"money" received by supplier.
8. Therefore, the amount of Central Excise Duty remitted under Chapter - X of the
Central Excise Rules, 1944, and accordingly not received by the supplier of the
taxable goods shall not form an ingredient of the value of taxable supply under
section 2(46) of the Sales Tax Act, 1990.
(D) VALUE OF SUPPLY IN RESPECT OF ELECTRICAL ENERGY BY
    IPPs INCLUDING HUBCO & KAPCO.
9. A question has arisen as to the value of supply of the electricity supplied by
independent Power Projects (IPPs) to M/s. WAPDA and M/s. KESC. The contracts
between M/s. WAPDA/KESC and different IPPs envisage a tariff structure
comprising a number of categories e.g. the consideration of money on account of
Energy Purchase Price (E.P.P.), Capacity Purchase Price (C.P.P.), Energy Purchase
Price Premium, Excess Energy Bonus and Supplemental Charges (S.C.) etc.
10. The EPP is payable by WAPDA/KESC on account of purchase of "electrical
energy" while the consideration received by I.P.Ps on account of CPP is for net
capacity of the plant which is to be paid during the contractual period. The payment
of CPP, etc. is not reliable to the supply of electricity.
11. The issue has been examined in the Central Board of Revenue and it is ruled that
the value of supply of electricity by IPPs is the amount received on account of
Energy Purchase Price only. Therefore, any amount in excess of EPP received on
account of Capacity Purchase Price, Energy Purchase Price Premium, Excess Bonus,
Supplemental Charges etc. is not to be included in the value of supply as defined in
clause (46) of section 2 of the Sales Tax Act, 1990. However, the assessment of sales
tax is to be done in accordance with the provision of sections 7, 8 and all other
relevant provisions of the Act, rules and notification. The IPPs will be entitled to
claim full input tax adjustment against the sales tax paid on purchase of furnace oil
and other tax-paid purchases for making supply of electricity subject to the
provisions of section 8 and the notifications issued thereunder.
12. This ruling applies only to IPPs including HUBCO and KAPCO, because of
their peculiar arrangements with WAPDA/KESC and is not applicable to any
other person, including Captive Power Projects, engaged in the production and
supply of electricity.
(E) SALES TAX ON GOODS PRODUCED BY VENDORS FROM THE RAW
    MATERIALS SUPPLIED BY THE PRINCIPALS.
13. In cases where raw materials and/or semi-manufactured goods are supplied by a
principal to a vendor for further processing, the following chargeability of sales tax
and value of taxable supply shall be determined as follows:-
                                          465
General Orders                                                         G.O. No. 3 of 2004

        (a) The first issue is whether a vendor is providing a "service" e.g.
            printing, textile processing, corrugation, etc. or is a manufacturer: The
            definition of "manufacture" in section 2 (16)(c) of the Sales Tax Act,
            1990, covers the processes and operations of assembling, mixing,
            cutting, diluting, bottling, packaging, repackaging or preparations of
            goods in any other manner. A “manufacturer” is a person who is
            involved in any of the said processes. Therefore, vendors, by very
            nature of their job, are manufacturers and liable for registration.
       (b) The definition of "supply" in section 2(33) of the Act states that
           "supply" includes sale, lease or other disposition of goods in the
           course or furtherance of business carried out for consideration. Supply
           by such vendor is covered by words "other disposition of goods" and
           hence is chargeable to sales tax.
        (c) The next question is about the value on which such vendor shall charge and
            pay the tax. According to the definition laid down in section 2 (46) of the
            Act, "value" is the consideration in money against which the registered
            person supplies the goods. Therefore, a vendor is required to charge sales tax
            on the consideration/charges of conversion. If during this "disposition of
            goods", he has used tax-paid raw materials procured by the vendor himself,
            tax credit of the same shall be available to the vendor.
       (d) The aforesaid principle will inter alia apply even to cases where
           goods are chargeable to sales tax on the basis of retail price. The
           principal will pay tax on the basis of retail price whereas the vendor
           will be liable to pay tax only on his gross conversion charges.
        (e) There is, however, one exception to the foregoing. Under section 2
            (46)(f), in case of processing of non-taxable raw materials, the value
            of processed goods will be the open market price of finished goods
            and not the processing charges alone.
                               PART - II
                        DOCUMENTARY PROCEDURES
(F) SUBMISSION OF APPLICATION FOR SALES TAX REGISTRATION,
    FURNISHING OF RETURN-CUM-PAYMENT CHALLAN AND
    ISSUANCE OF SALES TAX INVOICES, ETC, IN URDU.
14. A registered person is allowed under section 22 of the Sales Tax Act, 1990, to
maintain and keep the records of goods purchased and supplies made by him in
English or Urdu language.
15. For the further convenience of taxpayers, the Central Board of Revenue is
pleased to direct that all other forms prescribed under the law or notified under any
sales tax notification or Rules, e.g. application for registration, sales tax return-cum-
payment challan, sales tax invoice, etc. may also be kept and used as the case may be,
in either English or Urdu language at the discretion of the registered / person.
                                         466
G.O. No. 3 of 2004                                          Law & Practice of Sales Tax

(G) REPORTS REGARDING NON-ACCEPTANCE OF MONTHLY
    RETURNS FILED LATE BY THE DESIGNATED BRANCHES OF
    NATIONAL BANK OF PAKISTAN.
16. It was reported that some of the designated branches of the National Bank of
Pakistan were not accepting the prescribed return-cum-payment challans from
registered persons if presented at the bank counter after the prescribed due date
(generally, the 15th day of a month).
17. It is clarified that in case where a registered person submits the prescribed
return-cum-payment challans after the prescribed due date, the designated branch of
National Bank of Pakistan should still accept the same. The bank’s acceptance of
such late-tendered return-cum-payment challans shall invariably be considered
without prejudice to the additional tax and any other action as prescribed under the
Sales Tax Act, 1990, for such late-filing or against such late-filers. In other words,
while officers of the Sales Tax Collectorate shall proceed against the late-filers in
accordance with the law, the designated branches of National Bank of Pakistan shall
not refuse late-submission of the prescribed return-cum-payment Challans.
18. This directive has the concurrence of the National Bank of Pakistan (Head
Office), Karachi, vide their letter No. MDD/SES/98 dated 12.09.1998 received in
response to the CBR’s fax C.NO. 3(56)–STP/96, dated the 12th September, 1998.
All designated branches of the National Bank of Pakistan may be guided
accordingly.
(H) DECLARATION OF COUNTS/DENIERS AND CONSTRUCTION OF
    TEXTILE GOODS IN SALES TAX INVOICES ISSUED BY
    MANUFACTURERS, PRODUCERS, WHOLESALERS, STOCKISTS,
    DEALERS AND DISTRIBUTORS.
19. It has been observed that in certain cases, the counts /deniers and
construction of textile goods have not been declared in the tax invoices issued by
registered persons making taxable supplies thereof. This causes problems in
verification of value (as the value of textile goods is directly relatable to the
counts/deniers and construction thereof) and also of its use in the goods in which
these have been used as inputs.
20. All textile mills and persons making taxable supplies of textile items (specially
yarns and fabrics) should specify the count/denier and construction thereof in the tax
invoices issued by them.
(I) DETERMINATION OF MINIMUM TAX LIABILITY.
21. Consequent upon the addition of section 11(5) in the Sales Tax Act, 1990, the
Central Board of Revenue is pleased to specify the following conditions to determine
minimum tax liability of a registered person who fails to file a return:
       (a) the minimum tax liability of the registered person shall not be less
           than the highest amount of tax paid by the registered person in any of
           the previous twelve months.
                                          467
General Orders                                                       G.O. No. 3 of 2004

       (b) In case tax paid in the previous twelve months is Nil, the minimum
           tax liability shall be calculated on the basis of monthly average of the
           sales declared by the registered person to the income tax department
           for the last assessment year.
       (c) In case minimum tax liability cannot be determined in the manner
           given above, it shall be determined taking into account three or more
           of the following factors:
           (i) Location of business;
          (ii) Type of business (i.e. retail etc);
          (iii) Item produced/supplied or service provided;
          (iv) No of persons employed;
          (v) Capital employed in the business;
          (vi) Amount of utility bills i.e. phones, electricity, gas and water;
         (vii) Production capacity of machinery installed;
22. If the registered person pays the due amount of sales tax for the month
along with additional tax and penalty under section 33(1) of the Sales Tax
Act, 1990, within one month of the determination made as above, the notice of
minimum tax liability determination will be considered to have been
withdrawn. In case the registered person does not pay the amount of sales tax
determined for the tax period, the tax liability determined will be recovered
under section 48 of the Sales Tax Act, 1990 without issuance of Show Cause
Notice.
23. Determination and / or payment of minimum tax liability for a tax period
shall not be the final tax liability and the registered person shall be liable to
discharge actual liability which may accrue or determined at a later stage through
audit.
(J) FORMAT OF BANK GUARANTEE IN STAY CASES.
24. In order to standardize the format of guarantees accepted by Collectorates
in litigation/cases where recovery of sales tax is ordered to be stayed against a
Bank Guarantee to the satisfaction of the respondent department viz. the Federal
Government, Central Board of Revenue, Collector or any subordinate officer, a
draft of the acceptable Bank Guarantee is at Annex A. In such cases, the
officers of sales tax shall require the petitioners to submit the Guarantee in the
enclosed format, with such modifications/alterations as are considered
necessary and appropriate by the said respondent officer/department for his
satisfaction.
                                          468
G.O. No. 3 of 2004                                           Law & Practice of Sales Tax

                       FORMAT OF BANK GUARANTEE
The Collector of Sales Tax,
________________________


We _______________________________________(Bank)____________________
do hereby bind ourselves on this ____________ day of ____________, 200_ on
behalf of M/s__________________________, (the petitioner in W.P No.
_________), to pay to the Government of Pakistan through the Collector of Sales
Tax, ______________________an amount of Rs. ________ (Rupees (in words)
___________________________only) being sales tax involved in Writ Petition No.
___________ filed by M/s.____________________________, in the Honourable
_____________ Court, _____________Bench, ________ in terms of its ad-interim
order dated _________________ passed in C.M. Application No.________________
relating to the said Writ Petition.
2. This unconditional Guarantee shall be binding on us till its discharge in terms of
the decision of the case in W.P. No._________________ and we agree and undertake
to make payment of the above sum of sales tax amounting to
Rs._____________________ (Rupees (in words) _______________________), to
the Government of Pakistan within seven days of the receipt of demand from the
Collector of Sales Tax or his Sales Tax Officer______________________, duly
authorized by him in this behalf, without delay and default, on the happening of any
of the following events, whichever is earlier:--
        (i) Honourable ____________________ Court's Order, if any, altering its
            interim order dated ___________________ in a manner that the
            amount becomes payable to the Government; or
       (ii) Afflux of time on expiry of the prescribed period in terms of clause
            (4-A) of Article 199 of the Constitution of Pakistan; or
      (iii) Honourable _____________________ High Court's judgement in
            W.P. No._______________________ as and when passed, holding
            that the sales tax involved in the bank guarantee was payable by the
            petitioner M/s._________________________
                                                      Authorised signature of the Bank
                              Authorised signature of the Bank with Official bank Seal.
                                      PART - III
                                      REFUND
(K) SANCTION OF REFUND CLAIMS OF IMPORT-RELATED SALES
    TAX BY THE COLLECTORATES OF CUSTOMS.
25. A question was raised whether a Collectorate of Customs can allow refunds of
sales tax paid at the import stage due to inadvertence, error or misconception. On the
basis of advice received from Law and Justice Division, it is clarified that refund of
                                          469
General Orders                                                        G.O. No. 3 of 2004

import-related sales tax paid in excess due to inadvertence, error or misconception
arising out of classification dispute, SRO application dispute or valuation dispute can
be decided and allowed by the customs importing station. However, before
processing import-related refund claims, the concerned Collectorate of Customs must
seek confirmation from the concerned Collector of Sales Tax that no adjustment of
input/refund of the said amount has been claimed by the applicant or paid by the
Sales Tax department, to avoid double payment of refund. The concerned
Collectorate of Sales Tax on receipt of a reference from Collectorate of Customs,
shall issue required confirmation within thirty days to the effect that no adjustment of
input/refund of the amount involved has been claimed by the registered person in the
Sales Tax Collectorate
26. While applying for refund, the applicant must endorse a copy of the refund
application to the Refund Division of the Sales Tax Collectorate. The refund
sanctioning authority of the Customs Collectorate shall mention in his sanction order
the number and date, etc. of Sales Tax Collectorate’s confirmation of input/refund
having not been allowed earlier. A copy of the sanction order shall invariably be
endorsed to the Refund Division of the concerned Sales Tax Collectorate.
(L) INTERPRETATION OF SECTION 66 OF THE SALES TAX ACT, 1990.
27. A question was raised that while section 66 of the Sales Tax Act, 1990 disallows
refund of tax claimed to have been paid or overpaid due to inadvertence error or
misconception unless the claim is made within one year of the date of payment, what
would be the fate of such refund claims which have accrued in consequence of the
decisions made by appellate fora but where the time limitation of one year specified
in the said section 66 has expired.
28. On consultation by the Board, Law Justice & Human Rights Division has
advised that the period of claming refund under section 66 of the Sales Tax Act, 1990
is not applicable in matters pending with judicial or quasi-judicial fora. In any
particular case where the issue has been taken to a competent statutory forum for
adjudication, the decision of such Court or Tribunal has to be honoured irrespective
of the period consumed in such litigation or any delay in the execution of such
decision.
(M) FORMAT OF BANK GUARANTEE TO BE FURNISHED BY
    COMMERCIAL EXPORTERS IN TERMS OF SRO 203(I)/2003 DATED
    27.02.2003.
29. The Central Board of Revenue is pleased to prescribe the following format of
bank guarantee to be furnished by commercial exporters in terms of S.R.O.
203(I)/2003, dated the 27th February, 2003 if they want to claim refund of sales tax
before issuance of the Bank Credit Advice (BCA) confirming remittance of sales
proceeds of their exported goods.
                       FORMAT OF BANK GUARANTEE
Whereas the Collector of Sales Tax, _____________ has consented to release /
sanction refund claim pertaining to the period _________________________, filed
                                          470
G.O. No. 3 of 2004                                            Law & Practice of Sales Tax

by __________(commercial exporter)______ on ______________, in respect of
shipping bill(s) # ______________ dated ____________, pending production of
Bank Credit Advice (BCA) from the country to which goods have been exported or
from the letter of credit opening bank and verification of payment of sales tax by
suppliers, on furnishing a Bank Guarantee equivalent to the amount of input sales tax,
Rs. (in figures) [Rupees (in words)] involved against the purchases used in the
manufacture of goods exported vide the said shipping bill(s).
Whereas we the _____________(Bank)_______________ do hereby undertake to make
payment of aforementioned amount of input sales tax, along with additional tax @ 2% per
month and penalty @ 3% on demand to the Collector of Sales Tax, or any Officer
authorized by him in this regard without objection or reservation or any reference to the
above named commercial exporter, within seven days of the receipt of the demand notice.
In case we the ______(Bank) ______ fail to make the payment within seven days of the
said demand, the _____(Bank) ____ shall be liable to pay a compensation @ 20% per
annum for the period from the expiry of the seventh day to the date when the actual
payment is made to the Collector of Sales Tax. The Guarantee shall remain valid till
payment of whole of the amount demanded along with compensation as prescribed above
or receipt of release orders issued by the Collector of Sales Tax, whichever is earlier.
We the ____(Bank) _____ bind ourselves to pay, unconditionally, the amount of
sales tax etc. mentioned above, in case no release order is received from Collector of
Sales Tax, ________ , before the expiry of this Bank Guarantee on ______________.
                                  For and on behalf of the __________( Bank)______.
Witnesses:
Name      ________________________              Name ___________________________
NIC No. ________________________                NIC No. ______________________
Address ________________________                Address _________________________
Signature ________________________              Signature ________________________
(N) BLACKLISTING AND SUSPENSION OF REGISTRATION.
30. In order to ensure that the Sales Tax Collectorates follow a uniform policy for
blacklisting and suspension of sales tax registration of suspected persons under
section 21(2) of the Sales Tax Act, 1990 and for subsequent proceedings in such
cases, the Board is pleased to make the following procedure:
Blacklisting
31. Under section 21(2) of the Sales Tax Act, 1990, a registered person may be
blacklisted or his registration suspended pending further inquiry where the Collector
is satisfied that he has issued fake invoices, evaded tax or committed tax fraud.
32. Before blacklisting or suspending the registration of any registered person, the
Collectorate shall make efforts to confirm the facts and veracity of the information.
In case of reported non-availability at the given address, it may be checked from the
Registration Division whether the person submitted any information about change in
address, the given address may be visited by an officer of the Collectorate, or an
                                            471
General Orders                                                           G.O. No. 3 of 2004

attempt may be made to trace the person from documents such as National Identity
Card, income tax records, bank account, etc. In case of reported non-access to the
premises and/or non-production of record, a notice may be issued through registered
post to the person to allow access/produce records, clearly indicating that refusal or
delay will result in blacklisting or suspension of his registration.
33. If the Collector is satisfied that the person needs to be blacklisted or his
registration suspended, he shall first issue notice to the registered person and give
him an opportunity of being heard. In case the registered person does not respond to
the notice within the specified time, or his reply is not satisfactory, the Collector may
issue order for blacklisting or suspension of his registration, mentioning reasons for
such the same. Copies of the order shall be endorsed to the registered person
concerned, all other Sales Tax Collectorates, the Sales Tax Wing computer system
and the STARR computer system. Each Collectorate shall circulate all such lists to
their refund, audit and other concerned staff to ensure that no refund is paid or input
adjustment is taken on invoices issued by such persons.
Removal from blacklisting or suspension
34. After issuing order for blacklisting or suspension of registration/enrolment, the
Collectorate should proceed to conduct inquiry under section 21(2) of the Sales Tax
Act, 1990, and in case of confirmation of the offence, proceed to take legal and penal
action under the relevant provisions of the Sales Tax Act, 1990. Such inquiry may
extend to suppliers and buyers of the blacklisted/suspended person to ascertain
whether any inadmissible inputs or refunds have been taken by them.
35. Where the case is not established against a suspected person, the Collector shall issue
an order revoking the blacklisting or suspension of registration/enrolment, endorsing copies
to the person concerned, all other Sales Tax Collectorates, the Sales Tax Wing computer
system, and the STARR system for deletion from their lists. Each Collectorate shall
circulate copies of all such orders to their concerned staff for information.
36. Unless the Collector specifies otherwise, such orders shall have effect from the
date of original blacklisting or suspension of registration/enrolment of the concerned
person, so that invoices issued by him during the intervening period are acceptable.
37. In case audit of the blacklisted/suspended person was already conducted before
initiating the inquiry under section 21(2) of the Sales Tax Act, 1990, and such audit
report is approved by an officer not below the rank of an Additional Collector, it may
be accepted for the purpose of revoking the blacklisting or suspension/enrolment.
However, if the audit report is not so approved, and upon inquiry, an offence is
established against the blacklisted/suspended person, appropriate action shall also be
taken against the officials who submitted the defective audit report.
38. In case of Sales Tax House, Karachi, the order for blacklisting/suspension shall
be issued by the Collector of Sales Tax (Headquarters) on the advice of Collector of
Sales Tax (Enforcement) or (Audit) or on his own information. The order for
revoking any blacklisting/suspension order shall be issued by the Collector of Sales
Tax (Headquarters) immediately on receipt of a clearance report from the Collector
                                         472
G.O. No. 3 of 2004                                           Law & Practice of Sales Tax

of Sales Tax (Enforcement) or (Audit) after completion of the inquiry under section
21(2) of the Sales Tax Act, 1990, or audit, as the case may be. Each such order shall
cite the reference number of the relevant letters from Collector (Enforcement) or
(Audit).
                                     PART - IV
                                      AUDIT
(O) SALES TAX AUDIT.
39. With a view to streamlining the audit of registered units/persons including
composite units paying excise duty as well as sales tax and to eliminate the
grievances of trade and industry in this regard, the following criteria are laid down
for conduct of audit of registered persons:-
        (a) the routine, scheduled audit of any registered person shall be conducted
            only once during a financial year. However, in exceptional circumstances
            and under the specific instructions in writing by the Collector concerned,
            a particular registered person can be re-audited for that financial year or
            within that financial year;
       (b) in case of composite units manufacturing and supplying excisable and
           sales taxable goods, a joint audit will be conducted by the team of
           officials of Sales Tax and Excise Collectorates. Whenever such a
           registered person is selected by Sales Tax Collectorate for audit, the
           respective Excise Collectorate shall be informed at least 10 days in
           advance and the Collector of Central Excise may nominate his
           representative for conducting a joint audit. The team will prepare a report
           for the respective Collectorates regarding any discrepancy in the records
           and any tax liability thereon; and
        (c) the staff of the Directorate General of Intelligence and Investigation
            (Customs, Excise & Sales Tax) and the Directorate General of
            Inspection, Internal Audit and Training (Internal Audit and Inspection
            Wing) shall not undertake any audit of any registered person except
            under specific written authorization by the CBR in each such individual
            case. However, in case of any information regarding evasion of sales tax
            or any other illegal activity on the part of any registered person, the
            respective Directorate will pass on the information to the concerned
            Collector of Sales Tax who will order for the audit of that particular
            person by sales tax auditors/special auditors. The representative of the
            said Directorate/Directorate General may also be associated at the time
            of conducting such audit.
(P) AUDIT MONITORING AND CONTROL.
40. Audit of registered persons is conducted by auditors and senior auditors of the
department as well as by the Special Auditors appointed under section 32-A of the
Sales Tax Act, 1990.
                                         473
General Orders                                                       G.O. No. 3 of 2004

41. Selection of registered persons for audit should not be left to the auditors/senior
auditors or the Audit Division itself. Rather the selection of registered persons and
assignment of an auditor/senior auditor for a particular registered person should be
done through computer programming. Only the Collector/Additional Collector may
select registered persons manually, on the basis of his choice or information or
direction from CBR, for the purpose of audit. However, such a manual selection may
not generally exceed 10% of the total audits conducted. The same auditor/senior
auditor or Special Auditor should not, as a general rule, audit the same registered
person more than once in 2 years. In other words, auditors/audit teams for particular
registered persons should keep on changing.
42. The following procedure is laid down in order to ensure transparency in the
whole process.
       (a) Audit should be conducted in a systematic and organized in a way to
           ensure that a registered person is subjected to audit not more than
           once in a year, unless, of course, some emergent situation calls for
           another audit during the aforesaid period.
       (b) The registered person should be informed about the audit and details
           of records to be audited at least 15 days before the scheduled date of
           audit.
       (c) Audit should be completed normally within 3 to 4 days unless
           situation requires more time, for which written permission should be
           granted by an officer not below the rank of Assistant Collector on
           receipt of written request of the senior auditor or auditor containing
           plausible reasons for extension of the duration of audit.
       (d) The audit reports, duly signed by the senior auditors or auditors
           containing approval of the Deputy/Assistant Collector Incharge of
           Audit Division should be submitted to the Additional Collector within
           14 days from the date of commencement of audit.
       (e) On receipt of the Audit Report, the officer incharge of the Audit
           Division, not below the rank of an Assistant Collector, shall critically
           evaluate the same with a view to ensure the following:--
            (i) that the audit has been conducted purely in a professional manner;
           (ii) that the audit was comprehensive and did not overlook or left any
                important area of audit deliberately or negligently;
          (iii) the provisions of sales tax law have been quoted correctly;
        (f) The Deputy/Assistant Collector Incharge Audit shall forward the
            audit report to the Additional Collector and the Collector within 3
            days of receipt of the audit report after making his comments on each
            aspect as detailed at para (e) above. Recovery action/demand
            notice/show cause notice if necessary, should not be delayed but
            rather should be pursued vigorously.
                                            474
G.O. No. 3 of 2004                                              Law & Practice of Sales Tax

        (g) If the Collector is convinced that the audit was not conducted effectively
            or the audit report was not prepared properly or that there is an apparent
            lack of professional outlook, malafide intent or negligence, he should
            proceed against the senior auditor, auditor and Deputy/Assistant Collector,
            Incharge Audit Division, as he may deem fit.
        (h) Audits by Special Auditors under section 32-A shall be conducted in
            accordance with chapter VI of the Sales Tax Rules, 2004, and the
            Terms of Reference in this regard. Their report shall also be
            scrutinized by the Audit Division of the Collectorate and shall be
            submitted to the Additional Collector/Collector accordingly.
        (i) One copy each of such of the audit reports (whether by departmental
            auditors or by the Special Auditors) which reflects detection of sales
            tax amounting to Rs. 1 million or above or which points out towards a
            serious procedural lapse should invariably be sent to the Secretary
            ST-AIU Section of CBR and also to the Director General of Training
            & Research (Customs, Central Excise & Sales Tax), CDA Block No.
            3 (Old CBR Building), Islamabad for record and study.
        (j) On receipt of audit report as mentioned at para (i), above, the AIU
            Section shall critically examine the same propriety of the audit report.
            In case of any important detection, the matter shall be brought into the
            knowledge of Member (Sales Tax) for further necessary action.
(Q) AUDIT PROCEDURE.
43. In order to further streamline the procedure regarding audit of registered persons
and to facilitate taxpayers, the following procedure shall be adopted by the audit
officers of sales tax:-
        (a) All officers dealing with audit matter shall ensure that all correspondence,
            notices and orders issued by the Collectorate, which are sent to the registered
            persons or any other person, should bear the seal and signature with
            telephone/fax numbers and e-mail address of the officer issuing it.
        (b) All senior auditors and auditors shall affix their signatures on records
            checked during the audits with official seals.
        (c) The concerned Deputy/Assistant Collector, on completion of routine
            audit of a specific period, shall forward the audit report to the
            registered person within four weeks of submission of the report.
        (d) After approval of the audit report, the senior auditor/auditor shall
            issue a signed and sealed certificate of completion of audit to the
            registered person in the format appended to this Order as Annex “A”.
44. This order will however, not in any way curtail the powers of Collector of Sales Tax
or Central Board of Revenue to order for re-audit for the reasons to be recorded or audit by
the functionaries of the department of the Auditor General of Pakistan or any other
department legally authorized to conduct audit of the records of the registered person.
                                         475
General Orders                                                       G.O. No. 3 of 2004

                    AUDIT COMPLETION CERTIFICATE
This is to state that the audit of M/s __________________________ (address),
bearing Sales Tax Registration No. __________________, has been carried out by
the undersigned on a test basis for the Period/Year ended ___________.
The audit has been performed on a routine basis as per the provisions of the Sales
Tax Act, 1990 and the schedule issued by the Assistant Collector, Audit Division
___________________________ for the month of ________________.
                                                     SENIOR AUDITOR / AUDITOR
(R) FUNCTIONS OF MEMBER AUDIT IN RELATION TO SALES TAX.
45. The post of Member (Audit) was specifically created to cater for the supervisory
and monitoring needs of audit in the field formations of Central Board of Revenue. In
order, therefore, to specify and streamline the functions of Member (Audit) relating
to sales tax audit, the Central Board of Revenue is pleased to specify that Member
(Audit) shall perform the following functions: -
       (a) development and review of audit strategy (short term and long term), the
           selectivity criteria, audit re-assessment and analysis system, post-audit
           monitoring system, monitoring system for audit detections and
           recoveries of detected amounts and re-engineering of audit processes;
       (b) preparation and follow-up of audit schedules for desk audit, snap audit
           and comprehensive audit, excluding refund audit and investigative audit;
       (c) scrutiny and analysis of audit reports on selective basis and issuance and
           monitoring of guidelines for the preparation of audit reports and review
           of the formats of audit report writing from time to time;
       (d) preparation and updation of the sales tax Audit Manual and industrial notes;
       (e) preparation of monthly, quarterly and annual audit reports indicating the
            overall audit performance of the Sales Tax department at national level;
        (f) coordination for audit efforts between different taxes including
            interchange of data acquired as a result of audit;
       (g) handling of special audits and related matters;
       (h) liaison with DRRA for sales tax audit purposes;
        (i) handling of all audit-related issues with Federal Tax Ombudsman and
            consequent actions;
        (j) assessment of the audit training needs, preparation of audit training
            modules and coordination for audit-related training of the Sales Tax
            department in consultation with Member, Sales Tax;
       (k) consultations with Member (Legal) for expeditious adjudication of cases
            detected through audit; and
        (l) removal of grievances of the taxpayers community pertaining to audit
            matters in consultation with Member (Sales Tax).
                                             476
G.O. No. 3 of 2004                                               Law & Practice of Sales Tax

46. In the Central Board of Revenue, Member (Audit) shall be assisted by one Chief
(Audit), one Secretary (Audit Policy) and one Secretary (Audit Operations). In the
field, all the Assistant Collectors or Deputy Collectors and Additional Collectors
handling audit matters at Collectorate’s level shall work under the control and
guidance of Member (Audit). 66% of total number of auditors/senior auditors in each
Collectorate shall be posted to conduct audit other than refund audit and investigative
audit. The inter-Collectorate posting and transfer of auditors and senior auditors
posted for conducting audit shall be made by Member (Audit) in consultation with
Member (Sales Tax).
(S) JOB DESCRIPTION OF COST ACCOUNTANTS.
47. The Cost Accountants in the CBR (Sales Tax Wing) and in the Collectorates of
Sales Tax will work under the administrative control of Chief (Sales Tax) and
Collector or the Additional Collector in charge of sales tax, respectively.
48. The functions to be performed by cost Accountant are as under:-
        (a) To develop selection criterion for audit of the taxpayers in coordination with
             the Collector, Additional Collector and Deputy/Assistant Collector (Audit);
       (b) To examine and tender his opinion on any audit report referred to him by
             Deputy/Assistant Collector (Audit);
        (c) To personally conduct audit of large taxpayers under special
             circumstances if so desired by Collector or Additional Collector (Audit);
       (d) To study the Financial Report referred to him of large companies
             prepared by their own auditors, compare it with the taxpayers profile and
             submit his report to the Additional Collector (Audit) for further
             necessary action;
        (e) To ensure that the Sector Notes and Industry Notes are updated and are
             relevant at all times through liaison with CBR, and to make proposals,
             through the Collector, for updating, modifications and amendments
             therein for CBR’s approval;
        (f) To ensure that the Audit Manual is updated and is relevant at all times
             through liaison with CBR, and to make proposals, through the Collector,
             for updating, modifications and amendments therein for CBR’s approval;
       (g) To be responsible for the training of all audit officers, staff and audit
             managers within the Collectorate. Such training will include:-
             (i) Guidance on costing techniques and analysis of financial statements;
            (ii) Calculation of installed capacity and operating capacity of industrial units;
           (iii) Comparative sectoral studies with reference to input tax and output
                 tax ratios;
           (iv) Calculation of input output coefficients and percentages of wastage;
            (v) Critical examination of the declared value of supply with reference to
                 input cost inventory and value addition at various stages of activity;
                                         477
General Orders                                                       G.O. No. 3 of 2004

          (vi) Critical examination of the declared turnover as filed under the Sales
               Tax Act, 1990 and /or the Companies Ordinance; and
          (vii) Computerized auditing and audit of computer records;
       (h) Any other assignment given by the CBR, the Collector or the Additional
           Collector (Audit), or any reference made or advice sought by
           Deputy/Assistant Collector (Audit) for achieving the purposes of the
           Sales Tax Act, law and procedures thereof.
49. The Cost Accountant will be a resource person for the Collector in respect of
tendering professional advice in the matters relating to audit, training of senior
auditors, auditors and other officials of Collectorate. He will be required to tender
prompt and comprehensive advice whenever requested for the same by the Collector,
Additional Collector and Deputy/Assistant Collector.
                                   PART - V
                                MISCELLENEOUS
(T) PROCEDURE FOR GRANT OF EXEMPTION FROM SALES TAX IN
    TERMS OF SECTION 65 OF SALES TAX ACT, 1990.
50. In order to give effect to the provisions of section 65 of Sales Tax Act, 1990, the
following procedure shall be followed:-
       (a) If a registered person claims that the supplies made by him during a
           certain period qualify for exemption under section 65 of the Sales Tax
           Act, 1990, he may make an application to the Collector having
           jurisdiction in the area where the registered person is located. The
           Collector will examine the case, collect relevant information from
           other Collectors and if he is satisfied that the case falls within the
           scope of section 65, he will refer the same to the Revenue Division;
       (b) Before making a reference to the Revenue Division the Collector will
           also fix responsibility on the staff who failed to detect that a taxable
           item is being cleared without payment of tax and thus caused loss of
           revenue. He will initiate disciplinary action, against the officials
           concerned and send a report to the Revenue Division;
       (c) The case will be processed in the Revenue Division and if the
           conditions specified in section 65 are met the Federal Government
           may, by means of a notification in the official Gazette, exempt the
           said supplies from sales tax.
(U) PROCEDURE FOR MAKING ZERO-RATED SUPPLY OF LOCALLY
    MANUFACTURED GOODS TO DUTY FREE SHOP.
51. Supplies to duty free shops are entitled to zero-rating under serial No. 3 of the
Fifth Schedule to the Sales Tax Act, 1990, provided clearances from duty free shops
are made against various baggage rules issued by the CBR, Islamabad under the
Customs Act, 1969 and treated as import for the purpose of levy of sales tax. Under
serial No. 33 of the Sixth Schedule to the Sales Tax Act, 1990, personal wearing
                                           478
G.O. No. 3 of 2004                                             Law & Practice of Sales Tax

apparel and bonafide baggage imported by overseas Pakistanis and tourists is exempt
from sales tax provided the same is also exempt from customs duty under various
baggage rules. Currently, baggage concessions are covered under Chapter II of the
Customs Rules, 2001.
52. M/s Duty Free Shop Limited (hereinafter-called DFSL) have approached the
Board for prescribing a procedure for the procurement of locally manufactured goods
under zero-rated scheme as aforesaid. The following procedure is, therefore, laid
down for immediate compliance: -
        (a) DFSL will apply to the respective Collector of Sales Tax for grant of
            authorization for taking sales tax free delivery of the goods intended to be
            purchased from a specified registered manufacturer. In the application DFSL
            will exactly specify the description and quantity of goods besides particulars
            including sales tax registration number of the manufacturer-cum-supplier.
            Only such goods shall be included in the application as DFSL intends to sell
            against duty free allowances under different baggage concessions.
       (b) At the time of filling application under (a) above, DFSL will furnish an
           indemnity bond in a proper form to the effect that in case goods intended
           to be purchased free of sales tax are used for the purpose other than the
           purpose of supplying the same against duty free allowance under
           different baggage concessions, DFSL shall pay the amount of sales tax
           invoiced in such goods besides additional tax payable under section 34 of
           Sales Tax Act, 1990. Original indemnity bond shall be retained under
           safe custody in the Collectorate and two attested photocopies of the
           accepted indemnity bond shall be given to DFSL and DFSL shall give
           one copy to the concerned manufacturer.
        (c) On the basis of authorization given by the Collector of Sales Tax after
            acceptance of the indemnity bond furnished by DFSL as aforesaid, the
            manufacturer shall deliver the goods against a zero-rated invoice issued
            in the name of DFSL and quote the reference number and date of
            authorization issued by the Collector. The zero-rated invoice shall show
            the value of goods in Pak rupees as well as in US dollar. The goods shall
            be delivered to DFSL only after affixing irremovable sticker containing a
            caution to the effect that it is meant exclusively for supply to and sales by
            DFSL under duty free allowances of the baggage concessions.
       (d) DFSL shall pay price of the goods in foreign currency (US dollars) which
           shall be surrendered by the manufacturer to the State Bank of Pakistan and
           manufacturer shall receive the payment in Pak rupees as per the prevailing
           State Bank of Pakistan’s procedures and foreign exchange regulations.
        (e) On receipt of goods DFSL shall issue a certificate of receipt indicating
            the reference number and date of the aforesaid authorization and serial
            number and date of zero-rated invoice. This certificate shall be duly
            attested by the customs staff posted at duty free shops. A copy of this
                                                       479
General Orders                                                            G.O. No. 3 of 2004

                 certificate shall be sent each to the manufacturer as well as to the
                 Collector of Sales Tax.
          (f) DFSL shall maintain proper separate records of the tax-free purchases
              and tax-free sales of goods purchased under this order. Full particulars of
              the persons buying these goods under duty free allowances shall be
              invariable mentioned in the records. Similarly, the manufacturer shall
              maintain proper record relating to the supplies made to DFSL without
              payment of sales tax. Both DFSL and the manufacturer shall present
              these records to the sales tax staff for inspection or audit as and when
              required.
         (g) The manufacturer shall be entitled to input tax adjustment in respect of
             goods supplied to DFSL against zero-rated invoices and in case excess
             input tax credit is not available, the manufacturer shall be entitled to
             refund of the input tax involved in such goods on the basis of the
             following documents: -
             *
              (ii) Input tax invoices/bill of entry;
             (iii) Zero-rated invoices;
             (iv) Authorization issued by the Collector of Sales Tax;
                 (v) Certificate of receipt issued by DFSL duly attested by Customs;
             (vi) Proof of surrendering to the State Bank of Pakistan foreign exchange
                  received from DFSL; and
            (vii) Proof of transportation of goods in case goods have been transported
                  through commercial or third party means.
         (h) The said documents shall be furnished in original with a set of
             photocopies and returned to the manufacturer after tallying an
             endorsement of verification on the photocopies by the officer-in-charge
             of Refund Division of the Sales Tax Collectorate. Refund shall be
             processed and sanctioned in accordance with chapter V of the Sales Tax
             Rules, 2004 treating the claimant as manufacturer-cum-exporter.
          (i) DFSL shall procure goods under this order to meet its requirements for a
              period not exceeding three months and shall ensure that these goods do not
              find way in the local market. DFSL shall be responsible to pay sales tax and
              additional tax in case any such goods are found being sold in the local market.
          (j) The indemnity bond furnished by DFSL shall be released by the
              Collector of Sales Tax only after satisfying himself either through audit
              or otherwise that goods have been sold by DFSL only against duty free
              allowances under the relevant baggage concessions.
53. The foregoing provisions, shall mutatis mutandis, be applicable to other Duty
Free Shops, duly licensed by the Collectorate having jurisdiction.
*Sub-clause (i) seems to be missing in the original.
                                            480
G.O. No. 3 of 2004                                               Law & Practice of Sales Tax

(V) SALES TAX ON SERVICE PROVIDED BY CUSTOMS AGENTS.
54. Payment of sales tax on services rendered or provided by customs agents is a
requirement in terms of Ordinances issued by the four provinces and the Federal
Capital Area. For a correct implementation of the said requirement, the following
procedure shall be observed:-
        (a) the sales tax registration number of the customs agent shall be quoted along
            with the license number on the bill of entry (home consumption, into-bond
            and ex-bond), shipping bill, Pakistan Customs Declaration, baggage
            declaration, rebate/refund or duty drawback claim as the case may be; and
        (b) in addition to already prescribed requirements a photo-copy of the last
            month’s bank-receipted sales tax return of the customs agent shall be
            appended with the bill of entry, shipping bill, baggage declaration,
            rebate/refund or duty drawback claim so filed. For example bills of entry
            filed after 15th June, 2004 shall be appended with a photo-copy of the bank-
            receipted sales tax return for May, 2004 filed on or before 15th June, 2004.
        (c) in case any agent fails to submit the return-cum-payment challan as
            mentioned in (a) above, customs documents filed through him shall not be
            entertained.
(W) PAYMENT OF APPEAL FEE UNDER SECTION 45B AND 46 OF THE
    SALES TAX ACT, 1990.
55. In the light of the provisions contained in the second proviso to sub-section (1) of
section 45, sub-section (3) of section 46 and sub-section (2) of section 47 of the Sales Tax
Act, 1990, the Central Board of Revenue is pleased to direct that above referred all fee
amounts shall be deposited in the Government Treasury (or in any designated branch of
the National Bank of Pakistan) under the head “0220000-Sales Tax”.
56. The original copy of the duty paid challan shall be attached with the
appeal/application so filed with the competent authority as referred to above.
(X) BENEFITS OF SALES TAX REGISTRATION.
57. The VAT-mode regime envisages a self-policing and self-assessment based sales
tax system. It relieves the registered persons of inventory controls and physical
supervision. The registered persons also become entitled to claim input tax credits and
adjustments against their output tax liability. This benefit of multi-stage tax (tax leviable
on the marginal/incremental value-addition) is not available to unregistered
manufacturers and suppliers. Being a consumption tax, the respective seller (of each
stage) can pass on the burden to the buyer and incidence of the tax is eventually borne by
the final consumer. A registered person can also transact business with and supply goods
to the government, semi-government and defence departments and other autonomous
corporations DFIs, banks, airlines and limited companies etc., who are otherwise
authorized to deduct advance income tax under the Income Tax Ordinance, 2001.
58. All persons liable to be registered as manufacturers, producers wholesalers,
dealers, distributors, suppliers, importers or retailers are therefore, well advised to get
                                           481
General Orders                                                          G.O. No. 3 of 2004

themselves registered under the Sales Tax Act, 1990 so as to benefit from the said
fiscal monetary and trade advantages.
59. The aforesaid legal provision and ensuing benefits, privileges and immunities make
it unambiguously clear that the advantage of sales tax compliance and sales tax
registration far outweigh the misapprehensions and misconception against it. All traders,
businessmen, manufacturers, producers, wholesalers, dealers, distributors, importers,
suppliers and retailer of sales taxable goods are accordingly advised in their own interest
to get themselves registered under the Sales Tax Act, 1990. Non–registration would
render the offenders liable to legal actions and added burden of sales tax by way of
additional tax and penalties which are mandatory under the Sales Tax Act, 1990.
60. The Sales Tax Collectorates, F.P.C.C. & I., Chambers of Commerce & industry,
EPB, Trade & Industry, Associations and Groups are also requested to inform all
concerned about the benefits, privileges and advantages of registration and
compliance of sales tax law and procedures made thereunder
(Y) ADVISORY COMMITTEES IN THE COLLECTORATES OF SALES TAX.
61. For achievement of revenue targets, the Government has laid emphasis on
greater interaction amongst the taxpayers, their representative trade bodies and tax
collectors for better coordinative revenue generating activities and for solution of
problems faced by the taxpayers’ community as well as the tax collection machinery
in this process. For this purpose, there is a dire need to reactivate and re-invigorate
the Advisory Committees already functioning at Collectorate levels. The composition
of these committees also requires to be reconsidered for the purposes of giving
representation to FPCCI, local Chamber of Commerce & Industry, OICCI, various
Trade & Industry Associations/ Groups and certain individual taxpayers (like those
paying substantial amount of taxes honestly and regularly) so as to ensure their
enhanced cooperation, participation, guidance, voluntary compliance and redressal of
problems/ inconveniences.
62. All Sales Tax Collectors are, therefore, advised to take following actions in this
regard:-
         (a) Constitute the Advisory Committee, if already not constituted, (or re-
              constitute it in terms of this STGO) within 7 days and report the
              composition to the Board;
         (b) Hold regular meeting of the Advisory Committee at least on bi-monthly
              basis. Minutes of the meetings should invariably be issued within 7 days
              of the meeting;
         (c) The representation in the Committees should be comprehensive,
              covering all important trade bodies and individuals, as aforesaid in
              paragraph 70 above;
         (d) Where Collectors are not available, Committees should operate at
              Additional Collectors level with participation of all concerned, as above;
         (e) Receipt of revenue and recovery of arrears may also be discussed in the
              meetings along with the difficulties / problems faced by the Collectorates /
              manufacturers / trading community; and
                                                482
G.O. No. 3 of 2004                                                     Law & Practice of Sales Tax

        (f) Performance of the Committee be regularly monitored and evaluated at
               Collectorate level, as the case may be, under intimation to the Board.
               Issues requiring action by CBR should be referred to the Board
               separately too, along with a copy of the minutes of the meeting.
(Z) JOB DESCRIPTION OF COLLECTORS OF SALES TAX, SALES TAX
     HOUSE KARACHI.
63. The following functions shall be supervised by the Collectors of Sales Tax,
Sales Tax House, Karachi.
       (1) COLLECTOR (HEADQUARTERS)
              (a) Registration and De-Registration.
             (b) Assessment, processing and analysis of sales tax returns.
              (c) Information Processing and Management Information System.
             (d) General Administration of Sales Tax House, Karachi.
              (e) Taxpayers Facilitation and Education.
              (f) Matters relating to Federal Tax Ombudsman.
             (g) Matters relating to Establishment.
             (h) Human Resource Development.
              (i) Co-ordination with CBR and other outside agencies.
              (j) Any other function given by CBR for achieving the purposes of
                   Sales Tax Act, Law and Procedures thereof.
       (2) COLLECTOR (AUDIT)
              (a) Audit of registered persons.
             (b) Audit selection and allocation strategy.
              (c) Risk based audit through profiling and analysis.
             (d) Review of audit reports for quality and integrity.
              (e) Recovery of un-disputed liability detected during audit.
              (f) Monitoring of audit schedule etc.
             (g) Maintenance and analysis of audit records and audit related database.
             (h) Matters relating to External Audit (Revenue Receipt Audit) including
                   Public Accounts Committee.
              (i) Any other function given by CBR for achieving the purposes of
                   Sales Tax Act, Law and Procedures thereof.
           1
             [(j) Post Refund Audit.]
          2
            [(k) Investigative audits after action under Section 38 of the Sales Tax Act.]
       (3) COLLECTOR (ENFORCEMENT)
              (a) Processing and sanctioning of refund claims filed under Sections 10
                   and 66 of the Sales Tax Act.
1
     Clause (j) inserted by General Order No. 4 of 2004 dated September 4, 2004.
2
     Clause (k) inserted by General Order No. 4 of 2004 dated September 4, 2004.
                                                    483
General Orders                                                                          G.O. No. 3 of 2004

               1
                [             ]
             (c) Co-ordination for submission of contravention reports/ show cause
                 notices to the proper Adjudication forum for adjudication.
             (d) Ensuring department's representation before the adjudication and
                 appellate forums and courts.
             (e) Dealing with non-filers and untraceable units.
              (f) Industrial surveys as required under concessionary notifications.
             (g) Recovery of all government dues recoverable under the Sales Tax
                 Act and Central Excises Act.
             (h) Investigation and Prosecution.
               2
                [             ]
              (j) All matters relating to Central Excise.
             (k) Enforcement issues related to Services Sector.
              (l) Any other function given by CBR for achieving the purposes of
                  Sales Tax Act, Law and Procedures thereof.
(AA) RESPONSIBILITIES OF COLLECTORS UNDER SECTIONS 45, 45B,
    46 AND 47 OF SALES TAX ACT, 1990.
64. Attention is invited to the provisions of sections 45, 45B, 46 and 47 of the Sale Tax
Act, 1990. Respective Collectors are advised to take necessary steps to ensure that they
receive, monitor and scrutinize each and every order-in-original, order-in-appeal, appellate
order / decision passed by the Tribunal for the purposes of determination of propriety and
justification of filing of appeal under sections 45B, 46 and 47 of the Act or of filing an
application under section 47(7) of the Act as the case may be, within the prescribed
limitation. For this purpose, the Collectors may consider creating special cell in the
Collectorate. The Collector may also ensure that no appeal/application, where justified,
necessary and appropriate, is delayed or defaulted. The Directors of Intelligence &
Investigations and Inspection & Audit, where they themselves do not file the
appeal/application, shall also assist the concerned Collector of Sales Tax in this regard in
relation to such sales tax cases which were detected / reported by them.
65. The Collectors/Directors are also advised to ensure that a fully-conversant and
duly-briefed departmental representative appears (along with relevant records) before
the Appellate Collector / Appellate Tribunal whenever a sales tax case, relevant to
their jurisdiction, comes up for hearing before the said Collector (Appeals)/Tribunal.
1
     Clause (b) omitted by General Order No. 4 of 2004 dated September 4, 2004.
2
     Clause (i) omitted by General Order No. 4 of 2004 dated September 4, 2004.


                                      LEGISLATIVE HISTORY
     Clauses (b) & (i)-Omission.—The omitted clauses (b) & (i) read as follows:
            (b) Post Refund Audit.
              (i) Investigative audits after action under Section 38 of the Sales Tax Act.”
                                       484
G.O. No. 3 of 2004                                       Law & Practice of Sales Tax

                                    PART – VII
                                     REPEAL
66. The following Sales Tax General Orders are hereby rescinded, namely:-
       S. No.          Sales Tax General Order Number and date
         (1)         (2)                           (3)
      1         5 of 1991     , the   23rd October,1991.
      2         1 of 1992     , the   29th July, 1992.
      3         6 of 1994     , the   6th June, 1994.
      4         6 of 1995     , the   1st June, 1995.
      5         4 of 1996     , the   5th November, 1996
      6         5 of 1996     , the   11th November, 1996.
      7         1 of 1997.    , the   15th July, 1997.
      8         2 of 1997     , the   26th August,1997.
      9         3 of 1997     , the   29th August,1997.
      10        4 of 1997     , the   11th October,1997.
      11        1 of 1998     , the   17th June,1998.
      12        2 of 1998     , the   29th June, 1998.
      13        3 of 1998     , the   31st July, 1998.
      14        4 of 1998     , the   12th August,1998.
      15        5 of 1998     , the   28th August,1998.
      16        6 of 1998     , the   31st August,1998.
      17        7 of 1998     , the   24th September,1998.
      18        8 of 1998     , the   30th November,1998.
      19        9 of 1998     , the   12th December,1998.
      20        10 of 1998 , the      22nd December,1998.
      21        1 of 1999     , the   7th January,1999.
      22        2 of 1999     , the   16th February,1999.
      23        3 of 1999     , the   27th March,1999.
      24        4 of 1999     , the   8th April,1999.
      25        5 of 1999     , the   29th June,1999.
      26        6 of 1999     , the   28th July,1999.
      27        7 of 1999     , the   29th July,1999.
      28        8 of 1999     , the   18th September,1999.
      29        9 of 1999     , the   22nd September,1999.
      30        10 of 1999 , the      29th September,1999.
      31        11 of 1999 , the      2nd October,1999.
      32        12 of 1999 , the      12th November, 999.
      33        13 of 1999 , the      28th December,1999.
      34        1 of 2000     , the   24th January, 2000.
      35        2 of 2000     , the   11th April, 2000.
      36        4 of 2000     , the   1st September,2000.
      37        1 of 2001     , the   26th May, 2001.
      38        2 of 2001     , the   30th June, 2001.
      39        1 of 2002     , the   31st August, 2002.
      40        3 of 2002     , the   24th September,2002.
                                        485
General Orders                                                     G.O. No. 3 of 2004

       41         4 of 2002    , the   1st November, 2002.
       42         5 of 2002    , the   8th November, 2002.
       43         6 of 2002    , the   26th December, 2002.
       44         1 of 2003    , the   27th February, 2003.
       45         2 of 2003    , the   7th June,2003.
       46         3 of 2003    , the   23rd June, 2003.
       47         4 of 2003    , the   7th August, 2003.
       48         5 of 2003    , the   5th December, 2003.
       49         6 of 2003    , the   20th December, 2003.
                                   ___________
Sales Tax Order                                 Islamabad, the 11th September, 2004

Subject: Committees to examine cases of refund.

     The Central Board of Revenue is pleased to appoint the Committees of
following persons, in the Collectorates given below, to examine the cases of refunds,
claimed on invoices of blacklisted persons, in terms of sub section (1)(a) and (e) of
section 47A of the Sales Tax Act, 1990 read with Chapter X of the Sales Tax
Rules,2004 [SRO No. 485(I)/2004 dated June 12, 2004]:-
(A) COLLECTORATE OF SALES TAX & CENTRAL EXCISE/ LARGE
    TAXPAYERS UNIT, KARACHI
                               COMMITTEE NO.1
Cases relating to Hosiery and Knitwear Exporters.
 S.           Name                     Representing to  Chairman/
 No.                                                   Member of the
                                                        committee
 1     Mr.    Muhammad Nominee of Karachi Chamber of Chairman
       Saeed Shafiq    Commerce and Industry, Karachi.

 2     Mr. Saleem Parekh      Nominee of Pakistan Hosiery Member
                              Manufacturers           Association,
                              Karachi.
 3                            Additional Collector (Audit-II), Member
                              Collectorate of Sales Tax & Central
                              Excise, Karachi.
                               COMMITTEE NO.2
Cases relating to Chemicals & Dyes Merchants.
 1     Mr. Iftikhar Ahmed Nominee of Karachi Chamber of Chairman
       Sheikh             Commerce and Industry, Karachi.
                                     486
G.O. No. 3 of 2004                                   Law & Practice of Sales Tax

 2     Mr. Abdul Rahim Nominee of Pakistan Chemicals & Member
       Chughtai        Dyes     Merchants   Association,
                       Karachi.
 3                         Additional     Collector   (Legal), Member
                           Collectorate of Sales Tax & Central
                           Excise, Karachi.

                             COMMITTEE NO.3
Cases relating to Cloth Exporters.
 1    Mr. Abdul Majeed Nominee of Karachi Chamber of Chairman
      Memon            Commerce and Industry, Karachi.
 2    Mr. Ehsan Ellahi Nominee   of     Pakistan Textile Member
      Sheikh           Exporters Association (Formerly
                       APCEA), Karachi.
 3                         Additional Collector (Enforcement) Member
                           Collectorate of Sales Tax & Central
                           Excise, Karachi.

                             COMMITTEE NO.4
Cases relating to Leather Garments Export Sector.
 1    Mr. Mansoor Ilyas    Nominee of Karachi Chamber of Chairman
                           Commerce and Industry, Karachi.
 2    Mr Fawad Ejaz        Nominee of Pakistan Leather Member
                           Garments Manufacturer and Exporter
                           Association, Karachi.
 3                         Additional       collector   (Hqs), Member
                           Collectorate of Sales Tax & Central
                           Excise, Karachi.

                             COMMITTEE NO.5
Cases relating to Commercial Exporters.
 1    Sheikh     Shakil Nominee of the Federation of Chairman
      Ahmed Dhingra     Pakistan Chambers of Commerce &
                        Industry, Karachi.
 2    Mr. Khalid Amin      Nominee of Pakistan Silk and Rayon Member
                           Mills Association, Karachi.
 3                         Additional     Collector  (Audit-I), Member
                           Collectorate of Sales Tax & Central
                           Excise, Karachi.
                                        487
General Orders                                                 G.O. No. 3 of 2004

                               COMMITTEE NO.6
Cases relating to Towel Manufactures.
 1    Mr.    M.         Zubair Nominee of Karachi Chamber of Chairman
      Motiwala                 Commerce and Industry, Karachi.
 2    Mr.      Muhammad Nominee of Towel Manufacturers Member
      Muzzamil          Association, Karachi.
 3                             Additional Collector (Audit-I) Member
                               Collectorate of Sales Tax & Central
                               Excise, Karachi.
                               COMMITTEE NO.7
Cases relating to Textile Processing Sector.
 1     Mr. Tariq Sayeed        Nominee of the Federation of Chairman
                               Pakistan Chambers of Commerce
                               & Industry, Karachi.
 2     Mr. G.R.Arshad          Nominee of All Pakistan Textile Member
                               Mills Processing Association,
                               Karachi.
 3                             Additional Collector, (Audit-II) Member
                               Collectorate of Sales Tax &
                               Central Excise, Karachi.
                               COMMITTEE NO.8
Cases relating to Readymade Garments Madeups Exporters .
 1     Sheikh      Maqbool Nominee of the Federation of Chairman
       Ahmed               Pakistan Chambers of Commerce &
                           Industry, Karachi.
 2     Mr. Tahir Aziz          Nominee of Pakistan Knitwear & Member
                               Sweater Exporters Association,
                               Karachi.
 3                             Additional     Collector   (Legal), Member
                               Collectorate of Sales Tax & Central
                               Excise, Karachi.

                               COMMITTEE NO.9
Cases relating to Medium & Small Exporters and Others.
 1    Mr. Haroon Farooki       Nominee of Karachi Chamber of Chairman
                               commerce and Industry, Karachi.
 2    Mr.     Muhammad Nominee      of    Pakistan    Small Member
      Amjad Raza       Industries Association, Karachi.
                                    488
G.O. No. 3 of 2004                                   Law & Practice of Sales Tax

 3                          Additional      Collector    (Hqs), Member
                            Collectorate of Sales Tax & Central
                            Excise, Karachi.

B. COLLECTORATE OF CUSTOMS, SALES TAX & CENTRAL EXCISE,
HYDERABAD.

                           COMMITTEE NO. 1
 1    Haji       Muhammad Nominee of Hyderabad Chamber of Chairman
      Yaqoob              commerce & Industry, Hyderabad.
 2    Mr. Rashid Sethar     Nominee of Sukkur Chamber of Member
                            Commerce & Industry, Sukkur.
 3                          Additional Collector Collectorate of Member
                            Customs, Sales Tax & Central
                            Excise, Hyderabad.

C. COLLECTORATE OF SALES TAX & CENTRAL EXCISE, LAHORE
                           COMMITTEE NO. 1
Cases relating to APTMA.
 1    Sheikh     Muhammad Nominee of Lahore Chamber of Chairman
      Asif                Commerce & Industry, Lahore.
 2    Mr. Anis–ul–Haq       Nominee of All Pakistan Textile Member
                            Mills Association, Lahore.
 3                          Additional               Collector Member
                            (HQ),Collectorate of Sales Tax &
                            Central Excise, Lahore.

                           COMMITTEE NO. 2
Cases relating to Readymade Garments Exporters.
 1    Mr.Irfan Qaiser       Nominee of Lahore Chamber of Chairman
                            Commerce & Industry, Lahore.
 2    Mian Riaz Ahmad       Nominee of Pakistan Readymade Member
                            Garments    Manufacturers   &
                            Exporters Association,(PRGMEA)
                            Lahore.
 3                          Additional     Collector   (Audit), Member
                            Collectorate of Sales Tax & Central
                            Excise, Lahore.
                                       489
General Orders                                                 G.O. No. 3 of 2004

                              COMMITTEE NO. 3
Cases relating to Tanneries Sector.
 1    Mr. Ashraf Bhatti       Nominee of Lahore Chamber of Chairman
                              Commerce & Industry, Lahore.
 2    Mr. Amjad Zafar         Nominee of Pakistan Tanneries Member
                              Association (PTA), Lahore.
 3                            Additional      Collector    (Hqs), Member
                              Collectorate of Sales Tax & Central
                              Excise, Lahore.

                              COMMITTEE NO. 4
Cases relating to Hosiery and Knitwear Exporters.
 1    Mr. Irfan Iqbal         Nominee of Lahore Chamber of Chairman
                              Commerce & Industry, Lahore.
 2    Mr. Sehzad Azam         Nominee of Pakistan Hosiery Member
                              Manufacturers   Associations,
                              (PHMA), Lahore.
 3                            Additional    Collector   (Audit), Member
                              Collectorate of Sales     Tax &
                              Central Excise, Lahore.
D.   COLLECTORATE OF SALES TAX & CENTRAL EXCISE, FAISALABAD

                              COMMITTEE NO. 1
Cases relating to Textile Processing Sector.
 1    Ch.     Muhammad        Nominee of Faisalabad Chamber of Chairman
      Boota                   Commerce & Industry, Faisalabad.
 2    Mr.     Muhammad        Nominee of All Pakistan Textile Member
      Amjad Sheikh            Processing  Mills     Association,
                              Faisalabad.
 3                            Additional Collector, Collectorate Member
                              of Sales Tax & Central Excise,
                              Faisalabad.
                              COMMITTEE NO. 2
Cases relating to Cloth Exporters.
 1    Mr.       Baligh-ur- Nominee of Sargodha Chamber of Chairman
      Rehman Kermani       Commerce & Industry, Sargodha.
 2    Mr. Ahmad Kamal      Nominee of Pakistan Textile Member
                           Exporters Association, (Formerly
                           APCEA), Faisalabad.
                                       490
G.O. No. 3 of 2004                                      Law & Practice of Sales Tax

 3                            Additional Collector, Collectorate Member
                              of Sales Tax & Central Excise,
                              Faisalabad.

E.   COLLECTORATE OF SALES TAX & CENTRAL EXCISE, GUJRANWALA
                              COMMITTEE NO. 1
Cases relating to Shuttle Exporters.
 1    Mr. Iqbal Ahmed Butt    Nominee of Gujranwala Chamber Chairman
                              of   Commerce    &    Industry,
                              Gujranwala.
 2    Mr. Tariq Rasheed       Nominee of M/s Pakistan Shuttle Member
                              Manufacturers      Association,
                              Gujranwala.
 3                            Additional Collector, Collectorate Member
                              of Sales Tax & Central Excise,
                              Gujranwala.

                              COMMITTEE NO. 2
Cases relating to Pottery Exporters & Others.
 1    Ch. Zulfiqar A. Hayat   Nominee of Sialkot Chamber of Chairman
                              Commerce & Industry, Sialkot.
 2    Mr.        Muhammad Nominee of            Pakistan Pottery Member
      Saeed               Manufacturers               Association,
                          Gujranwala.
 3                            Additional Collector Collectorate of Member
                              Sales Tax & Central Excise,
                              Gujranwala

F.   COLLECTORATE OF SALES TAX & CENTRAL EXCISE, PESHAWAR
                               COMMITTEE - 1
 1    Mr. Adeel Rauf,         Nominee of Sarhad Chamber of Chairman
                              Commerce & Industry, Peshawar.
 2    Mr. Babar Mehmood Nominee of Industrial Association, Member
      Shirazi           Hattar, Haripur
 3    Mr. Mushtaq Akbar       Chartered Accountant, Peshawar.     Member
 4                            Additional Collector, Collectorate Member
                              of Sales Tax & Central Excise,
                              Peshawar.
                                        491
General Orders                                                      G.O. No. 3 of 2004

G. COLLECTORATE OF CUSTOMS, SALES TAX & CENTRAL EXCISE,
   MULTAN
                                COMMITTEE - 1
 1    Khawaja Younis           Nominee of Multan Chamber of Chairman
                               Commerce & Industry, Multan.
 2    Syed       Muhammad Nominee of All Pakistan Bedsheet Member
      Asim                &    Upholstery      Manufacturers
                          Association, Multan.
 3    Sheikh Farooq            Nominee of Pakistan Cotton Member
                               Ginners Association, Multan.
 4                             Additional Collector, (Sales Tax) Member
                               Collectorate of Customs, Sales Tax
                               & Central Excise, Multan.
2. The Committees shall examine the question of fact and law as regard those
refund claims, referred to them, wherein input tax invoices submitted by the
registered persons (Refund Claimants), have been deferred by the STARR owing to
blacklisting/suspension of the registration of their relevant suppliers on whose
invoices their refund claimed are based and non-deposit of that input tax by these
suppliers. The terms of reference of each committee, while proceeding in accordance
with the Sales Tax Act, 1990 and the Rules made there under, shall be to ascertain as
to whether: -
        i) there was any collusion or connivance between the blacklisted/
           suspended supplier and the registered exporter;
        ii) the exporter has a valid receipt or proof for physical transfer/receipt
            and export of goods;
       iii) the supplier was blacklisted or his registration was suspended
            subsequent to the purchase/supply of goods;
       iv) the exporter made payment of the price of the goods alongwith sales
           tax in accordance with section 73 of the Act;
        v) the foreign exchange remittance has been duly received against the
           export of goods; and
       vi) The veracity of the input tax claimed by the supplier.
3. Each Committee shall examine the cases of refund of the relevant exporters only
(wherever specified) referred to them. The working of the Committees shall be
regulated by the procedures prescribed under section 47A of the Sales Tax Act, 1990
and Chapter X of the Sales Tax Rules, 2004 [SRO 485(I)/2004 dated June 12, 2004]
and submit their recommendations to the Board, within thirty days of such reference.
                                   ___________
                                                     492
G.O. No. 1 of 2005                                                            Law & Practice of Sales Tax

Sales Tax General Order No. 1/2005                                     Islamabad, the 21st April, 2005

Subject: 1[Electronic filing of sales tax returns at Large Taxpayers’ Units
         (LTUs) at Karachi and Lahore].

      In order to provide for electronic filing of sales tax return by units registered in
the Large Taxpayers’ Unit, Karachi in terms of Rules 17 of Sales Tax Rules, 2004,
notified vide SRO 485(I)/2004, dated 12.06.2004, the Central Board of Revenue is
pleased to direct that the procedure specified below shall be followed for electronic
filing of return and transmission of data from bank.
     1. Scope of Electronic Filing of Return.—The following categories of
taxpayers of LTU shall be eligible for electronic filing of sales tax return:
           (a) 2[the taxpayers who hold an account with National Bank of Pakistan, PNSC
               Branch, Karachi, in case of Large Tax Payer Unit, Karachi and National
               Bank of Pakistan, Main Branch, Lahore in case of LTU, Lahore].
           (b) Nil filers.
      2.     Manner and Procedure for Electronic Filing of Return.—
           (a) A dedicated website www.nbpltu.com has been hosted for the purpose.
           (b) 3[A taxpayer desirous of filing of monthly sales tax return electronically
               shall obtain a pin code from National Bank of Pakistan, PNSC Branch,
               Karachi in case of Large Taxpayer Unit, Karachi and National Bank of
               Pakistan, Main Branch, Lahore in case of Large Taxpayer Unit, Lahore.
               The taxpayer can change the pin code for secrecy reasons.]
           (c) At the time of filing of return, he shall sign on through the browser
               www.nbpltu.com and enter his user ID and password (pin code) to access
               the software.
           (d) After logging in he shall fill the sales tax return form and electronically
               submit the form for payment and simultaneously get a print out of the
               filled form for his record.
           (e) On soft submission of return the bank shall electronically confirm receipt
               thereof through e-mail i.e. balance transfer from the taxpayer’s account
               to CBR LTU Collection account. If the required balance is not available
               in the taxpayer’s account, intimation through e-mail be made by the bank
               to the taxpayer. The taxpayer on receiving the information shall deposit
               sufficient/required amount in his account and re-submit the return as per
               the procedure.
1   Substituted for “Electronic filing of sales tax return at Large Taxpayers’ Unit (LTU), Karachi” by Sales
    Tax General Order No. 2 of 2005, dated August 15, 2005.
2   Substituted for “the taxpayers who hold an account with National Bank of Pakistan, PNSC Branch” by
    Sales Tax General Order No. 2 of 2005, dated August 15, 2005.
3   Substituted for “A taxpayer desirous of filing of monthly sales tax return electronically shall obtain a pin
    code from National Bank of Pakistan, PNSC Branch. The taxpayer can change the pin code for
    secrecy reasons” by Sales Tax General Order No. 2 of 2005, dated August 15, 2005.
                                          492A
General Orders                                                          G.O. No. 3 of 2005

        (f) For Nil filers the confirmation from bank regarding the soft submission
            would be treated as filing of return. As regards the returns involving
            payment of tax, this receipt would only mean confirmation of submission
            of return. The bank would debit the account of the taxpayer to the extent
            of amount payable by the taxpayer as the due tax for the given tax period
            and electronically issue a final receipt to the effect. This final receipt
            would endorse electronic filing of tax return.
        (g) The bank shall electronically transmit the soft data of returns filed.
      3. All legal provisions as provided for in the Sales Tax Act, 1990 and as
notified by the Central Board of Revenue from time to time shall apply to electronic
filing of returns.
                                     ___________
Sales Tax General Order No. 3/2005                   Islamabad, the 1st September, 2005

Subject: Repayment of sales tax to duty free shops on locally manufactured
         goods.

     Under serial No. 3 of the Fifth Schedule to the Sales Tax Act, 1990 read with the
main para (U) of PART V of the Sales Tax General Order No. 3 of 2004, dated 12th
June, 2004, supplies made to duty free shops are entitled to the facility of zero-rating
subject to the fulfillment of conditions laid down therein. These shops have reported to
the Board that there are several manufacturers who, for some peculiar business reasons,
do not sell their products to duty free shops on zero-rate basis with the result that these
shops cannot meet their diversified inventorial requirements and eventually their sale
business suffers. In view of the fact that their duty free sales under different duty free
baggage concessions cannot be subjected to the incidence of sales tax, these shops have
requested the Board for repayment of sales tax paid by them on the goods sold free of
customs duty under the baggage rules.
2. Board has examined the request of duty free shops and is pleased to clarify that
the principal purpose of entry at serial No. 3 of the Fifth Schedule is not to charge
sales tax at any stage of the supply of goods sold by duty free shops free of customs
duty under different baggage rules. Hence if these shops have paid any amount of
sales tax on the purchase of such goods from the manufacturers, they are entitled to
claim and take repayment (refund) of the same provided these goods have been sold
free of customs duty under the relevant baggage concessions.
3. In order however, to streamline such sales tax refund payments to duty free
shops, Board is pleased to prescribe the following procedure:-
        (i) Refund shall be claimed and allowed only in respect of such goods as
            have been sold by duty free shops under different baggage rules free of
            customs duty.
       (ii) Duty free shops shall as usual file the prescribed monthly sales tax
            return showing the relevant tax paid purchases and the refundable
            amount of tax in the relevant columns of the return.
                                            492B
G.O. No. 3 of 2005                                                   Law & Practice of Sales Tax

         (iii) In order to obtain refund payment, duty free shops shall produce to the
               concerned Collector of Sales Tax, original sales tax invoices with a set of
               photocopies thereof and a statement in the following format, namely:-
 S.No.    Name of the     Sales    Description    Quantity    Quantity     Name and Remarks
          Manufacturer     Tax      of Goods     Purchased     Sold         passport
                         Invoice                                            No. with
                          No. &                                              date of
                          Date                                            issue of the
                                                                           passenger
                                                                            to whom
                                                                               sold
  1             2           3          4            5            6             7          8
         (iv) The above statement shall be furnished on electronic media as well as in
              hard form duly attested by the Customs staff posted in the concerned
              duty free shop.
          (v) The purchase invoices once furnished shall not be required to be
              submitted again in case goods covered therein are sold and refund
              thereon is claimed in piecemeal in different tax periods.
         (vi) The original sales tax invoices shall be returned to these shops after all the
              relevant goods covered therein have been sold and the amount of sales tax
              involved therein has been refunded as admissible and each of such invoice
              shall be returned after making endorsement of an official certificate ‘fully
              used for sales tax refund’ by the concerned officer of sales tax.
         (vii) Duty free shops shall observe all the foreign exchange regulations
               applicable on their trading business.
4. The admissible refund under this order shall be paid within fifteen days of the
filing the said statement.
5. The concerned Collectorates of Sales Tax shall properly maintain both
computerized and manual records of all refunds claimed by and paid to duty free
shops under this order.
                                       ___________
Sales Tax General Order No. 4/2005                      Islamabad, the 29th September, 2005

Subject: Special procedure for collection and payment of sales tax on vehicles —
         instruction regarding.

     The Federal Government through its notification SRO 951(I)/2005, dated
14.09.2005, has issued a special procedure for the collection and payment of sales tax
on motor vehicles including three and two wheelers. In this regard, a new chapter, i.e.
Chapter XVII has been added in the Sales Tax Special Procedure Rules, 2005. While
assemblers and importers of vehicles will be filing their monthly sales tax returns in
the format prescribed under rule 15 of the Sales Tax Rules, 2005, a separate format
has been prescribed for the monthly sales tax return-cum-payment-challan for dealers
of vehicles vide Annex II of the said notification. In order to facilitate the dealers of
                                             492C
General Orders                                                               G.O. No. 4 of 2005

vehicles for the filling of the relevant columns of their monthly sales tax returns and
to assist them in the filing of such sales tax returns, the Central Board of Revenue is
pleased to issue the guidelines and instructions as follows:-
COLUMN
SUB-COLUMN
GUIDELINES
       (01) In this column, dealer shall mention his Sales tax registration number.
       (02) In this column, dealer shall mention his National Tax Number.
       (03) In this column, dealer’s name and telephone number as declared and mentioned
             in his application for sales tax registration and registration certificate shall be
             mentioned.
       (04) In this column dealer shall mention the number of the relevant month with year
             for which the return is being filed.
      (05) (a) In this sub-column dealer shall enter the total value of such vehicles that he
                  has sold on behalf of the assemblers and importers as authorized dealer in
                  respect of which sales tax on commissions has already been paid by the
                  assemblers and importers.
            (b) In this sub-column dealer shall mention the total value of vehicles which he
                  has sold after purchase on which he is required to pay sales tax. The amount
                  of net sales tax payable on the sale of such vehicles may also be mentioned.
                  Input tax adjustment in case of these vehicles shall be available only to the
                  extent allowed under rule 131 of the Sales Tax Special Procedure Rules,
                  2005.
            (c) In this sub-column, a dealer shall give the total value of old, used and
                  second hand vehicles which have been sold through him and on which he is
                  required to charge, collect and pay sales tax taking 10% of the sale price as
                  assessable value for the purpose of calculating sales tax liability. A dealer is
                  also required to pay sales tax on the amount of commissions charged on the
                  sale of such vehicles. No input tax adjustment is admissible in respect of
                  such vehicles.
            (d) In this sub-column, a dealer shall enter the total value of other taxable
                  supplies like auto parts etc, if any, along with the amount of sales tax
                  payable thereon. Input tax adjustment on such supplies is available in terms
                  of sections 7 and 8 of the Sales Tax Act, 1990. Zero-rated supplies, if any,
                  may also be covered in this value without accounting or mentioning the
                  amount of sales tax involved thereon.
            (e) In this column, a dealer shall mention the total value of such supplies as are
                  exempt from payment of sales tax. No input tax adjustment is admissible in
                  respect of such supplies.
      (06) (a) In this sub-column, the dealer shall state the total value and amount of sales
                  tax of his tax-paid imports. The value and the amount of sales tax in respect
                  of vehicles covered under the second proviso to sub-rule (4) of rule 131 of
                  the said rules may be covered in this sub-column.
            (b) In this sub-column, the dealer shall enter the total value and amount of sales
                  tax involved in the taxable purchases made by him.
            (c) Here, only the value of exempt imports and purchases, if any, shall be
                  mentioned.
                                             492D
G.O. No. 4 of 2005                                                 Law & Practice of Sales Tax

            (d) In this sub-column, the value of utilities like telephone, gas and electricity
                alongwith sales tax paid thereon shall be declared. Adjustment of such sales
                tax is admissible only if the dealer is using these utilities exclusively in
                connection with his registered business provided that all the relevant
                requirements or conditions of the Sales Tax Law are fulfilled.
       (07) In this column, all arrears including default surcharge, if any, which is payable
            along with other liabilities on the return, shall be mentioned.
       (08) In case dealer is filing return after due date, he is required to pay penalty as well
            as default surcharge in terms of section 33 and 34 of the Sales Tax Act, 1990, in
            addition to sales tax payable under section 3 ibid.
2. In order to calculate and declare the net payable amounts of sales tax, the
first box under the head 0220000 shall be used to enter the sales tax amount
payable on all kinds of commissions charged by a dealer. In the second box under
the head 02250000, net payable sales tax amount on the supply of imported and
purchased vehicles whether new or old shall be declared. In the third box, the
amount of sales tax payable on the sale of old, second hand and used vehicles
shall be declared. The sales tax amount payable on the commissions charged on
such vehicles shall however, not be included here, which shall be shown in the
first box as aforesaid. Sales tax payable on all other supplies (other than vehicles)
shall be declared in the fourth box. In all these boxes the net sales tax amounts
payable by a dealer shall be declared and other amounts intended to be paid on
account of arrears and penalties, if any, shall be added to work out the total
payable sales tax liability of the relevant tax period.
3. The return shall be prepared and filed in triplicate. The bank shall send one
copy to the Sales Tax Collectorate while one copy shall be retained by the bank
and one copy shall be returned to the registered person. If there is any change in
the tax rate during a tax period, separate returns will have to be filed by the dealer
for each tax rate for the corresponding periods. A return is to be filed for each tax
period, even if no tax is payable or no taxable transaction has taken place. Failure
to file a return or pay the tax by the due date shall attract levy of default
surcharge and imposition of penalties. However, if no tax is payable during a tax
period, such default surcharge will not be charged. A revised return may be filed
to correct any omission or wrong declaration in the previous return. The return is
required to be certified as correct. The person who makes return and signs the
return must be the authorized representative of the dealer. It may be ensured that
the entries in the return are correct, before signing and filing it in the designated
branch of National Bank of Pakistan.
4. The Collectors of Sales Tax & Federal Excise are directed to proactively
publicize these guidelines/instructions and extend maximum assistance and
facilitation to the dealers of automobiles in their efforts to comply with sales tax
obligations. Seminars may be conducted at Collectorates’ level in coordination with
the concerned associations.
                                       ___________
                                          492E
General Orders                                                        G.O. No. 1 of 2006

Sales Tax General Order No. 1/2006                        Islamabad, the 5th June, 2006

Subject: Procedure for payment of sales tax against advance receipts.

In order to streamline the payment of sales tax against advances, in terms of sub-
section (44) of section 2 of the Sales Tax Act, 1990, the Central Board of Revenue is
pleased to prescribe the following procedure:
     1. Payment of Tax.– A registered person shall charge sales tax at the rate
specified in sub-section (1) of section 3 of the Act against any advance payment
received and the same will be included in the output tax to be declared in the sales tax
return of the tax period in which such payment is received by him.
     2. Tax invoices.– (1) A registered person at the time of receipt of advances
may issue a serially numbered “Advance Payment Receipt” in the format as
prescribed in Annex to this Order. Sales tax invoice required to be issued under
section 23 of the Act against such advances may be issued at the time of actual
delivery of goods. No tax shall be payable at the time of issuance of tax invoice in
pursuance of advance payment receipt issued by the registered person on which tax
has already been paid at the time of receipt of advances. However, the registered
person will mention the advance payment receipt number and date in such invoice for
the purpose of cross-referencing.
     (2) Advance Payment Receipt shall be treated as tax invoice for the purposes of
section 7 and 8 of the Act.
     3. Adjustment of advances.– (1) Where a registered person has deposited the
tax at the time of receipt of advance and such supply or part thereof is cancelled or its
value is changed, consequent to which the tax charged and deposited on advances
needs to be adjusted or the sales tax return needs to be modified, the registered
person may issue a credit note and make corresponding adjustment against output tax
in the monthly sales tax return.
     (2) Where a registered person deposited tax on advances then the time limit for
the issuance of debit or credit note, as prescribed in rule 22 of the Sales Tax Rules,
2006, shall not be applicable.
                                                                                 Annex
                             Advance Payment Receipt
                                                          Serial No. _______________
Sales Tax Registration No. ____________________
                     M/s ___________(Sellers’ Name) ________
                     (______________Sellers’ Address _______)
                                                             Tel: _________________
                                                             Fax: _________________
Buyer’s Name & Address: ______________________________________________
                                           492F
G.O. No. 1 of 2006                                              Law & Practice of Sales Tax

S.  Description       Quantity/      Value of       Amount       Amount of       Balance
No.                     No./           goods         of Sales     Sales Tax     amount of
                      Weight/        exclusive         Tax       received in    Sales Tax
                      Volume          of Sales      involved       advance      payable, if
                                        Tax                                        any




Total


                                                           Signature of authorized person
                                     ___________
Sales Tax General Order No. 2/2006                         Islamabad, the 20th June, 2006

Subject: Addition of items to Third Schedule of the Sales Tax Act, 1990 –
         printing of retail price.
     The Finance Bill, 2006, proposes to include some additional items to the Third
Schedule of the Sales Tax Act, 1990, which will be subject to payment of sales tax on
the basis of retail price. These items are toilet paper, tissue paper, spices sold in retail
packing bearing brand names and trade marks, electric bulbs including energy saving
lamps, fluorescent tube lights, snacks including potato chips sold in retail packing,
shoe polish and shoe cream.
     2. It has been pointed out that several manufacturers have stock of finished
goods in hand on which the retail price is not printed or embossed as stipulated in
section 2(27) of the Act. It has been further pointed out that it is not possible or
feasible to print or emboss the retail price on such stock.
     3. In realization of the genuine problem faced by the taxpayers, the Board, in
exercise of its powers under section 55, ibid., is pleased to allow that the stocks of
items as specified above as in hand, which would now be subject to sales tax on the
basis of retail price, can be affixed with the retail price by means of stamping or
pasting stickers printed with the retail price calculated in accordance with the
provisions of section 2(27) of the Act. This permission shall apply to stocks in
respect of which following conditions are fulfilled:
        (i) the manufacturer shall inform the Collector of Sales Tax, having
            jurisdiction, about the stocks as in hand on 30th June 2006, with full
            description and quantity, on which the retail price is not printed in
            accordance with the provisions of the Act; along with the retail price
            effective from 1st July 2006;
        (ii) the Sales Tax in respect of such items shall be paid in accordance
             with the retail price as effective from 1st July 2006;
                                                   492G
General Orders                                                                       G.O. No. 3 of 2006

             (iii) the manufacturer shall advertise the retail price in the leading daily
                   newspapers in English, Urdu and other regional languages, at least
                   twice a week till such time such stocks are supplied. The
                   advertisement in this regard shall mention the date from which the
                   retail prices are applicable; and
             (iv) the stocks so affixed with the retail price are supplied by 31st August,
                  2006, or within such extended period as allowed by the Collector
                  having jurisdiction on a written request by the manufacturer, provided
                  that such extended period shall not exceed sixty days.
                                             ___________
Sales Tax General Order No. 3/2006                                    Islamabad, the 28th July, 2006

Subject: Issues relating to steel sector – Instructions regarding.
     To streamline the sales tax regime applicable for the steel sector under SRO
678(I)/2006 dated 30.06.2006, the Central Board of Revenue, in exercise of the
power conferred under section 55 of the Sales Tax Act, 1990, is pleased to issue the
following instructions:
               (i) Under SRO 678(I)/2006 dated 30.06.2006, fixed value addition per tonne
                   of Rs. 3600/- and Rs. 2470/- has been prescribed for steel melters and Rs.
                   1800/- for the steel re-rollers. The net sales tax payable on account of the
                   aforesaid value addition comes to be Rs. 540/- PMT and Rs. 370/- PMT
                   for the steel melter and Rs. 270-/- PMT for the re-rollers. After the
                   issuance of the aforesaid notification, steel re-rollers are issuing sales tax
                   invoices showing Rs. 270/- PMT as the amount of sales tax chargeable
                   from customers due to which the various industries using long steel
                   products have agitated that the steel re-rollers are not passing on the input
                   tax of Rs. 3300/- PMT leviable on imported/Pakistan Steel billets and
                   consequently the downstream industry is entitled to input tax adjustment of
                   Rs. 270/- PMT only, which has substantially increased their net liability as
                   their end products are chargeable to sales tax @ 15%.
              (ii) Keeping in view the genuine hardship of the downstream industry, it is
                   directed that the steel re-rollers shall issue sales tax invoices reflecting
                   sales tax of Rs. 270/- PMT and Rs. 3300/- PMT to the buyers entitling
                   the downstream industry to obtain adjustment of sales tax paid on billets.
         1
             [(iii) Similarly re-rolling mills producing MS products from locally produced
                    ingots and billets (except Pakistan Steel Mills billets) shall issue sales tax
                    invoices for MS products supplied to downstream industry reflecting
                    sales tax of Rs. 270/- PMT and Rs. 2410/- PMT enabling the downstream
                    industry to obtain input adjustment of sales tax paid on scrap and melting
                    stage.]
1
    Clause (iii) inserted by Sales Tax General Order No. 6/2006 dated September 8, 2006.
                                             ___________
                                         492H
G.O. No. 1 of 2007                                           Law & Practice of Sales Tax

Sales Tax General Order No. 1/2007                   Islamabad, the 10th January, 2007

Subject: Mitigating the hardship of Islamabad based taxpayers.
     Whereas, the newly established Regional Tax Office (RTO), Rawalpindi shall
have jurisdiction extended to the entire Civil Division of Rawalpindi, the Islamabad
Capital Territory and the Northern Areas. Consequently, all taxpayers registered with
the Collectorate of Sales Tax and Federal Excise, Rawalpindi shall now fall under the
administrative jurisdiction / control of the Regional Tax Office at Rawalpindi.
     02. Whereas, for the sake of convenience of the taxpayers as well as Diplomatic
Missions based in Islamabad Capital Territory, the Central Board of Revenue, in
exercise of the powers conferred by section 55 of the Sales Tax Act, 1990 and section
43 of the Federal Excise Act, 2005, is pleased to direct that the taxpayers and
Diplomatic Missions based in Islamabad Capital Territory shall continue to be dealt
with in the existing office building of the Collectorate of Sales Tax & Federal Excise,
Islamabad, situated in Sector I-9/3, Islamabad.
     03. At least three Deputy/Assistant Collectors along with their staff and other
concerned officers/officials shall be available throughout the week (excluding
holidays) during the prescribed office hours to attend the aforementioned clients.
     04. The Collector, Regional Tax Office, Rawalpindi, being In-charge of the
Collectorate of Sales Tax & Federal Excise, Rawalpindi, as well, shall also spare at
least two days of the week when he shall be available at Collectorate Office in
Islamabad to monitor working of the Collectorate as well as to attend Islamabad
based taxpayers and Diplomatic Missions’ officials. The said clients, if intend to visit
the Collector on any day other than the fixed days, they may visit him at his office in
the Regional Tax Office at Rawalpindi.
     05. This issues with the approval of the Member (ST&FE), CBR, Islamabad.
                                    ___________
Sales Tax General Order No. 2/2007                   Islamabad, the 6th February, 2007

Subject: Refund claims relating to local supplies made by the five export-
         oriented zero-rated sectors – instructions regarding
    The issue of refund of input tax against zero-rated local supplies made by five
export oriented zero-rated sectors in respect of the goods which were purchased on
payment of sales tax prior to 06.06.2005 has been examined in the Board.
     02. The Central Board of Revenue is pleased to direct that as per the provisions
of SRO 992(I)/2005 dated 21.09.2005 read with SRO 487(I)/2006 dated 26.05.2006,
for manufacturers-cum-exporters and commercial exporters, refund of input tax for
the five zero-rated sectors in respect of purchases made on payment of sales tax prior
to 06.06.2005 shall only be payable if such goods have been exported by 31.12.2005
and no refund shall be admissible against local supply thereof.
                                    ___________
                                         492I
General Orders                                                       G.O. No. 3 of 2007

C. No. 3(6)ST-L&P/2002                                 Islamabad, the 24th April, 2007

                             Sales Tax General Order

Subject: Inter-tax Refund / Adjustment procedure.
A number of requests have been received by the Board from taxpayers for adjusting
liabilities of one tax against refund of another. In order to facilitate taxpayers, the
matter has been examined in the Board. It has been decided that any liability of
customs duty, federal excise duty, sales tax or income tax payable by a taxpayer
(whether current or arrears) may, on the written request of the concerned taxpayer, be
adjusted against his refund of any of these taxes which has been sanctioned /
approved by a competent authority. Following procedure and conditions will apply:-
        (i) The refund claim has been duly processed and found to be admissible
            under relevant law / rules, whether wholly or partially;
       (ii) The taxpayer submits an application for inter-tax adjustment to both the
            officers concerned citing relevant particulars of the refund claimed and
            the tax payable by him;
      (iii) The application for inter-tax adjustment may be submitted at any time
            before or after approval / sanction of the refund claim, but at least 30
            days before the due date for filling the return or payment of the tax
            involved;
       (iv) The competent officer shall issue a refund cheque in the name of the
            appropriate Collector of Customs / Federal Excise & Sales Tax or
            Commissioner of Income Tax, which shall be deposited in the Treasury
            in the proper head of account. A copy of the payment slip, adjustment
            memo or challan shall be provided to the taxpayer who shall mention its
            particulars in his relevant tax return or declaration;
                                   ___________
C. No. 3(12)ST-L&P/04                                   Islamabad, the 30th July, 2007

                       Sales Tax General Order No. 03/2007

Subject: Issues relating to commercial importers.
      Under SRO 645(I)/2007 dated 27.06.2007, two percent ad valorem sales tax is
to be levied and collected at import stage on goods imported by commercial
importers in addition to the tax chargeable under sub-sections (1) and (2) of section 3
of the Sales Tax Act, 1990. The detailed procedure in this respect has been provided
in the Sales Tax Special Procedures Rules, 2007, as amended by SRO 678(I)/2007
dated 06.07.2007. Various queries have been received in the Board which are being
clarified as under:
        (i) The provisions of Chapter X of the Sales Tax Special Procedures Rules,
            2007, shall not apply to the persons registered as manufacturers whether
            or not registered in any other category.
                                          492J
G.O. No. 3 of 2007                                           Law & Practice of Sales Tax

       (ii) 2% tax envisaged in the said notification shall be paid on the same value
            on which 15% sales tax is determined.
       (iii) The unsold stocks lying with the commercial importers on 9th June 2007
             shall continue to be subject to the provisions of the Sales Tax Special
             Procedures Rules, 2006. In case such stocks are sold by 30th June 2007,
             the same shall be accounted for in quarterly return for the period April-
             June 2007, as prescribed in aforesaid rules. If such stocks are sold
             thereafter, the differential amount shall be calculated in the same manner
             as provided on the said return, and this amount shall be reflected against
             column ‘others’ in the new return being prescribed under the Sales Tax
             Rules, 2006.
       (iv) In respect of stocks imported during the period 9th June 2007 to 30th
            June 2007 on which no tax on value addition basis was paid, the same
            shall be deemed to have been imported under the Sales Tax Special
            Procedures Rules, 2006, and the sales tax due shall be paid as arrears.
       (v) Under rule 58C of the Sales Tax Special Procedures Rules, 2007, the
           registered buyers of goods from the commercial importers shall not be
           entitled to adjust sales tax in excess of the amount shown on such
           invoices:
            ILLUSTRATION:
                     Import Value including Customs Duty                Rs. 100
                     Sales tax paid on import (15% + 2%)                Rs. 17
                     Invoice to be issued as under:
                     Sale Value excluding Sales tax                     Rs. 150 (say)
                     Sales tax charged                                  Rs. 17
                     The buyer shall adjust Rs. 17
       (vi) If a commercial importer supplies goods at a higher value addition (more
            than 13.33%), he may issue sales tax invoice showing sales tax
            chargeable on actual value and discharge his tax liability accordingly.
      (vii) The supplies by the commercial importers to withholding agents
            specified under SRO 660(I)/2007 dated 30.06.2007 shall be subject to
            withholding one-fifth of sales tax invoiced. The commercial importers
            shall charge sales tax on actual value of supplies. In case, there is any
            excess deduction, they will be entitled to refund/ adjustment of the same.
     (viii) 2% sales tax payable under SRO 645(I)/2007 is in lieu of sales tax
            payable on local supplies after value addition. It should not be included
            in value for calculating withholding income tax.
       (ix) The commercial importers, for tax period July 2007 and afterwards, shall
            file new sales tax return as being prescribed under the Sales Tax Rules,
            2006. Only persons who are registered exclusively as commercial
            importers shall file the said return on quarterly basis.
                                        492J(i)
General Orders                                                        G.O. No. 4 of 2007

C. No. 3(3)ST-L&P/07-Pt                            Islamabad, the 21st August, 2007
                    Sales Tax General Order No. 04 of 2007
Subject: Procedure for electronic filing of sales tax and federal excise
         return through CBR’s computerized system (e.cbr.gov.pk).
     In exercise of the powers conferred under section sub-section (6) of section 4
and sub-rule (10) of rule 18 of the Sales Tax Rules, 2006, the Central Board of
Revenue is pleased to prescribe the following procedure for electronic filing of sales
tax and federal excise return through the computerized system prescribed under
section 50A of the Sales Tax Act, 1990:
        (i) All the registered persons who are required to file returns electronically
            under rule 18 of the Sales Tax Rules, 2006, shall observe the procedure
            prescribed in this General Order in respect of the returns due on 15th
            August 2007 and afterwards.
       (ii) E-filing procedures in force before 1st July 2007 shall be discontinued
            and those taxpayers who wish to file any returns for the tax periods June
            2007 or earlier shall have to do so manually.
      (iii) The electronic returns can be filed directly by a registered person or
            through an e-intermediary licensed under the Sales Tax Rules, 2006.
      (iv) A user ID, PIN code and secure password shall be assigned to each user
           of the Computerized System i.e. a registered person or an e-
           intermediary, who enrols himself for electronic filing.
       (v) In case of registered persons who have already been filing returns
           electronically, shall be contacted through email and asked to visit a
           specific link for activation of their account. After activation, unique
           user identifier (user ID), comprising of unique identification name/
           number, password and PIN code shall be sent to the registered user
           through email.
       (vi) Persons, not already registered, shall visit the CBR’s web portal or
            Computerized System at e.cbr.gov.pk and select “registration → e-
            enrolment” option from the menu and provide basic information as
            required. They shall be then required to fill in a form containing the
            particulars already available in the System. The intending user shall also
            be able to correct or update the particulars/ details already in the System.
            The name of an authorized person shall be mentioned on the form. The
            form shall be printed and signed by the competent person. The
            authorized person shall visit the Tax Facilitation Centre of respective
            Collectorate along with the printed form and his original Computerized
            National Identity Card. The officer incharge of the Facilitation Centre/
            Division, not below the rank of an Assistant Collector, shall verify the
            particulars on the form with those in the System and after being satisfied
            in this respect shall approve the allocation of user ID, which shall be sent
            to the address provided. The Board, however, can waive any of the
            aforesaid requirements.
                                       492J(ii)
G.O. No. 4 of 2007                                           Law & Practice of Sales Tax

      (vii) To file the return, the registered user shall logon at e.cbr.gov.pk by using
            assigned User ID. Following steps will be followed:
             − Select Declaration Sales Tax Sales Tax Return
             − Select the Tax Period [Month, Year] from the drop down list
             − Click the Monthly Return link
             − Return form will be displayed which will be filled in accordance
                with the instructions in the Sales Tax Rules, 2006.
             − E-filing can be completed in following stages:
                     Preparation: The user shall fill in all the relevant fields. (The
                     return can be saved at any time during preparation process to
                     avoid data loss)
                     Verification: The return can be verified by the person having
                     access to PIN code. He shall press the Verify Button given at the
                     bottom of form and follow the instructions.
                     Payment: Payment can be made by selecting either of two
                     options provided in the form as below:
                     (i) Payment Challan: This option is to be utilized by persons
                         who want to deposit tax amount in a branch of National
                         Bank which is not online with CBR. The payment challan
                         shall be printed and taken to the bank where payment shall
                         be made and CPR no. shall be obtained. This number shall
                         be fed in the System using the ‘Feed CPR’ button.
                    (ii) e-Payment: This option can be availed by persons opting to
                         deposit tax amount in an NBP branch which is online with
                         CBR server. After verifying the return, e-Payment button
                         can be clicked and a payment slip number shall be generated
                         which can be taken to the bank and amount deposited against
                         the same. The bank shall accept the payment and provide an
                         acknowledgement.
                     Submission: The user shall click the Submit button and a
                     message shall appear at the top stating that your return has been
                     submitted. Return Submission Certificate can be printed by
                     clicking the Print Certificate button. It can also be saved on
                     user’s computer in PDF/Excel format.
             − In case of no business activity during the relevant period i.e. when
                there are no sales, purchases etc. and no payment is due, the user
                shall click the ‘Null Return’ button and then can proceed for
                submission of the printing the return without following through all
                the steps provided above.
     (viii) The Collectorates / RTOs shall feed manually filed returns in the
            respective RTOs/ Collectorates through the new module similar to that
            available on the web portal.
                                   ___________
                                          492K
General Orders                                                          G.O. No. 6 of 2007

C. No. 3/13-STB/98                                  Islamabad, the 25th August, 2007
                     Sales Tax General Order No. 5 of 2007
Subject: Payment of sales tax by steel melters and re-rolling mills
         operating on self-generation basis.
     To streamline the collection of sales tax from the steel melters and re-rollers
operating on self-generation basis, the following mechanism is hereby prescribed in
consultation with All Pakistan Steel Melters Association and The Pakistan Steel Re-
Rolling Mills Association and after the survey of units operating on self-generation basis:
        (i) Steel melters producing electricity with the help of gas generators shall
            calculate their sales tax liability on the basis of the gas bill for the
            relevant tax period as per the following formula:
                                                                    3
            Sales tax payable through sales tax return = HM x 1562 – (sales tax
            paid on gas bill).
        (ii) Re-rolling mills operating on self-generated electricity shall discharge
             their tax liability in the following manner:
            Monthly sales tax payable through sales tax return = mill size (No. of
            inches) x 30,850
            The registered person shall deduct sales tax paid on diesel consumed
            from the payable amount as above provided the taxpayer holds valid
            sales tax invoice.
            Example: Mill size = 6 inches
            Sales tax payable per month = 6 x 30850 – sales tax paid on diesel
            consumed
     2. In case a rolling mill operating on self-generation basis remains closed for 7
or more days consecutively during a tax period, the registered person shall inform on
telephone/fax to the respective Collector of Sales Tax and the representative of the
Association prior to the closure of the mill. A survey report shall accordingly be
prepared by the monitoring committee comprising of the sales tax officer(s)
nominated by the concerned Collector of Sales Tax and representatives of Pakistan
Steel Re-Rolling Mills Association and the tax liability of the said mill shall be
determined on the basis of above formula for the number of days the mill remains in
operation during the month.
                                     ___________
C. No. 1(22)STM&Reforms/2006                        Islamabad, the 28th August, 2007
                     Sales Tax General Order No. 6 of 2007
Subject: Transfer of jurisdiction of the Collectorate of Sales Tax &
         Federal Excise, Rawalpindi, to the Regional Tax Office,
         Islamabad.
    1 Whereas, the jurisdiction of the erstwhile Collectorate of Sales Tax &
Federal Excise, Rawalpindi i.e. Islamabad Capital Territory and the Northern Areas,
                                       492L
G.O. No. 6 of 2007                                        Law & Practice of Sales Tax

has been transferred to the Regional Tax Office, Islamabad, vide Notification S.R.O.
872(I)/2007 dated 28th August, 2007.
     2. Now, therefore, in exercise of the powers conferred by section 55 of the
Sales Tax Act, 1990 and section 43 of the Federal Excise Act, 2005, the Central
Board of Revenue, is pleased to direct that the Collector, Regional Tax Office,
Islamabad, shall exercise jurisdiction over the taxpayers based in the Islamabad
Capital Territory and the Northern Areas, for the purpose of the two Acts.
    3. The Sales Tax & Federal Excise General Order No.1 of 2006 dated the 10th
January, 2006, is hereby withdrawn.
   4. This issues with the approval of the Member (Sales Tax & Federal Excise),
CBR, Islamabad.
                                  ___________
C. No.1(15)STT/2005                           Islamabad, the 13th September, 2007
                     Sales Tax General Order No. 07 of 2007
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Board is pleased to specify the electrical energy
(electricity) falling under HS Code 2716.0000 of the First Schedule to the
Customs Act, 1969, supplied by the Karachi Electric Supply Company
(KESC), to the relevant manufacturing units of the registered persons
mentioned in column (2) of the Table below, having sales tax registration
numbers in column (3) of the said Table and electricity bill reference
numbers/consumer numbers/account numbers in column (4) of that Table, as
the goods on which sales tax shall be charged at the rate of zero per cent
subject to the following conditions, namely:–
     (a) the electricity connection is in the name of the registered person and
         electricity bill issued by electricity provider contains the name and
         the sales tax registration number of such person;
     (b) in case where the electricity connection is not in the name of such
         person, the registration number of such person is mentioned in the
         electricity bill along with the address of such person as given by him
         in his application for sales tax registration; and
     (c) the electricity is consumed only in the manufacture of goods
         specified in Notification No. S.R.O. 509(I)/2007, dated the 9th June,
         2007.
Note: Due to large number of registered persons mentioned in the table it is not
reproduced here. For Table containing names and details of 907 registered
persons please see Tax Review, September, 2007 at page 485
                                  ___________
                                      492M
General Orders                                                   G.O. No. 9 of 2007

C.No.1(15)STT/2005                         Islamabad, the 13th September, 2007.
                  Sales Tax General Order No. 08 of 2007
      In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Board is pleased to specify the electrical energy (electricity)
falling under HS Code 2716.0000 of the First Schedule to the Customs Act, 1969,
supplied by the Lahore Electric Supply Company (LESCO), to the relevant
manufacturing units of the registered persons mentioned in column (2) of the
Table below, having sales tax registration numbers in column (3) of the said
Table and electricity bill reference numbers/consumer numbers/account numbers
in column (4) of that Table, as the goods on which sales tax shall be charged at
the rate of zero per cent subject to the following conditions, namely:–
    (a) the electricity connection is in the name of the registered person and
        electricity bill issued by electricity provider contains the name and
        the sales tax registration number of such person;
    (b) in case where the electricity connection is not in the name of such
        person, the registration number of such person is mentioned in the
        electricity bill along with the address of such person as given by him
        in his application for sales tax registration; and
    (c) the electricity is consumed only in the manufacture of goods
        specified in Notification No. S.R.O. 509(I)/2007, dated the 9th June,
        2007.
Note: Due to large number of registered persons mentioned in the table it is not
reproduced here. For Table containing names and details of 651 registered
persons please see Tax Review, September, 2007 at page 485
                                 ___________
C.No.1(15)STT/2005                         Islamabad, the 13th September, 2007.
                  Sales Tax General Order No. 09 of 2007
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Board is pleased to specify the electrical energy
(electricity) falling under HS Code 2716.0000 of the First Schedule to the
Customs Act, 1969, supplied by the Faisalabad Electric Supply Company
(FESCO), to the relevant manufacturing units of the registered persons
mentioned in column (2) of the Table below, having sales tax registration
numbers in column (3) of the said Table and electricity bill reference
numbers/consumer numbers/ account numbers in column (4) of that Table, as
the goods on which sales tax shall be charged at the rate of zero per cent
subject to the following conditions, namely:–
                                       492N
G.O. No. 9 of 2007                                        Law & Practice of Sales Tax

     (a) the electricity connection is in the name of the registered person and
         electricity bill issued by electricity provider contains the name and
         the sales tax registration number of such person;
     (b) in case where the electricity connection is not in the name of such
         person, the registration number of such person is mentioned in the
         electricity bill along with the address of such person as given by him
         in his application for sales tax registration; and
     (c) the electricity is consumed only in the manufacture of goods
         specified in Notification No. S.R.O. 509(I)/2007, dated the 9th June,
         2007.
Note: Due to large number of registered persons mentioned in the table it is not
reproduced here. For Table containing names and details of 650 registered
persons please see Tax Review, September, 2007 at page 551
                                  ___________
C.No.1(15)STT/2005                         Islamabad, the 13th September, 2007.
                     Sales Tax General Order No. 10 of 2007
      In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Board is pleased to specify the electrical energy (electricity)
falling under HS Code 2716.0000 of the First Schedule to the Customs Act, 1969,
supplied by the Multan Electric Power Company (MEPCO), to the relevant
manufacturing units of the registered persons mentioned in column (2) of the
Table below, having sales tax registration numbers in column (3) of the said
Table and electricity bill reference numbers/consumer numbers/account numbers
in column (4) of that Table, as the good on which sales tax shall be charged at the
rate of zero per cent subject to the following conditions, namely:–
     (a) the electricity connection is in the name of the registered person and
         electricity bill issued by electricity provider contains the name and
         the sales tax registration number of such person;
     (b) in case where the electricity connection is not in the name of such
         person, the registration number of such person is mentioned in the
         electricity bill along with the address of such person as given by him
         in his application for sales tax registration; and
     (c) the electricity is consumed only in the manufacture of goods
         specified in Notification No. S.R.O. 509(I)/2007, dated the 9th June,
         2007.
Note: Due to large number of registered persons mentioned in the table it is not
reproduced here. For Table containing names and details of 140 registered
persons please see Tax Review, September, 2007 at page 580
                                  ___________
                                     492O
General Orders                                                G.O. No. 12 of 2007

C.No.1(15)STT/2005                        Islamabad, the 13th September, 2007.
                  Sales Tax General Order No. 11 of 2007
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Board is pleased to specify the electrical energy
(electricity) falling under HS Code 2716.0000 of the First Schedule to the
Customs Act, 1969, supplied by the Gujranwala Electric Power Company
(GEPCO), to the relevant manufacturing units of the registered persons
mentioned in column (2) of the Table below, having sales tax registration
numbers in column (3) of the said Table and electricity bill reference
numbers/consumer numbers/ account numbers in column (4) of that Table, as
the good on which sales tax shall be charged at the rate of zero per cent
subject to the following conditions, namely:–
    (a) the electricity connection is in the name of the registered person and
        electricity bill issued by electricity provider contains the name and
        the sales tax registration number of such person;
    (b) in case where the electricity connection is not in the name of such
        person, the registration number of such person is mentioned in the
        electricity bill along with the address of such person as given by him
        in his application for sales tax registration; and
    (c) the electricity is consumed only in the manufacture of goods
        specified in Notification No. S.R.O. 509(I)/2007, dated the 9th June,
        2007.
Note: Due to large number of registered persons mentioned in the table it is not
reproduced here. For Table containing names and details of 228 registered
persons please see Tax Review, September, 2007 at page 586
                                 ___________
C.No.1(15)STT/2005                        Islamabad, the 13th September, 2007.
                  Sales Tax General Order No. 12 of 2007
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Board is pleased to specify the electrical energy
(electricity) falling under HS Code 2716.0000 of the First Schedule to the
Customs Act, 1969, supplied by the Hyderabad Electric Supply Company
(HESCO), to the relevant manufacturing units of the registered persons
mentioned in column (2) of the Table below, having sales tax registration
numbers in column (3) of the said Table and electricity bill reference
numbers/consumer numbers/ account numbers in column (4) of that Table, as
the good on which sales tax shall be charged at the rate of zero per cent
subject to the following conditions, namely:–
                                        492P
G.O. No. 12 of 2007                                         Law & Practice of Sales Tax

     (a) the electricity connection is in the name of the registered person and
         electricity bill issued by electricity provider contains the name and
         the sales tax registration number of such person;
     (b) in case where the electricity connection is not in the name of such
         person, the registration number of such person is mentioned in the
         electricity bill along with the address of such person as given by him
         in his application for sales tax registration; and
     (c) the electricity is consumed only in the manufacture of goods
         specified in Notification No. S.R.O. 509(I)/2007, dated the 9th June,
         2007.
Note: Due to large number of registered persons mentioned in the table it is not
reproduced here. For Table containing names and details of 42 registered
persons please see Tax Review, September, 2007 at page 597
                                   ___________
C.No.1(15)STT/2005                             Islamabad, the 13th September, 2007.
                      Sales Tax General Order No. 13 of 2007
In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Board is pleased to specify the electrical energy (electricity) falling
under HS Code 2716.0000 of the First Schedule to the Customs Act, 1969,
supplied by the Islamabad Electric Supply Company (IESCO), to the relevant
manufacturing units of the registered persons mentioned in column (2) of the
Table below having sales tax registration numbers in column (3) of the said Table
and electricity bill reference numbers/consumer numbers/account numbers in
column (4) of that Table, as the good on which sales tax shall be charged at the
rate of zero per cent subject to the following conditions, namely:–
     (a) the electricity connection is in the name of the registered person and
         electricity bill issued by electricity provider contains the name and
         the sales tax registration number of such person;
     (b) in case where the electricity connection is not in the name of such
         person, the registration number of such person is mentioned in the
         electricity bill along with the address of such person as given by him
         in his application for sales tax registration; and
     (c) the electricity is consumed only in the manufacture of goods
         specified in Notification No. S.R.O. 509(I)/2007, dated the 9th June,
         2007.
Note: Due to large number of registered persons mentioned in the table it is not
reproduced here. For Table containing names and details of 18 registered
persons please see Tax Review, September, 2007 at page 599
                                   ___________
                                      492Q
General Orders                                                  G.O. No. 15 of 2007

C.No.1(15)STT/2005                         Islamabad, the 13th September, 2007.
                  Sales Tax General Order No. 14 of 2007
      In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Board is pleased to specify the electrical energy (electricity)
falling under HS Code 2716.0000 of the First Schedule to the Customs Act, 1969,
supplied by the Peshawar Electric Supply Company (PESCO), to the relevant
manufacturing units of the registered persons mentioned in column (2) of the
Table below having sales tax registration numbers in column (3) of the said Table
and electricity bill reference numbers/consumer numbers/account numbers in
column (4) of that Table, as the good on which sales tax shall be charged at the
rate of zero per cent subject to the following conditions, namely:–
    (a) the electricity connection is in the name of the registered person and
        electricity bill issued by electricity provider contains the name and
        the sales tax registration number of such person;
    (b) in case where the electricity connection is not in the name of such
        person, the registration number of such person is mentioned in the
        electricity bill along with the address of such person as given by him
        in his application for sales tax registration; and
    (c) the electricity is consumed only in the manufacture of goods
        specified in Notification No. S.R.O. 509(I)/2007, dated the 9th June,
        2007.
Note: Due to large number of registered persons mentioned in the table it is not
reproduced here. For Table containing names and details of 32 registered
persons please see Tax Review, September, 2007 at page 601
                                 ___________
C.No.1(15)STT/2005                         Islamabad, the 13th September, 2007.
                  Sales Tax General Order No. 15 of 2007
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Board is pleased to specify the electrical energy
(electricity) falling under HS Code 2716.0000 of the First Schedule to the
Customs Act, 1969, supplied by the Lasbella Industrial Estates Development
Authority (LIEDA), to the relevant manufacturing units of the registered
persons mentioned in column (2) of the Table below having sales tax
registration numbers in column (3) of the said Table and electricity bill
reference numbers/consumer numbers/account numbers in column (4) of that
Table, as the good on which sales tax shall be charged at the rate of zero per
cent subject to the following conditions, namely:–
                                      492R
G.O. No. 15 of 2007                                     Law & Practice of Sales Tax

     (a) the electricity connection is in the name of the registered person and
         electricity bill issued by electricity provider contains the name and
         the sales tax registration number of such person;
     (b) in case where the electricity connection is not in the name of such
         person, the registration number of such person is mentioned in the
         electricity bill along with the address of such person as given by him
         in his application for sales tax registration; and
     (c) the electricity is consumed only in the manufacture of goods
         specified in Notification No. S.R.O. 509(I)/2007, dated the 9th June,
         2007.
Note: For the sake of brevity table is not reproduced here. For Table containing
names and details of 7 registered persons please see Tax Review, September,
2007 at page 603
                                  ___________
C.No.1(15)STT/2005                        Islamabad, the 13th September, 2007.
                      Sales Tax General Order No. 16 of 2007
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Board is pleased to specify the natural gas falling under HS
Code 2711.2100 of the First Schedule to the Customs Act, 1969, supplied by the
Sui Southern Gas Company Limited (SSGCL), to the relevant manufacturing
units of the registered persons mentioned in column (2) of the Table below,
having sales tax registration numbers in column (3) of the said Table and
electricity bill reference numbers/consumer numbers/account numbers in column
(4) of that Table, as the good on which sales tax shall be charged at the rate of
zero per cent subject to the following conditions, namely:–
     (a) the connection is in the name of the registered person and bill issued
         by issued by Sui Southern Gas Company Limited (SSGCL) contains
         the name and the sales tax registration number of such person;
     (b) in case where the connection is not in the name of such person, the
         registration number of such person is mentioned in the bill along
         with his address of as declared in his application for sales tax
         registration; and
     (c) the gas is consumed exclusively in the manufacture of goods
         specified in the Federal Government’s Notification No. S.R.O.
         509(I)/2007, dated the 9th June, 2007 issued under clause (c) of
         section 4 of Sales Tax Act, 1990.
Note: Due to large number of registered persons mentioned in the table it is not
reproduced here. For Table containing names and details of 774 registered
persons please see Tax Review, September, 2007 at page 604
                                  ___________
                                       492S
General Orders                                                   G.O. No. 18 of 2007

C.No.1(15)STT/2005                            Islamabad, the 13th September, 2007.
                   Sales Tax General Order No. 17 of 2007
In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Board is pleased to specify the natural gas falling under HS Code
2711.2100 of the First Schedule to the Customs Act, 1969, supplied by the Sui
Northern Gas Pipelines Limited (SNGPL), to the relevant manufacturing units
of the registered persons mentioned in column (2) of the Table below having
sales tax registration numbers in column (3) of the said Table and electricity bill
reference numbers/consumer numbers/account numbers in column (4) of that
Table, as the good on which sales tax shall be charged at the rate of zero per
cent subject to the following conditions, namely:–
    (a) the connection is in the name of the registered person and bill issued
        by Sui Northern Gas Pipelines Limited (SNGPL) contains the name
        and the sales tax registration number of such person;
    (b) in case where the connection is not in the name of such person, the
        registration number of such person is mentioned in the bill along with
        his address as declared in his application for sales tax registration; and
    (c) the gas is consumed exclusively in the manufacture of goods
        specified in the Federal Government’s Notification No. S.R.O.
        509(I)/2007, dated the 9th June, 2007 issued under clause (c) of
        section 4 of Sales Tax Act, 1990.
Note: Due to large number of registered persons mentioned in the table it is not
reproduced here. For Table containing names and details of 827 registered
persons please see Tax Review, September, 2007 at page 634
                                  ___________
C.No.1(15)STT/2005                            Islamabad, the 13th September, 2007.
                   Sales Tax General Order No. 18 of 2007
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Board is pleased to specify the natural gas falling under HS
Code 2711.2100 of the First Schedule to the Customs Act, 1969, supplied by
the Sui Southern Gas Company Limited (SSGCL), to generate electricity by the
relevant manufacturing units of the registered persons mentioned in column (2)
of the Table below, having sales tax registration numbers in column (3) of the
said Table and gas bill consumer numbers/account numbers given in column (4)
of that Table, as the goods on which sales tax shall be charged at the rate of zero
per cent subject to the following conditions, namely:–
    (a) the connection is in the name of the registered person and bill issued
        by issued by Sui Southern Gas Company Limited (SSGCL) contains
        the name and the sales tax registration number of such person;
                                       492T
G.O. No. 18 of 2007                                        Law & Practice of Sales Tax

     (b) in case where the connection is not in the name of such person, the
         registration number of such person is mentioned in the bill along
         with his address as declared in his application for sales tax
         registration; and
     (c) the electricity generated through gas is consumed exclusively is
         consumed in the manufacture of goods specified in the Federal
         Government’s Notification No. S.R.O. 509(I)/2007, dated the 9th
         June, 2007 issued under clause (c) of section 4 of the Sales Tax Act,
         1990.
Note: Due to large number of registered persons mentioned in the table it is not
reproduced here. For Table containing names and details of 9 registered persons
please see Tax Review, September, 2007 at page 664
                                  ___________
C.No.1(15)STT/2005                            Islamabad, the 13th September, 2007.
                      Sales Tax General Order No. 19 of 2007
In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Board is pleased to specify the natural gas falling under HS Code
2711.2100 of the First Schedule to the Customs Act, 1969, supplied by the Sui
Northern Gas Pipelines Limited (SNGPL), to generate electricity by the
relevant manufacturing units of the registered persons mentioned in column (2)
of the Table below having sales tax registration numbers in column (3) of the
said Table and gas bill consumer numbers/account numbers given in column (4)
of that Table, as the goods on which sales tax shall be charged at the rate of zero
per cent subject to the following conditions, namely:–
     (a) the connection is in the name of the registered person and bill issued
         by Sui Northern Gas Pipelines Limited (SNGPL) contains the name
         and the sales tax registration number of such person;
     (b) in case where the electricity connection is not in the name of such
         person, the registration number of such person is mentioned in the
         bill along with his address as declared in his application for sales tax
         registration; and
     (c) the electricity generated through gas is consumed exclusively in the
         manufacture of goods specified in the Federal Government’s
         Notification No. S.R.O. 509(I)/2007, dated the 9th June, 2007 issued
         under clause (c) of section 4 of the Sales Tax Act, 1990.
Note: Due to large number of registered persons mentioned in the table it is not
reproduced here. For Table containing names and details of 28 registered
persons please see Tax Review, September, 2007 at page 665
                                  ___________
                                       492U
General Orders                                                 G.O. No. 21 of 2007

C. No. 1(15)STT/2005                           Islamabad, the 12th October, 2007
                   Sales Tax General Order No. 20 of 2007
    In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Central Board of Revenue is pleased to make the following
amendments in its Sales Tax General Order No.8 of 2007 dated the 13th
September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 651 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
652     Amin Ittefaq Rice Mills       0390999947982        27161402471202R
653     Bilal Knitwear                0301999936164        20121329719301U
654     N.N.Dye Tech                  0305320000619        27165101593003U
655     Saaz Gold Industries          0302620800282        24174199887703U
656     Star Textile Industries       0311500400173        20152322430609U
657     Sunbrella Fabrics (Pvt) 0305511100491              24153299407413U
        Ltd.
658     S.R.S. Weaving Factory       0301520001364         20171233670025U
                                  ___________
C. No. 1(15)STT/2005                           Islamabad, the 12th October, 2007
                   Sales Tax General Order No. 21 of 2007

    In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Central Board of Revenue is pleased to make the following
amendments in its Sales Tax General Order No.09 of 2007dated the 13th
September, 2007, namely:–
      In the aforesaid General Order, in the table,–
      (a) against the S.No.243 in column (1), in column (4), after the figure
          “223123730548006” the figures “20312314697503U” and
          “24313757034365R” shall be added:
      (b) serial number 401 in column (1), and the entries relating thereto in
          columns (2), (3) and (4) shall be omitted;
      (c) serial number 548 in column (1), and the entries relating thereto in
          columns (2), (3) and (4) shall be omitted;
                                      492V
G.O. No. 21 of 2007                                     Law & Practice of Sales Tax

      (d) against S.No.591 in column (1), in column (4), for the figure
          “51050100U” the figure “24313757034338R” shall be substituted;
      (e) againsts the S. No.648 in column (I), in column (4) after the figure
          “24311252010036U” the figure “24311252007004U” shall be added;
          and
      (f) after serial number 650 in column (1) and the entries relating thereto
          in columns (2), (3) and (4), the following new serial numbers and the
          entries relating thereto shall be added, namely:–
651    A.Z. Textile                      0801520887482      24313858078055R
652    Abdullah Fibres                   0803520503819      24334151007047U
653    Abdullah Weaving Enterprises      1200520940637      24312353038654U
654    Abid Weaving Factory              0803521000382      24311252007031U
655    Adil Tahir sizing                 0801520843173      24312454067002U
656    Adil Weaving Factory              0801520920473      24312555083408U
657    Ahmad Weaving                     0803520825746      24311454029108R
658    Al-Harman Textile                 0804520002373      24333555036009U
659    Ali Brothers Textiles             0804520801637      24333555009002U
660    Allah Tawakal Textile             0802520813464      24313858026058U
661    Alpha Fabrics                     0890999117719      24311454015006U
                                                            24311474013400U
662    Alpha Knitting                    0403510900282      24322353001236U
                                                            24322353001209U
663    AN Textile                        0803520836555      24311252045035U
664    Ashrafi Weaving                   0803520813291      24311353004003U
665    Azeem Finishing Plant             0801320000373      24312555100005U
666    Badar Dyeing                      0801380000155      24313454003204U
667    Bajwa Ind.                        0303320001673      22321202718001U
                                                            24321252024056U
668    Bilal Textile                     0404900000119      24312353047207U
                                                            24312373006903U
                                                            24313757095405R
                                                            24312353046501U
                                    492W
General Orders                                          G.O. No. 21 of 2007

669   Bin Tariq Textile                0801520872373 24311353003102U
670   Em Que Fabrics                   0890999134137 24312353077503U
                                                     24312353078405U
671   Feroze Din Textiles              0802520807364 24313252001259U
672   Fine Fabrics                     0801520895719 24312555075104U
673   FM Textile Mills                 0802520812473   24313858015015R
674   Hameed Processing Factory        0803320000682 24321252022003U
675   Hamza Fashion                    0801600002482 24312555078496U
676   Haseeb Weavings                  0801520810246 23322213534007U
                                                     23322213533008U
                                                     23322252030306U
677   HMF Enterprises                  0891999119037 24312757030609U
678   Inayat Sizing Industries         0801520851819 23322203921009U
679   Indus Weaving                    0803520800573   24311454029000R
680   Irfan Zafar Weaving Factory      0803520822691 24311252017119U
                                                     24311252027000U
681   Jabeen Weaving Factory           0801520801746 24312353026006U
682   K.A. international               0890999193373 24312454067306U
                                                     24312454067351U
683   Karim Label Ind.                 0801600001564 24313454017100U
684   Liaqat Amin Weaving Factory      0801520883755 23322353020402U
685   M. Anwar Weaving Factory         0803520816182 24321151012152U
686   MAG Textile Corporation          1100119020328   24313757035006R
687   M. Shoaib Weaving Factory        0803520808837 24321151051001U
688   M.S.Z. Weaving Factory           0803520814028 24321151052108U
689   M.Uzair Weaving Factory          0803520813782 24321151052000U
690   Mariam Fabrics                   0890999169119 24313454035000U
691   Mehran Weaving                   0803520802064 24311454028001U
692   Mehtabi Spinning Mills           0801520503755   27163420653006R
693   Modern Weaving                   0801520914373 24312353015009U
                                                     24312353015508U
                                     492X
G.O. No. 21 of 2007                                Law & Practice of Sales Tax

694    Mohd. Akram Javed Weaving        0800520801428   24321151009709U
695    Moon Rays Knitting               0801600005037   22312676034102U
696    Nadeem         Khurram   Hosiery 0803320000437   23322300593000U
       Plant
697    Nasir Sizing Factory             0801520836164   24322252024082U
698    National Textiles                0802520809837   24314353013018R
699    Naveed Weaving Factory           0801520811155   24312353042916U
700    Pacific Textile Ind.             0802520808928   24313555053101U
701    Quality Thread Ind.              0803550800137   24313252038700U
702    Rafi Textiles                    0801590900691   24312555083088U
703    Rehman International             0890999913446   24312353044004U
704    S.B.Textile Ind.                 0803520807019   24313858014016U
705    S.K Textile                      0802511101791   24313858076039R
706    S.S.P. Weaving                   0802520808355   24313858024014U
707    Saqib Textile Weav               0801520818428   24312353077004U
708    Shabbir Textile Dyeing           0803320001837   24312454040004U
709    Shahzaib International           0802520891919   24312353034408U
710    Shams Weaving Factory            1200540700873   24312353038609U
                                                        24312353042854U
711    Sundar Sizing Industries         0801520890682   24322151010055U
712    Tariq Munir Weaving Factory      0801520821882   24312757014501U
713    Umer Hafeez Textile Ind.         0880520508091   24313858061054R
714    W.W.Textiles                     0802520906446   24313151007006U
715    Zar Tex (Pvt) Ltd                0801590004073   24312555102076U
716    Zia Qaisar Weaving Factory       0800520808291   24312555058356U
717    Zohra Textile Mills              0891999110028   24321555096000U
                                  ___________
                                         492Y
General Orders                                                    G.O. No. 23 of 2007

C. No. 1(15)STT/2005                              Islamabad, the 12th October, 2007
                     Sales Tax General Order No. 22 of 2007

    In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Central Board of Revenue is pleased to make following
amendments in its Sales Tax General Order No.17 of 2007 dated the 13th
September, 2007, namely:–
      In the aforesaid General Order, in the Table:–
      (a) against S.No.394 in column (1), in column (4), after the figure
          “31100006669” the figure “31100011438” shall be added; and
      (b) after serial number 827 in column (1) and the entries relating thereto
          in columns (2), (3) and (4), the following new serial numbers and the
          entries relating thereto shall be added, namely:–
828     Adil Tahir Sizing                        0801520843173       31100000809
829     Azeem Finishing Plant                     0801320000373      31100007811
830     Bismillah Fabrics (Pvt) Ltd              0404520900837       31100010941
831     Bajwa Ind.                                0303320001673      31100004243
832     Badar Dyeing                              0801380000155      31100007725
833     Hameed Processing Factory                 0803320000682      31100006380
834     Inayat Sizing Industries                 0801520851819       31100007457
835     Latif Shakir Textile Mills Ltd            0506390700155      89100000217
836     N.N. Dye Tech                             0305320000619      68200047407
837     Shabbir Textile Dyeing                    0803320001837      31100005699
838     Quality Thread Ind.                       0803550800137      31200610906
839     Sweety Textile                        0890999111028          31100011320
                                    ___________
C.No.1(15)STT/2005 Islamabad,                                  6th December, 2007
                 SALES TAX GENERAL ORDER NO.23/ 2007
     In exercise of the powers conferred by clause (d) of section 4of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.07 of 2007 dated the 13th September,
2007, namely:–
      In the aforesaid General Order, in the Table–,
                                             492Z
G.O. No. 24 of 2007                                            Law & Practice of Sales Tax

        (a) against S.No. 163 in column (1), in column (3), for the figure
            “0203520818991” the figure “0203520818791” shall be substituted;
       (b) against S.No.825 in column (1), in column (3), for the figure
           “0202870201946” the figure “0202870801946” shall be substituted; and
        (c) after serial number 912 in column (1) and the entries relating thereto in
            columns (2), (3) and (4) , the following new serial numbers and the entries
            relating thereto shall be added, namely:–
          913     Adnan Towels                         1100580207255   2750355847159
          914     Aftab Textiles                       1100590735664   2750365769156
          915     Ayaz Weaving                         1100620814919   2900465660765
          916     Four Seasons Garments                1200620051337   2808466854357
          917     Friends Weaving Factory              1100520858646   2805667951645
          918     Gats Apparels (Pvt) Ltd              1200620001219   2708466746290
          919     G.A. Towel Factory                   1100580225728   2550157553701
          920     Hanif Textile Industries             1100520866491   2650157566697
          921     Hamid Leather (Pvt) Ltd              1201420318364   2508466585956
          922     Jami Fabrics                         0395999914437   2806467420177
          923     J.Sons Textile                       1100520513046   2708466752274
          924     Latif Textile                        1700520801664   2806467428154
                                                                       2806467428162
          925     Matco Rice Processing (Pvt) Ltd      1200100600737   2900465588665
          926     M.E. Enterprises                     1204999965573   2550365750774
          927     Olympia Fabric Industries            1200540701037   2705667312777
                                                                       2705667312788
          928     Sultan Trading House                 1100540201582   2750365783892
          929     Tamachi Weaving (Pvt) Ltd            0205520800282   2608456702835
                                                                       2608456702894
          930     Textile Instinkt                     1100119002973   2305657331182
          931     Zafar Textile                        1100680211273   2550157554667
                                     _______________


C.No.1(15)STT/2005                                      Islamabad, 6th December, 2007
                SALES TAX GENERAL ORDER NO.24/ 2007
     In exercise of the powers conferred by clause (d) of section 4of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
Note: Page Nos. 492Z (i) and 492Z(ii) stand omitted due to updating
                 492Z(i)
General Orders             G.O. No. 23 of 2007
                      492Z(ii)
G.O. No. 23 of 2007              Law & Practice of Sales Tax
                                          492Z(iii)
General Orders                                                        G.O. No. 25 of 2007

amendments in its Sales Tax General Order No.08 of 2007 dated the 13th September,
2007, namely:–
    In the aforesaid General Order, in the table–,
       (a) against S.No.529 in column (1), in column (3), for the figure
           “0308520201373” the figure “0309520201373” shall be substituted;
       (b) against S.No.609 in column (1), in column (3), for the figure
           “0301511100755” the figure “0310511100755” shall be substituted; and
       (c) after serial number 658 in column (1) and the entries relating thereto in
           column (2), (3) and (4), the following new serial numbers and the entries
           relating thereto shall be added, namely:–
          659     Azim Knitting Industry         0302590100382      20153103035004U
          660     Bismillah Cotton Waste         0307520201464      27163121035018U
                  Factory
          661     Chawla Creations               0300999998046      24121324151014
          662     Firdous Industries             0301520803282      24123590005454
                                                                    24123590007808
          663     Madina               Textile   0305590003173      24174192070171U
                  International
          664     Ravi Thread Works              0307520400119      20153103172007R
                                                                    24153199485018
          665     SB Alliance (Pvt) Ltd          0304621701819      24153205023049
          666     Tanveer Cotton         Mills   0803520504491      27161326044005R
                  (Pvt) Ltd
                                       _______________


C.No.1(15)STT/2005                                       Islamabad, 6th December, 2007
                 SALES TAX GENERAL ORDER NO.25/ 2007
     In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.09 of 2007 dated the 13th September,
2007, namely:–
    In the aforesaid General Order, in the Table–,
       (a) against S.No.6 in column (1), in column (4), after the figure
           “22312373008901U” the figure “24312353047403U” shall be added;
       (b) against S.No.194 in column (1), in column (4), for the figure
           “22312373012308U” the figure “24312555085148U” shall be substituted;
       (c) against S.No.506 in column (1), in column (4), after the figure
           “24312353067603U”       the      figures      “24312353072303”
           “22312307301002U” and “22312676018004U” shall be added;
                                            492Z(iv)
G.O. No. 25 of 2007                                              Law & Practice of Sales Tax

       (d) against S.No.565 in column (1), in column (4), after the figure
           “24312353048509U” the figure “24322353020108U”shall be added; and
        (e) after serial number 717 in column (1) and the entries relating thereto in
            columns (2), (3) and (4) , the following new serial numbers and the
            entries relating thereto shall be added, namely:–
          718    Abdullah Weaving Factory              0800520806546   24333252063009U
          719    A&H Dyeing                            2400520900182   24312353030000U
          720    Ammar Weaving Factory                 0801520871619   24313454065058U
          721    Arooj Enterprises                     0802620000628   22313171014508U
          722    Aslam      Cotton           Waste     0803520205746   24314353016033R
                 Processors                                            22321304032004U
          723    Bashir Sizing Industries              0801520852237   24322252008000U
          724    Bismillah W/F                         0802520806782   24313151035654U
          725    Bismillah W/F                         0802520907355   24313858070008U
          726    Cotton Field                          0801580600146   24322252069006U
          727    Fabrica Mills                         0800551100119   24313858038081U
          728    Faran Trading Corporation             0880840001291   24313454065030U
          729    Five Star Fabrics                     0800511100319   24313454024209U
          730    Ghousia     Textile       Weaving     0802520905455   24313858073005U
                 Factory
          731    Hassnain Textile Industries           0801520882764   24322554035202R
          732    Habib Enterprises                     0802844500146   22313878008258R
          733    H. Azam Enterprises                   0803520205582   22321300813007U
                                                                       22321300810000U
          734    Inayat Fabrics                        0800581000437   24313858079107R
          735    Iqbal Rice Mills                      0890999972182   24334151018008U
          736    Jannat Weaving Factory                0801520818919   24322554035006U
          737    Jamil W/F                             0802520810982   24313858027002U
                                                                       22313878020706R
          738    K.B. Enterprises                      0890999939691   24321151051207U
                                                                       22321112565006U
          739    Khusnood Ahmed W/F                    0800520801182   24312353034300U
          740    Maher Weaving Factory                 0800520804982   23322203922008U
          741    Muaaz Hussain Cotton Waste            0801520300391   24314353005036R
          742    Muhammad         Sajjad    Cotton     0803520203019   21314575004709R
                 Waste                                                 24314555007016R
          743    New Hajvery Sizing                    0800520802746   23322213315002U
                                            492Z(v)
General Orders                                                          G.O. No. 26 of 2007

          744     Noshahi Textiles                    0803520903955    23311474010001U
          745     Rana Gee Fabrics                    0803520827982    23311272099502U
                                                                       24311252007246U
          746     Rafi Cotton Industries              0407520500764    24313757063109R
          747     Shah Jamat W/F                      0801520896473    24314353032006R
          748     Shahbaz W/F                         0801520866846    24311353001159U
          749     Shine Star Enterprises              0405620001546    22313272054408U
          750     Slamat     Cotton          Waste    0802520300464    22321304032059U
                  Processors
          751     Saleem Industries                   0801520913128    24313555017104U
                                                                       24313555017006U
          752     Saleem Weaving Factory              0802520813046    24313858036010R
          753     S.N.S. International                0803620000464    22313171015302R
          754     Sohail Sadiq Weaving Factory        0891999125628    22312373013033U
          755     Raffay     Cotton          Waste    0801520204028    24311353003004U
                  Processors
          756     Reliance Textile Industries         0801520801173    24321555040007U
          757     Wahab Textiles (Pvt) Ltd            0304511104382    24313757001006U
          758     Weavemb Textile                     0800999901055    24313454083458
                                         _______________


C.No.1(15)STT/2005                                         Islamabad, 6th December, 2007
                 SALES TAX GENERAL ORDER NO. 26/ 2007
     In exercise of the powers conferred by clause (d) of section 4of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.10 of 2007 dated the 13th September,
2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 140 in column
(1) and the entries relating thereto in columns (2), (3) and (4), the following new
serial numbers and the entries relating thereto shall be added, namely:–
141    Al- Madina Weaving Factory                 0408520811619        21561800370002R
142    Cotton City                                0490999944173        27512611436011U
143    Hussain Mills Limited                      0407520200873        27512308284026
144    Rustam Processing Factory                  0407520153191        21512101221006U
                                                                       21512101224003U
145    Shalimar Textile Mills                     0408520500264        27564400041013U
146    Whitegoods Pakistan                        0399999964719        27531320479023R
                                         _______________
                                          492Z(vi)
G.O. No. 27 of 2007                                             Law & Practice of Sales Tax

C.No.1(15)STT/2005                                       Islamabad, 6th December, 2007
             SALES TAX GENERAL ORDER NO.27/OF 2007
     In exercise of the powers conferred by clause (d) of section 4of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.11 of 2007 dated the 13th September,
2007, namely:–
     In the aforesaid General Order, in the Table–,
        (a) against S.No.84 in column (1), in column (4), for the figure
            “24122600059001U” the figure “24212604905009U” shall be substituted;
       (b) against S.No.151 in column (1), in column (4), for the
           figure“24231115448014U” the figure “24231215448014U” shall be
           substituted; and
        (c) after serial number 228 in column (1) and the entries relating thereto in
            columns (2), (3) and (4) , the following new serial numbers and the
            entries relating thereto shall be added, namely:–
           229    Ashrafia Foods & Processing Ind.      0901100601019    24221113156006U
           230    Amir Rice Traders                     0904100600664    24214309589006R
           231    Nizam Sons (Pvt) Ltd                  0905420506628    27212110017009U
           232    Seminar (Pvt) Ltd                     0990999948219    2424151581007U
                                                                         24242300961009R
           233    Service Industries Textile Ltd        0910520200128    24232300768006U
                                      _______________


C.No.1(15)STT/2005                                       Islamabad, 6th December, 2007
                 SALES TAX GENERAL ORDER NO. 28/ 2007
     In exercise of the powers conferred by clause (d) of section 4of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.12 of 2007 dated the 13th September,
2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 42 in column
(1) and the entries relating thereto in columns (2), (3) and (4) , the following new
serial numbers and the entries relating thereto shall be added, namely:–
43       Al-Barakah Spinning Mills             0105520500228            24722500297767R
                                      _______________


C.No.1(15)STT/2005                                       Islamabad, 6th December, 2007
                 SALES TAX GENERAL ORDER NO.29/ 2007
     In exercise of the powers conferred by clause (d) of section 4of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
                                         492Z(vii)
General Orders                                                        G.O. No. 30 of 2007

amendments in its Sales Tax General Order No.16 of 2007 dated the 13th September,
2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 774 in column
(1) and the entries relating thereto in columns (2), (3) and (4), the following new
serial numbers and the entries relating thereto shall be added, namely:–
775     Al-Ameera Apparel (Pvt) Ltd            1200521200873         6110290000
776     Al-Hamza Trading Company               1200290080637         8698241000
777     Al-Karam Industries                    1712590039446         5711170000
778     Artistic Garment Ind.                  1202620000382         5876480000
779     Artistic Fabric Mills                  1750520900328         1035480000
                                                                     6944311000
780     Buksh Industries (Pvt) Ltd             1100600101646         2125418168
781     Hamid Leather (Pvt) Ltd                1201420318364         9040190000
782     Irfan Noman Bernas (Pvt) Ltd           1200392339091         3241831000
783     Jawa Washing                           1700320001773         1417900142
784     Olympia Fabrics Industries             1200540701037         9880831000
785     Sultan Trading House                   1100540201582         4449811000
                                       _______________


C.No.1(15)STT/2005                                       Islamabad, 6th December, 2007
                 SALES TAX GENERAL ORDER NO.30/ 2007
     In exercise of the powers conferred by clause (d) of section 4of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.17 of 2007 dated the 13th September,
2007, namely:–
      In the aforesaid General Order, in the Table–,
        (a) against S.No.165 in column (1), in column (3), for the figure
            “1206520501328” the figure “1206520501382” shall be substituted;
        (b) against S.No.177 in column (1), in column (4), for the figure
            “42100001653” the figure “42100001613” shall be substituted;
        (c) against S.No.533 in column (1), in column (4), after the figure
            “54100003229” the figure “54100003445” shall be added;
        (d) against S.No. 698 in column (1), in column (3), for the figure
            “0309520201373” the figure “0308520201373” shall be substituted; and
        (e) after serial number 839 in column (1) and the entries relating thereto in
            columns (2), (3) and (4) , the following new serial numbers and the
            entries relating thereto shall be added, namely:–
                                           492Z(viii)
G.O. No. 30 of 2007                                             Law & Practice of Sales Tax

           840    A&H Dyeing                             2400520900182    31100010015
           841    Bashir Sizing Industries               0801520852237    31100004113
           842    Decent Textile (pvt) Ltd               0803520904373    31100011223
           843    Dynamic Sportswear (Pvt) Ltd.          0310620000182    41100025476
           844    Gulzar Dyeing Works                    0403511103882    31100010974
           845    Indus Home Limited                     0302630201228    41100032401
                                                                          41100032092
           846    Inayat Sizing Industry                 0801520851819    31100007457
           847    Kissan Textile Industries (Pvt) Ltd    0408520807264    15100002645
           848    Labaas Textile Limited                 0302620045728    41100021195
           849    Kabir Poly Textile Mills Limited       0407390010182    121000000189
           850    New Master Industries                  0405511102955    31100012107
           851    New Hajvery Sizing                     0800520802746    31100004760
           852    Service Industries Textile Ltd         0910520200128    54100003467
                                       _______________


C.No.1(15)STT/2005                                       Islamabad, 17th January, 2008
                 SALES TAX GENERAL ORDER NO. 01 /2008
     In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.07 of 2007 dated the 13th September,
2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 931 in column
(1) and the entries relating thereto in columns (2), (3) and (4), the following new
serial numbers and the entries relating thereto shall be added, namely:–
932     Jawa Washing                         1700320001773          2508466622417
933     Zafar Industries                     1200521201655          2808466804139
                                       _______________


C.No.1(15)STT/2005                                       Islamabad, 17th January, 2008
                 SALES TAX GENERAL ORDER NO. 02 /2008
     In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.09 of 2007 dated the 13th September,
2007, namely:–
      In the aforesaid General Order, in the Table–,
        (a) against S.No.6 in column (1), in column (4), after the figure
            “22312373008901U” the figure “24312353047403U” shall be added;
                                        492Z(ix)
General Orders                                                      G.O. No. 2 of 2008

       (b) serial numbers 39,76,113,135,268,301,376,491,545, 652 and 746 in
           column (1) and the entries relating thereto in columns (2), (3) and (4)
           shall be omitted;
       (c) against S.No.157 in column (1), in column (4), the figure
           “24313757039100” shall be omitted;
       (d) against S.No.543 in column (1), in column (4), after the figure
           “24312353073008U” the figure “24312353073106U” shall be added;
       (e) against S.No.754 in column (1), in column (4), for the figure
           “22312373013033U” the figure “22312373013003U” shall be
           substituted; and
       (f) after serial number 758 in column (1) and the entries relating thereto in
           columns (2), (3) and (4) , the following new serial numbers and the
           entries relating thereto shall be added, namely:–
        759      Ameer Sizing Industries           0804520500428   21333232019805U
        760      Al Rehman Cloth Exports           0890999927637   09311205245005U
                                                                   23311272105906U
        761      Diamond Weaving Ind.              0801520901164   24312353121000U
        762      Fahad Waqas Cotton Waste          0800520200982   24311454031408U
        763      Fardos Textile Industries         0890999155419   22313878026103U
        764      Farhat Industries                 0801520901328   24312353117006U
        765      Ghulam Farid Cotton W/F           0802520203855   24321353019004U
                                                                   24321353031008U
        766      Iona Enterprises                  1200580206173   24321555017505U
        767      Imtiaz Industries                 0800520808782   24334151009018U
        768      Ittefaq Cotton Waste Factory      0801520202955   24313858037055R
        769      Khalid Saeed Lessee New           0802520802728   24313151060000U
                 Golden Sizing
        770      Maqsood Ahmad W/F                 0801520898782   24313676011803R
        771      M.B. Sizing                       0803520837964   24322554037120R
        772      M.M.Weving Factory                0801520806873   24313454048103U
        773      Power Chemical Industries         0802350600119   23322100744002U
        774      Rehman Sizing                     0800520807128   22321400219005U
        775      Usman Weaving Factory             0803520832755   21333333009000R
        776      Waqas Weaving Factory             0802520807519   22313878021304R
                                                                   22313878021402R
                                     _______________
                                        492Z(x)
G.O. No. 03 of 2008                                           Law & Practice of Sales Tax

C.No.1(15)STT/2005                                     Islamabad, 17th January, 2008
                SALES TAX GENERAL ORDER NO. 03 /2008
     In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.16 of 2007 dated the 13th September,
2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 785 in column
(1) and the entries relating thereto in columns (2), (3) and (4), the following new
serial numbers and the entries relating thereto shall be added, namely:–
786     Denim Clothing Co.                  1712620004819              8989190000
787     Hantex Industry                     1712520905837              2444380000
                                                                       3444380000
                                     _______________


C.No.1(15)STT/2005                                     Islamabad, 17th January, 2008
                SALES TAX GENERAL ORDER NO. 04 /2008
     In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.17 of 2007 dated the 13th September,
2007, namely:–
      In the aforesaid General Order, in the Table–,
        (a) against S.No.209 in column (1), in column (2) for the words “Crescent
            Boards” the words “Crescent Fibers Ltd.” and in column (4) for the
            figure “42100001118” the figure “42100002315” shall be substituted;
            and
        (b) after serial number 852 in column (1) and the entries relating thereto in
            columns (2), (3) and (4), the following new serial numbers and the
            entries relating thereto shall be added, namely:–
          853     Ameer Sizing Industries              0804520500428    34100008501
          854     Abdullah Fibres                      0803520503819    32100012199
          855     Khalid Saeed Lessee New Golden       0802520802728    31100004641
                  Sizing
          856     M.B. Sizing                          0803520837964    31100010060
          857     Modern Weaving Factory               0801520914373    31100010264
          858     Power Chemical Industries            0802350600119    31200502205
          859     Rehman Sizing                        0800520807128    31100001749
          860     Rustam Towel (Pvt) Ltd.              0305630200128    41100023975
                                     _______________
                                       492Z(xi)
General Orders                                                      G.O. No. 5 of 2008

C/No.1(15)STT/2005                                 Islamabad, 11th February, 2008
                 SALES TAX GENERAL ORDER NO. 05/2008
In exercise of powers conferred by clause (d) of section 4 of the Sales Tax Act, 1990,
the Federal Board of Revenue is pleased to make the following further amendments in
its Sales Tax General Order No.07 of 2007 dated the 13th September, 2007, namely:–
In the aforesaid General Order, in the Table, after serial number 933 in column (1)
and the entries relating thereto in columns (2), (3) and (4), the following new serial
numbers and the entries relating thereto shall be added, namely:–
934.      Adims D& Company                    1200520943037              AP055414
935.      Azam Textiles                       1100620057955          2550355842549
                                                                     2850365784079
936.      A.J. Industries                     1750520800173          2705557252240
937.      Al-Baritex                          1100511115055          2806467425562
938.      Al-Ghusia Knitting Factory          1100610392746          2650365799735
939.      Al- Hamd Washing                    1100511111582          2750167589290
940.      Al- Mansoor Washing                 1200620054064          2707465535257
941.      Al-Rahim Weaving & Knitting         1101620020319          2550365769467
942.      M/S Beatex                          1100511128346          2805667973436
943.      B.I.L. Exporters                    1100119039173          2650365757382
944.      EM EM Enterprises                   1200580207246          2508466536375
                                                                     2508466534383
945.      FAB Knit                            1100253000519          2606467654082
946.      Grandsons Industries                0204560500446          2411464244538
947.      Hala Bleaching                      1100845100382          2750365768753
948.      Jacquard & Knits                    1200510900964          2610164565750
949.      L.K. Towel Industries               1100580232819          2550365765550
950.      Maria Bleaching                     1100511112328          2750365762027
951.      Miansons Textiles                   1200620016037          2900465580494
952.      N.A. Rahim sootwala                 0204580800319          2511464234170
953.      Pelikan Knitwear                    1200610308682          2505667231312
                                                                     2505667231320
954.      Pak Textile Industries              1100580201819          2600565812453
955.      Perfect Dyeing                      1100511115219              AP074460
956.      Premier Shoe Co.                    1100640004973          2650365753557
957.      Rehmani Industries                  0209820400282          2607365566630
958.      Saeed Textile Industries            1100590734755              AP-075990
                                                                         AP-071883
                                                                         AP-087044
                                                                         AP-074227
                                       492Z(xii)
G.O. No. 5 of 2008                                             Law & Practice of Sales Tax

959       Saira Textile                          1100580202382        2750355848667
960.      Salahuddin Industries                  1100520869873             AP063475
                                                                           BL002429
961.      Shah Industries                        1100590744082        2806467429045
962.      Size Tex Industries                    1100511127437        2400565812373
963.      S.R. Textiles                          1100580230591             AP084767
964.      S.R. Corporation                       1100520400755        2850365765837
965.      S.S. Bleaching                         1100511119437        2650365757757
966.      Taj Industries                         1700620003119        2305657334254
967.      Waqar Industries                       1122999988837        2606467810092
                                                          (Rizwan Salabat)
                                                       Second Secretary Tariff
                                                             (ST & FE)
                                     _______________


C/No.1(15)STT/2005                                     Islamabad, 11th February, 2008
                SALES TAX GENERAL ORDER NO.06/2008
In exercise of powers conferred by clause (d) of section 4 of the Sales Tax Act, 1990,
the Federal Board of Revenue is pleased to make the following further amendments in
its Sales Tax General Order No.08 of 2007 dated the 13th September, 2007, namely:–
In the aforesaid General Order, in the table–,
        (a) against S.No.243 in column (1), in column (4), after the figure
            “20135302053002U” the figure “24153190250010U” shall be added;
        (b) against S.No. 561 in column (1), after the figure “90088003R” the figure
            “20112401428089U” shall be added; and
        (c) after serial number 666 in column (1) and the entries relating thereto in
            columns (2), (3) and (4), the following new serial numbers and the
            entries relating thereto shall be added, namely:–
       667.   Broadtex (Pvt) Ltd                 1201620009846       24172290054013U
       668.   AL-Fazal Rice Mills                0307100600773       27164207516003U
        669   Firdous Industries                 0301520803282       24123590007808U
       670.   F.K.M. Fabric                      0305520504919       24123590001751U
       671.   Gulshan Weaving Mills Ltd          1206520500219       27161326041008R
       672.   Haq Enterprises                    1390999923528       20133414576005U
       673.   Moon Light Calendaring             0301511102828       24113224008208U
              Works
                                                            (Rizwan Salabat)
                                                         Second Secretary Tariff
                                                               (ST & FE)
                                     _______________
                                       492Z(xiii)
General Orders                                                     G.O. No. 10 of 2008

C/No.1(15)STT/2005                                  Islamabad, 11th February, 2008
                 SALES TAX GENERAL ORDER NO.07/2008
In exercise of powers conferred by clause (d) of section 4 of the Sales Tax Act, 1990,
the Federal Board of Revenue is pleased to make the following further amendments in
its Sales Tax General Order No.09 of 2007 dated the 13th September, 2007, namely:–
In the aforesaid General Order, in the table–,
       (a) against S.No.144 in column (1), in column (4), for the figure
            “24311272035509U” the figure “23311272035509” shall be substituted;
       (b) against S.No.214 in column (1), in column (4), for the figure
            “24323757029503R” the figure “24313757029503R” shall be substituted;
       (c) against S.No.336 in column (1), in column (4), for the figure
            “243133878000808U” the figure “22313878000808U” shall be substituted;
       (d) against S.No.549 in column (1), in column (4), for the figure
            “24321253018005U” the figure “24321353018005U” shall be substituted;
       (e) against S.No.600 in column (1), in column (3), for the figure
            “0803520811964” the figure “0803520815682” shall be substituted;
        (f) against S.No.621 in column (1), in column (4), for the figure
            “24311252005006U” the figure “24311252050019U” shall be substituted;
       (g) against S.No.684 in column (1), in column (4), for the figure
            “23322353020402U” the figure “24322353020402U” shall be substituted;
       (h) against S.No.709 in column (1), in column (3), for the figure
            “0802520891919” the figure “0801520891919” shall be substituted;
        (i) against S.No.771 in column (1), in column (4), after the figure
            “24322554037120R, the figure “24321656069009R” shall be added;
        (j) against S.No. 775 in column (1), in column (4), after the figure
            “21333333009000R” the figure “21333333011300U” shall be added; and
       (k) after serial number 776 in column (1) and the entries relating thereto in
            columns (2), (3) and (4), the following new serial number and the entries
            relating thereto shall be added, namely:–
      777. Aslam Weaving Factory                 0800520806219    24333252040007U
      778. A.M. Weaving Factory                  0800520810173    24313858079152U
      779. Asim Shahzad Textile                  0800520805482    24313757001060R
           Industries
      780. Awami International                   0804520816091 24333252050004U
      781. GhazlanWeaving Factory                0800590700473 24313858079205R
      782. Sitara Engineers                      0801840001091 22312676006268U
      783. Strongman Medifure System             0701901801855 27412500288659U
                                                         (Rizwan Salabat)
                                                      Second Secretary Tariff
                                                            (ST & FE)
                                      492Z(xiv)
G.O. No. 8 of 2008                                           Law & Practice of Sales Tax

C/No.1(15)STT/2005                                    Islamabad, 11th February, 2008
                SALES TAX GENERAL ORDER NO.08/2008
In exercise of powers conferred by clause (d) of section 4 of the Sales Tax Act, 1990,
the Federal Board of Revenue is pleased to make the following further amendments in
its Sales Tax General Order No.14 of 2007 dated the 13th September, 2007, namely:–
In the aforesaid General Order, in the Table, after serial number 32 in column (1) and
the entries relating thereto in columns (2), (3) and (4), the following new serial
numbers and the entries relating thereto shall be added, namely:–
33     Mezan Textile Industry               0506520200537          24633100003000U
34     Uni-Tech Carpet Industries           0507570100264        24644200013307U
                                                        (Rizwan Salabat)
                                                     Second Secretary Tariff
                                                           (ST & FE)
                                    _______________


C/No.1(15)STT/2005                                    Islamabad, 11th February, 2008
                SALES TAX GENERAL ORDER NO.09/2008
In exercise of powers conferred by clause (d) of section 4 of the Sales Tax Act, 1990,
the Federal Board of Revenue is pleased to make the following further amendments in
its Sales Tax General Order No.16 of 2007 dated the 13th September, 2007, namely:–
In the aforesaid General Order, in the Table, after serial number 787 in column (1)
and the entries relating thereto in columns (2), (3) and (4), the following new serial
numbers and the entries relating thereto shall be added, namely:–
788.     Adims & Company                              1200520943037         75043902
789.     Al-Hamd                                      1100511111582       3263621000
790.     Al-Mansoor Washing                           1200620054064       3213560000
791.     DRY-X                                        1100119017764       5759811000
792.     G.R. Ali Muhammad Brothers                   1100580700382       6101070000
793.     Grandsons Industries                         0204560500446       1067370000
794.     Haji Habib & Sons                            1100520202919       2110901262
795.     Hala Bleaching                               1100845100382       0159811000
796.     Jacquard & Knits                             1200510900964       6361590000
798.     L.K. Towel Industries                        1100580232819       1801070000
799.     Maria Bleaching                              1100511112328       1259811000
800.     M.R. Industries                              0205511103219       4636630889
801.     N.A. Rahim Sootwala                          0204580800319       7267370000
802.     North Karachi Textile Industries             1200580287764       4949811000
803.     Perfect Dyeing                               1100511115219        M0516172
                                       492Z(xv)
General Orders                                                       G.O. No. 10 of 2008

804.     Rehmani Industries                            0209820400282       7018660000
805.     Riaz Bleaching                                1100520861855       7446011000
806.     S.R. Corporation                              1100520400755       2069811000
807.     S.S. Bleaching                                1100511119437       1747900739
808.     Salahuddin Industries                         1100520869873         M0429701
809.     Taj Idustries                                 1700620003119       2115900012
                                                            (Rizwan Salabat)
                                                         Second Secretary Tariff
                                                               (ST & FE)
                                     _______________


C/No.1(15)STT/2005                                     Islamabad, 11th February, 2008
                 SALES TAX GENERAL ORDER NO.10/2008
In exercise of powers conferred by clause (d) of section 4 of the Sales Tax Act, 1990,
the Federal Board of Revenue is pleased to make the following further amendments
in its Sales Tax General Order No.17 of 2007 dated the 13th September, 2007,
namely:–
In the aforesaid General Order, in the table–,
        (a) against S.No.165 in column (1), in column (4), after the figure
            “42100001516” the figure “42100001572” shall be added; and
       (b) after serial number 860 in column (1) and the entries relating thereto in
           columns (2), (3) and (4), the following new serial number and the entries
           relating thereto shall be added, namely:–
        861. Moon Light Calendaring Works                0301511102828 41100021322
        862. M.F.W. Woolen Mills                         0302999906373 40232598500
        863. Shujabad Weaving Mills Limited              0407520877228 11100001606
                                                            (Rizwan Salabat)
                                                         Second Secretary Tariff
                                                               (ST & FE)
                                     _______________


C.No.1(22)STT/2005                                     Islamabad, 22nd February, 2008
                 SALES TAX GENERAL ORDER NO.11/2008
In exercise of powers conferred by clause (d) of section 4 of the Sales Tax Act, 1990,
the Federal Board of Revenue is pleased to make the following amendments in its
Sales Tax General Order No.19 of 2007 dated the 13th September, 2007, namely:–
In the aforesaid General Order, in the Table, after serial number 28 in column (1) and
the entries relating thereto in columns (2), (3) and (4), the following new serial
numbers and the entries relating thereto shall be added, namely:–
                                         492Z(xvi)
G.O. No. 11 of 2008                                             Law & Practice of Sales Tax

29.     Din Textile Mills Ltd.                           1200520504464      41100031691
                                                                            41100032371
30.     Gulshan Weaving Mills Ltd.                       1206520500291      42100001390
                                                                            42100001345
                                                                            42100001389
31.     Gulistan Spinning Mills Ltd.                     1206520500473      41100028765
32.     Gulistan Textile Mills Ltd.                      1206520500137      42100001356
33.     Kohinoor Textile Mills Ltd.                      0702511100228      41100032014
34.     M.K.Sons (Pvt) Ltd.                              0405511118228      31100010598
                                                              (Rizwan Salabat)
                                                           Second Secretary Tariff
                                                                 (ST & FE)
                                       _______________


C.No.1(15)STT/05                                             Islamabad, March 11, 2008
                 SALES TAX GENERAL ORDER NO.12/2008
    In exercise of powers conferred by clause (d) of section 4 of the Sales Tax Act,
1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.09/2007 dated 13.09.2007, namely:–
      In the aforesaid General Order, in the Table–,
         (a) against S.No.109 in column (1), in column (4), for the figure
             “24321151000509U” the figure “24321151011509U” shall be substituted;
        (b) against S.No.586 in column (1), in column (4), after the figure
            “24313858042003U” the figure “24313858042085U” shall be added;
         (c) against S.No.676 in column (1), in column (4), for the figure
             “23322252030306U” the figure “24322252030306U” shall be substituted;
        (d) against S.No.775 in column (1), in column (4), after the figure
            “21333333011300U” the figure “21333333009108R” shall be added; and
        (e) after the serial number 783 in column (1) and the entries relating thereto
            in columns (2), (3) and (4), the following new serial number and the
            entries relating thereto shall be added, namely:-
           784     A.H. Weaving Factory           0800520806628      24313858041013R
           785     Asrar Textiles                 0800590004737      24313858084011R
           786     Dilawar Sizing Ind.            0801520833273 24312353151049U
                                                                22312373016402U
           787     Faisal Weaving Factory         0803520837137 24321151051957U
           788     Hajra Embroidery               0801581010991 23322213545004U
           789     Hafeez Knitwear                0890999953864      24312757011657R
                                      492Z(xvii)
General Orders                                                 G.O. No. 12 of 2008

          790    Haroon     Fabrics   (Pvt)   0890999978382   24313858076155R
                 Ltd.                                         24312353132506U
          791    Jalal Fabrics                0801520889128   26312757030805U
          792    Khara Fabrics                0801520896882   24312555010503U
                                                              24312555010406U
                                                              22312575031706R
          793    K.R. Weaving                 0800844602137   24312555058221U
          794    Makkah Fabrics               0801520848682   24312353059202U
                                                              24312454006006U
          795    Mashallah Industry           0803520505637   24311252123021U
          796    Master Industries            0890999978382   22312575015902U
                                                              24312555085843U
          797    Moon Star International      0891999144855   24312555029003U
                                                              24312555027069U
                                                              22312373035203U
                                                              24312353127754U
                                                              24312353127200U
                                                              24312353127255U
                                                              24312353110003U
                                                              24312555029101U
          798    Madina Fabrics               0803520800328   24312353058007U
                                                              24312353057507U
          799    Nawab Sizing                 0801520828737   24312353151030U
          800    Nawab Exports                0803520822855   24312353110502U
          801    NEOTEX                       0305520000828   24124490014026U
          802    New Lyallpur Weaving         0801520830128   24312555026006U
                 Factory                                      24312555032106U
          803    Rafiq Weaving Factory        0800520808946   21333333009803U
                                                              21333333009901U
          804    Rahim Fabrics (Pvt) Ltd.     0800540200137   24313757071154U
          805    Shamshad Textile Mills       0890999962691   24313858062008U
                                                              24313858060000U
          806    Siddique         Weaving     0803520831355   24321656025002U
                 Factory
          807    Sultani Elasto Products      0801560400591   24313858042085U
          808    Tanveer          Weaving     0802520906364   24313858078000U
                 Factory
          809    Umer Weaving Factory         0803520804046   24312454004106U
                                                              24312555058212U
                                                              22312373015706U
                                       492Z(xviii)
G.O. No. 12 of 2008                                         Law & Practice of Sales Tax

          810     Unique           Knitting      0405620700255    24311454040014U
                  International
          811     Wintex    Exports     (Pvt)    0890999148582    24312757047003U
                  Ltd.                                            24311454035057R
          812     Z.A. Fabrics                   0800520809691    24311252007308U
                                                           (Rizwan Salabat)
                                                        Second Secretary Tariff
                                                              (ST & FE )
                                      _______________


C.No.1(15)STT/05                                        Islamabad, March 11, 2008
                SALES TAX GENERAL ORDER NO.13/2008
    In exercise of powers conferred by clause (d) of section 4 of the Sales Tax Act,
1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.11/2007 dated 13.09.2007, namely:–
     In the aforesaid General Order, in the Table-,
        (a) against S.No.220 in column (1), in column (4), for the figure
            “24313480098008U” the figure “24313400098008U” shall be
            substituted; and
       (b) against S.No.230 in column (1), in column (4), after the figure
           “24214309589006R” the figure “24214110659003U” shall be added.
                                                           (Rizwan Salabat)
                                                        Second Secretary Tariff
                                                              (ST & FE )
                                      _______________


C.No.1(15)STT/05                                        Islamabad, March 11, 2008
                SALES TAX GENERAL ORDER NO.14/2008
    In exercise of powers conferred by clause (d) of section 4 of the Sales Tax Act,
1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.14/2007 dated 13.09.2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 34 in column
(1) and the entries relating thereto in columns (2), (3) and (4), the following new
serial numbers and the entries relating thereto shall be added, namely:–
35   Farsh-e-Afghan Carpets Factory               0502571000137   24624200013007U
36   MB Dyes Chemical & Silk Industry             0506280000155   24634400286001U
                                                           (Rizwan Salabat)
                                                        Second Secretary Tariff
                                                             ( ST & FE )
                                      _______________
                                       492Z(xix)
General Orders                                                        G.O. No. 16 of 2008

C.No.1(15)STT/2005                                         Islamabad 25th April, 2008
                 SALES TAX GENERAL ORDER No. 15 /2008
In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax Act,
1990, the Federal Board of the Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.07 of 2007 dated the 13th September,
2007, namely:-
In the aforesaid General Order, in the Table, after serial number 967 in column (1)
and the entries relating thereto in columns (2), (3) and (4), the following new serial
numbers and the entries relating thereto shall be added, namely:-
968     Al-Baraka Fabrics                             1712590003537        AP-080513
969     Al-Rahim Industries                           1100620068437    722500008972U
970     Bilal Corporation                             1200580287928        AP-080036
971     Faisal Hosiery Works                          1200600182291    2309365337991
972     International     Foundation        &         1100620800173    2300475661436
        Garments Pakistan
973     Ismail Knitworth                              1200600182782    2608466634072
974     Jafco Industries                              1200580294855        AP-073553
                                                                           AP-085105
975     Mahalam Impex Company                         1100580215419        AP-086529
976     Matco Rice Processing                         1200100600737 2500565810758
977     New Star Dyeing Works                         1200520944519         AP-085134
978     Rashid Silk Mills                             1100320010319 2850365792233
979     Ruby Chemical Company                         1100520860291 2805667985124
980     Shahnawaz & Co.                               1100580208819        AP-064164
                                                                           AP-077103
981     Sindh Textile Ind.                            1200580287355        AP-061479
982     Standard Textile                              1750590011564        AP-076732
                                                                           AP-012727
983     Wassah Messe                                  1100910383755 2850355855091
                                                             (Rizwan Salabat)
                                                          Second Secretary Tariff
                                                               ( ST & FE )
                                    _______________


C.No.1(15)STT/2005                                         Islamabad 25th April, 2008
                 SALES TAX GENERAL ORDER No.16/2008
In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax Act,
1990, the Federal Board of the Revenue is pleased to make the following further
                                       492Z(xx)
G.O. No. 16 of 2008                                         Law & Practice of Sales Tax

amendments in its Sales Tax General Order No.08 of 2007 dated the 13th September,
2007, namely:-
In the aforesaid General Order, in the Table, after serial number 673 in column (1)
and the entries relating thereto in columns (2), (3) and (4), the following new serial
number and the entries relating thereto shall be added, namely:-
674     Al-Hamd Embroideries (Pvt) Ltd.           0308581000737   20112501211005U
                                                                  24112590223006U
675     Baber Dyeing                              0306320001519   24113224013906U
676     Falak Textiles (Pvt) Ltd.                 0304630200628   24153299160009U
677     Muhammad Sadiq Miraj            Din       0301520501728   24172290049011U
        Enterprises
678     M.Farooq & Brothers                       0301520202091   24174290052013U
679     NEOTEX                                    0305520000828   24124490014026U
680     Rustam Towel (Pvt) Ltd.                   0305630200128   24153291930069U
                                                                  24153291800048U
681     Razzaq Trading Company                    0391999966028 24172124320003U
                                                           (Rizwan Salabat)
                                                        Second Secretary Tariff
                                                             ( ST & FE )
                                    _______________


C.No.1(15)STT/2005                                      Islamabad 25th April, 2008
                SALES TAX GENERAL ORDER No.17/2008
In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax Act,
1990, the Federal Board of the Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.09 of 2007 dated the 13th September,
2007, namely:-
In the aforesaid General Order, in the Table-,
        (a) against S.No.544 in column (1), in column (4), after the figure
            “24311272093802U” the figure “24311252096033U” shall be added;
       (b) against S.No.794 in column (1), in column (4), for the figure
           “0801520848682” the figure “0801520848382” shall be substituted;
        (c) serial number 801in column (1) and the entries relating thereto in column
            (2), (3) and (4) shall be omitted; and
       (d) after the serial number 812 in column (1) and the entries relating thereto
           in columns (2), (3) and (4), the following new serial number and entries
           relating thereto shall be added, namely:-
             813      A.B. Exports (Pvt)          0805520500173   24312757043007U
                      Ltd
             814      Al-Hussain Dyeing           0800511100237   23311272137506U
                                       492Z(xxi)
General Orders                                                     G.O. No. 18 of 2008

             815     Al-Aziz Yarn Dyeing           0800320000128   24311252093018U
             816     Ali Processing                0803511101864   24311252034001U
             817     Ali     &     Sameer          1200620051255   24312656009726U
                     International
             818     Allah Ho Textile              0802520807773   24313858076011R
             819     Aftab Nazir W/F               0802520906773    2431385098006U
             820     Amir W/Factory                0801520853228   24312555087100U
                                                                   24312656099102U
             821     Ghaffar        Cotton         0801520203864   24313454068055R
                     Factory
             822     Hasib Zafar Textiles          0802520814528   24321555115007U
             823     Mohsin Fabrics                0801520921382   24312757009107U
             824     Munir W/F                     0801520869991   24312555087208U
             825     Nazir Weaving                 0802520801737   24313858098015U
             826     Nizami         Textile        0800520901255   24312555095057U
                     Dyeing
             827     Rehmat Fabrics                0801520899737   24312353113304U
             828     Saima Towel Dyeing            0800630200128   24312353001407U
                     & Bleaching
             829     S. A Samad & Co.              0801511100555 24312555094021U
             830     Saad Sizing Ind.              0800520802582 22321411180034U
             831     Silver Fabrics                0801520849782 24312555085200U
             832     Z.A. Industry                 0800844601555 24311252096060U
                                                            (Rizwan Salabat)
                                                         Second Secretary Tariff
                                                              ( ST & FE )
                                    _______________


C.No.1(15)STT/2005                                       Islamabad 25th April, 2008
                 SALES TAX GENERAL ORDER No.18/2008
In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax Act,
1990, the Federal Board of the Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.10 of 2007 dated the 13th September,
2007, namely:-
In the aforesaid General Order, in the Table-,
        (a) against S.No.22 in column (1), in column (4), for the figure
            “27512111139012U” the figure “27512100569050R” shall be
            substituted; and
                                      492Z(xxii)
G.O. No. 18 of 2008                                        Law & Practice of Sales Tax

       (b) after serial number 146 in column (1) and the entries relating thereto in
           columns (2), (3) and (4), the following new serial number and entries
           relating thereto shall be added, namely:-
             147      Al-Zahoor     Weaving 0408520812037 27561209438003U
                      Industries
             148      Arshad Corporation    0408590700273 27561300044006U
             149      Saeed Cotton Waste 0407520204346 27513700088012U
                      Co.                                   27512516395011U
             150      Union Textiles        0407520877555 27512406696011U
                                                     (Rizwan Salabat)
                                                  Second Secretary Tariff
                                                       ( ST & FE )
                                    _______________


C.No.1(15)STT/2005                                     Islamabad 25th April, 2008
                SALES TAX GENERAL ORDER No.19/2008
In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax Act,
1990, the Federal Board of the Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.16 of 2007 dated the 13th September,
2007, namely:-
In the aforesaid General Order, in the Table-,
        (a) against S.No.675 in column (1), in column (4), after the figure
            “5401070000” the figure “13448669” shall be added;
       (b) against S.No.778 in column (1), in column (4), after the figure
           “5876480000” the figure “3345114436” shall be added;
        (c) against S.No.366 in column (1), in column (4), after the figure
            “1421900476” the figure “6833567178” shall be added; and
       (d) after serial number 809 in column (1) and the entries relating thereto in
           columns (2), (3) and (4), the following new serial numbers and the
           entries relating thereto shall be added, namely:-
             810      Al-Rahim Industries             1100620068437     5746951000
                                                                        4741110494
             811      Castle Textile Industries       1200590768819       13448674
             812      Hiba Weaving Mills              1712520800637         719704
             813      Hilal Associates                1200521200128     9931379832
             814      Kestone Enterprises             1100600100819     6096679469
             815      New Star Dyeing Works           1200520944519        0501010
             816      Rashid Silk Mills               1100320010319     6559811000
                                      492Z(xxiii)
General Orders                                                    G.O. No. 20 of 2008

             817     Star Denim (Pvt) Ltd              1200620004028        0719620
                                                                           13694773
                                                           (Rizwan Salabat)
                                                        Second Secretary Tariff
                                                             ( ST & FE )
                                    _______________


C.No.1(15)STT/2005                                       Islamabad 25th April, 2008
                 SALES TAX GENERAL ORDER No.20/2008
In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax Act,
1990, the Federal Board of the Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.17 of 2007 dated the 13th September,
2007, namely:-
In the aforesaid General Order, in the Table-,
        (a) against S.No.56 in column (1), in column (4), for the figure
            “11100000272” the figure “11100001844” shall be substituted; and
       (b) after serial number 863 in column (1) and the entries relating thereto in
           columns (2), (3) and (4), the following new serial number and the entries
           relating thereto shall be added, namely:-
             864      Al-Aziz Yarn Dyeing             0800320000128    31200570507
             865      Ali       &        Sameer       1200620051255    31100010037
                      International
             866      Baoo Jee Textile                0800590004328    31100011740
             867      Body Media Int. (Pvt)           0391999928173    41100033835
                      Ltd.
             868      Crest Garments Int. (Pvt)       0304620002146    41100025335
                      Ltd.
             869      Dynamic Sportswear              0310620000182    41100022013
             870      Falak Textile (Pvt) Ltd         0304630200628    41100025874
             871      Latif Exports                   0802511101537    31100011052
             872      M.A.Textiles                    0802320001682    31100012724
             873      MB Dyes Chemical &              0506280000155    89100000176
                      Silk Ind.
             874      Muzzamal Dyeing                 0403511101982    31100006197
             875      Nizami Textilee Dyeing          0800520901255    31100011922
             876      Prosperity Weaving Mills        0308520808673    41100032780
             877      Rustam Towel (Pvt) Ltd.         0305630200128    41100023975
             878      S.A. Samad & Co.                0801511100555    31100011988
             879      Saad Sizing Ind.                0800520802582    31100009958
                                     492Z(xxiv)
G.O. No. 20 of 2008                                          Law & Practice of Sales Tax

             880      Saima Towel Dyeing &            0800630200128      31100011944
                      Bleaching
             881      SB Alliance (Pvt) Ltd.          0304621701819      41100033330
             882      Standard Hosiery (Pvt)          0302620053637      41100026888
                      Ltd
                                                            (Rizwan Salabat)
                                                         Second Secretary Tariff
                                                              ( ST & FE )
                                    _______________


C.No.1(15)STT/2005                                       Islamabad 25th April, 2008
                SALES TAX GENERAL ORDER No.21/2008
In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax Act,
1990, the Federal Board of the Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.19 of 2007 dated the 13th September,
2007, namely:-
In the aforesaid General Order, in the Table, against S.No.30 in column (1), in
column (3), for the figure “1206520500291” the figure “1206520500219” shall be
substituted.
                                                            (Rizwan Salabat)
                                                         Second Secretary Tariff
                                                              ( ST & FE )
                                    _______________


C.No.3(7)ST-L&P/2006 (Pt)                             Islamabad, the 26th June, 2008
        SALES TAX GENERAL ORDER NO. 22 OF 2008
SUBJECT: Revision of sales tax rate w.e.f. 1st July 2008 - printing of
          retail price.
      After the amendments in the Sales Tax Act, 1990, through the Finance Act,
2008, the applicable rate of sales tax on items in Third Schedule of The Sales Tax
Act, 1990, has been increased to 16% with effect from 1st July 2008 through the
Finance Bill 2008. Manufacturers of items specified in Third Schedule to the Sales
Tax Act, 1990, have reported difficulty in printing sales tax @ 16% of retail price on
their existing stocks which have already been printed with sales tax @ 15% of the
retail price.
     2. The Board, recognizing the enormity and impracticability of the task of re-
printing of sales tax amount, in exercise of powers under section 55 of the Sales Tax
Act, 1990, is pleased to allow the usage of existing packing material and stock
printed with sales tax amount @ 15% for a period of three months starting from 1st
July 2008, subject to the following conditions:
                                     492Z(xxv)
General Orders                                                       G.O. No. 23 of 2008

        (i) the manufacturer shall inform the Collector of Sales Tax, having
            jurisdiction, about the stocks as in hand on 30th June, 2008, with full
            description and quantity, on which sales tax is printed @ 15%;
       (ii) the Sales Tax in respect of supplies of such stocks shall be paid @ 16%
            with effect from 1st July 2008;
      (iii) the manufacturer shall advertise the retail price, sales tax @ 16% and
            total consumer price of such goods in the leading daily newspapers in
            English, Urdu and other regional languages, at least once a week till such
            time these stocks are supplied; and
      (iv) this permission shall not apply to cases where actual retail price
           excluding sales tax is different from the one printed.
                                                            (Rizwan Salabat)
                                                         Second Secretary Tariff
                                                              ( ST & FE )
                                   _______________


C.No.1(15)STT/2005                                       Islamabad, 28th June, 2008
                 SALES TAX GENERAL ORDER NO.23/2008
     In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.07 of 2007 dated the 13th September,
2007, namely:-
     In the aforesaid General Order, in the Table, after serial number 983 in column
(1) and the entries relating thereto in columns (2), (3) and (4), the following new
serial numbers and the entries relating thereto shall be added, namely:–
984     Al-Malik Enterprises                         1201580202282     2750167526272
985     Baba Enterprises                             0190999922991          BL-001960
986     Ehsan Towels                                 1100580219137          AP-080296
                                                                            AP-080297
987     Focus Apparels (Pvt) Ltd                     1200620067473      250846602192
988     Hilal Weaving Mills                          0203580801237          AP-056228
989     Khalid Traders                               1120999929128           AP061996
990     Matco Rice Processing (Pvt) Ltd              1200100600737     2500565810758
991     MCP Industries                               1700580203491     2700565816046
992     Moontex Industries                           1100520818146          AP-066571
                                                                            AP-066572
                                                                            AP-081998
993     Patel Towel Industries                       1100620050437     2705667325073
                                       492Z(xxvi)
G.O. No. 23 of 2008                                          Law & Practice of Sales Tax

994      Premier Towels                              1100580207746     2450375769037
                                                                       2550355840848
                                                                       2850365761777
                                                                       2550355840899
995      Vantage Corporation                         1100511127682           E/C-36B
                                                            (Rizwan Salabat)
                                                         Second Secretary Tariff
                                                              ( ST & FE )
                                   _______________


C.No.1(15)STT/2005                                        Islamabad, 28th June, 2008
                SALES TAX GENERAL ORDER NO.24/2008
     In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.08 of 2007 dated the 13th September,
2007, namely:-
     In the aforesaid General Order, in the Table, after serial number 681 in column
(1) and the entries relating thereto in columns (2), (3) and (4), the following new
serial numbers and the entries relating thereto shall be added, namely:–
682      Al-Hamd Woollen Mills                  0304620084319        27165201739024U
683      ARM Cotton Waste Links                 0300520200282        24122390059026U
684      Basfa Textile (Pvt) Ltd                0304520509064        24153590052020U
685      Ihsan Sons (Pvt) Ltd.                  0301300500137        24191990064004U
686      Naeem Tex                              0301999975346        24122390024028R
687      Premium Leathers (Pvt) Ltd.            0304420501646 24112590297034U
                                                         (Rizwan Salabat)
                                                      Second Secretary Tariff
                                                           ( ST & FE )
                                   _______________


C.No.1(15)STT/2005                                        Islamabad, 28th June, 2008
               SALES TAX GENERAL ORDER NO. 25/2008
     In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.09 of 2007 dated the 13th September,
2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 832 in column
(1) and the entries relating thereto in columns (2), (3) and (4), the following new
serial numbers and the entries relating thereto shall be added, namely:–
                                    492Z(xxvii)
General Orders                                                G.O. No. 25 of 2008

833     Ahmad Weaving Factory                 0803590900346   24333252011002U
834     Ahmad Saeed Weaving                   0801520821391   24312656011009U
835     Al-Jannat Weaving Factory             0800520807791   24321151004544U
                                                              22321112944053U
836     Al Umar Weaving Factory               0804520814355   24333555020007U
837     Ansari Sizing                         0802520204764   22321109102100U
838     Aslam Weaving Factory                 0800520806219   21333131006500U
839     Awan Textiles                         0803520836891   24333252052002U
                                                              24333252034005U
                                                              21333232008041U
840     A & M Active Wear                     0803610303173   22312676038402U
841     A.S. Cotton Waste                     0800520201064   24314555032006U
842     Babu Sizing                           0801520835419   24321252020700U
843     Bismillah Fabrics                     0405520902728   23322408574004U
844     Decent Toweler Weaving Factory        0801520803319   22312676058602U
845     Enn Eff Exports                       0405520900828   24312555085754U
                                                              22312575004610U
846     Gohar Enterprises                     0802520804882   22313171013206R
847     Imran Masood Textiles                 0801520878646   24322252040509U
848     Ittehad (Pvt) Ltd.                    0890999187019   24313757003308R
849     Khurshid Textiles                     0802520810155   24313858099050R
850     M.A. Textile                          0890999113591   24312555083097U
851     Mian Textile                          0800830000937   24313858099087R
852     Moosa Textile Mills (Pvt) Ltd         0803620001528   24321252017000U
853     Nayab Weaving Factory                 0804580000173   24333555028009U
854     Nadeem Weaving Factory                0804520818155   21333333010007U
855     Saqib Weaving Factory                 0802520501273   24313858066059R
856     Shalimar Weaving Factory              0800520806828   21333535015002R
                                                              21333535017509R
                                                              21333535017803R
                                                              21333535017901U
857     Shehzad Weaving Factory               0803520834246   24333555021006U
                                                              24333555081001U
858     Sitara Textile Ind. Ltd.              0403511100819   22312373011149U
859     Sultan Impex                          0803521000619   24322554044201R
                                     492Z(xxviii)
G.O. No. 25 of 2008                                       Law & Practice of Sales Tax

860     Super Gloves Industries                 0405620001137    23322411942003U
                                                                 23322109544005U
861     Tariq Weaving Factory                   0800520806391    21333333008305U
                                                                 21333333008001U
862     Usman Weaving Factory                   0800520805637    24333555033002U
                                                                 21333535015814R
                                                                 21333535015501R
863     Umar Weaving Factory                    2400844600564    24333151041000U
864     Zahid Textile                           0800520806964    21333535017206R
                                                                 21333535017705R
                                                                 21333232015541R
865     Zahoor Embroidery                       0802581004473 21314373009928R
                                                         (Rizwan Salabat)
                                                      Second Secretary Tariff
                                                           ( ST & FE )
                                    _______________


C.No.1(15)STT/2005                                    Islamabad, 28th June, 2008
                SALES TAX GENERAL ORDER NO.26/2008
     In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.10 of 2007 dated the 13th September,
2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 150 in column
(1) and the entries relating thereto in columns (2), (3) and (4), the following new
serial numbers and the entries relating thereto shall be added, namely:–
151     Adeel Cloth                           0490999904491      27512218150000U
                                                                 27512218157003U
152     Al-Hilal Weaving Mills                0408520811046      27561100696010U
153     Al-Haram Weaving Factory              0408520811537      21561804816015U
154     Allawasaya Spinning Mills             0407520504646      27512106411020R
155     Al-Amin Cotton Factory                0407520114337      27533225123004U
156     Chohan Cotton Waste Factory           0410520200828      27551300118054R
157     Mian Ghulam Hussain & Co.             0410510600228      27551300239003U
158     Maqsood Brothers Cotton               0410520126428      27554422885009U
159     Roomi Cotton Factory                  0407520125719      27513700190008U
                                                                 21513715202005U
160     Safia Rice Mills                      0490999953728      27551515759006U
                                       492Z(xxix)
General Orders                                                    G.O. No. 27 of 2008

161      Umair Enterprises                      0490999934191     21512400419004R
                                                                  21512400418005R
                                                                  27513310546034U
                                                           (Rizwan Salabat)
                                                        Second Secretary Tariff
                                                             ( ST & FE )
                                      _______________


C.No.1(15)STT/2005                                      Islamabad, 28th June, 2008
                 SALES TAX GENERAL ORDER NO.27/2008
     In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.11 of 2007 dated the 13th September,
2007, namely:–
      In the aforesaid General Order, in the Table,–
        (a) against S.No.220 in column (1), in column (4), for the figure
            “24213480098008” the figure “24213400098008U” shall be substituted;
            and
        (b) after serial number 233 in column (1) and the entries relating thereto in
            columns (2), (3) and (4), the following new serial numbers and the
            entries relating thereto shall be added, namely:–
           234      AAY-ZED & Co.               0905520000864   24241508894000U
           235      Aima              Textile 0900590000764     24221320214007U
                    Industries
           236      C.A. Sports                 0990999902846   24241197437005U
                                                                24241107438004U
           237      C.M. Fabrics                0902550102428   21221412077004U
           238      City      Embroideries 0905581000137        24241409865006U
                    (Pvt) Ltd
           239      Conqueror        Medical 0905901802628      27241119928009U
                    (Pvt) Ltd.
           240      Data Corporation            0904100600337   24214212408001U
           241      Gloves, Crafts              0905420302337    24243407309002R
           242      Hi-Med Industries           0905999949373    21242208622001R
           243      Ihsan Sports                0905950606337   24241107792004U
           244      JSD Sports (Pvt) Ltd        0905420310273   27241207947009U
                                                                21241207972019U
           245      Kapur (pvt) Ltd             0990999906491   27241119884001U
                                                                27241119885000U
                                        492Z(xxx)
G.O. No. 27 of 2008                                         Law & Practice of Sales Tax

          246         Kohinoor       Hosiery 0905620000191       24242105181006U
                      Works
          247         Libermann International   0905420506628    24242110018005U
          248         Madrigal Sports (Pvt) 0905950615255        24242206378005U
                      Ltd
          249         Mehrish Industries        0905999970628    21241120347003U
          250         Muhammad       Bukhash 0905630600128       21241120230003U
                      Sons & Co.
          251         Nizam Sons (Pvt) Ltd      0905420506882    24242110017006U
          252         Orange Wears              0905420350028    24241303860015U
          253         Penna       Overseas 0990999929464         27241120103004U
                      Corporation                                24241120105009U
          254         Recto Sports (Pvt) Ltd    0905420311837    24242205570003R
          255         Rice Masters              0904840000637    24214119117000R
          256         Shan Wears                0905420319855    21241303142002U
          257         Simon Sports Industries   0990999929791    24242413836003R
          258         Spotlite Trading Co. 0990999951855         27241400527008U
                      (Pvt) Ltd
          259         Waqas Woolen Mills        0902550102755    24212500126002U
          260         Z.R. Sports Company       0990999906237 21241516138005U
                                                           (Rizwan Salabat)
                                                        Second Secretary Tariff
                                                             ( ST & FE )
                                      _______________


C.No.1(15)STT/2005                                       Islamabad, 28th June, 2008
                SALES TAX GENERAL ORDER NO.28/2008
     In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.12 of 2007 dated the 13th September,
2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 43 in column
(1) and the entries relating thereto in columns (2), (3) and (4), the following new
serial numbers and the entries relating thereto shall be added, namely:–
44     Chemi Viscofibre Limited                   0101551200164      731200001939U
                                                            (Rizwan Salabat)
                                                         Second Secretary Tariff
                                                              ( ST & FE )
                                      _______________
                                       492Z(xxxi)
General Orders                                                        G.O. No. 30 of 2008

C.No.1(15)STT/2005                                        Islamabad, 28th June, 2008
                 SALES TAX GENERAL ORDER NO.29/2008
      In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax Act,
1990, the Federal Board of Revenue is pleased to make the following further amendment
in its Sales Tax General Order No.14 of 2007 dated the 13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 36 in column
(1) and the entries relating thereto in columns (2), (3) and (4), the following new
serial number and the entries relating thereto shall be added, namely:–
37     Swabi Textile Mills                     0506520200619     24633100005008R
                                                          (Rizwan Salabat)
                                                       Second Secretary Tariff
                                                            ( ST & FE )
                                     _______________


C.No.1(15)STT/2005                                        Islamabad, 28th June, 2008
                 SALES TAX GENERAL ORDER NO.30/2008
      In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax Act,
1990, the Federal Board of Revenue is pleased to make the following further amendments
in its Sales Tax General Order No.16 of 2007 dated the 13th September, 2007, namely:–
     In the aforesaid General Order, in the Table,–
        (a) serial number 230 in column (1) and the entries relating thereto in
            columns (2), (3) and (4) shall be omitted;
        (b) against S.No.231 in column (1), in column (4), after the figure
            “2115904915” the figures “2111900156” “429800860” “2101900703”
            “2101900711”        “2106014328”2111900156”       “2300800563”
            “2300900687”      “519001906”      “2111900164”    2300900587”
            “4441831000” and “3841831000” shall be added; and
        (c) serial number 241 in column (1) and the entries relating thereto in
            columns (2), (3) and (4) shall be omitted;
        (d) after serial number 817 in column (1) and the entries relating thereto in
            columns (2), (3) and (4), the following new serial numbers and the
            entries relating thereto shall be added, namely:–
            818    ASCO INTERNATIONAL                  1100119001319       5982000665
            819    Coastal Synthetics (Pvt) Ltd        0601551100128       0823126636
            820    Focus Apparels (Pvt) Ltd            1200620067473       7940190000
            821    G.S. Industries                     0202511115046       2438687679
            822    Hilal Weaving Mills                   02035808012
                                                             (Rizwan Salabat)
                                                          Second Secretary Tariff
                                                               ( ST & FE )
                                      492Z(xxxii)
G.O. No. 31 of 2008                                           Law & Practice of Sales Tax

C.No.1(15)STT/2005                                         Islamabad, 28th June, 2008
                SALES TAX GENERAL ORDER NO.31/2008
     In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.17 of 2007 dated the 13th September,
2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 882 in column
(1) and the entries relating thereto in columns (2), (3) and (4), the following new
serial numbers and the entries relating thereto shall be added, namely:–
883      Al-Hamra Fabrics (Pvt) Ltd                    0403830000119      31100013199
884      Ihsan Sons (Pvt) Ltd.                         0301300500137      41100024837
                                                                          41100025614
885      Iqbal Rice Mills                              0890999972182      32100012519
886      Kamran Textile (Pvt) Ltd                      0407520900155      31100013070
887      Nadir Said Jan Industries                     0304511103137      41100032832
888      Naeem Tex                                     0301999975346      41100028958
889      Naseem Enterprises (Pvt) Ltd                  0407520504319      RC00641175
890      National Silk & Rayon Mills                   0404511101146      31100010725
891      Opal Weaving                                  0801520830382      31200778806
892      R.M. Fabrics                                  0407520872682      11100001770
893      Umair Enterprises                             0490999934191      11100001833
894      Waqas Woolen Mills                            0902550102755     51100016598
                                                             (Rizwan Salabat)
                                                          Second Secretary Tariff
                                                               ( ST & FE )
                                     _______________


C. No. 4/57-STB/97                               Islamabad,the 8th July, 2008.
            SALES TAX GENERAL ORDER NO. 32 OF 2008
Subject: Issues relating to solvent extraction units
     Whereas, a Committee headed by the Collector, Sales Tax and Federal Excise,
RTO, Islamabad was constituted vide Board’s Circular dated 20.03.2008 to examine
the issues relating to show cause notices issued and draft contravention reports
prepared against various solvent extraction units (hereinafter referred to as the
“units”) located in the jurisdiction of Regional Tax Office, Multan on the basis of
audit of sales tax records for the tax period 2003-04 and July, 2004 to January 27th
2006. The report of the Committee has been examined by the Board. In order to
resolve the long outstanding issues of the units, the Federal Board of Revenue is
pleased to direct in terms of section 55 of the Sales Tax Act, 1990 as under:
                                       492Z(xxxiii)
General Orders                                                         G.O. No. 32 of 2008

       (a) The total sales tax liability of a unit for the period 01.07.2004 to
           27.01.2006 shall be equal to 0.75% of the C&F value of imports of
           oilseeds made during this period or as declared by the unit, whichever is
           higher, after deducting the output tax already paid on supplies. No credit
           or adjustment on account of input tax paid at import stage or that paid
           against utility bills/chemicals consumed during the process of extraction
           shall be allowed against the aforesaid total sales tax liability. The input
           tax credit against zero-rated supplies/exports (if any) shall, however, be
           allowed/adjusted from the aforesaid total liability.
       (b) Sales tax refunds, if obtained by any unit on account of excess input tax
           paid during the aforesaid period shall be added to the aforesaid total tax
           liability, which shall be recoverable from that unit. However, no default
           surcharge or penalty will be recoverable on this account. For illustration
           purposes, the tax liability in respect of units will be calculated as under:
           (i) Tax liability in respect of units, who have not obtained any refunds,
               on account of excess paid input tax, during the period from
               01.07.2004 to 27.01.2006:
                 (A) Tax payable as per the formula (i.e. 0.75% of C&F value or as
                     declared by the unit whichever is higher) ---- Rs. 1000
                 (B) Output tax (if any), already paid ----- Rs. 100
                 (C) Adjustment/credit on account of zero-rated supplies of soyabean
                     meal (if claimed) ---- Rs. 200
                      Net tax recoverable ------ (A) – (B + C) = Rs. 700/-
          (ii) Tax liability in respect of units, who have obtained any refunds, on
               account of excess paid input tax, during the period from 01.07.2004
               to 27.01.2006:
                 (A) Tax payable as per the formula (i.e. 0.75% of C&F value or
                     higher percentage declared by the unit) ---- Rs. 1000
                 (B) Output tax (if any), already paid ----- Rs. 100
                 (C) Adjustment/credit on account of zero-rated supplies of soyabean
                     meal (if claimed) ---- Rs. 200
                 (D) Refund obtained on account of excess input tax --- Rs. 200/-
                      Net tax recoverable ------ (A+D) – (B+C) = Rs. 900/-
       (2) The valuation of oil extracted from imported oilseeds shall be determined
           as follows:
          (a) In case of supplies made to registered persons, the minimum value of
              supply shall be the value declared by the units;
          (b) In case of supplies made to unregistered persons the value of supply
              shall be Rs. 40.30 per kg or the value declared by the solvent
              extraction unit, whichever is higher; and
                                       492Z(xxxiv)
G.O. No. 32 of 2008                                            Law & Practice of Sales Tax

            (c) All the supplies, excluding those, accounted for and shown as the
                supplies made to registered persons, in the sales tax records, shall be
                deemed to be supplies made to unregistered persons, and sales tax
                liability in respect thereof shall be calculated as per the above
                valuation criterion.
        (3) The percentage recovery of oil shall be taken to be not less than 38.5%
            (by weight) of the imported oilseeds of all origins or as declared by the
            unit, whichever is higher;
        (4) For the determination of tax liability of units for the period 2003-04, the
            formula given in para-1 of this General Order shall be applied. However,
            the adjustment of input tax shall not be less than 15.88% of the C&F
            value of imports of oilseeds made during this period and the refund on
            account of unadjusted input tax (other than refund of 10.5% admissible
            under SRO 335(I)/2004 dated 24.05.2004) shall not exceed 4.12% of the
            C&F value of imports of oilseeds made during this period;
        (5) Refunds (if any) accruing on the basis of any of the above provisions of
            this General Order shall be inadmissible;
        (6) The Collectorates shall resolve the disputes with the units in the light of
            provisions of this General Order and present the same to the adjudicating
            authority during the adjudication of show cause notices issued to the units;
        (7) For the calculation of tax liability under the provisions of this General
            Order, a Committee shall be constituted to calculate the liability of each
            unit. The Committee shall be headed by an Additional Collector of Sales
            Tax having one member from the Collectorate and one nominee of All
            Pakistan Solvent Extractors’ Association (APSEA);
        (8) The unit which fails to discharge his tax liability as determined under this
            General Order shall be subjected to detailed investigative audit, and in
            that case, their tax liability shall be determined on the basis of parameters
            described in paras-2, 3 & 4 above; and
        (9) The units who deposit sales tax under this General Order shall be deemed
            to have discharged their full and final sales tax liability for the tax
            periods 01.07.2003 to 27.01.2006.
                                                             (Rizwan Salabat)
                                                          Second Secretary Tariff
                                                               ( ST & FE )
                                     _______________


C.No.1(15)STT/2005                                         Islamabad, 30th July, 2008
                SALES TAX GENERAL ORDER NO.33/2008
      In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax Act,
1990, the Federal Board of Revenue is pleased to make the following further amendments
in its Sales Tax General Order No.07 of 2007 dated the 13th September, 2007, namely:-
                                       492Z(xxxv)
General Orders                                                      G.O. No. 33 of 2008

    In the aforesaid General Order, in the Table-,
       (a) serial number 237 in column (1) and the entries relating thereto in
           columns (2), (3) and (4) shall be omitted; and
       (b) after serial number 995 in column (1) and the entries relating thereto in
           columns (2), (3) and (4), the following new serial numbers and the
           entries relating thereto shall be added, namely:-
            996      Alfaz Enterprises              1200521203555 2806467424612
                                                                  2806467424620
            997      Al-Razzaq            Textile 1100620092355 2706467753007
                     Industries
            998      Al-Jabbar Bleaching            1750590012891 2650355844392
            999      Adil Textile Industries        1200580289337 2850365787299
            1000     Ayesha Umer          Textile 1100600102973 2806467420471
                     Industries
            1001     A.S.F.            Chemical 1200280020346 2310154566178
                     Industries
            1002     Faisal Shahzad Weaving 1121999956337 2305677356009
                     Mills
            1003     Fine Processing                1712320000419 2750365772157
            1004     Haji Saeed Ahmed               1100520864091 2706457758817
            1005     Hi-Knit (Pvt) Ltd.             1200600107473 2850365792128
            1006     Harmain Textile                1100580239355        AP-085707
            1007     Imran Textiles                 1100580210046        AP-082011
            1008     Mashallah            Dyeing 1100511122719 2750365770437
                     Bleaching
            1009     Maqsood Industries             1750520901646 2606467811846
            1010     Mazhar Sons                    1100511123628 2706467466914
            1011     Muhammad Makki & Co.           1700511104446 2705667324034
            1012     Quality Bleaching              1100511114637 2750365777598
            1013     S. Aboo Bakar Co.              1200999928737 2708456752659
            1014     Shahzad Enterprises            1100520848264 2605667356675
                                                                  2605667356071
                                                                  2305657356557
            1015     Shahzad               Faisal 1100520001291 2706467450171
                     Enterprises
            1016     Shan Tex                       1700590007619 2706457750231
            1017     Suria Tex                      1100119021155 2550365767170
                                      492Z(xxxvi)
G.O. No. 33 of 2008                                            Law & Practice of Sales Tax

             1018     Three Star Towel              1100580232655           AP-078749
             1019     Ultra Fashion Oriental           1200320000146 2708466737895
             1020     Venus Co.                     0216630500337 2650365757234
             1021     Z.S. Corporation              1100560400173 2650365765512
                                                              (Rizwan Salabat)
                                                           Second Secretary Tariff
                                                                ( ST & FE )
                                     _______________


C.No.1(15)STT/2005                                          Islamabad, 30th July, 2008
                SALES TAX GENERAL ORDER NO.34/2008
     In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.08 of 2007 dated the 13th September,
2007, namely:-
    In the aforesaid General Order, in the Table-,
        (a) against S.No.65 in column (1), in column              (4), for the figures
            “20154132076002U” “20154132073005U” and                “20154132074004U”
            the       figures        “24171190026011U”             “20171131816008U”
            “20171131882007U” 20172232955004R” and                 “20171132884003U”
            shall be substituted; and
       (b) after serial number 687 in column (1), and the entries relating thereto in
           columns (2), (3) and (4), the following new serial numbers and the
           entries relating thereto shall be added, namely:-
               688 Decent Synthetics           0301550300155        24123590013413U
               689 Faraj          Spinning     0307590000264        27163121145006R
                   Mills
               690 Wyne             textile    0302620004228        24153199486017U
                   Industries
                                                              (Rizwan Salabat)
                                                           Second Secretary Tariff
                                                                ( ST & FE )
                                     _______________


C.No.1(15)STT/2005                                          Islamabad, 30th July, 2008
                SALES TAX GENERAL ORDER NO.35/2008
     In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.16 of 2007 dated the 13th September,
2007, namely:-
                                     492Z(xxxvii)
General Orders                                                     G.O. No. 36 of 2008

    In the aforesaid General Order, in the Table,-
       (a) serial number 178 in column (1) and the entries relating thereto in
           columns (2), (3) and (4) shall be omitted; and
       (b) against S.NO.822 in column (1), in column (4), the figure “M-2535978”
           shall be inserted; and
       (c) after serial number 822 in column (1) and the entries relating thereto in
           columns (2), (3) and (4) , the following new serial numbers and the
           entries relating thereto shall be added, namely:-
                 823   Alfaz Enter prises              1200521203555      241831000
                 824   Al-Jabbar Bleaching             1750590012891 2359811000
                 825   Artistic Spinning          Mills 1750520502755 6516020525
                       (Pvt) Ltd
                 826   Chawla Textile                  1200580294519 3606360000
                 827   Fine Processing                 1712320000419 9657111000
                 828   J.J. Terry International        1750590010819 5734357207
                 829   Mashallah             Dyeing 1100511122719 1857111000
                       Bleaching
                 830   Maqsood Industries              1750520901646 3064427915
                 831   Quality Bleaching               1100511114637 2747111000
                 832   Stallion Textiles (Pvt) Ltd.    1201620010082 1746951000
                                                           (Rizwan Salabat)
                                                        Second Secretary Tariff
                                                             ( ST & FE )
                                    _______________


C.No.1(15)STT/2005                                       Islamabad, 30th July, 2008
                 SALES TAX GENERAL ORDER NO.36/2008
     In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.17 of 2007 dated the 13th September,
2007, namely:-
    In the aforesaid General Order, in the Table-,
       (a) against S.No.162 in column (1), in column (4), after the figure
           “41100030171” the figure “41100032081” shall be added;
       (b) against S.No.709 in column (1), in column (4), after the figure
           “41100029780” the figure “41100032423” shall be added; and
       (c) after serial number 894 in column (1) and the entries relating thereto in
           columns (2), (3) and (4), the following new serial number and the entries
           relating thereto shall be added, namely:-
                                        492Z(xxxviii)
G.O. No. 36 of 2008                                              Law & Practice of Sales Tax

             895       Chiniot Textile Mills               0305520201064      41100030803
             896       Dawood Usman Textiles               0891999110773      31100011881
             897       Resham Textile Industries           0305520206191      46100000322
             898       Redco Textile Limited               0702520800182      71100008799
                                                                              71100010268
             899       Sharif Fabrics                      0410520800119      19100000094
                                                                              19100000027
             900       Sheikhupura Textile Mills           0305520200491      41100030814
                                                                (Rizwan Salabat)
                                                             Second Secretary Tariff
                                                                  ( ST & FE )
                                        _______________


C.No.1(15)STT/2005                                      Islamabad, 19th September, 2008
                SALES TAX GENERAL ORDER NO.37/2008
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.07 of 2007 dated the
13th September, 2007, namely:-
     In the aforesaid General Order, in the Table-,
     (a) against S.No.603 in column (1), in column (4), after the figure
          “BL000353” the figure “AP055150” shall be added;
     (b) against S.No.983 in column (1), in column (3), for the figure
          “1100910383755” the figure “1100610383755” shall be substituted;
          and
     (c) after serial number 1021 in column (1) and the entries relating
          thereto in columns (2), (3) and (4), the following new serial numbers
          and the entries relating thereto shall be added, namely:-
           1022       Ahsan Towel                       1200590755291 AP-074039
                                                                        AP-057903
                                                                        AP-085712
           1023       Febricon Knitting                 1200610308273 AP-079253
           1024       Interasia Textiles                1100119014791 2500465582839
           1025       Mujtaba Textile                   1200590755291 AP-069514
           1026       Naeem Towel Factory               1100580239764 AP-087043
           1027       National Colloid Industry         0106130200146 2511278314059
           1028       New Zeenat Textile Mills          1201580201864 2606467641185
           1029       Shariq Enterprises                1201580204919 AP-059700
                                                                        AP-058291
           1030       Taimur Textile Industries         1100580204282 AP-066779
           1031       Universal Embriodery              1712581000228 2808466813097
                                                                (Rizwan Salabat)
                                                             Second Secretary Tariff
                                                                  ( ST & FE )
                                        _______________
                                     492Z(xxxix)
General Orders                                                  G.O. No. 39 of 2008

C.No.1(15)STT/2005                              Islamabad, 19th September, 2008
                SALES TAX GENERAL ORDER NO.38/2008
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.08 of 2007 dated the
13th September, 2007, namely:-
     In the aforesaid General Order, in the Table-,
     (a) against S.No.199 in column (1), in column (4), for the figure
          “20122118061007R” the figure “24122118061009R” shall be
          substituted; and
     (b) after serial number 690 in column (1) and the entries relating thereto
          in columns (2), (3) and (4), the following new serial numbers and the
          entries relating thereto shall be added, namely:-
        691      Akbar Siddique Tannery         0301420500846   20172135161009U
        692      Ayeshi Weaving Mills           0304520805319   27163121045007U
        693      Fazal Tanneries                0301410500773   20172135145000U
        694      Bismillah Callendering Works   0300491000164   20113302759005U
        695      Dost Muhammad Industries       0303520301155   27142109541025U
        696      Golden Textile Mills           0305520211128   24191990610021U
        697      Looptex                        0305590002264   24121324014020U
        698      Millennium Textile             0304590700719   24153191015005U
                                                                20153103138019U
        699 Mechanzie Fabrics International     0305511100646 24122592209035U
        700 Rehman Brothers & Co.               0305420301082 20172134989002U
                                                                24172124010017U
                                                                20172134991008U
        701 Sadar Ali Akhtar Ali (Pvt) Ltd      1313420300155 20172134962003U
        702 Shan Tanneries                      0301420500273 20172135203009U
                                                                20172135189007U
        703 Shifa Textiles                      0302511125437 24171190030051U
                                                                20171132912009U
        704      S.K. Cotton W/F                0301520502064 24174120700045U
        705      SKD Super Polyester Industry   0301550300319 24123590012829U
        706      Synt Textile Industries        0301511105719 24171400030045R
        707      Victory Tannery                0301420500355 20172135200002U
                                                         (Rizwan Salabat)
                                                      Second Secretary Tariff
                                                           ( ST & FE )
                                    _______________

C.No.1(15)STT/2005                         Islamabad, 19th September, 2008
               SALES TAX GENERAL ORDER NO.39/2008
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.09 of 2007 dated the
13th September, 2007, namely:-
                                         492Z(xl)
G.O. No. 39 of 2008                                          Law & Practice of Sales Tax

    In the aforesaid General Order, in the Table-,
    (a) against S.No.6 in column (1), in column (4), after the figure
         “24312353047403U” the figure “24312555027005U” shall be added;
    (b) against S.No.132 in column (1), in column (4), after the figure
         “24312555030153”           the        figures     “24312555085102U”
         “24312555092005U” and “24312555085059U” shall be added;
    (c) against S.No.377 in column (1), in column (4), for the figure
         “2433355502304U” the figure “24333555023004U” shall be substituted;
    (d) against S.No.465 in column (1), in column (4), for the figure
         “24399252041006U” the figure “24333252041006U” shall be
         substituted;
    (e) against S.No.543 in column (1), in column (4), after the figure
         “24312353073008U” the figure 24312555058276U” shall be added; and
     (f) after serial number 865 in column (1) and the entries relating thereto
         in columns (2), (3) and (4), the following new serial numbers and the
         entries relating thereto shall be added, namely:-
     866 Adil Hassan Textiles                       0890999177119   24312454067404U
     867 Aamer Hosiery                              0801600002719   22321415120001U
                                                                    22321414842001U
     868   A.B Textiles Industries                  2400590000446   24311555053101U
     869   Al Buraq Textile Industries              2400520800273   24322454032137U
     870   Al Kareem Industries                     0800520808528   24313858076084R
     871   Al- Ghani International                  0404520901582   24313454082002U
                                                                    24313454081003U
     872   Ali Textiles                             0891999121664   24313757032009U
     873   Ali Weaving                              2400520802582   24312555099035U
     874   Abeeha Weaving                           0801520875837   24313454003008U
     875   Ahad Textiles (Pvt) Ltd                  0802520904955   24314353006008U
     876   Ahmad Ali Paracha Textile Industry       0800590004573   24314353022035R
     877   Amjad Weaving Factory                    2400520802828   24321555021000R
     878   Areeha (Pvt) Ltd.                        0801520500119   24334151006002U
     879   Asad Textiles                            0801520920055   24314353030008R
     880   Badar-ud-Din Weaving W/F                 0803520809664   22321151008112U
                                                                    22321116054005U
                                                                    22321116304003U
     881 Bashir Ahmad Weaving                       0801520813882   24313656007102U
     882 Bashir Weaving                             0801520895482   22312676022605U
                                                                    24312757035301U
     883 Best Embroidery Fabrics                    2400581000355   24313252048557U
     884 Champion International                     0801610300382   22321414805202U
                                                                    22321414805006U
     885 Crown Fabrics                              0803520908255   24312353102502U
     886 Data Yarn Industry                         0800520500619   24311454035100R
                                                                    24311656022007R
                                    492Z(xli)
General Orders                                                  G.O. No. 39 of 2008


    887 Dawood Usman Textiles                   0891999110773   24312555072250U
    888 Fauji Fabrics                           0801520899691   22312777002801U
                                                                24312757030208U
    889 Farhat Textiles                         2400590002591   24313757018221R
    890 Farhat Weaving Factory                  0801520844328   22312575001203U
                                                                24312353113000U
                                                                24312555001504U
                                                                24312555032053U
    891 Farrukh Kamran Fabrics                  0801520843337   22312373001506U
                                                                24312555085503U
    892   H.A. Haq Spinning Mills               0803520504982   24313757096707R
    893   Habib Calico Weaving Industry         0890999937464   24313757069504R
    894   Hafeez Knitwear (Pvt) Ltd             0890999953864   31200802002
    895   Hassan Spinning Mills Ltd.            0404520201482   24313757092015R
    896   H. Azam Enterprises                   0803520205582   24314555030008R
    897   Himalaya W/F                          0803520905446   24321151050351U
                                                                22321100695004U
    898 I.A. Textiles                           0880520907891   24313858064051R
                                                                24313454051107R
                                                                24311353003111U
                                                                24321151009503U
    899 Javaid Imran Weaving Factory            0803520837055   24321151052117U
    900 Kalash (Pvt) Ltd.                       0891999123073   24312757011602U
                                                                24312757014690U
    901   Khawaja Cotton Industry               0403620000164   24313454002009R
    902   Khalid Mahmood W/F                    0801520821964   24312757029504U
    903   Kundan Textiles                       0800520808455   24312555030135U
    904   Khurram Abid W/F                      0803520809746   24321151006203U
                                                                22321116310005U
    905   K.Z. Weaving Factory                  2400844600646   24321151052091U
    906   Lahore Weaving Factory                0800520807619   23322411488003U
    907   Mahboob Amin Pvt Ltd.                 0405520901573   24313858054008R
    908   Makkah Weaving Factory                2400590002837   24313858014150R
    909   Mansoor Textile Mills                 0802520811973   24312555085834U
    910   MOAB Textiles                         0800590001437   22321151004606U
    911   Moazam Textiles                       0801520800428   24312353075505U
    912   Moheet Textile Mills                  0803520010382   24321555121009R
    913   Moaaz Hussain C/Waste Processor       0801520300391   24313858037108R
    914   Muhammad Rafiq Dhlai Works            0801320000528   24322454032155U
    915   Muhammad Saeed C/W Merchant           0802140400182   24311454031505U
    916   Muhammad Saleem W/ F                  0802520807446   24313858070053U
    917   Muslim Textile Industries             0403511104537   24312353022509U
    918   Musa Fabrics                          0802630502982   24314353012037R
    919   Nasir Weaving Factory                 0891520800191   24312656099308U
                                     492Z(xlii)
G.O. No. 39 of 2008                                        Law & Practice of Sales Tax

     920 Naseem Fabrics                           0890999137691   22312676033808U
                                                                  24312656090502U
     921 Noor Fabrics W/F                         2400520801591 24312555102030U
     922 Pak Cotton Waste Products                0802520201873 24313757026007U
                                                                  24313757027006U
     923 Qamar Weaving Factory                    0801520893573 24322252033045U
     924 Royal Weaving                            0801520884337 24312353024605U
                                                                  22312575012308U
                                                                  22312575012503R
                                                                  22312575012406R
     925   Rafia Weaving Factory                  0800844600982 24312353009604U
     926   Saim Weaving Factory                   2400520803246 24321555153000U
     927   Seven Seas Exports                     0890999102455 22312474042406U
     928   Shahzada Javed Weaving Factory         0801520873937 24312555087075U
     929   Shafi Textiles                         0801520863382 24312555083505U
                                                                  24312555083453U
     930   Shafiq Hosiery Finishing Plant         0800320000537 24321555165006R
     931   Shahzad Weaving Factory                0800520804319 24311454029171R
     932   Shaheen Fabrics                        0801520825019 24313252038201U
     933   S.B. Weaving Factory                   2400521001146 24312555058150U
     934   S.B. Textile Industries                0803520807019 24313858022098R
     935   S.T. Textiles                          0800590002346 24312555092201U
     936   Star Weaving                           0804520800982 24333252004305U
     937   Star Weaving Factory                   0800520807537 24322454027125U
     938   Silver Industry                        0801520901246 24312454066003U
     939   Supreme Fabrics (Pvt) Ltd              0890999938528 24312757011700U
     940   Taj Muhammad Weaving Factory           2400520803082 24321555107007R
                                                                  22321505333002R
     941 Tariq Khalid Weaving                     2400844601064 24311454036010R
     942 T.M. Weaving Factory                     0800999903291 24313858062053U
     943 Tayyab Bilal Fabrics                     2400520801182 23322412000000U
                                                                  24322454001009U
     944   The Master Fabrics                     0891999116064 24312353054001U
     945   Wanhar Textiles (Pvt) Ltd.             0404520202628 24313858014007U
     946   Zainab Chemicals                       0801290000655 24312555085807U
     947   Zia-Ul-Qamar Spinning Mills            0802520904791 24313858037000U
     948   Zia Fabrics                            0800520800846 24313454070275R
     949   Z.H. Textiles                          0800520808037 24311252017002U
     950   Z.M. Doubling                          2400520500382 24312555093656U
     951   Zubair Weaving Factory                 0802520800173 24313858082004U
     952   Zulfiqar Weaving                       0800520808373 24312353036406U
                                                          (Rizwan Salabat)
                                                       Second Secretary Tariff
                                                            ( ST & FE )
                                  _______________
                                          492Z(xliii)
General Orders                                                           G.O. No. 41 of 2008

C.No.1(15)STT/2005                                       Islamabad, 19th September, 2008
                 SALES TAX GENERAL ORDER NO.40/2008
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.10 of 2007 dated the
13th September, 2007, namely:-
     In the aforesaid General Order, in the Table-,
     (a) against S.No.133 in column (1), in column (2), for the words “Thal
          Jute Mills” the words “Thal Limited” and in column (3), for the
          figure “0402531000164” the figure “1201841500164”shall be
          substituted; and
     (b) after serial number 161 in column (1) and the entries relating thereto
          in columns (2), (3) and (4), the following new serial number and the
          entries relating thereto shall be added, namely:-
                 162         Lal Industries             0490999945328 27512611473006U
                                                                      21512611477005U
                                                                      27512623530119U
                                                                      27511500146036R

                                                                 (Rizwan Salabat)
                                                              Second Secretary Tariff
                                                                   ( ST & FE )
                                        _______________


C.No.1(15)STT/2005                                       Islamabad, 19th September, 2008
               SALES TAX GENERAL ORDER NO.41 /2008
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.11 of 2007 dated the
13th September, 2007, namely:-
     In the aforesaid General Order, in the Table, after serial number 260 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:-
        261      Acelin Sports                          0905950614919 21241120330002U
        262      Alberta Sports                         0905420306055 27241119832004U
        263      Associated Traders                     0905999927828 21241120251007U
        264      Capital Sports Corp.                   0905420305973 21243703543006R
                                                                      27241312506000R
                                                                      24241312501002U
        265 Cosmopolitan Enterprises                    0905420509691 27243611513004R
        266 Dar Expo                                    0905999928164 21241120323001U
                                    492Z(xliv)
G.O. No. 41 of 2008                                        Law & Practice of Sales Tax

         267   Esgro Sports                      0905420345837   21241407229007U
         268   Eureka Industries                 0905999975591   24242206361004U
         269   Fast Fly Impex                    0905999979064   27242105538009U
         270   Glance Leather Industry           0905420323064   24242212543003U
                                                                 27242209896005R
         271 Mecca Tanneries                     0905420504491 24243104805004U
                                                                 24243104820005U
         272 Technimen Agha (Pvt) Ltd.           0905999983264 24241410960017U
                                                          (Rizwan Salabat)
                                                       Second Secretary Tariff
                                                            ( ST & FE )
                                  _______________

C.No.1(15)STT/2005                          Islamabad, 19th September, 2008
               SALES TAX GENERAL ORDER NO.42/2008
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.14 of 2007 dated the
13th September, 2007, namely:-
     In the aforesaid General Order, in the Table, after serial number 37 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial number and the entries relating thereto shall be added,
namely:-
       38 Abasyn Color Polyester 0506551100428 24634400467002U
             (Pvt) Ltd.
                                                          (Rizwan Salabat)
                                                       Second Secretary Tariff
                                                            ( ST & FE )
                                  _______________


C.No.1(15)STT/2005                                Islamabad, 19th September, 2008
                SALES TAX GENERAL ORDER NO.43/2008
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.16 of 2007 dated the
13th September, 2007, namely:-
    In the aforesaid General Order, in the Table-,
     (a) against S.No.675 in column (1), in column (4), after the figure
         “13448669” the figure “7020290000” shall be added;
     (b) against S.No.705 in column (1), in column (4), after the figure
         “2115905714” the figure “0729465” shall be added; and
                                    492Z(xlv)
General Orders                                                   G.O. No. 44 of 2008

    (c) after serial number 832 in column (1) and the entries relating thereto
        in columns (2), (3) and (4), the following new serial numbers and the
        entries relating thereto shall be added, namely:-
            833   Interasia Textiles                1100119014791     2456986566
            834   National Colloid Industry         0106130200146     3515261000
                                                          (Rizwan Salabat)
                                                       Second Secretary Tariff
                                                            ( ST & FE )
                                  _______________

C.No.1(15)STT/2005                            Islamabad, 19th September, 2008
                SALES TAX GENERAL ORDER NO.44/2008
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.17 of 2007 dated the
13th September, 2007, namely:-
     In the aforesaid General Order, in the Table-,
    (a) against S.No.189 in column (1), in column (4), for the figure
        “41100016166” the figure “41100035187” shall be substituted;
    (b) against S.No. 414 in column (1), in column (2), for the word
        “Kashif” the word “Furqan” and in column (4), for the figure
        “31100010059” the figure “31100013069” shall be substituted; and
    (c) after serial number 900 in column (1) and the entries relating thereto
        in columns (2), (3) and (4), the following new serial numbers and the
        entries relating thereto shall be added, namely:-
      901 Aamer Hosiery                             0801600002719    31200613400
          Anam Weaving Mills                        0304520803419    41100031970
      902 Champion International                    0801610300382    31200575609
      903 Capital Sports Corp.                      0905420305973    5800050600
      904 Dar Expo                                  0905999928164    58200168602
      905 Ferozedin Textiles                        0802520807364    31200189400
      906 Glance Leather Industry                   0905420323064    58200101304
      907 Golden Textile Mills                      0305520211128    41100032315
      908 Hafeez Knitwear (Pvt) Ltd                 0890999953864    31200802002
      909 Haroon Textile Industries                 0904511101437    51100015539
      910 Kalash (Pvt) Ltd.                         0891999123073    31100012817
                                                                     31100011364
      911    Mecca Tanneries                        0905420504491    58200196609
      912    Millennium Textile                     0304590700719    41100033909
      913    Moheet Textile Mills                   0803520010382    31100010747
      914    Muhammad Rafiq Dhulai works            0801320000528    31200817804
      915    Naveena Industries                     1204520900291    15100002667
      916    Shafiq Hosiery Finishing Plant         0800320000537    31100011029
                                    492Z(xlvi)
G.O. No. 44 of 2008                                        Law & Practice of Sales Tax

       917 Wisal Kamal Fabrics                      0308520201864 42100002508
       918 Zainab Chemicals                         0801290000655 31200605007
                                                          (Rizwan Salabat)
                                                       Second Secretary Tariff
                                                            ( ST & FE )
                                  _______________


C.No.1(15)STT/2005                                  Islamabad, 7th November, 2008
               SALES TAX GENERAL ORDER NO.45/2008
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.07 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after S.No.1031 in column
(1) and the entries relating thereto in columns (2), (3) and (4), the following
new serial numbers and the entries relating thereto shall be added, namely:–
1032     Al-Haram Textiles                       1201580200873          AP-086997
                                                                        AP-059569
1033     Al-Rehman Dyeing                        1750600000155      2850365794384
1034     Al-Reman Weaving Factory                1750520901491      2550157550176
1035     Bari Textile Mills                      1700620019391      2911166310202
1036     Data Sahib Bleaching Factory            1100580221682      2650355846123
                                                                    2650355846085
                                                                    2650355846107
1037     Eltee Krafts                            1100119035037      2606467674237
1038     Fabrico International                   1100520869382      2550157559831
1039     Faisal Weaving Factory                  1100520859228      2750167550157
1040     G.A. Sons                               1700580203728          AP-074241
1041     Hafiz Textile                           1750590012555          AP-070853
1042     Imran Silk Industries                   1700520000164      2950365735056
                                                                    2550365755792
1043     Khan Industries                         1100520860037      2806467425910
1044     Madina Textile Mill                     1200520831328          AP-074927
1045     M.A. industries                         1100580243219      2706467442977
1046     Muhammad Dyeing& Bleaching              1100340201382          AP-082954
                                                                        AP-082177
1047     Qamartex                                1750590009682      2606467674288
1048     Sajid Azeem Textiles                    1750590012228          AP-077729
                                                                        AP-071895
1049     Sarah Kamal                             0203580858855          BL-002081
                                    492Z(xlvii)
General Orders                                                     G.O. No. 47 of 2008

1050      Shakir Industries                       1750520902228      2706467462870
1051      Sindh Trading Agency                    1200580287628          AP-082956
1052      Terry World Textile                     1100630200537      2550365767251
                                                                     2550365767693
                                                                     2550365763272
1053      Zainab Textile                          1700520801255      2506467412025
                                                         (Sajjad Hyder JhinJhin)
                                                         Second Secretary Tariff
                                                                  (ST&FE)
                                  _______________


C.No.1(15)STT/2005                                   Islamabad, 7th November, 2008
                 SALES TAX GENERAL ORDER NO.46/2008
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.08 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 707 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
708     Heera Embroidery                0302581000791              24112590310000U
709     Kohinoor Textile Mills          0702511100228              24191990580009U
710     Model Spinning                  0307520503664              27164400186003U
711     Silver Embroidery               0304581000446              24153230875000U
                                                     (Sajjad Hyder JhinJhin)
                                                     Second Secretary Tariff
                                                             (ST&FE)
                                  _______________


C.No.1(15)STT/2005                                  Islamabad, , 7th November, 2008
                 SALES TAX GENERAL ORDER NO.47/2008
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.09 of 2007 dated the
13th September, 2007, namely:–
      In the aforesaid General Order, in the Table–,
       (a) against S.No.82 in column (1), in column (4), after the figure
           “311353025204U”        the    figures    “24321151040005U”
           “24322151031103U” and “24322554035113R” shall be added;
                                492Z(xlviii)
G.O. No. 47 of 2008                                Law & Practice of Sales Tax

     (b) against S.No.119 in column (1), in column (4), after the figure
         “24322252013030U” the figure “23322202270099U” shall be added;
     (c) against S.No.158 in column (1), in column (4), after the figure
         “21332222006410R” the figure “24312656062007U” shall be added;
     (d) against S.No.176 in column (1), in column (4), after the figure
         “24322454015003U” the figures “23322400963000U” and
         “23322400985004U” shall be added;
     (e) against S.No.363 in column (1), in column (4), after the figure
         “23311272044303U” the figure “24311454030105R” shall be added;
     (f) against S.No.437 in column (1), in column (4), after the figure
         “24313252046005” the figures “24313757001364U” and
         “24313858038009U” shall be added;
     (g) against S.No.505 in column (1), in column (4), after the figure
         “5306600-7U” the figures “24312555019103U” “24312555016008U”
         and “22312575001604U” shall be added;
     (h) against S.No.521 in column (1), in column (4), after the figure
         “5702200-1R” the figure “24313757029709R” shall be added;
     (i) against S.No.554 in column (1), in column (4), after the figure
         “24321555044557U” the figure “24312454004204U” shall be added;
     (j) against S.No.647 in column (1), in column (4), after the figure
         “24322454032146U” the figure “24322454032075U” shall be added;
     (k) against S.No.672 in column (1), in column (4), after the figure
         “24312555075104U” the figure “24313858079170R” shall be added;
     (l) against S.No.679 in column (1), in column (4), after the figure
         “24311454029000R” the figure “24311454029055R” shall be added;
    (m) against S.No.700 in column (1), in column (4), after the figure
        “24313555053101U” the figure “24311656009004U” shall be added;
     (n) against S.No.790 in column (1), in column (3), for the figure
         “0890999978382” the figure “0890999939364” shall be substituted;
     (o) against S.No.820 in column (1), in column (4), after the figure
         “24312656099102U”       the     figures   “24312555086110U”
         “24312555085308U” and “22312575014903U” shall be added;
     (p) against S.No.831 in column (1), in column (3), for the figure
         “0303320001673” the figure “0803320001673” shall be substituted;
     (q) against S.No.898 in column (1), in column (4), after the figure
         “24321151009503U”       the     figures   “24311353001122U”
                                     492Z(xlix)
General Orders                                                G.O. No. 47 of 2008

          “24322151031121U” “24322151031005U” “24323151021006U”
          “24311353028112U” and “24311353001104U” shall be added; and
      (r) after serial number 952 in column (1) and the entries relating thereto
          in columns (2), (3) and (4), the following new serial numbers and the
          entries relating thereto shall be added, namely:–
953      AA Sizing Ind.                     0801520838064     24321454074002U
954      Abid Javeed W/F                    2400521001973     24321555205008R
955      Abdul Jabbar W/F                   0801520821628     24313454021275U
                                                              24313474009709U
                                                              24313454021275U
956      Abdul Razak W/F                    0803520808182     24311252021051U
957      Abdul Qadoos W/F                   0801520897791     24312353118005U
                                                              22312373020004U
958      Abdul Aziz W/F                     0804511100119     24333151037006U
959      Aftab Weaving                      0804520806928     24333555010009U
960      Aftab Brothers                     0803520204837     24322252069266U
961      Afzal Yaqoob Weaving Factory       0800520801264     21333131007803U
                                                              21333131013404U
                                                              21333131006010U
                                                              21333131014207U
962      Akram Weaving Factory              2400590900291     24322252029265U
                                                              24322252029292U
963      Al-Burhan         Elastomeric      0890999176464     24312555099053U
         Manufacturing
964      Al-Fateh Cotton Waste Factory      0800550500273     24313454056004R
965      Al-Madina W/F                      0803520827237     24311656008005U
                                                              24311656003000U
966      Al-Multan Weaving Factory          0802520812964     24313858017059U
967      Ali Enterprises                    2404520500182     24331858002009U
                                                              24331353002001U
968      Ali Fiaz Weaving Factory           0801520914782     24312353003003U
969      Ali Hajvari Sizing Industry        0800590002837     24321656060008U
970      Ali Hussain Fabrics                0800844600319     24311252032021U
971      Al-Rehmat Textiles                 0405511118973     24314353016024U
972      Aleem Zaid Weaving Factory         2400844601146     22312777025154U
973      Ahmed Enterprises                  0800840002419     24334151012068U
974      Aamer Sizing Industries            0801520841019     24322151033904U
                                                              23322101046005U
975      Amir Shehzad Ind.                  0803520904119     24313757073107R
                                        492Z(l)
G.O. No. 47 of 2008                                      Law & Practice of Sales Tax

976      Amir Weaving Factory                 0801520853228    24312555086110U
                                                               24312555085308U
                                                               22312575014903U
977      Ansari W/F                           2400520801837    24322454013014U
                                                               23322408529000U
                                                               23322408533004U
978      Arfat Weaving Factory                0801520885991    24313858022052U
979      Arfa Knitting                        0800610300137    22312474005009U
980      Arshad Ali W/F                       0800520810664    24312555010308U
981      Aslam Dyeing & Finishing             0800320000619    23311272090208U
                                                               23311272090805U
982      Asad ullah Fabrics                   0800520900591    24312555085175U
983      Asif Weaving Factory                 0800520810255    24313858070080R
984      Ashraf W/F                           0801520894237    24312555085709U
                                                               22312373015403U
985      Awais Weaving                        2400520800846    24313454003277U
986      Azhar Mehmood W/F                    2400844600728    24321151051225U
987      Azeem Weaving Factory                0801520896137    22312777010204U
988      Bari Sizing Industry                 2400820800355    22321502343052R
989      Bilal Qayyum Embroidery              0800581000764    22313878129001R
990      Bilal Sizing Industry                0800520501373    24321555013000U
991      Bismillah Sizing Ind.                2400520802337    24321555185002U
992      Cotton Lint Group                    0800844600728    24313454070159R
993      Din Weaving Factory                  0804520818319    21333131011629U
                                                               24333151034009U
994      Elegant Enterprises                  2400590000519    24314353012046R
995      Em Jay Exports                       0890999906682    24313858084002U
996      Farhan Weaving Factory               0800520804728    24313858069109R
997      Faisal Bilal Weaving Factory         2400980000473    24312555001103U
998      G.H.K Textiles Mills                 2400590004655    24314555011029R
999      Ghulam Abbas W/F                     0802520906937    24313858070017U
1000     G.M. Sons                            0803520905855    24311454030007R
1001     Grip Master International            0890999166973    24312555083159U
1002     Haji Bux Elahi & Sons                1100540200591    24312555099026U
1003     Hala Industries                      2400551200282    24313656005060R
1004     Hasan Bilal Textile                  0800844601973    24312555093308U
1005     Hassan Sizing Industries             0801520835828    22321407892004U
                                                               22321407893003U
1006     H M Bashir Sizing Ind.               2400520805891    24321555184003U
                                       492Z(li)
General Orders                                               G.O. No. 47 of 2008

1007    Iqbal Weaving Factory                0800520802091   22312777035303U
                                                             22312777035606U
1008    Imtiaz Weaving Factory               0802520909419   24313858084084R
                                                             24313858084155U
1009    Izzan Weaving                        2400520800437   24311353026007U
1010    Jamal Fabrics                        0800520807382   24312757014609U
1011    Jamal Industries                     0801521000146   24312555092256U
1012    Javed Ahmad W/F                      0800830000773   24313858054053U
1013    Jeelani Weaving Factory              0803520807437   24311252021060U
                                                             23311272081904U
1014    Kamran Textile                       0407520900155   24313858054026R
1015    K.K. Weaving                         0802520805537   24311454035066U
1016    Klash (Pvt) Ltd.                     0891999123073   24312757003201U
1017    Lahore Fashions                      0803620003191   22313474004134U
1018    Laiba Weaving Factory                2400520800928   24312353036503U
1019    Lala Afzal W/F                       0803520823764   24321555002003U
1020    Lyallpur Terries                     2400290000173   24314353001012R
1021    Makki Data Sizing                    2400510900191   24321555110002U
1022    Madina Weaving Factory               0801520914037   24313555010003U
1023    Maan W/F                             0802520813619   24313858014052R
1024    Manzoor Hussain W/F                  0800844602219   24312757014654U
                                                             22312777002909U
1025    Majestic Garm2ents (Pvt) Ltd         0801520918582   24312353031553U
1026    Mashallah Weaving Factory            0801520897128   24312353031704U
1027    Mateen Ghafoor W/F                   2400520806473   24321555026023U
1028    Mehboob-e-Zaat Textile Ind.          2400520803164   24311656010001R
1029    Mehmood Industry                     2400731900291   23311272000500U
1030    Mehmood Ul Hassan W/F                0800844602055   24321151008121U
1031    Marium Fabrics                       0803590003719   24322353068502U
1032    M.J. Exports                         0890999906682   24313858084002U
1033    Mian Embroidery                      0800581000191   22313272040254U
1034    Mian Shahid W/F                      0802520813955   24314555039018R
1035    MFC Textiles Industries              0802520907019   24313858029000U
                                                             24313858028001U
1036    M.Iqbal W/F                          0802520906855   24313858071007U
                                                             24313858071052R
1037    Muhammad Anwar W/F                   0801520833019   24321151004107U
1038    Muhammad Imran W/F                   0801520851573   24312555099008U
1039    Munir Ahmad Power Looms              2400520804982   24321555050004U
1040    Nadeem Weaving Factory               0801520893737   24312555028004U
                                     492Z(lii)
G.O. No. 47 of 2008                                    Law & Practice of Sales Tax

1041     Naseem Textile                     0801520879637    24312555093601U
1042     Nasir Shafiq W/F                   2400520804564    24321656027000U
1043     Noor Enterprises                   0800520501119    24312555091202U
1044     Noorani Weaving Factory            0800844601637    24313858014061R
1045     New Safina Sizing Ind.             0801520840937    22312777000705U
1046     New Shaheen W/F                    0800520809028    24313858057005U
1047     Nisar Hameed Textiles              0803520904782    24312353097000U
                                                             24311252085018U
1048     Nizami Weaving Factory             2400520801428    24322151033290U
1049     NS Textiles                        0804520818564    21333535007805R
                                                             21333535017402R
                                                             21333535018205R
1050     Opal Weaving                       0801520830382    24321656021006R
1051     Pakistan C/W Processing Ind.       0802520204846    24314555043003R
1052     Pakistan Interlining Processing    2400590006228    24312353038752U
         & Ind.
1053     Philco Industry                    0802520813382    24311353025124U
1054     Rauf Weaving                       0802520813128    24313858076057R
1055     Rasheed Weaving Factory            0801520893655    24313454075109U
1056     Rafiq W/F                          0800520808946    24333151036007U
                                                             21333131006403U
                                                             21333131006207U
1057     Rehman Cotton Textiles             0800520900428    24312555054127U
1058     Rehman Textiles                    2400590005155    24311252121069U
1059     Rehmat Textiles                    0404520901419    24314353022008U
1060     R G M Weaving Factory              0802520800582    24313858060055U
1061     R.J. Textile                       0803520829882    24321151051804U
1062     S A Weaving Factory                2400520804646    24321151004517U
1063     Safina Exports                     0800520900346    24313858078206R
1064     Safina Weaving                     0801520883919    24311252047006U
1065     Salahuddin Textile                 0803520828482    24321151005507U
1066     Saleem Azeem W/F                   0800520804564    24333555022005U
1067     Saleem W/F                         0804520818491    24333151043008U
1068     Shabbir Embroidery                 0802581003482    22313474040005R
1069     Shenaz Begum W/F                   0802520806455    23322412715006U
                                                             23322412716005U
                                                             24312555092130U
1070     Shehzad Industries                 2400581000437    23311272006504U
1071     Sheraz Faraz Cotton Waste          2400520201064    24322252069220U
                                                             23322202267003U
                                   492Z(liii)
General Orders                                                   G.O. No. 47 of 2008

1072    SUKH Tex                           0801520899855        24312757030253U
                                                                22312777004701U
                                                                22312777004603U
1073    Tayyab W/F                         0801520893164        22312777035401U
                                                                22312777035508U
                                                                22312777035704U
1074    Tariq Mehmood W/F                  0802520805464        24313858069001U
1075    Tariq Javed W/F                    0803520838873        24321151004526U
1076    Toheed Ahmed W/F                   2400520805973        24321555077003U
1077    Ussama Weaving Factory             0803520837391        21333232007104R
                                                                21333232007701U
                                                                21333232019002U
                                                                21333232015907U
                                                                21333232015809U
1078    Waqar Sizing                       0800520803082        22321500268002R
1079    Waqas Industries                   0800520803991        24313454065012U
1080    Zaib & Bilal Textiles              0803520835237        24321151008005U
1081    Zanib Weaving Factory              0804520818728        24333252054000U
                                                                24333252017006U
                                                                24333252037002U
1082    ZIS Textiles (Pvt) Ltd             0890999142546        24313757040508U
1083    Zinnab Spinning Mills              0803520504646        24322454032075U
1084    Zulqarnain Weaving                 0800520808119        24311353026105U
                                                                24311252017011U
                                                    (Sajjad Hyder JhinJhin)
                                                    Second Secretary Tariff
                                                           (ST&FE)
                                 _______________


C.No.1(15)STT/2005                                 Islamabad, 7th November, 2008
                 SALES TAX GENERAL ORDER NO.48/2008
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.10 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 162 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
163    Ghous Fibre Mills                0407551100264           27513700081000U
                                         492Z(liv)
G.O. No. 47 of 2008                                             Law & Practice of Sales Tax

164    Muzammil Traders                       0407999939246           21512611318008U
                                                                      21512611317018U
                                                                      18512609819002U
165    Nazim cotton & C/W Factory             0407520190482           27513229721006U
166    Sardar Jhandir Industries              0407520117891           27535413310007U
                                                         (Sajjad Hyder JhinJhin)
                                                         Second Secretary Tariff
                                                                (ST&FE)
                                       _______________


C.No.1(15)STT/2005                                       Islamabad, 7th November, 2008
                SALES TAX GENERAL ORDER NO.49/2008
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.11 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 272 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
273    Abdul Rahman Silk Factory               0900500402128          24212611951016R
274    A.N. Traders (Pvt) Ltd                  0905950641319          21241418390007U
                                                                      10241418523000U
275    Ahad Majeed Silk Factory                2500500400891          24212610749006U
276    Anwar Khawaja Industries                0905420305555          24241119726000U
                                                                      24241119936006U
                                                                      24242104999001R
277    Arif Habib Ullah Silk Factory           0900500401628          21211320963008U
278    Asma Silk Factory                       2502500700191          27211251103003U
279    Asim Silk Factory                       0900500401546          24212604895001U
280    Butt Spinning Mills                     2500550100128          24213300155000U
281    Fahad Ehsan Silk Factory                2500500400637          27221320086023R
                                                                      21221320086017U
282    Hafiz Silk Factory                      2500500700455          27212421358003U
                                                                      21212604657005U
283    Hafiz Brothers Silk Factory             0903520100055          21212610207016U
284    Hassan Silk Factory                     0900500402382          27212421371006U
285    Hasnain Silk Factory                    2500521000555          24212421539011U
286    Ilyas Enterprises                       0900500402873          24221320218003U
                                      492Z(lv)
General Orders                                                    G.O. No. 49 of 2008

287   Imtiaz Silk Factory                  2500521000973         27212421185002U
                                                                 21212421186004U
288   MAZCO Industries (Pvt) Ltd.          0305100600955         24224200044004U
289   Madina Industry                      0900500700782         24212604891005U
290   Mehran Silk Factory                  0900500401473         24212604906008U
291   Mushtaq Weaving Factory              2502530900146         24211320942008U
292   Nasim Ahmad Silk Factory             2500521000228         24212500026003U
293   Noor Ul Amin Industry                0900500402046         24212610750002U
294   Scimitar International               0905950609155         24242217194004U
                                                                 24242217193005U
                                                                 24241102537008U
295   Saeed Sports                         0905950619964         24241119869007U
296   Tahir Silk Factroy                   2502500400619         27212604374004U
297   Tayyab Silk Factory                  2502500400955         24212421352006U
298   Umair Silk Factory                   2502830000173         27212604575001U
299   Waseem Silk Factory                  2500521000719         24221320216005U
300   Zubair Silk Factory                  0900500401882         27212600050003U
                                                     (Sajjad Hyder JhinJhin)
                                                     Second Secretary Tariff
                                                            (ST&FE)
                                   _______________


C.No.1(15)STT/2005                                   Islamabad, 7th November, 2008
                 SALES TAX GENERAL ORDER NO.50/2008
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendment in its Sales Tax General Order No.12 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 44 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial number and the entries relating thereto shall be added,
namely:–
45     Noorei Textile Mills Ltd.          0101520500591          24722500002665U
                                                     (Sajjad Hyder JhinJhin)
                                                     Second Secretary Tariff
                                                            (ST&FE)
                                   _______________
                                     492Z(lvi)
G.O. No. 49 of 2008                                         Law & Practice of Sales Tax

C.No.1(15)STT/2005                            Islamabad, 7th November, 2008
               SALES TAX GENERAL ORDER NO.51/2008
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendment in its Sales Tax General Order No.14 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 38 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial number and the entries relating thereto shall be added,
namely:–
39      Olympic Socks (Pvt) Ltd           0701621700164             2464420002330U
                                          (Sajjad Hyder JhinJhin)
                                          Second Secretary Tariff
                                                      (ST&FE)
                                  _______________

C.No.1(15)STT/2005                                   Islamabad, 7th November, 2008
                SALES TAX GENERAL ORDER NO.52/2008
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.16 of 2007 dated the
13th September, 2007, namely:–
      In the aforesaid General Order, in the Table–,
      (a) against S.No.231 in column (1), in column (4), after the figure
          “3841831000” the figure “3187341000” shall be added; and
      (b) after serial number 834 in column (1) and the entries relating thereto
          in columns (2), (3) and (4), the following new serial numbers and the
          entries relating thereto shall be added, namely:–
835      Al-Rehman Dyeing                           1750600000155        2469811000
836      Ahsan Corporation                          1100511107391        3221831000
837      Bari Textile Mills                         1700620019391        4074153124
                                                                         8396605537
838      Data Sahib Bleaching Factory               1100580221682        2949811000
839      Decent Embroideries                        1100581002537        5534679105
840      Gul Ahmed Textile Mills Ltd.               0204511100255        3839978381
841      M.E. Industries                            1204999965573        9479863254
842      Maksons Textiles                           1200520016219        3120731000
843      Marfani Denim Mills                        1200581103437         M-0222479
                                        492Z(lvii)
General Orders                                                     G.O. No. 52 of 2008

844      Mortex International                         1100620060255      8659811000
845      Muhammad Dyeing&Bleaching                    1100340201382       M-0515927
846      Naqshbandi Industries Ltd.                   0204511101737      3408067368
847      Parsons Holding (Pvt) Ltd.                   1100600100655      4820731000
848      Qamartex                                     1750590009682      4180831000
849      Rabia Industries                             1100520853364      5915223039
850      Rizwan Enterprises                           1200520900155      5427867256
851      Silver Hosiery Mills                         1100119006937      4970831000
852      Terry World Textiles                         1100630200537      3746951000
                                                                         0746951000
853      Zahra Industries                             1200620021719      9001070000
                                              (Sajjad Hyder JhinJhin)
                                              Second Secretary Tariff
                                                       (ST&FE)
                                    _______________


C.No.1(15)STT/2005                                    Islamabad, 7th November, 2008
                 SALES TAX GENERAL ORDER NO.53/2008
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.17 of 2007 dated the
13th September, 2007, namely:–
      In the aforesaid General Order, in the Table–,
      (a) against S.No.194 in column (1), in column (4), after the figure
          “42100001691” the figure “42100002058” shall be added; and
      (b) after S.No.918 in column (1) and the entries relating thereto in
          columns (2), (3) and (4), the following new serial numbers and the
          entries relating thereto shall be added, namely:–
919       Ali Hajvari Sizing Industry                 0800590002837     31100011494
920       Aamer Sizing industries                     0801520841019     31100004878
921       Arshad Corporation                          0890999927719     31100013218
                                                                        31100013229
922       Aslam Dyeing & Finishing                    0800320000619     31200701905
923       Bari Sizing Industry                        2400520800355     31100011836
924       Bilal Sizing Ind.                           0800520501373     31100011546
925       Converters (Pvt) Ltd.                       0506480200173     41100033318
926       Crescent Bahuman Limited                    0304620069555     51101000150
927       Grip Master International                   0890999166973     31200649508
928       Heera Embroidery                            0302581000791     40231743802
                                       492Z(lviii)
G.O. No. 53 of 2008                                           Law & Practice of Sales Tax

929       H.M.Bashir Sizing Ind.                       2400520805891      31100013296
930       Latif Exports (Pvt) Ltd.                     0802511101537      31100013081
                                                                          31100013092
931       Makki Data Sizing                            2400510900191      31100011870
932       New Safina Sizing Industries                 0801520840937      31100002786
933       Nisar Spinning Mills (Pvt) Ltd               0309520501746      41100035110
934       Pakistan Interlining Processing & Ind.       2400590006228      31100011171
935       Waqar Sizing                                 0800520803082      31100011278
                                              (Sajjad Hyder JhinJhin)
                                              Second Secretary Tariff
                                                        (ST&FE)
                                     _______________

C.No.3(1)ST-L&P/08                       Islamabad, the 21st November, 2008
               SALES TAX GENERAL ORDER 54 OF 2008
Subjet: Exercise of powers by Federal Board of Revenue under section
         74 of the Sales Tax Act, 1990.
    Section 74 of the Sales Tax Act, 1990, empowers the Federal Board of
Revenue to extend any deadline or time limit provided in the Act for
making any application or performing an act. The Board receives several
requests for condoning time delays or allowing extension in exercise of
aforesaid powers. Almost all such cases require confirmation of factual
position. In order to ensure uniformity and transparency in such cases, the
Board is pleased to prescribe the following procedure for exercise of
aforesaid powers, namely:–
       (i) The registered person shall apply to the Collector having jurisdiction
           for extension of time period specifying the grounds for delay.
      (ii) The Collector after considering the grounds mentioned and any other
           information called for by him shall send his categorical
           recommendations regarding rejection or approval of the request
           specifying the reasons.
      (iii) In case of positive recommendations, the Collector shall also suggest
            the period of extension.
      (iv) In case, a request is directly received in the Board, the same shall be
           forwarded to the concerned Collector for action as aforesaid.
           However, in cases where the Board is satisfied that sufficient
           information is available, the orders as deemed fit may be passed
           without referring the matter to the Collector.
                                        492Z(lix)
General Orders                                                       G.O. No. 1 of 2009

       (v) The Collector shall forward his recommendation to the Board within
           fifteen days of the receipt of the application in RTO/LTU. In case the
           Collector calls for further information, the said period shall be
           reckoned from the day of receipt of such information.
   (vi) After receipt of recommendations from the Collector, the Board shall
        examine the request and the recommendations and communicate
        approval or rejection of the request to Collector as well as to the
        applicant.
                                                (Muhammad Sadiq)
                                               Secretary (ST&FE-L&P)
                                     _______________


C.No.1(15)STT/2005                                       Islamabad, 9th January, 2009
               SALES TAX GENERAL ORDER NO.01/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.07 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 1053 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
1054       Adamjee Enterprises                      1101620002746   24722500001915R
1055       Ahmed               Manufacturing        1712580200146     2505667240777
           Corporation                                                2505667240788
1056       Ali Sons Noble                           0201390006064     2605667346211
1057       Al-Karam Towel Ind.                      1712590039446     2400565812535
1058       Al-Mansoor Apparel                       1712620030228     2707455539491
1059       Amalgamated Textiles                     1100119009337     2306457425243
1060       Azam Textile                             1100580228619     2650355863338
1061       Buksh Industries (Pvt) Ltd               1100600101646          AP057939
                                                                           BL001969
                                                                           AL298561
1062       Faisal Industries                        1750590011982     2506467478627
1063       Great International                      1712630200746     2608456705354
1064       Hameeda & Rasheeda Bano                  1712521002591     2505667241897
1065       Hina Enterprises                         1100520988673    24064 77673280
                                      492Z(lx)
G.O. No. 1 of 2009                                        Law & Practice of Sales Tax

1066      Khalid Silk Factory                    1750590012637         AP-082008
                                                                       AP-066759
                                                                       AP-066761
1067      Latif Textile                          1750580200582     2850355852343
1068      Millennium Textile                     1100590737237     2550157553914
                                                                   2350157523676
1069      M.A.K. Sons                            1712590038946     2806467429417
1070      Machtrade Corporation                  1200580206582     2508466622215
1071      Meskay & Femtee (Pvt) Ltd.             1200119038428     2605667355032
                                                                   2411278932076
1072      Natural Gum Industries                 1750840008355     2700565814329
1073      Olympia Industries                     2121999957646     2806467427794
1074      Pacific Enterprises                    1200520201673   24722100390478R
1075      Qadeer Industries                      1100521200391     2506467410073
1076      Qadri Bleaching Centre                 1200520940973     2500465588012
1077      Reliable Towels                        1201580200619     2508466556476
1078      Sana Textile                           1100520849746     2606467640901
1079      Siddique Enterprise                    1200580296673     2708456742211
1080      Shaheryar Textile                      1100620075773     2550355863244
1081      Sohail Weaving Industries              1100580205019     2400565812357
1082      S.S. industries                        1700520901246     2850365755826
1083      S.T. Textile                           1100520852455     2706467450201
1084      Suleman Tex                            1100520850219     2305677350140
1085      Swiss Lace Industries                  1100590736819     2806467424237
1086      Summit Weaving                         1100520851619     2706467443108
1087      Tayyab Cotton Mills                    1100520868391     2706457750557
1088      The Weaverz                            1100580218719     2750365757786
1089      Umair Cotton Mills                     0202520900128     2706467758613
1090      Unique Textiles                        1750590014382         AP-076731
                                                                       AP-061120
                                                                       AP-066726
1091      United Weaving                         1100580220028     2550355843758
1092      Union Fabrics                          1100520800582     2506467477337
1093      Yartex Industries                      1100520853937     2806467424396
                                                       (Sajjad Hyder JhinJhin)
                                                       Second Secretary Tariff
                                                              (ST&FE)
                                         492Z(lxi)
General Orders                                                        G.O. No. 2 of 2009

C.No.1(15)STT/2005                                        Islamabad, 9th January, 2009
               SALES TAX GENERAL ORDER NO.02 /2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.08 of 2007 dated the
13th September, 2007, namely:–
      In the aforesaid General Order, in the Table-,
      (a) against S.No. 240 in column (1), in column (4), after the figure
          “018270001827019U” the figure “24174309436205U” shall be
          added;
      (b) against S.No.295 in column (1), in column (4), for the figure
          “2411250072008R” the figure “24112590072008R”shall be
          substituted; and
      (c) after serial number 711 in column (1) and the entries relating thereto
          in columns (2), (3) and (4), the following new serial numbers and the
          entries relating thereto shall be added, namely:–
712      Allah Malak Weaving              &     0301520805919        20171131981007U
         Doubling Factory                                            24171190027010U
713      Anwar and Sons                         0305520000419        24123590003802U
714      Amin Sons                              0381520500355        24172290043017U
715      ASFYYA Sons (Pvt) Ltd.                 0306581000837        24112590118022U
716      Asian Textile Network                  0304520901346        20153102842063U
717      Bedouin (Pvt) Ltd.                     0304590000782        24174390032016U
718      Excellent Embroidery                   0301999922464        20123502926006U
719      Exporient Knitters (Pvt) Ltd.          0304621700255        24123590008807U
720      Fair Line Silk Factory                 0305540200137        24123490010904U
721      Faisal Silk Factory                    0301520803364        24123590005105U
722      Gulf Fibre Company(Pvt) Ltd.           0301550300237        24123590013007U
723      Madina Textiles                        0309511101028        24162600028009U
724      M.A. Textile                           0307590000428        24112124211927U
725      Usman Irfan Textile                    0307844200173        24112590223015U
726      Zamma Embroidery                       0305581007382        20123317010006U
                                                     (Sajjad Hyder JhinJhin)
                                                     Second Secretary Tariff
                                                            (ST&FE)
                                    _______________
                                      492Z(lxii)
G.O. No. 3 of 2009                                        Law & Practice of Sales Tax

C.No.1(15)STT/2005                                   Islamabad, 9th January, 2009
                SALES TAX GENERAL ORDER NO.03/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.09 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table–,
       (a) against S.No.6 in column (1), in column (4), after the figure
           “24312353047403U” the figure “24312555027005U” shall be added;
       (b) against S.No.437 in column (1), in column (4), after the figure
           “24313858038009U” the figures “24321151052135U” and
           “24321151051555U” shall be added;
       (c) against S.No.791 in column (1), in column (4), for the figure
           “26312757030805U” the figure “24312757030805U” shall be
           substituted;
       (d) against S.No.880 in column (1), in column (4), for the figure
           “22321151008112” the figure “24321151008112U” shall be
           substituted;
       (e) against S.No. 928 in column (1), in column (3), for the figure
           “0801520873737” the figure “0801520873937” shall be substituted; and
       (f) after serial number 1084 in column (1) and the entries relating
           thereto in columns (2), (3) and (4), the following new serial numbers
           and the entries relating thereto shall be added, namely:–
1085       Abdul Hameed W/F                   2400844602882     24321555206007R
1086       Adil Waheed Garments               0802581100164     24311151013019U
                                                                23311171000602U
1087       Aftab Brothers                     0803520204837     24322252069284U
1088       Ali Dott Buckram Factory           0802600000491     24312454071006U
1089       Al-Hamd Exports                    0802190500791     23311575019006U
1090       Anwar-ul-Haq Power Loom            2400520809519     24321555078002U
           Factory
1091       Arif W/F                           2400520807464     24321555129001R
                                                                24321555130008U
1092       Arshad W/F                         2400844602219     24321353053001U
1093       Asif Weaving Factory               2400520815955     24321555085003U
                                                                22321505684007R
                                                                22321505685006R
                                      492Z(lxiii)
General Orders                                                  G.O. No. 3 of 2009

1094     Akhtar Hussain W/F                    2400844603955   24321555146000R
1095     Awais Weaving Factory                 2400511100237   24321151011000U
1096     Ayesha Yarn Factory                   0803520505719   23322202270099U
1097     Bilal Fabrics                         0801520894073   23322101536002U
                                                               23322101537001U
                                                               23322101518004U
                                                               23322101517005U
                                                               23322101533005U
                                                               23322101516006U
                                                               23322101514008U
                                                               23322101615006U
1098     Chaudhry Weaving Factory              0822520806055   24333252062000U
1099     C.F.K. Fabrics                        0404600000173   23311171009907U
1100     Ejaz & Sons W/F                       2400520804237   24321151012358U
1101     Fine Weaving Factory                  0800520810091   22312777031904U
                                                               22312777009207U
1102     Ghulam Rasool W/F                     2400520802664   24311454048506U
1103     Global Spinning (Pvt) Ltd.            0801520503673   24313757029004U
1104     Gohar Textile Mills                  0405630300364    24333252065007U
                                                               24313757001257R
1105     Hadiyat Weaving                       2400520809855   24311353016125U
1106     Hafeez Ul Haq W/F                     2400520812073   24321555071009U
1107     Hamza Enterprises                    0801520503182    24334151012031U
1108     Iftikhar Jaffar Weaving               0801520899364   24312555092050U
1109     Immage Garments                       0404620000155   24311151029002U
                                                               24314555013036R
1110     Janat Bibi W/F                        2400520811082   24312656099503U
1111     Kamal W/F                             0800844601228   24313858101001U
1112     Kashmir Sizing Ind.                   0801520897046   24312656099601U
1113     Kaysons Int.                          1200621600346   22313272066208U
                                                               23322206642000U
                                                               24313454083001U
                                                               22313474060000R
1114     Khalid Altaf W/F                      2400520812564   24321555161000U
1115     Khaliq W/F                            0801520899519   24313656005097R
1116     K.M.H.Textiles                       0800590000691    22321113119014U
                                                               22321113134024U
                                  492Z(lxiv)
G.O. No. 3 of 2009                                   Law & Practice of Sales Tax

1117      M.A. Enterprises                0801999906255    24322353020126U
1118      M. Abbas W/F                    2400520808528    24321151014105U
1119      Madni Weaving Factory           0800844601482    24321151005204U
1120      M.Aslam Butt W/F                2400520500873    22321505367001R
                                                           22321502012007R
                                                           22321504282006R
                                                           22321504283005R
                                                           24321555208005R
1121      M.M. Weaving Factory            0801520806873    24313454048201R
1122      M.S. Enterprises                2400520814219    22321503085007R
1123      Maqbool Ahmad W/F               2400520815791    24321555026121R
1124      Maqbool Ahmad W/F               2400520806137    22321505017005R
                                                           22321505480003R
1125      Mehmood Shah W/F                2400520811655    24312353072009U
                                                           24322151030140U
1126      Mehmood-Ul-Hassan W/F           2400520806964    22312777020104R
                                                           24312757014681U
1127      Muhammad Adnan W/F              2400520810419    24312555078021U
1128      Muhammad Ehsan W/F              2400844602137    24321353051085U
1129      Muhammad Jamil W/F              2400520805482    24321555055009U
1130      Muhammad Shafique W/F           2400520813973    24321151010500U
1131      M.Zahid Iqbal W/F               0800520806137    24321454021603U
1132      Naseem Fabrics                  0890999137691    24312454064103U
1133      Nazir Latif Weavings            2400520800682    24313656003703R
1134      N.A.T. Industries               2400520804073    24313858074102R
1135      Parvaiz W/F                     2400520808373    24312353052003U
1136      Piracha Spinning                2405520500173    24342454007009U
1137      Riasat Ali W/F                  2400520814391    24321555195000U
                                                           24321555046083U
1138      R.K.Tex                         0803520809255    24311252021088U
                                                           23311272012702U
1139      Rukhsana Hafeez W/F             2400520812237    24321555128002U
1140      Salam Din W/F                   2400520815619    22321504273007R
                                                           22321504274006R
                                                           22321504675001R
1141      Shafqat W/F                     2400844604291    24321555173006R
1142      Shahid Adnan W/F                0804520900555    24333252015008U
                                        492Z(lxv)
General Orders                                                       G.O. No. 4 of 2009

1143     Shakeel Ahmad Qadri W/F               2400520806391        24321555126004U
1144     S. Naeem                              0890999137691        24312454064103U
1145     Sportex                               0800621700573        24313151029723R
1146     S.S. Weaving                          0801520897619        24313454017002U
1147     Subhan Textile                        0891999136282        24313151029705U
1148     Star International                    0890999161437        24311252097032U
                                                                    24321353051021U
1149     Tahir W/F                             2400520808455        24312757014878U
1150     Taj Weaving Factory                   0803520836973        24333252053001U
1151     Umer Weaving                          2400520815128        24312656069000U
1152     Zaheer Ahmad W/F                      2400844603537        24321555026005R
1153     Zain Fabrics                          2400520815382        24312555092121U
1154     Zubaida Bibi W/F                      2400520806055        24321555003002U
1155     Zulfiqar W/F                          2400844602628        24321353052002U
                                                           (Sajjad Hyder JhinJhin)
                                                           Second Secretary Tariff
                                                                  (ST&FE)
                                  _______________


C.No.1(15)STT/2005                                       Islamabad, 9th January, 2009
                 SALES TAX GENERAL ORDER NO.04/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.10 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 166 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
167     Ittefaq Weaving Industries                  0408520812119   27561300006011R
168     Jeddah Industries                           0410600000191   27515400035002U
169     Mughees Textiles                            0407520900646   27512611474005U
170     Qasur Textile Mills (Pvt) Ltd               1200520800328   27515400032005U
171     Siddique Fabrics                            0407520904946   27511500457020U
172     Sulman Yousaf Wool                          0407510601837   27511512606025U
                                                    (Sajjad Hyder JhinJhin)
                                                    Second Secretary Tariff
                                                           (ST&FE)
                                        492Z(lxvi)
G.O. No. 5 of 2009                                         Law & Practice of Sales Tax

C.No.1(15)STT/2005                                    Islamabad, 9th January , 2009
                SALES TAX GENERAL ORDER NO.05/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.11 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 300 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
301      Accuray Surgical Ltd.                  0905901815182    24241120362007U
302      Al-Rai Silk Factory                    2500500700373    27212416114008U
303      Al-Rehman Woolen Mills                 0900520500528    24211107918018U
304      Asad Silk Factory                      2500500400719    27212604700009U
305      ATC Processing (Pvt) Ltd.              0304100600391    24214119109000R
306      Azad Silk Factory                      0900500401219    24221211545008U
307      Comet Sports (Pvt) Ltd.                0990999927146    21241120395004U
                                                                 24241120397006U
308      F-Brothers Silk Factory                0900520800264    24221320211000U
309      Fircos Shoes (Pvt) Ltd.                0905640400391    24241511283003U
310      Fircos Industries (Pvt) Ltd.           0905420318528    24241511282004U
311      Forwards Sports                        0905420314237    24247217221006U
312      Good Nice Enterprises                  0905950628128    27241106103003U
313      Humble Impex                           0900520800346    24212500045000U
                                                                 24212500047008U
314      Ideal Carpets Industries               0904570100255    24213400151002U
315      Inayat Textile Industry                2500680500137    24212421395005U
316      Jaffsons Enterprises (Pvt) Ltd.        0905420321655    24242413797000U
317      Kauser Silk Factory                    2500500400555    24212604903001U
318      Khalid Silk Factory                    0900500402791    24212421370013U
319      M.A. Rehman Silk Factory               2500500400973    27212615070007R
320      Mehmood Silk Factory                   0900500400973    27212609471014U
321      Mudasar & Saqib Silk Factory           0917521000237    21212609815003U
322      Mushtaq & Naeem Silk Factory           2502500700273    24212417368006U
323      Muta Industries (Pvt) Ltd.             0906950606664    24241312502001U
                                       492Z(lxvii)
General Orders                                                      G.O. No. 6 of 2009

324      Naveed & Hamza Silk Factory            2502500400537     24212500078000U
325      Nazam Silk Factory                     2500500400228     27212610716017U
326      Noor Silk Factory                      0900500401055     27212608440005U
327      Osama Textile Industries               0900521000228     24221320212009U
328      Penna Overseas Corporation             0990999929464    242422084651009R
329      Rehman Silk Factory                    2500500700291     27212416321007U
330      Rehman Silk Factory                    2500500700119     27212609469018U
331      Rizwan Silk Factory                    2502500400791     27212421427000U
332      Shahab Surgical Industries             0905999937982     21242210081001R
333      Shahid Weaving Factory                 2500520800591     24212421542016U
334      Shahzad Texstyles                      0905520800391     24242217198000U
335      Shazia Silk Factory                    2500500400482     24212421393007U
336      Sulman Silk Factory                    0900500402464     27212610734006U
337      Taskeen Impex                          0905999954964     27242508625008R
338      Umer Silk Factory                      0900500402537     27212610761009U
339      Umer Silk Factory                      2500500400146     24211101775004U
340      Usman Silk Factory                     2500521000146     24211101776003U
341      Zafar Silk Factory                     0900500402619     27212610735005U
                                                        (Sajjad Hyder JhinJhin)
                                                        Second Secretary Tariff
                                                               (ST&FE)
                                      _______________


C.No.1(15)STT/2005                                      Islamabad, 9th January, 2009
                 SALES TAX GENERAL ORDER NO.06/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.16 of 2007 dated the
13th September, 2007, namely:–
      In the aforesaid General Order, in the Table–,
      (a) against S.No. 506 in column (1), in column (4), after the figure
          “1418900737” the figure “0284627079” shall be added;
      (b) against S.No.780 in column (1), in column (4), after the figure
          “2125418168” the figures “1527965365” and “3949811000” shall be
          added; and
                                       492Z(lxviii)
G.O. No. 6 of 2009                                            Law & Practice of Sales Tax

      (c) after serial number 853 in column (1) and the entries relating thereto
          in columns (2), (3) and (4), the following new serial numbers and the
          entries relating thereto shall be added, namely:–
854       Ali Sons Noble (Pvt) Ltd.                     0201390006064      9090831000
855       Al-Hadi Industries                            1100119010819        M9437085
856       Al-Hamza Trading Company                      1712100603973      8698241000
857       Al-Karam Towel Industries                     1712590039446      9369811000
858       Al-Wasay Textiles                             1700590009282      0469811000
                                                                           6769811000
859       Ashabi Textile Mills                          0206511104037      1907233390
860       Crescent Enterprises                          1100630400728      8820290000
861       Matco Rice Processing                         1200100600737      8787460444
                                                                           2152877466
862       Machtrade Corporation                         1200580206582      9299190000
863       Natural Gum Industries                        1750840008355      1933213110
864       Pak Azmat Garments                            1100641101037      2546310597
865       Qadeer Industries                             1100521200391      6811831000
866       Qadri Bleaching Centre                        1200520940973      2919960000
867       Saltex                                        0201511103419      1925581009
868       S.S. Industries                               1700520901246      7569811000
                                                         (Sajjad Hyder JhinJhin)
                                                         Second Secretary Tariff
                                                                (ST&FE)
                                      _______________


C.No.1(15)STT/2005                                       Islamabad, 9th January, 2009
                SALES TAX GENERAL ORDER NO.07/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.17 of 2007 dated the
13th September, 2007, namely:–
      In the aforesaid General Order, in the Table–,
      (a) against S.No.814 in column (1), in column (4) after the figure
          “31100009635” the figure “31100013058” shall be added; and
      (b) after S.No.935 in column (1) and the entries relating thereto in columns
          (2), (3) and (4), the following new serial numbers and the entries
          relating thereto shall be added, namely:–
                                                       492Z(lxix)
General Orders                                                                                      G.O. No. 8 of 2009

936          Ali Brothers Textiles                                          0804520801637                34110072420
937          Anwar Khawaja Industries                                       0905420305555                56100001230
938          ASFYYA Sons (Pvt) Ltd.                                         0306581000837                41100034236
939          Asian Textile Network                                          0304520901346                41100034719
940          Bismillah Sizing Ind.                                          2400520802337                31100013166
941          Bedouin (Pvt) Ltd.                                             0304590000782                41100029520
942          Chawala Enterprises                                            0405520902073                38200718500
943          Exporient Knitters (Pvt) Ltd.                                  0304621700255                41100030524
944          Hassan Sizing Ind.                                             0801520835828                31100004317
945          Kashmir Sizing Industries                                      0801520897046                31100011869
946          Leather Gloving (Pvt) Ltd.                                     0302411100291                41100027438
947          M.A. Textiles (Pvt) Ltd.                                       0802320001682                31100012754
948          Orient Coating & Finishing Mills                               0403320000137                31100010866
             (Pvt) Ltd.
949          Penna Overseas Corporation                                     0990999929464                56100001735
950          Salman Noman Enterprises                                       0305520203464                41100030825
951          Shaikh Brothers                                                1200420300782                41100029995
952          Usman Irfan Textile                                            0307844200173                68200112804
953          Zephyr Textiles Limited                                        0394999997519                41100030784
                                                                                                         41100030966
                                                                               (Sajjad Hyder JhinJhin)
                                                                               Second Secretary Tariff
                                                                                      (ST&FE)
                                                    _______________


C.No.3(10)ST-L&P/09                                                  Islamabad, the 26th February, 2009
                      *
                          SALES TAX GENERAL ORDER 08 OF 2009
Subject: Procedure for Exercise of Powers by Collectors under Section 74
         of the Sales Tax Act, 1990.
     With a view to mitigating the hardships of taxpayers and to ensuring
transparency and fairness in deciding cases of condoning time delays or
allowing extension in terms of powers conferred under Section 74 of the Sales
Tax Act, 1990, the Board is pleased to delegate such powers to the respective
Collectors of Sales Tax and Federal Excise.
     2. For the exercise of the said powers the following procedure shall be
followed, namely:–
*   Rescinded vide General Order No. 18 of 2009, dated May 27, 2009. See General Order at page 492Z(lxxxiii) of this book.
                                        492Z(lxx)
G.O. No. 8 of 2009                                                Law & Practice of Sales Tax

       (i) the registered person shall apply to the Collector having jurisdiction
           for extension of time period specifying the grounds or reasons of
           delay;
       (ii) the Collector after considering the grounds or reasons mentioned
            therein shall examine the case for decision;
    (iii) the Collector may solicit further information/ documents from the
          registered person or his authorized representative;
    (iv) the Collector shall decide the matter on merit in each case within
         thirty days from the receipt of the request in the RTO or LTU;
       (v) in case the Collector calls for further information, the said period
           shall be reckoned from the day of receipt of such information
           provided that such extended period shall not exceed fifteen days in
           addition to time stipulated under clause (iv) above; and
    (vi) the Collector shall record reasons for approval or rejection of the
         request of the registered person / applicant.
    3. If there are valid reasons, the Collector may condone delay up to one
year beyond the limitation provided under the statutory provisions of Sales
Tax Act or rules made thereunder.
    4. The cases of limitation under the Federal Excises Act, 2005 or rules
made thereudner shall, mutatis mutandis be disposed of under the aforesaid
provision.
     5. The Collector shall furnish a monthly report of cases processed in a
calendar month to concerned Director General on seventh of every month in
the following format:
Sr. No     Name of      Sales Tax       Date of           Date of     Date of       Days
          registered   registration     initial          complete     decision    condoned
            person         No.        application       information

 (1)         (2)           (3)            (4)               (5)          (6)          (7)
    6. The information given at the paragraph no. 4 may be stored in soft
form.
     7. The STGO No. 54/2008 dated 21st November, 2008 is hereby
rescinded and the cases already under process in the Board or the RTO/LTU
under the said STGO shall be transferred to the concerned Collector.
                                                             (Muhammad Sadiq)
                                                           Secretary (ST&FE-L&P)
                                      _______________
                                     492Z(lxxi)
General Orders                                                    G.O. No. 9 of 2009

C.No.1(15)STT/2005                                    Islamabad, 5th March, 2009
                 SALES TAX GENERAL ORDER NO.09/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.07 of 2007 dated the
13th September, 2007, namely:–
    In the aforesaid General Order, in the Table–,
       (a) serial number 327 and the entries relating thereto in columns (2), (3)
           and (4) shall be omitted;
    (b) against S.No.468 in column (1), in column (2), for the word
        “Khurram” the word “Khuram” and in column (4), for the figure
        “2806467429567” the figure “2806467429657” shall be substituted;
       (c) against S.No.1073 in column (1), in column (3), for the figure
           “2121999957646” the figure “1221999957646” shall be substituted; and
       (d) after serial number 1093 in column (1) and the entries relating
           thereto in columns (2), (3) and (4), the following new serial numbers
           and the entries relating thereto shall be added, namely:–
1094        Ahmad General Mills                   0203580800164        AP-066053
                                                                       AP-069972
1095        Amin & Brothers                       1712520905264    2806467425228
1096        Apex Corporation                      1200590701573    2650365752496
1097        Bin Ahmad                             1100610391182    2806467427913
1098        Burraq Knits                          1200610304219        AP 076105
1099        Farah Enterprises                     1100620080964    2650355846506
1100        Farrukh Nisar Weaving                 1700590014473        AP-054571
1101        Global Knits                          1100610386728    2750167526469
1102        Grace Passion                         1750581000337    2706467442934
1103        Katti Sons Industries                 1100590753228    2605667356810
1104        Mishka Tissu ET Tradition             1100520803373    2605667356233
1105        Mohsin Towel                          1100520227137    2550355842514
1106        Naeem Industries                      1100511129091    2706467450538
1107        Raza Knitting Industries              1100610383264    2750355848708
1108        Smart Wear International              1100119005782    2650365779858
1109        Sonic Textile Industries              1202999919237    2606467810955
1110        Swano Enterprises                     1200981100228    2508466623572
1111        Swano Industries                      1200981100482    2900465581482
1112        Texpert Industries                    1750520902482    2705567252834
1113        Y.S. Industries                       0201320000173    2505667215066
                                      492Z(lxxii)
G.O. No. 9 of 2009                                             Law & Practice of Sales Tax

1114       Zeeshan Stitching                           1100580231828     2650355845542
1115       Zubair Enterprises                          1100620077182     2806467428472
1116       Z & Z Textile                               1750521001046     2506467477291
                                                       (Sajjad Hyder JhinJhin)
                                                       Second Secretary Tariff
                                                             (Sales Tax)
                                     _______________


C.No.1(15)STT/2005                                        Islamabad, 5th March, 2009
                SALES TAX GENERAL ORDER NO.10/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.08 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 726 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
727      Be Be Jan Colours Limited             0302840006655           24122390035043U
728      Crescent Dyeing & Textiles            0305520401619           24153299800005U
         Ghazi Fabric International            0305520204528           24191900850109U
729      Indus Home Limited                    0302630201228           24191902290005U
730      Iqra Weaving                          0398999957973           20171132900003U
                                                                       20171132900012U
                                                                       20172232966047R
731      K.M. Camil & Company                  0309620082791           20133104358015U
732      Leader Tanneries                      0301420300946           24172124270003U
                                                                       24172124240108U
                                                                       24171220214027U
                                                                       20171132918003U
733      Quality Industries                    0302610302146           24123590011900U
734      Service Industries                    0301640000173           27165100081013U
735      Shami Screen Printing Co.             0304844201355           24153208310081U
736      Shiraz & Company                      0390999926519           24121324035007U
737      Sitara Dyeing                         0305520900919           24123290093007U
738      Target Apparel                        0301610300828           24122290016011U
                                                       (Sajjad Hyder JhinJhin)
                                                       Second Secretary Tariff
                                                             (Sales Tax)
                                     _______________
                                  492Z(lxxiii)
General Orders                                                G.O. No. 11 of 2009

C.No.1(15)STT/2005                                   Islamabad, 5th March, 2009
                 SALES TAX GENERAL ORDER NO.11/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.09 of 2007 dated the
13th September, 2007, namely:–
    In the aforesaid General Order, in the Table–,
    (a) against S.No.23 in column (1), in column (4), for the figure
        “24321202543002U” the figure “22321202543002U” shall be
        substituted;
    (b) against S.No.336 in column (1), in column (4), for the figure
        “243133878000808U” the figure “22313878012001U” shall be
        substituted;
    (c) against S.No.497 in column (1), in column (4), after the figure
        “24321151021008U” the figure “24314555036039” Shall be added;
    (d) against S.No.600 in column (1), in column (4), for the figure
        “24311252098004U” the figure “24311252005006U” shall be
        substituted;
    (e) against S.NO.770 in column (1), in column (4), for the figure
        “24313676011803R” the figure “24313656005220R shall be
        substituted;
     (f) against S.No.775 in column (1), in column (4), after the figure
         “2133333309108U”        the     figures     “21333535014708”
         “21333232020009U” “21333232019903” and “21333535018303R”
         shall be added;
    (g) against S.No.819 in column (1), in column (4), for the figure
        “2431385098006U” the figure “24313858098006U” shall be
        substituted;
    (h) against S.No.827 in column (1), in column (3), for the figure
        “0801520899737” the figure “0801520899773” shall be substituted;
     (i) against S.No.962 in column (1), in column (4), after the figure
         “24322252029292U” the figure “24322252027070U” shall be added;
     (j) against S.No.1056 in column (1), in column (4), after the figure
         “21333131006207U” the figure “21333131006001U”shall be added;
    (k) against S.No.1066 in column (1), in column (4), after the figure
        “24333555022005U”       the     figures    “21333131006911R”
        “21333131007402U” and “21333131005208U” shall be added;
                                     492Z(lxxiv)
G.O. No. 11 of 2009                                     Law & Practice of Sales Tax

       (l) against S.No.1077 in column (1), in column (4), after the figure
           “21333232015809U”       the     figures    “21333535000508R”
           21333232016005U” and “21333232020802U” shall be added;
    (m) against S.No.1105 in column (1), in column (4), after the figure
        “24311353016125U” the figure “23311373014608U”shall be added;
       (n) against S.No.1124 in column (1), in column (4), after the figure
           “22321505480003R” the figures “22321505478007R” and
           “22321504310002R” shall be added;
       (o) after serial number 1155 in column (1) and the entries relating
           thereto in columns (2), (3) and (4), the following new serial numbers
           and the entries relating thereto shall be added, namely:-
1156      Abid Shehzad Weaving Factory       2400590005237    24321151008130U
1157      Abdul Hafeez W/F                   2400520805719    24322151033806U
1158      Adeel Weaving Factory              2400844604455    22313878062000U
                                                              22313878070000U
                                                              22313878065007U
1159      Afzal Weaving Factory              2400844606273    24321555029002U
1160      Ajmair Weaving Factory             2400521003791    24322151033824U
1161      Akbar Ali W/F                      2400521001891    24322252010122U
1162      Al Barkat Sizing                   0801520835746    24312656009708U
1163      Al-Fajar International             0880520400164    23322332913514U
1164      Al Quresh Fabrics                  0801520810573    24312555086209U
1165      Al-Khairia Weaving                 2400590900373    24322151070052U
1166      Aamir Fayyaz Weaving               2400520807619    24312555030108U
                                                              22312575003309U
1167      Aamir Iqbal W/F                    2400844603619    24322252007056U
                                                              23322212230006U
1168      Amjad Pervez W/F                   2400521001637    24321555109005R
1169      Arshad W/F                         2400521001719    24312252078123U
1170      AR Weaving Factory                 0800520809855    24321151052153U
                                                              24321151015177U
                                                              24311252054024U
1171      Asad Textile Industry              2400520820073    24321555120000U
1172      Ayesha Cotton Waste/F              0800520500791    27162200001039R
1173      Brightway Enterprises              0405620001964    22321406678006U
1174      Crescent Sugar Mills &             0403290000182    27162100016007U
          Distillery Ltd. (Spinning Unit)
1175      Faraukh Weaving Factory            2400520816119    24312656019500U
1176      Four Star W/F                      0803520839373    24311454009040U
                                   492Z(lxxv)
General Orders                                             G.O. No. 11 of 2009

1177    Iqra Tex                           0890999945046   24311555044005U
1178    Jalandher Sizing Factory           0801520840282   24321454005006U
1179    Jamil Weaving Factory              2400844604946   24321151012376U
1180    K.B. Weaving Factory               2400520000255   24322454027134U
1181    Leathertex Gloving                 0302411100291   24313252071502U
1182    Madina Weaving Factory             2400844605364   24314353030035U
1183    Malik Nawaz Weaving                2400520804319   23311272017501U
                                                           23311272017707U
                                                           23311272062603U
                                                           23311272062408U
                                                           24311252019055U
                                                           23311272062104U
                                                           23311272060008U
1184    Manzoor Ahmad W/F                  2400521003046   24311454048301U
1185    Mehmood Ahmad W/F                  2400521002882   24311252021015U
                                                           24311454015042U
1186    M.N. Weaving Factory               2400844604037   24311252096015U
1187    Moazzam W/F                        2400844604119   24311353025017U
1188    Muslim Textiles                    0803511102364   24321151052055U
                                                           24321151051056U
1189    Muhammad Akram W/F                 2400590900119   24322252029283U
                                                           23322212898009U
1190    Muhammad Alam W/F                  0800520900182   24321454005854U
1191    Muhammad Saleem W/F                2400590900455   24322252009063U
                                                           24322252029354U
                                                           23322212452007U
1192    Muhammad Saeed W/F                 2400844604864   22321505209003R
1193    Muhammad Sohail Arshad W/F         0800520809519   22313878181006R
                                                           22313878182005R
1194    Muhammad Shafi W/F                 2400520817691   23322207835005U
1195    Muhammad Tariq W/F                 2400521000646   24322252029201U
                                                           24322252029229U
1196    Muzammal Naseem W/F                2400520808864   24313454043509U
1197    Nadeem Weaving Factory             2400844605028   24321151050100U
1198    Qaisar Gulzar W/F                  2400844603873   24312353059408U
1199    Qamar Jamil W/F                    2400520819919   24321656012105U
1200    R.A.G Textile                      0801520884582   24313858042058R
1201    Rafique Weaving Factory            2400520818764   24321656046007U
1202    Riaz Ul Haq W/F                    2400520819182   24321555102002R
1203    Rana Muhammad Amin W/F             2400844602473   24322454027161U
1204    Rana Muhammad Shafique W/F         2400520500791   24322151033851U
                                     492Z(lxxvi)
G.O. No. 11 of 2009                                           Law & Practice of Sales Tax

1205     Rana Weaving Factory                 2400520807382         24322151036082U
1206     Roshan Din W/F                       2400520817028         23322207878003U
1207     Ruqyya Sadia W/F                     2400844602546         24322151033922U
1208     Sardar Sizing                        0803520813373         22321109210001U
                                                                    22321109208005U
                                                                    22321109209004U
1209     Seven Star International             0800840003246         24311151007008U
1210     Shakoor Bibi W/F                     2400520817364         24322252005049U
1211     Shahida Weaving Factory              2402520800173         23311575006804U
1212     Shahid Iqbal W/F                     2400520818846         23322332877518U
1213     Shaukat W/F                          2400520801346         24322252029238U
                                                                    24322252029336U
1214     Shaukat Tanveer W/F                  2400844605519         24312555001755U
1215     Sheikh    Muhammad     Hanif         2400520810664         22321505783105R
         Weaving                                                    22321505722500R
1216     Sheraz Weaving Factory               2400320001119         24321555212009R
                                                                    10321505817002R
1217     S.M. Weaving Factory                 2400844603791         24311353027113U
1218     shujja Tariq W/F                     2400520819591         24321555056008U
1219     Sundir Weaving Factory               0801520894564         23322101611000U
                                                                    23322101608005U
1220     Sunny Weaving Factory                0803520830773         24321151005106U
1221     Tahir Weaving Factory                2400520821891         24322353020705U
1222     Tanveer Ahmad W/F                    2400520822055         22321504407006R
1223     Usman Sizing                         0800520801919         22312676014605U
1224     Wali Weaving Factory                 2400844605446         24321555123007U
                                                                    22321504351002R
                                                                    22321504352001R
1225     Waqar Weaving Factory                2400520810337         24321555209004R
1226     Waqas Weaving Factory                2400520807791         24322454027143U
1227     Zafar Weaving                        0803520837882         21333232004303R
                                                                    24333555029008U
1228     Zahida Amin W/F                      2400844602391         24322554050505R
1229     Zahid Rasheed W/F                    2400520821555         24322353020206U
1230     Z.K.A & Brothers                     2400999802882         24312555075300U
                                                      (Sajjad Hyder JhinJhin)
                                                      Second Secretary Tariff
                                                            (Sales Tax)
                                    _______________
                                  492Z(lxxvii)
General Orders                                                   G.O. No. 13 of 2009

C.No.1(15)STT/2005                                     Islamabad, 5th March, 2009
                 SALES TAX GENERAL ORDER NO.12/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.10 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 172 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
173     Aleem Weaving Industry         0408520807346             27561300036006U
174     Elahi Sizing                   0407520902137             27561300036006U
                                                   (Sajjad Hyder JhinJhin)
                                                   Second Secretary Tariff
                                                         (Sales Tax)
                                 _______________


C.No.1(15)STT/2005                                     Islamabad, 5th March , 2009
                 SALES TAX GENERAL ORDER NO.13/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.11 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 341 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
342     Adeel Silk Factory                2500521001882          24213200030003R
343     Amin Weaving Factory              2500520802082          27211505372006U
344     Ammara Silk Factory               2500521001137          21212604552001U
345     Amsa Intenational                 0905420328019          21241309336005U
346     Anwar Silk Factory                2500500701519          24212604915007U
347     Asaad Silk Factory                2500521001546          24221316993002U
348     AUB Silk Factory                  0900500401964          24212610752000U
349     Ballon-De-Sports                  0905950600137          21241403682006U
350     Bareera Silk Factory              0900521000482          24212515874013U
351     Bismillah Silk Factory            2500521000891          21212420596000U
352     Bushar Silk Factory               0900520800591          24212515875012U
                                      492Z(lxxviii)
G.O. No. 13 of 2009                                       Law & Practice of Sales Tax

353      Channel Industries                   0905420330319     21241107785009U
354      Chaudhary Textile Industry           2500590000355     27212615024004R
355      Euro Plus (Pvt) Ltd.                 0905620002173     27242205965009R
356      Faran Silk Factory                   2502500400873     24221320205008U
357      Farooq Silk Factory                  0917510900191     27211102734005U
                                                                21211111511008U
358      First American Corporation           0990999912437     24242206377006U
                                                                24242206376007U
359      Glaring Sports                       0990999961282     24241107783005U
                                                                24242207039004U
360      Globex Safety                        0905420508373     27213300102004U
361      H Akram Silk Factory                 2500500700946     27212405127006U
362      Hakeem Dyeing                        0905511100191     24241409309000U
                                                                21241409399007U
363      HH Textile Industry                  0900550600173     24212604576007U
364      H.Wahid MFG. Corp.                   0905420307791     24241119757002U
365      Humble Impex                         0900520800346     24212500045000U
                                                                24212500047008U
366      Ibrar Silk Factory                   2500520800755     21212400468007U
367      Iftikhar Industries                  0905820700182    242433108000002U
368      Inam Plastic Rope Industry           0901540600173     24223303269005U
369      Iqbal Silk Factory                   2500500701446     27212600031007U
370      Iqra Industries                      2502500400128     24212610759003U
371      Iqra Silk Factory                    0917500700128     21211210032008U
                                                                21211210036004U
                                                                21211210035005U
372      Izhar Woollen Mills                  0902550103173     24211104513005U
373      Khalid Silk Factory                  2500500401546     27212510380005U
374      Khalid Younis Silk Factory           0900520800673     24212500135001U
375      Madina Industries                    2502500400382     24212610760000U
376      Madni Silk Factory                   2500500402464     27212600023007U
377      Maqaddar Silk Factory                2502521000128     24221320152001U
378      Mohsin Silk Factory                  2500521001055     21212405078008U
                                                                21212405115003U
379      Moon Leza Silk Factory               0900500400637     21221320046007U
380      Mubashar Silk Factory                0900520800837     27211320917002U
381      Naveed Textile Industry              2500520800673     21212513856007U
382      Osama Silk Factory                   2500500401628     24221316991004U
383      Pak Silk Factory                     2500500401473     27212421547005U
384      P.K.Sports                           0905620007619     21242407878000R
                                     492Z(lxxix)
General Orders                                              G.O. No. 13 of 2009

385     Pokal Industries                    0905420312091   24242206360005U
386     Punjab Dyeing                       0902320000928   24211101991002U
387     Rafique Wollen Mills                0900680600128   27213331683018U
388     Ramzan Silk Factory                 0900520800182   24212604908006U
389     Sadiq Weaving Factory               2500520801664   27212600030008U
390     Sajjid Silk Factory                 2502500400464   24212610758004U
391     Saleem Younis Silk Factory          0900520800428   21212513855008U
392     Sana Silk Factory                   2500521001473   24221316990005U
393     Sara Silk Factory                   0917500400319   27211203139002U
                                                            27211203138003U
394     Sarwar Textile Industries           0900590000273   24212604901012U
395     Shabbir Silk Factory                0917500700382   27212506484008U
396     Shabbir Silk Factory                2500520801173   21212407878006U
397     Shahid Wollen Mills                 2500550100464   24212610751001U
398     Shahzad Silk Factory                2500500401219   24212405124006U
                                                            27212405126007U
399     Sultan Industries                   0905611601119   27247100796002U
                                                            24247100653001U
400     S S Weaving Industries              2500520800264   21221320076000U
                                                            21221320075001U
                                                            21221320074002U
                                                            27221320073000U
401     Sunmbal Silk Factory                2500500402128   24212604916006U
402     Tariq Silk Factory                  2500500701028   24212500039008U
403     Taj Food (Pvt) Ltd.                 0903100601173   24213300071001U
404     Taj Industry                        2500520800837   24212604902002U
405     Tayyab Silk Factory                 2500500700528   27212613257007R
406     Tino Pal Surgical Corporation       0905901811464   24241119836007U
                                                            24241119837006U
                                                            24241119838005U
                                                            21241119911001U
407     TJ Weaving Industry                 0900520000246   24212604554012U
408     Umer Silk Factory                   2500521001219   24212416312005U
409     Usman Industries                    0903590700355   24212211363017U
410     Vision Technologies                 0905950630673   24242416012002U
        Corporation
411     Yaqoob Silk Factory                 2500520801091   21212513843012U
412     Younis Silk Factory                 0903520818982   24212500068002U
413     Zubair Silk Factory                 2500500401391   27212421546006U
                                       492Z(lxxx)
G.O. No. 13 of 2009                                          Law & Practice of Sales Tax

414       Zulfiqar Silk Factory               2500500402382        24221219551011U
                                                     (Sajjad Hyder JhinJhin)
                                                     Second Secretary Tariff
                                                           (Sales Tax)
                                   _______________


C.No.1(15)STT/2005                                       Islamabad, 5th March, 2009
                SALES TAX GENERAL ORDER NO.14/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendment in its Sales Tax General Order No.14 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 39 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
40.     Chaudhary Fabrics (Pvt) Ltd.         0507520800573         24641300009705U
                                                     (Sajjad Hyder JhinJhin)
                                                     Second Secretary Tariff
                                                           (Sales Tax)
                                   _______________


C.No.1(15)STT/2005                                       Islamabad, 5th March, 2009
                SALES TAX GENERAL ORDER NO.15/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.16 of 2007 dated the
13th September, 2007, namely:–
      In the aforesaid General Order, in the Table–,
      (a) serial number 269 and the entries relating thereto in columns (2), (3)
          and (4) shall be omitted;
      (b) serial number 284 and the entries relating thereto in columns (2), (3)
          and (4) shall be omitted;
      (c) against S.No.564 in column (1), in column (3), for the figure
          “1100590700119” the figure “1100340200882” shall be substituted;
          and
      (d) after serial number 868 in column (1) and the entries relating thereto
          in columns (2), (3) and (4), the following new serial numbers and the
          entries relating thereto shall be added, namely:–
                                     492Z(lxxxi)
General Orders                                                    G.O. No. 16 of 2009

869      Aman & Sons Textile Mills                   1712590036628      2141831000
870      Burraq Knits                                1200610304219        13659331
871      Oman Industries                             1100511114555       M-0326951
872      Salim Winding Works                         0211520402637      3093311258
873      Swano Enterprises                           1200981100228      3599190000
874      Swano Industries                            1200981100482      9129960000
875      Texpert Industries                          1750520902482      8656868811
876      Umer Garments                               1200600104246      2445480000
                                                                        6345480000
877      United Industries                           1200620028173      3830290000
                                                                        9930290000
                                                    (Sajjad Hyder JhinJhin)
                                                    Second Secretary Tariff
                                                          (Sales Tax)
                                  _______________


C.No.1(15)STT/2005                                      Islamabad, 5th March, 2009
                 SALES TAX GENERAL ORDER NO.16/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.17 of 2007 dated the
13th September, 2007, namely:–
      In the aforesaid General Order, in the Table–,
      (a) against S.No.564 in column (1), in column (4), after the figure
          “42100000580” the figure “31100013456” shall be added;
      (b) against S.No.745 in column (1), in column (4), after the figure
          “41100026769” the figure “40201845103” shall be added;
      (c) against S.No.788 in column (1), in column (4), after the figure
          “41100027267” the figure “41100029478”shall be added;
      (d) against S.No.812 in column (1), in column (4), after the figure
          “31100011342” the figure “31100013393” shall be added; and
      (e) after serial number 953 in column (1) and the entries relating thereto
          in columns (2), (3) and (4), the following new serial numbers and the
          entries relating thereto shall be added, namely:–
954       Al Barkat Sizing                          0801520835746      31100002087
955       Al-Vera Enterprises                       0308511102282      42100000825
                                                                       42100001011
956       Ayesha Fabrics                            0304999908664      40202459004
                                    492Z(lxxxii)
G.O. No. 16 of 2009                                          Law & Practice of Sales Tax

957      Ayesha Knitwears                            0390999920082       41100023083
958      Brightway Enterprises                       0405620001964       31200771009
959      Crescent Bahuman Ltd.                       0304620069555       51101000291
960      Crescent Dyeing & Textiles                  0305520401619       41100029036
961      Crescent Sugar Mills & Distillery           0403290000182       42100001947
         Ltd. (Spinning Unit)
962      Elahi Sizing                                0407520902137       11100001071
963      Euro Plus (Pvt) Ltd.                        0905620002173       58200261006
964      Hussainia Sizing Ind.                       2400590005646       31100008289
965      Indus Home Limited                          0302630201228       41100035433
966      Iftikhar Industries                         0905820700182       58200251306
967      Kampala Industries                          0905420303328       58200214000
968      K.M. Camil & Company                        0309620082791       40220704302
969      Leathertex Gloving                          0302411100291       31200642109
970      NTC International                           0990999942019       56100001575
971      Sardar Sizing                               0803520813373       31100003217
972      Shiraz & Company                            0390999926519       41100029605
973      Sitara Dyeing                               0305520900919       41100011019
974      Sitara Peroxide Limited                     0801284700128       31100011483
975      Tino Pal Surgical Corporation               0905901811464       56100000613
976      Eureka Industries                           0905999975591       58200273809
977      Usman Sizing                                0800520801919       31100006681
                                                     (Sajjad Hyder JhinJhin)
                                                     Second Secretary Tariff
                                                           (Sales Tax)
                                   _______________


C.No.3(9)ST-L&P/2007                                    Islamabad, 19th March, 2009
               SALES TAX GENERAL ORDER NO. 17/2009
     In exercise of powers conferred by sub-section (2) of section 50 of the
Sales Tax Act, 1990, the Federal Board of Revenue is pleased to order that
following further amendment in its Sales Tax General Order No.03/2007
dated the 30th July, 2007, shall be made and shall always deemed to have been
so made, namely:–
     “In the aforesaid General Order, in clause (viii) the expression “It should not
be included in value for calculating withholding income tax.” shall be omitted.”.
                                                     (Muhammad Sadiq)
                                                   Secretary (ST&FE-L&P)
                                   _______________
                                    492Z(lxxxiii)
General Orders                                                      G.O. No. 19 of 2009

C.No.3(10)ST-L&P/2009                                     Islamabad, 27th May, 2009
                 SALES TAX GENERAL ORDER NO. 18/2009
    In exercise of powers conferred by section 55 of the Sales Tax Act, 1990,
the Federal Board of Revenue is pleased to rescind Sales Tax General Order
No.08/2009 dated the 26th February, 2009.
                                                      (Muhammad Sadiq)
                                                    Secretary (ST&FE-L&P)
                                   _______________


C.No.1(15)STT/2005                                         Islamabad, 3rd June, 2009
                 SALES TAX GENERAL ORDER NO.19/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.07 of 2007 dated the
13th September, 2007, namely:–
    In the aforesaid General Order, in the table–,
       (a) against S.No.1049 in column (1), in column (3), for the figure
           “0203580858855” the figure “1200620058855” shall be substituted;
       (b) against S.No.1051 in column (1), in column (3), for the figure
           “200580287628” the figure “1200580287682” shall be substituted:
       (c) against S.No.1105 in column (1), in column (3), for the figure
           “100520227137” the figure “1100580227137” shall be substituted;
           and
       (d) after serial number 1116 in column (1) and the entries relating
           thereto, in columns (2), (3) and (4), the following new serial numbers
           and the entries relating thereto shall be added, namely:–
1117       A.A. Lalani & Company                    1700590011991     2505657915687
                                                                      2805667915738
1118       Al- Habib Twisting                       1700590012073     2805667978977
                                                                      2805667977059
1119       Al-Hamd Textile                          1700520802246     2705657955958
1120       Al-Khair Silk Factory                    1700590014391     2850365799092
                                                                      2850365770078
1121       Al-Karim Dyeing Industries               1712320000173     2750365753233
1122       A.M. Towels                              1100580228955     2350355730792
1123       Al- Razzak Traders                       1750590004228     2707555574677
                                                                      2550355842484
1124       Alitex Industries                        1100520801328     2306457427335
                                    492Z(lxxxiv)
G.O. No. 19 of 2009                                        Law & Practice of Sales Tax

1125     A-4 Industries                            1100511128828    2506467470041
1126     A.K. Brothers                             1100580203782    2650365760553
1127     Al-Hafiz Fabrics                          1712511100855        BL-003225
1128     Alina Weaving Industries                  1712590028055    2706467757331
1129     Alitex Industries                         1100520801328    2806467425139
1130     Anus Dyeing                               1200320009746    2707455533639
                                                                    2707455533515
1131     Arif Enterprises                          1100280004764    2806467426976
1132     Bilal Brother Industries                  1712590052382        AP-076160
1133     Chand Silk Factory                        1200620056619    2805667960792
1134     Classic Garments                          1100119018591         BL002483
1135     CNW Pakistan (Pvt) Ltd.                   1200611500882    2711764331894
1136     Crown Tex Industries                      1700390700173        AP-077180
1137     Dynamic Textile                           1100511109373        AP-082326
1138     Exclusive Textile                         1100520867719        AP-058086
                                                                        AP-058087
                                                                        AP-059611
                                                                        AP-063279
                                                                        AP-071280
                                                                        AP-071281
1139     Fahad & Obaid Silk Factory                0204520802437        BL-000848
1140     Faisal Corporation                        1100840013355    2706467435156
1141     Faisal Knit Work Services                 1100610394319    2550365791497
                                                                    2850355857957
1142     Fortune Textiles                          1100520865164    2606467653833
1143     Gondal Textile                            1100320011637    2506467477372
1144     Grace Industries                          1200390080873    2506467473938
1145     Gul Knit (pvt) Ltd.                       1200600100491        BL-001258
1146     Hajratex Industries                       1100119046764    2705657956016
1147     H&H Textiles                              1100520804364    2406457478988
1148     Hamza Industries                          1200320008673        BL-002491
1149     Insaf Enterprises                         1100520801737    2806467426127
1150     Karachi Dyeing Works                      1100320009346        AP-069965
1151     Knittex Garments                          1200600107391    2508456544437
1152     Makkah Bleaching & Dyeing                 1712630201328        AP-086651
1153     Mani Textile                              1100581101382        AP-078737
1154     M.M. Weaving Works                        1100580206837        AP-082345
                                                                        AP-069815
1155     Multinational Export Bureau               1100610305919        BL-001776
                                     492Z(lxxxv)
General Orders                                                     G.O. No. 20 of 2009

1156    M.Y. Corporation                           1100520505955     2306477434737
                                                                     2306457435494
1157    Noor Enterprises                           1100520868473         AP-056922
1158    Noorsons Industries                        1100119029337     2806467420234
1159    Orient Tex                                 1200590757928     2608466681437
1160    Parekh International                       1100620078091         AP-085267
1161    Pearl Plastic (Pvt_ Ltd.                   0215960600182     2711764331697
                                                                     2711754333414
1162    Prince Impex                               1100620049546     2605667353471
1163    Qasim Fabrics                              1100520503891         AP-038420
1164    Quality Knits                              1100610301128         BL-001518
1165    Rehmani Industries                         0209520400282     2850365765837
                                                                     2850365765813
1166    Sadaf Enterprises                          1100119016519         AP-063155
                                                                         AP-060911
1167    Santex Weaving                             1100590743173     2605667354532
1168    Shahzeb Textile                            1100580206673         BL-001966
1169    S.K. Doubling                              1200511106391         AP-028161
1170    Siddiq Textile Industries                  1100119004791         AP-074336
1171    Teetex Industries                          1100520862764     2706467757072
1172    Three Star Textile                         1100580218228     2950365727274
1173    Threadex Industries                        1200520936446         AP-065995
1174    Umair Textiles                             1200520832155         AP-069325
1175    Unicon International                       1200521200955         BL-003354
                                                                          AP-87391
1176    Warptex Industries                         1700520802082     2305677344345
1177    Zadafa (pvt) Ltd.                          1201620001828     2510166015796
1178    Zainab Weavers                             1100520863837         BL-000293
1179    Zulfiqar Industries                        1100520864828     2806467428316
                                                    (Aftab Ahmad Bhatti)
                                                   Secretary Tariff (ST&FE)
                                    _______________


C.No.1(15)STT/2005                                        Islamabad, 3rd June, 2009
                 SALES TAX GENERAL ORDER NO.20/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.08 of 2007 dated the
13th September, 2007, namely:–
                                    492Z(lxxxvi)
G.O. No. 20 of 2009                                         Law & Practice of Sales Tax

      In the aforesaid General Order, in the table–,
      (a) against S.No.240 in column (1), in column (4), after the figure
          24174309436205U” the figure “27161326017990U” shall be added;
          and
      (b) after serial number 738 in column (1) and the entries relating thereto,
          in columns (2), (3) and (4), the following new serial numbers and the
          entries relating thereto shall be added, namely:–
739       Ghosia Fabrics                    0301520805591         20171331842002U
                                                                  20171132416000U
740       Muhammad Sadiq Industry           0301520000291         24112590215006U
741       U S Apparel (Pvt) Ltd.            0304620078473         24151590005002U
                                                                  24151590002005U
                                                                  24151590003004U
                                                                  24151590216007U
                                                                  24151590004003U
                                                    (Aftab Ahmad Bhatti)
                                                   Secretary Tariff (ST&FE)
                                   _______________


C.No.1(15)STT/2005                                        Islamabad, 3rd June, 2009
                SALES TAX GENERAL ORDER NO.21/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.09 of 2007 dated the
13th September, 2007, namely:–
      In the aforesaid General Order, in the Table–,
      (a) against S.No.199 in column (1), in column (4), after the figure
          “24312353060405U” the figure “22312575003407U” shall be added;
      (b) against S.No.313 in column (1), in column (4), after the figure
          “5703100-1U” the figure “24312353085601U” shall be added;
      (c) against S.No.317 in column (1), in column (4), after the figure
          “24322454032002U” the figure “24322454032011U” shall be added;
      (d) against S.No.791 in column (1), in column (4), after the figure
          “26312757030805U” the figure “24334151012086U” shall be added;
      (e) against S.No.813 in column (1), in column (4), after the figure
          “24312757043007U” the figure “24312757043016U” shall be added;
      (f) against S.No.1000 in column (1), in column (4), after the figure
          “24311454030007R” the figure “24311454029466R” shall be added;
                                    492Z(lxxxvii)
General Orders                                                 G.O. No. 21 of 2009

    (g) against S.No.1132 in column (1), in column (4), after the figure
        “24312454064103” the figure “24312555058659U” shall be added;
    (h) against S.No.1171 in column (1), in column (4), after the figure
        “24321555120000U’ the figures “22321505768006R” and
        “22321505769005R” shall be added;
       (i) against S.No.1191 in column (1), in column (4), after the figure
           “23322212452007U”       the     figures   “23322212903002U”
           23322212559009U” and “23322212862001U” shall be added;
       (j) against S.No.1192 in column (1), in column (4), after the figure
           “22321505209003R”       the     figures    “22321505222006R”
           “22321505201001R” “22321505227001R” “22321505212008R”
           “22321505207005R” “22321552093003R” and “22321505210000R”
           shall be added;
    (k) against S.No.1210 in column (1), in column (4), after the figure
        “24322252005049U” the figure “23322212264005U” shall be added;
        and
       (l) after serial number 1230 in column (1) and the entries relating
           thereto, in columns (2), (3) and (4), the following new serial numbers
           and the entries relating thereto shall be added, namely:–
1231      A.A. Weaving Factory              0800520809937      24312555083060U
                                                               24321151051403U
                                                               22321112361002U
                                                               22321112352003U
1232      Abdul Ghafoor Weaving             0803520804791      22321112366007U
                                                               22321113223008U
1233      Abdul Ghafoor W/F                 2400520817446      23322211671004U
                                                               23322213305004U
1234      Abdul Hafeez W/F                  2400844607264      24321454031451U
1235      Abdul Qayyum W/F                  2400520819837      24321454091001U
                                                               22321400911006U
1236      Abdul Rahim W/F                   2400520831382      23322412660001U
                                                               23322412661000U
                                                               23322412658005U
1237      Abdur Rasheed W/F                 2400521005028      24312757014734U
                                                               22312777021657U
1238      Adul Sattar W/F                   2400521002391      24312656009753U
1239      Afzal Weaving Factory             2400520825937      24321555143003R
1240      Ajwa Textile Industries           0801520823455      22321417586004U
                                                               22321417634006U
                                                               22321417587003U
                                    492Z(lxxxviii)
G.O. No. 21 of 2009                                      Law & Practice of Sales Tax

1241     A.J. Weaving Factory                0800520809773     23311373015901U
                                                               24311353016170R
1242     Akhtar Weaving Factory              2400521007837     24313656003053R
1243     Aslam W/F                           2400521002473     24312757014707U
1244     Allah Hoo Textiles                  2400521009164     24321555051003U
1245     Al Hamad Weaving                    0891999132555     24313252033206U
1246     Al Jamal Weaving Factory            2400520829819     23322101255001U
1247     Al Jannat Weaving Factory           0801590004982     24322353069404U
                                                               23322300596007U
1248     Al-Nasir Weaving Factory            2400521007346     24322252044122U
                                                               24322252010104U
1249     Al-Rehman W/F                       2400520825028     22312777009403U
                                                               22312777032404U
1250     Amjid Hussain W/F                   2400520830219     24321555081007U
                                                               24321555152001R
                                                               22321500197008U
1251     A.M. Knitwear                       0803620000128     24312757016000R
1252     Amna Anees W/F                      2400521007673     24321454036009U
1253     Aamna Weaving Factory               2400521002628     24313858080104R
1254     Aamar Weaving                       0801520804064     24312555078469U
1255     Amer Weaving Factory                0801520912546     24312353024008U
                                                               24312353023009U
1256     Amer Maqbool W/F                    2400520818355     24333353047006U
                                                               21333333009206U
1257     Amjad Weaving Factory               2400520826437     22321505231005R
                                                               22321504640003R
                                                               22321504733001R
1258     Amjad Ali W/F                       2400844600237     23311272039006U
                                                               23311272039104U
                                                               23311272038007U
                                                               23311272038105U
                                                               23311272037605U
                                                               23311272037703U
1259     Amjad Ali W/F                       2400520811819     22321504831002R
1260     Ansari W/F                          2400999803873     22321113152003U
                                                               22321113144004U
1261     Anwar Jamil W/F                     2400520822219     22321414969008U
                                                               22321415296009U
                                                               22321506266001R
                                                               22321506265002R
1262     Anwar Ul Haq W/F                    2400521007755     24321555012724U
                                    492Z(lxxxix)
General Orders                                              G.O. No. 21 of 2009

1263    Arif Javid W/F                      2400521005519   24321454042706U
                                                            24321454042751U
1264    Arslan Enterprises                  2400520201555   24314555030008R
1265    A.R.M. Weaving Factory              0803520810555   24311656011000U
1266    A.S. Weaving Factory                2400520812646   24312757014887R
1267    Asghar Weaving Factory              2400844606846   22321415289008U
                                                            22321415297008U
                                                            22321415597005U
1268    Asghar Weaving Factory              2400521000237   24322252026008U
                                                            24322252029363U
1269    Aslam Weaving Factory               0801520816519   24311252007095U
                                                            24311252007102U
1270    Aslam Weaving Factory               2400521000319   24322252045201U
                                                            24322252029327U
                                                            23322212488005U
                                                            23322212686005U
1271    Atif Weaving                        2400844603046   24312555021001U
1272    A.U.A. Impex                        0802590002819   24322554036504U
1273    Awan Textiles                       0803520836891   21333232008014U
1274    Ayub Weaving Factory                2400520819673   22321109137154U
                                                            22321114337009U
                                                            22321114335001U
1275    A.Z.Z. Fabrics                      0802520814373   24312555084050U
1276    Bashir Weaving Factory              2400520827591   22313878057007U
                                                            24313858090004R
1277    Bismillah W/F                       2400520828419   24321555067005U
1278    Bismillah W/F                       2400521006019   24321252016181U
1279    Bilal Textile                       0800520831664   24333555024003U
1280    Bilal Weaving                       2400521008419   24322252043007U
1281    B.K. Textiles                       0405520500291   24321151009004U
                                                            24321113245002U
                                                            24321151008504U
1282    Chand W/F                           2400520805064   24312757014958U
1283    Chaudhry    Ghulam Rasool           0803520205091   24314575004718R
        Cotton Waste Factory
1284    Chaudhry Idrees W/F                 0801520822464   24321454021202U
1285    Chaudhry Nasir Ataal W/Ind.         0800520805146   24321454042966U
                                                            24321454042902U
1286    Dilber Weaving Factory              2400520805555   24312757014850U
1287    Dilshad Sizing Industries           0801520845319   24321252034009U
1288    Dilshad W/F                         0802520802237   24322353035003U
                                       492Z(xc)
G.O. No. 21 of 2009                                      Law & Practice of Sales Tax

1289     Elahi Textile Industries            0802520905528     24314353020000U
1290     Fatima Sports Wear Prop             0801621700491     24312757017508U
1291     Fazal W/F                           2400520830546     24321555219002U
1292     Fazalia W/F                         2400520822882     24321555053001U
1293     F.H. Weaving Factory                2400520816291     22321415288009U
1294
1295     Ghulam Rasool W/F                   2400520826019     22321503863005R
                                                               22321503701001R
                                                               22321503975000R
1296     Ghulam Rasool W/F                   2400520818928     24322151025076U
1297     Gulistan W/F                        2400521002219     24312656009557U
1298     H.F Fabrics                         2400520817773     24312757014618U
1299     Hafeez Ashraf W/F                   2400520809691     22313676013008R
                                                               22313676012900R
1300     Hamza Sizing                        0801520839473     23322101025000U
1301     Hassan Weaving Factory              2401520800182     24312656090307U
1302     Hussain W/F                         2400844602055     24312656099932U
1303     Hussain Weavers                     0803520821946     24321555087001U
                                                               24322353069850U
1304     Hussainia Sizing Industries         2400590005646     23322101157055U
1305     Iftikhar Weaving Factory            2400844603464     24312656099950U
                                                               22312474030703U
                                                               22312676030507U
1306     Ijaz Cotton Waste                   0800520901582     24313454004007U
1307     I.K. Textiles                       2400521007919     24321656021159U
1308     Imran Masood Textiles               0801520878646     24322252040527U
1309     Irfan Ali Weaving Factory           2400520821719     22312777015708U
1310     JAJ Weaving Factory                 0801520801091     24312555054252U
1311     Javed Iqbal W/F                     2400590008619     24313555009006U
                                                               24313555007008U
1312     Karam Din Ghulam Shabbir &          2400999806928     24312555085166U
         Co.
1313     Kashif Weaving Factory              2400520829246     24313858088008U
1314     Kausar Sizing Industry              0803520810973     24311252004007U
1315     Kohistan Elastomeric Yam            2400390700182     24313454017253U
1316     Khurshid Ali W/F                    2400521005282     24321454042555U
1317     Labia W/F                           2400521002137     24312757014903U
1318     M/s Fittex                          0801520811564     24312353034505U
1319     M.A. Weaving Factory                2400520824782     22313272039603U
                                                               22313272039701U
                                   492Z(xci)
General Orders                                           G.O. No. 21 of 2009

1320    Madni Cotton W/F                 2400520201719   24312555102156U
1321    Madni Sizing Industries          0801520839219   23322100673007U
1322    Manzoor Weaving Factory          2400520816373   24322454013050U
1323    Muhammad Abid W/F                2400520828582   24321656028009U
                                                         23321656063005U
1324    Moon Star International          0891999144855   24312555025007U
1325    Muhammad Alam W/F                2400520805228   24312757014752U
1326    Muhammad Ashraf Power            2400521008091   24322151034057U
        Looms
1327    Muhammad       Azam      Chand   0801520835582   24321454010508U
        Lessee Ali Akbar Sizing Ind.
1328    Muhammad Bashir W/F              2400520801673   24313656007059U
1329    Muhammad Bilal W/F               2400520822628   24321555226003U
1330    Muhammad Hussain Cotton          0803520203764   24314555028002U
        Waste Factory
1331    Muhammad Jhangir W/F             2400844603128   24322151033780U
                                                         23322103799000U
1332    Muhammad Amjad W/F               2400520831128   24321555170009U
1333    Muhammad Amir Munir W/F          2400520826355   23322412667004U
                                                         23322412668003U
                                                         23322412669002U
                                                         23322412698007U
                                                         23322412641005U
1334    Muhammad Anwar Naveed            2400520819428   24322151033931U
        W/F
1335    Muhammad Hanif W/F               2400520830882   24322151033469U
                                                         23322102281007U
                                                         23322102266006U
1336    Muhammad Liaqat W/F              2400520823382   24322252051104U
1337    Muhammad Nasir W/F               2400520822391   22321505745004R
                                                         22321505782106R
1338    Muhammad Ramzan W/F              2400520825855   24321454029801U
                                                         22321400436002U
1339    Muhammad Sadiq W/F               2400999809082   24321555058006U
1340    Muhammad Saleem W/F              2400844606019   24322252020111U
1341    Muhammad Sarwar W/F              2400520831464   24321555007008R
                                                         24321555075005U
1342    Muhammad Shahzad W/F             2400520831619   24321555186001U
1343    Muhammad Shahzad W/F             2400521006191   24322554037166R
1344    Muhammad Yaseen W/F              2400520817282   23322513881116R
                                                         23322102107009U
                                        492Z(xcii)
G.O. No. 21 of 2009                                        Law & Practice of Sales Tax

                                                                 23322102112002U
                                                                 23322102104002U
1345     Muhammad Usman W/F                    2400520827264     24321454036303U
1346     Muneeb Ahmad Anwar W/F                2400521007428     24322554037111R
1347     Munir Ahmad W/F                       2400520832455     22321600002056R
1348     Nadeem W/F                            2400521006273     24321454029954U
1349     Narang Weaving Factory                2400520807537     21333535011006R
1350     Nasir W/F                             0801520920391     24321555094002U
                                                                 22321505341002R
1351     Naseem Akhtar W/F                     2400844605855     24322151032200U
1352     Naseem Ashraf (Pvt) Ltd.              0890999117891     24312555010004U
1353     Nauman Bashir Haider Cotton           2400520833364     22321414964003U
         Waste Factory                                           22321414963004U
                                                                 22321414962005U
1354     New Ittefaq Sizing                    0800520810337     22321416818006U
1355     N.R. Textile Mills (Pvt) Ltd          0800521000319     24313151029028R
                                                                 24313151029858R
1356     Nawaz Weaving                         2400520000173     24312757030707U
1357     Nighat Weaving Factory                2400520816037     22321414975509U
1358     Noor Sizing Factory                   2400520801755     22321600064006R
1359     Paris (Pvt) Ltd.                      2400621700164     24313757018267U
1360     Ramzan Weaving Factory                2400520814473     22313272051606U
                                                                 22313272051704U
                                                                 22312676006801U
                                                                 22312676054269U
                                                                 22312373075008U
                                                                 22312373075106U
1361     Rana Ijaz Mehmood W/F                 2400521006437     24321454003507U
1362     Razzaq Weaving Factory                2400520825773     22321502388003R
                                                                 22321502390009R
                                                                 22321504678008R
1363     Rehan Mehboob W/F                     2400521005937     24322554037157U
1364     Rizwan Ahmad W/F                      2400521005364     22321417104007U
1365     Rizwan ul Haq W/F                     2400520831046     24321555104000R
                                                                 24321555113009U
1366     Rizwan Rafi Weaving                   2400520818273     24312353113509U
1367     Riaz Textile                          0803590007519     24312656100145U
1368     Sadiq W/F                             2400520808119     24322252009009U
1369     Saddique Javed W/F                    2400520824119     24321555149007U
                                                                 08321505000003R
1370     Saeed Weaving Factory                 2400520813719     24321151012401U
                                   492Z(xciii)
General Orders                                            G.O. No. 21 of 2009

1371    Sagheer W/F                       2400844605773   24322252045121U
1372    Safdar Hussain W/F                2400520830391   22321505221141R
                                                          22321505221123R
                                                          22321505546005R
1373    Sajid Bashir W/F                  0800844600664   21333232007907U
                                                          24333252056008U
1374    Saleem Weaving Factory            2400520822546   22321504284004R
                                                          22321504762005R
                                                          22321504280008R
                                                          22321504747005R
1375    Saqib Weaving Factory             2400520814628   22321414970504U
1376    Shahid Maqbool W/F                2400844604782   24322554045102R
1377    Shamshad Weaving Factory          2400520806219   24313858019057R
1378    Shercotex                         0890999918646   23311272078204U
1379    S.J. Fabrics                      0801520892091   24312353023508U
1380    Talha Weaving Factory             2400520814546   24313454002884U
                                                          24313454003053U
1381    Tariq Mehmood W/F                 2400520810173   24321555154009R
                                                          22321505189007R
1382    Tariq Weaving Factory             2400521004946   24321454078008U
1383    Tauseef Ahmad Anwar W/F           2400521007591   24321454036401U
1384    Umer Hayat W/F                    2400521004373   24313252049253U
1385    Umer Weaving Factory              0801520833846   24322454030102U
1386    Universal Fabrics                 0801520830464   22312676001101U
                                                          22312676033309U
                                                          24312656100127U
1387    VKY Exports                       0803590700446   24312555094352U
1388    Waqas Weaving Factory             2400520807791   24322554050523U
1389    Warisha Inddustries               0802520806037   24313858022105R
                                                          24313858030007U
1390    Weavex Sizing Industry            2400520824373   24312555078405U
1391    Yousaf Weaving Factory            2400844606437   24321555194001R
1392    Zafar Mehmood W/F                 2400521005446   24321454002606U
1393    Zain Brothers W/F                 0802520806864   24312353053002U
                                                          22312373007403U
1394    Zainab Weaving Factory            2400520811737   24313656005042R
                                                          22313676012802R
1395    Zahid Hussain W/F                 2400520806628   24313656005051U
1396    Zaki Weaving Factory              2400521009246   24322454032066U
1397    Zeeshan Weaving Factory           2400520820319   24322151033584U
                                     492Z(xciv)
G.O. No. 21 of 2009                                        Law & Practice of Sales Tax

1398      Zulfeqar W/F                      2400520825691        23322411993001U
                                                                 23322411992057U
1399      Zulfiqar Ali W/F                  2400520819264        24322151006122U
                                                   (Aftab Ahmad Bhatti)
                                                  Secretary Tariff (ST&FE)
                                   _______________


C.No.1(15)STT/2005                                       Islamabad, 3rd June, 2009
                SALES TAX GENERAL ORDER NO.22/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.10 of 2007 dated the
13th September, 2007, namely:–
      In the aforesaid General Order, in the Table–,
       (a) against S.No.62 in column (1), in column (4), after the figure
           “01512201079027” the figure “21512611035037U” shall be added;
      (b) against S.No.164 in column (1), in column (4), after the figure
          “18512609819002U” the figure “21512611477103U” shall be added;
       (c) against S.No.172 in column (1), in column (4), after the figure
           “27511512606025” the figure “27511512606016” shall be added; and
      (d) after serial number 174 in column (1) and the entries relating thereto,
          in columns (2), (3) and (4), the following new serial numbers and the
          entries relating thereto shall be added, namely:–
175       Lodhi Cotton Indusstries            0407230604519      27516222999003U
176       Mushtaq Brothers Cotton Ind.        0402520117019      27526224498049R
                                                   (Aftab Ahmad Bhatti)
                                                  Secretary Tariff (ST&FE)
                                   _______________


C.No.1(15)STT/2005                                       Islamabad, 3rd June, 2009
                SALES TAX GENERAL ORDER NO.23/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.11 of 2007 dated the
13th September, 2007, namely:–
      In the aforesaid General Order, in the table–,
       (a) against S.No.372 in column (1), in column (4), after the figure
           “24211104513005U” the figure “24211101725005U” shall be added; and
                                      492Z(xcv)
General Orders                                                   G.O. No. 24 of 2009

      (b) after serial number 414 in column (1) and the entries relating thereto,
          in columns (2), (3) and (4), the following new serial numbers and the
          entries relating thereto shall be added, namely:–
415       Ahsan Dyeing                        0903511100782     24212500055016U
416       Ansar Textile Factory               2500521001628     24214110695009U
417       Arena Sports                        0990999924664     27241113329007U
418       Brother Associates                  0905420302419     27165201695008U
419       Elmed Surgical                      0905691825991     24247204808005R
420       Hasan Corporation                   0915999900655     24225100007000U
                                                                24225100012003U
421       Kashmir Textile Factory             2500500402537     24214110695018U
422       Leather Village                     0905420330155     27247100586006R
                                                                24243100582001R
                                                                27243100584002R
423       Munir Fibre                         2500540100137     24213400116006U
424       Muslim Tannery                      0905420501919     27241409106008U
425       Raja Industries                     0990999951028     24241120379008U
426       Rashid Associates                   0905999998455     21242416006006R
427       Super Tech Leather Co.              0905420508119     27242401867003R
428       Tough Riders Leather Garments       0905420503819     21241405796004U
          (Pvt) Ltd.                                            10241405797006U
429       White Pearl Rice Mills              0397999904437     24225100045004U
430       World of Martial Arts               0905950620364     27242211273013U
                                                                27247220540007R
431       Z&J Hygienic Products               0904620000282     24214212452006U
                                                   (Aftab Ahmad Bhatti)
                                                  Secretary Tariff (ST&FE)
                                    _______________


C.No.1(15)STT/2005                                       Islamabad, 3rd June, 2009
                 SALES TAX GENERAL ORDER NO.24/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.16 of 2007 dated the
13th September, 2007, namely:–
      In the aforesaid General Order, in the table–,
      (a) against S.No.862 in column (1), in column (4), for the figure
          “9299190000” the figure “7147096785” shall be substituted; and
                                     492Z(xcvi)
G.O. No. 24 of 2009                                        Law & Practice of Sales Tax

      (b) after serial number 877 in column (1) and the entries relating thereto,
          in columns (2), (3) and (4), the following new serial numbers and the
          entries relating thereto shall be added, namely:–
878       A.A. Lalani & Co.                         1700590011991       7628631000
879       Al-Habib Twisting                         1700590012073       9045631000
880       Anam Fabrics                              1100610301537       6231831000
881       Anus Dyeing                               1200320009746       2013560000
882       Asim Apparel                              1100620003128         13694228
883       Buksh Manufacturing Cor.                  1100620070155       8441831000
884       Classic Garments                          1100119018591         13659404
885       Creative Knits                            1200610306864       9185666545
886       Denim Clothing Company                    1712620004819       6843567178
                                                                        4394452640
887       Dynamic Textile                           1100511109373        M-0326771
888       Faisal Corporation                        1100840013355       2367331000
889       F.K.R. Manufacturers                      1100620073537       4575421000
890       G. Muhammad Textile                       1700590009364        M-0429879
891       Grace Industries                          1200390080873       8911831000
892       Hamza Industries                          1200320008673       4061590000
893       Karachi Dyeing Works                      1100320009346        M-0515898
894       Knittex Garments                          1200600107391       8999190000
895       Makkah Bleaching & Dyeing                 1712630201328       AP0501118
896       Mianoor Textile Industries                1100320000319       0831831000
897       Multinational Export Bureau               1100610305919       6701070000
898       Noorsons Industries                       1100119029337       4321831000
899       Nutex International                       1200600101064       0048288261
900       Pearl Plastic (Pvt) Ltd.                  0215960600182       0986870000
901       Quality Dyeing & Finishing                1200590769073       7720290000
902       Quality Knits                             1100610301128       8496401000
903       Rehmani Industries                        0209520400282       2069811000
904       Stitches Private Ltd.                     1100610302291       8276446372
905       Teetex Industries                         1100520862764       4381731000
906       Warptex Industries                        1700520802082       6090831000
907       Yunus Textile Mill Ltd.                   1100620055064       8344380000
                                                                        0024280000
                                                   (Aftab Ahmad Bhatti)
                                                  Secretary Tariff (ST&FE)
                                  _______________
                                        492Z(xcvii)
General Orders                                                           G.O. No. 25 of 2009

C.No.1(15)STT/2005                                            Islamabad, 3rd June, 2009
                 SALES TAX GENERAL ORDER NO.25/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.17 of 2007 dated the
13th September, 2007, namely:–
      In the aforesaid General Order, in the table–,
      (a) serial number 136 in column (1) and the entries relating thereto in
          columns (2), (3) and (4) shall be omitted;
      (b) against S.No.651 in column (1), in column (4), after the figure
          “11100001565” the figure “11160002111” shall be added; and
      (c) after serial number 977 in column (1) and the entries relating thereto,
          in columns (2), (3) and (4), the following new serial numbers and the
          entries relating thereto shall be added, namely:–
978       Allawasaya     Textile   &     Finishing       0407520200382       11110002202
          Millis Ltd.
979       A.M. Knitwear                                  0803620000128       31100011331
980       Chaudhry Enterprises                           0890999975073       31100011353
981       Data Fabrics                                   0801520912964       31200785905
982       Farooq faiz Textile Mills                      2400520000337       31100013746
983       Fatima Sports Wear Prop                        0801621700491       31100012044
984       Five Star Industries                           0801590006473        31100013683
985       Leather Village                                0905420330155       56100001791
986       Madni Sizing Ind.                              0801520839219       31100006766
987       Marks (Pvt) Ltd.                               0302999912391       41100034032
988       Mazco Industries (Pvt) Ltd.                    0305100600955       54260013502
989       New Ittefaq Sizing                             0800520810337       31100002184
990       Noor Sizing Factory                            2400520801755       31100012862
991       Umer Apparels                                  0802620000219        31100013605
992       Weavex Sizing Industry                         2400520824373       31100012828
                                                       (Aftab Ahmad Bhatti)
                                                      Secretary Tariff (ST&FE)
                                       _______________
                                       492Z(xcviii)
G.O. No. 26 of 2009                                           Law & Practice of Sales Tax

C.No.1(15)STT/2005                                     Islamabad, 8th September, 2009
                 SALES TAX GENERAL ORDER NO.26/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.07 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table–,
     (a) serial number 614 in column (1) and the entries relating thereto in
         columns (2), (3) and (4) shall be omitted;
     (b) against S.No.757 in column (1), in column (4), the figure
         “AP016873” shall be omitted;
     (c) against S.No.1125 in column (1), in column (3), for the figure
         “1100511128828” the figure “1100511129828” shall be substituted;
     (d) after serial number 1179 in column (1) and the entries relating
         thereto in columns (2), (3) and (4), the following new serial numbers
         and the entries relating thereto shall be added, namely:–
          “1180       Al-Faisal Leather Craft         1200420201291   2508466603431
          1181        Al-Haram Traders                1750520902719   2750167526892
          1182        Al-Karam Towel Industries       1712590039446   2400565815178
          1183        Aliya Enterprises               1200845204164   2708456744095
          1184        Amex Co.                        1202999978137   2605667350553
                                                                      2405767368717
          1185        Anwar Textiles                  1100511117119 2550355842387
                                                                    2550355841119
          1186        Arif Silk Industries            1700590701119   2500465588257
          1187        Ayesha Tex                      1712521003091   2506467478115
          1188        Elite Hosiery Mills             1100119021491   2606467674199
          1189        Finetex Industries              1100520515519   2706467466930
          1190        Ghazi Silk Factory              1703520500182   2708466775077
          1191        Gulf Enterprises                1703999957128   2406457478090
          1192        Harmain International           1200410709273   2508466597970
          1193        Imperial Textiles               1750630201437   2700565815759
          1194        Imran Weaving                   1700520802164   2550365760157
          1195        Karachi Silk                    1700500400637   2805667951505
          1196        Khan Silk                       1700590015464   2708456756670
                                       492Z(xcix)
General Orders                                                     G.O. No. 27 of 2009

          1197     Lakhany               Textile 1100520505464 2606467612770
                   International
          1198     Noor Enterprises                 1100520868473     AP-080302
          1199     Rafaqat Textile                  1100580222346 2550355843437
                                                                  2550355843456
          1200     Riaz Bleaching                   1100520861855 2650355866418
                                                                  2650355844813
          1201     Royal Tex                        1100520846691 2850355858112
          1202     Startex                          1700520802328 2805667980017
          1203     Tauheed International            1712420302446 2508466597016
          1204     Tax World                        1200581106991     BL-002166
          1205     Umair Snan Fabrics               1100520850964     AP-074662
                                                                      AP-074663
                                                                      AP-062611
                                                                      AP-064914
          1206     Zainab Silk                      1700521001219     AP-080033
          1207     Zubair Silk Mills                1700520501937 2506467761933
          1208     Zulfiqar Textiles                1700590014219    AP-082218”
                                                      (Muhammad Sadiq)
                                                    Secretary Tariff (ST&FE)
                                    _______________


C.No.1(15)STT/2005                                    Islamabad, 8th September, 2009
                 SALES TAX GENERAL ORDER NO.27/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.08 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 741 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
“742   Adil Fabrics                      0300520800637             20153331017496U
743    Qamir Cotton Industries           0303300500119             20141603409015U
744    Rehman Rainbow (Pvt) Ltd          0302300538428            24121491001004U”
                                                      (Muhammad Sadiq)
                                                    Secretary Tariff (ST&FE)
                                    _______________
                                    492Z(c)
G.O. No. 28 of 2009                                   Law & Practice of Sales Tax

C.No.1(15)STT/2005                             Islamabad, 8th September, 2009
                SALES TAX GENERAL ORDER NO.28/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.09 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table–,
     (a) against S.No.36 in column (1), in column (4), after the figure
         “24321353021000U” the figure “24314555043012R” shall be added;
     (b) against S.No.805 in column (1), in column (4), after the
         figure“24313858060000U” the figure “24313858063052R” shall be
         added;
     (c) against S.No.897 in column (1), in column (4), after the figure
         “22321100695004U” the figure “24321151050360U” shall be added;
     (d) serial number 1101in column (1) and the entries relating thereto in
         columns (2), (3) and (4) shall be omitted;
     (e) against S.No.1111 in column (1), in column (4), after the figure
         “24313858101001U” the figure “24313858072006U” shall be added;
     (f) against S.No.1135 in column (1), in column (4), after the figure
         “24312353052003U” the figures “24312353122606U” shall be
         added;
     (g) against S.No.1348 in column (1), in column (4), after the figure
         “24321454029954U” the figures “22321414965002U” and
         “22321414966001U” shall be added;
     (h) against S.No.1361 in column (1), in column (4), after the figure
         “24321454003507U” the figures “22321400370000U” and
         “22321400405009U” shall be added;
     (i) against S.No.1364 in column (1), in column (4), after the figure
         “22321417104007U” the figure “24321454094008U” shall be added;
     (j) against S.No.1373 in column (1), in column (3), for the figure
         “0800844600664” the figure “0800844600646” shall be substituted;
     (k) against S.No.1386 in column (1), in column (4), after the figure
         “24312656100127U” the figure “24312656100181U” shall be added;
         and
     (l) after serial number 1399 in column (1) and the entries relating
         thereto in columns (2), (3) and (4), the following new serial numbers
         and the entries relating thereto shall be added, namely:–
                                     492Z(ci)
General Orders                                                  G.O. No. 28 of 2009

“1400    Abdullah Weaving                       2401520800426   24322454032100U
1401     Abdul Hafeez W/F                       2400520835182   24321555131007R
1402     Abdul Latif W/F                        2400520841519   24322353070606U
1403     Abdul Razak W/F                        0803520808182   24311252006023U
1404     Abdul Rashid W/F                       2400520838564   23322208393007U
                                                                23322400266004U
                                                                23322208389003U
                                                                23322100026001U
1405     Abdul Satar Weaving Factory            2400521009991   22321501832007R
1406     Abdul Shakoor W/F                      2400844610628   24322353070508U
1407     Aemin Weaving Factory                  2401520800591   24322454032084U
1408     Afia Kaukab W/F                        2400520838319   24322252026115U
                                                                24322252026099U
1409     Aftab Embroidery                       2400581000682   22313272033208U
                                                                22313272033100U
1410     Ahmad Khizar W/F                       2400999804528   24321555166005U
1411     Ahmad Nawaz W/F                        2400521002964   23322101406009U
                                                                23322101410003U
                                                                23322101617406U
                                                                23322101403002U
1412     Ahsan Raza Akram Weaving               2400521012946   23311272032307U
                                                                23311272032209U
1413     Al-Ahmad Processing                    2400520900428   23311272003106U
1414     Al-Basit Textile                       2400590013319   24313858055007U
1415     Allah Ditta W/F                        2400520830055   24322252069328U
1416     Al-Harram Fabrics                      2401520800346   24322454032020U
1417     Al-Jamil Textile Industry              2400590013646   24322252044006U
                                                                24322252083106U
                                                                23322212346007U
1418     Al-Madina Weaving                      2400520837573   24311252009002U
1419     Al-Makkah W/F                          2400520829991   24311353013100U
                                                                24311353013011U
1420     Al-Munir Fabrics                       0802520812137   24312555083328U
                                                                24312555083337U
1421     Al-Noor Textiles                       2400521002546   24313858062044R
1422     Al-Rehman W/F                          2400521007264   04321502330000R
1423     Ali Ahmad Weaving Factory              2400520843346   24321555134004U
1424     Ali Asghar Weaving Factory             2400520842191   24322151034011U
1425     Ali Rafiq Weaving Factory              2400844610473   23311373024401U
                                      492Z(cii)
G.O. No. 28 of 2009                                     Law & Practice of Sales Tax

1426      Ali Raza Sizing                     0800520500128   23322101337003U
                                                              23322100675005U
                                                              23322100853009U
1427      A.K. Fabrics                        2400830000282   24321151006301U
1428      Akhtar Ali Weaving Factory          2400520834928   24321555138000R
1429      Akbar Ali Weaving Factory           2400520844091   22321502633006R
                                                              22321502612001R
                                                              22321502605126R
1430      Akbar Anwar W/F                     2400520831873   24321454033002U
1431      Akram Apparel                       2400520500155   24314555042013R
                                                              24314555042004R
                                                              22312676049800U
1432      Amer Mehmood W/F                    2400520833028   24311454009031U
                                                              24311454009022U
1433      Amin Weaving Factory                2400844615755   24313858013008U
1434      Amir Cottex                         2400590009946   24311555036103U
                                                              24311555036201U
1435      Amjad Hussain W/F                   2400520830219   22321500197008R
1436      Amjad Weaving Factory               2400521013773   24322151030122U
1437      Amjad Weaving Factory               2400590016046   23322102540004U
1438      Anjum Weaving Factory               2400521011537   24321454035402U
1439      Anwar Ul Haq W/F                    2400844616337   24321555172007R
                                                              22321415291004U
1440      A.R. Enterprises                    0880520200182   24314555004000U
1441      A.R. Traders                        0803520206082   24314555014106R
1442      Arshad Weaving Factory              2400520842846   24321555069003U
1443      Arfan Weaving Factory               2400520835919   24322454027090U
1444      Arif Mehmood Malik Textile          2400520826846   24312555092185U
          Ind.
1445      Asif Weaving Factory                2400520837082   24322252045229U
1446      Ashfaq Weaving Factory              2400844601637   23322101394003U
                                                              23322101393004U
                                                              23322110566006U
                                                              23322101392005U
                                                              23322101390007U
1447      Ashiq Ali Weaving Factory           2400520842355   24322252051088U
1448      Asad Weaving Factory                2400844608419   22321507347002R
1449      A.S. Weaving Factory                0800520808864   24322252029372U
1450      Asif Weaving Factory                2400520839146   22321417683006U
                                     492Z(ciii)
General Orders                                                G.O. No. 28 of 2009

1451     Aslam Weaving Factory                2400521002473   22312777026803U
                                                              22312777026000U
                                                              22312777026607U
1452     Atif Sharif Weaving/F                2400520835837   24322454027116U
1453     Ashraf Weaving Factory               2400520824946   24322252011121U
1454     Attal Fabrics                        2400520810828   24322252075008U
1455     Babar Jamil W/F                      2400844614682   22321500261009R
                                                              22321500260000R
                                                              24321656064004R
1456     Babar Weaving Factory                2400520843182   24313858090157U
1457     Bashir Ahmad Power Looms             2400844609819   24312353127709U
1458     Bashir Ahmed W/F                     2400520834846   23322101293005U
                                                              23322100931005U
1459     Bashir Weaving Factory               2400844605691   23322212301000U
                                                              23322212303008U
1460     Bilal Fabrics                        2400520803328   24313656004908U
1461     Bisma Supper Collection              0800520800682   23311272098200U
1462     Bismillah Dyeing Works               0405511103037   24311252052008U
1463     Bismillah Weaving Factory            2400520807128   23322409929004U
                                                              23322409923108U
1464     Ch. Ghulam Rasool Cotton W/F         0803520205091   21314575004718R
1465     Chaudhry Hosiery                     0802620000473   23322333324515U
                                                              23322333325514U
                                                              23322333326513U
                                                              23322333412518U
1466     Chaudhry Weaving Factory             2400520813555   24332151025001U
                                                              21332121024608U
1467     Chaudhry Weaving Factory             0800520806055   24333252062000U
1468     CMC Weaving Factory                  2400521010628    2432155515000U
1469     Daiwal Sharif Textile                2400520811164   22312676022204U
1470     Data Hajwery W/F                     2400844612528   24321656035000U
1471     Data Weaving Factory                 2400844612782   24321656041002R
1472     Farooq Hussain W/F                   2400520821146   24322151033717U
1473     Fazal E Rabbi Textiles               2400521010546   24312555083186U
1474     Fazal Tex                            2400731900782   22312575013209U
1475     Fine Weaving Factory                 2400520802255   24322252029381U
                                                              23322212517000U
1476     Genius Textile Network               0803590005873   24312454074502U
1477     Ghaffar Power Looms                  2400520839891   22321505659302R
1478     Ghafoor Weaving/F                    2400844610055   24322252005101U
                                       492Z(civ)
G.O. No. 28 of 2009                                      Law & Practice of Sales Tax

1479      Ghulam Muhammad W/F                  2400590010428   24322252011185U
1480      Ghulam Murtaza Power Loom            2400520846564   24321555063009U
1481      Ghousia Weaving Factory              2400520802173   24322252039156U
1482      Gohar Textile Mills                  0405630300364   24333252030107U
                                                               24333252033006U
1483      Gulzar Noor Weaving Factory          2400520833446   22321504301003R
                                                               22321504286002R
                                                               22321504285003R
                                                               22321504710008R
1484      Hady Doubling                        2400999802219   24311353011120U
1485      Hafiz Weaving Factory                0800520801673   24321555118004R
1486      Hafiz Umer W/F                       2400520816455   23322101362001U
1487      Hamraz Ahmed W/F                     2400520845328   24322252006066U
1488      Haq Bahoo W/F                        2400844611537   24321151051902U
1489      Hayat Weaving                        2400844609246   24322454027189U
1490      H.B. Weaving Factory                 2400521006846   24311555053003U
1491      Hina Sana Textile Mills              0880520900455   24312757001178U
1492      Hussain Industries                   2400520809282   22312373028300U
                                                               22312373028658U
                                                               24312353099008U
                                                               24312353127601U
                                                               24312555027050U
1493      Hussain Sizing Ind.                  2400590700391   22321417739509U
1494      Ideal Spinning Mills                 0404520201719   24313757073303R
1495      Idrees Knitting Industries           0890999147919   22312777018359R
1496      Iftikhar Weaving Factory             2400844615673   24321555059005U
                                                               22321502421002R
                                                               22321502386005R
1497      Iftikhar Rasheed W/F                 2400521004119   23322406842004U
                                                               23322100052151U
                                                               23322100052053U
1498      Ihtisham Munawar W/F                 2400520823619   24322252069211U
1499      Ilyas Weaving Factory                2400844606355   24321151051911U
1500      Imtiaz Enterprises                   2400590700219   24321353024007U
1501      Imran Tabasum W/F                    2400520842928   24322252074009U
1502      Imran Weaving Factory                2400999806019   23322100553002U
1503      Irfan Illyas W/F                     2400520844337   24313858096106U
                                                               22313878046001U
1504      Irfan Ul Haq Weaving Factory         2400844608664   24321555148008U
                                                               10321506264008R
                                    492Z(cv)
General Orders                                             G.O. No. 28 of 2009

1505     Irfan Weaving Factory             2400844612037   22313878063009U
1506     Irfan Weaving Factory             2400844611464   23322408510001U
                                                           23322408504009U
                                                           23322408509004U
1507     Ishaq Fabrics                     2400830000855   22312575011924U
1508     Ishaq Textile Mills               0404520200319   24313757073401R
1509     Israr Ul Haq Weaving Factory      2400844608746   24321555188009U
1510     Ittfaq Weaving Factory            2400520829164   24333555027000U
1511     Jaddah Weaving Factory            2400520825519   24321656032003U
1512     Jamal Fabrics                     2400521000728   23311272054202U
                                                           24311252010009U
                                                           24311252019073U
1513     Jamila Begum Power Looms          2400520842437   24321555008007U
                                                           22321502387004U
1514     Jamila Bibi W/F                   2400520845082   24321555124006U
1515     Javed Gloves Maker                0890999939446   24322151033833U
1516     J.M. Weaving Factory              2400520818682   24312353113607U
1517     J.K.B Weaving Mills               0801520503591   24313151036109U
1518     J.K.Brothers Pakistan (Pvt) Ltd   0403511106519   22313171015507R
                                                           23322213599009U
                                                           23322213666007U
                                                           23322213667006U
                                                           22313171025202U
1519     Karim Hosiery                     0801621700155   24321252024001U
                                                           22321202768000U
                                                           22321202819009U
1520     Kashif Abdul Rehman W/F           2400520822137   24322151032148U
1521     Kasuri Fabrics                    2400520826928   24322252003005U
1522     Khadim Hussain W/F                2400844602964   22321505747002R
                                                           22321505746003R
1523     Khalid Weaving Factory            2400521009082   22321506963506R
1524     Khalid Weaving Factory            2400520846319   24321454002553U
1525     Khawaja Textile Mills             0801520907364   22312575014805U
1526     Khurram Shehzad W/F               2400844616091   24322151034404U
1527     K.M. Tex                          2400520811573   24322252045309U
1528     M.Ashfaq Power Looms              2400520810091   22321502710002R
                                                           22321502603100R
1529     Madina Weaving Factory            2400521010964   24323151021015U
1530     Makkah Weaving Factory            2401520800673   24312555083015U
                                     492Z(cvi)
G.O. No. 28 of 2009                                    Law & Practice of Sales Tax

1531      Manzoor Ahmad W/F                  2400521014019   24322252025072U
                                                             24322252025107U
1532      M.A. Nagra W/F                     2400520801919   24322252041009U
1533      M.A.Weaving Factory                2400520834019   24321656071005R
1534      M.Javed Weaving Factory            2400521008255   24321454029507U
1535      Maqsood Ahmad W/F                  2400520821637   24322252029103U
1536      Masood Textile Mills               0404520200564   24313757069005U
                                                             24313454034118U
                                                             24312555102021U
                                                             24312353142005U
1537      M.Akbar Weaving Factory            2400520843919   24322151012721U
1538      M.Arshad Weaving Factory           2400520841446   22321500210001R
                                                             22321500196009R
1539      M. Ashraf W/F                      2400520844173   22321504324104R
                                                             22321504699003R
                                                             22321504276004R
1540      M.Babar Jamil W/F                  2400844614682   22321500261009R
                                                             22321500260000R
                                                             24321656064004R
                                                             24321656064004R
1541      M.Azam Weaving Factory             2400844617655   24321555089009U
                                                             24321555223006R
                                                             22321600002109R
1542      Madiha Khalid W/F                  2400844615591   24321555116006R
                                                             24321555082006U
1543      Maqbool Ahmad W/F                  2400521011128   24321454031200U
1544      Maqbool Weaving Factory            2400520817937   22321506938009R
                                                             22321506939259R
                                                             22321507337004R
1545      M.Ehsan Ullah W/F                  2400520844419    2432215103307U
1546      Milat Weaving Factory              2400520818019   24322353069958U
1547      M.I. Weaving Factory               0800680200255   24322252011087U
1548      Mian Salar Khan W/F                2400520816946   24312454004151U
1549      Miraj Din W/F                      2400521012782   22312676025407U
                                                             22312676025504U
                                                             22312777016404U
1550      Moon Star International            0891999144855   24312555027951U
1551      Mubarak Weaving Factory            2400520829328   24311656013008R
1552      Mudassar Ahmad W/F                 2400520825282   24321555065007U
1553      Mudassar Weaving Factory           2400520838646   13321611042009R
                                492Z(cvii)
General Orders                                           G.O. No. 28 of 2009

1554     Muhammad Alam W/F               2400520805228   22312776023409U
                                                         23322215961004U
                                                         23322215947003U
1555     Muhammad Ali W/F                2400844609164   23322412008002U
1556     Muhammad Ali W/F                2400520844828   22321502333009R
                                                         22321502339003R
                                                         22321605955007U
                                                         22321605954008R
1557     Muhammad Amin W/F               2400520831955   24321555046109R
1558     Muhammad Anwar W/F              2400521003619   24322554035417U
1559     Muhammad Asif W/F               2400844607346   24322252029390U
                                                         23322332900519U
1560     Muhammad Aslam W/F              0300521001273   24322554044112R
1561     Muhammad    Ashraf     Power    2400590010755   23322212635007U
         Looms                                           23322212641009U
                                                         23322212678005U
                                                         23322212642008U
1562     Muhammad     Ashraf    Power    2400521008091   23322101489009U
         Looms                                           23322101502002U
                                                         23322101501003U
1563     Muhammad Ashraf W/F             2400844617328   23322207882007U
                                                         23322207883006U
1564     Muhammad Ayub W/F               2400520847719   22313272049004U
                                                         22313272049200U
                                                         22313272050304U
                                                         22313272050206U
1565     Muhammad Ibrahim W/F            2400520842764   24321555125005U
                                                         24321555095001U
1566     Muhammad Ijaz W/F               2400520846646   22321504088002R
                                                         22321504311001R
                                                         22321504042007R
1567     Muhammad Irfan W/F              2400844609082   22321505686005R
                                                         22321505691008R
                                                         22321505640000R
1568     Muhammad Jamil Hussain W/F      2400520810582   22321505752004R
                                                         22321505748001R
                                                         22321505749000R
1569     Muhammad Latif W/F              2400521009655   24322151035109U
1570     Muhammad Nawaz W/F              2400844608582   23322100052197U
                                                         23322100003008U
                                  492Z(cviii)
G.O. No. 28 of 2009                                  Law & Practice of Sales Tax

1571      Muhammad Rafiq Weaving           2400844612373   23322212684276U
                                                           23322212524001U
                                                           23322212567009U
1572      Muhammad Ramez W/F               2400520823873   24321454036107U
1573      Muhammad Ramzan W/F              2400520823046   23322204030005U
1574      Muhammad Rohail Afzal W/F        2400520823537   24322554037102U
1575      Muhammad Sabir W/F               2400520838237   24322252069024U
1576      Muhammad Sabir W/F               2400520845737   24313454031102U
1577      Munawar Weaving Factory          2400520817855   13321507331009R
                                                           22321505317002R
1578      M. Saleem Weaving Factory        2400520830137   24322252027089U
1579      Muhammad Shakeel W/F             2400521005773   24322151010000U
1580      Muhammad Shafiq W/F              2400521011382   24312353038501U
1581      Muhammad Sadiq W/F               2400520823464   24321656021202U
1582      Muhammad Sarwar W/F              2400520812491   24313454016110U
1583      Muhammad Sarwar W/F              2400844609573   24322252007029U
1584      Muhammad Tahir Javed W/F         2400520823791   24322454032128U
1585      Muhammad Waheed Sharif W/F       2400520836173   22321503705007R
                                                           22321503924002R
                                                           22321503955004R
                                                           22321503823004R
1586      Muhammad        Yasin     s/o    0801520850828    2332223373001U
          Muhammad Yousaf (Lesse
          Jadha Sizing)
1587      M. Yaqoob Weaving Factory        2400844613282   24321454021300U
1588      Muhammad      Yousaf    Power    2400520842682   22321502277007R
          Looms                                            24321555111001U
1589      Mushtaq Weaving Factory          2400520808782   24312757030100U
1590      M.Saeed Weaving Factory          2400520825364   24322554035550R
1591      M.S. Weaving Factory             2400521006928   24321454029605U
                                                           24321454042635U
1592      M.Rasheed W/F                    2400520835264   24321555017122U
1593      M. Zahid Power Looms             2400520845164   22321502338004R
                                                           22321502337005R
                                                           24321555211000U
1594      Murad Ali Weaving Factory        2400520827182   24321151002065U
1595      Muslim Weaving/F                 2400520818437   24321454005907U
1596      Nabila Kausar W/F                2400520844746   24321555052002U
1597      Nadeem Weaving Factory           2400520822964   24321555136002U
1598      N.M. Weaving Factory             2400844611046   24331959010103U
                                   492Z(cix)
General Orders                                             G.O. No. 28 of 2009

1599     Nasir Mehmood W/F                 2400520845655   24322151010135U
1600     Nasir Weaving Factory             2400521013691   24322353090746U
1601     Nawab Din Weaving Factory         2400520824291   23322213357001U
                                                           23322213355003U
1602     Nafees Weaving Factory            2400520819346   24322252025054U
1603     Nasir Weaving                     2400520805146   24322252029416U
1604     Naveed Maqsood W/F                2400844612119   24312353034603U
1605     Naz Weaving Factory               2400520846073   24313858015097R
1606     New Jamia Sizing                  0801520895973   23322213598000U
1607     Paradise Textile Mills            0801520870882   24312555092309U
1608     Pervaiz Weaving Factory           2400520839480   22313878040007R
                                                           22313878032007R
1609     Pervaiz Weaving                   2400590008873   24334252019012U
1610     Punjab Weaving Factory            2400521008582   24321454036704U
1611     Qaim Din Weaving                  2400520806882   23322101027008U
                                                           23322101004005U
                                                           23322101008001U
1612     Qaisar Nazir W/F                  2400520842019   24321555178001R
                                                           24321555101003U
                                                           24321555105009R
1613     Qasim Weaving Factory             2400520846491   22321401457157U
1614     Rafique Power Looms               2400520807955   22321502595002R
                                                           22321502574007R
1615     Rafiq Weaving Factory             2400520844255   22321505659124R
                                                           22321502662144R
1616     Rafiq Weaving Factory             2400521013446   24322151033209U
1617     Raja Textile Industries           0801520886491   24312252078114U
1618     Ramzan Weaving Factory            2400520813891   24332151020006U
1619     Rana Ijaz Mahmood W/F             2400521006437   22321400370000U
                                                           22321400405009U
1620     Rana Shehzad Mehmood W/F          2400844609655   24321555137001U
1621     Rashid Weaving Factory            2400520845573   24322151033575U
1622     Ray Imdad Ali W/F                 2400521010219   22321507042000R
1623     Real Textile Industry             2400590006973   24322252045158U
                                                           23322212427009U
1624     Rehman Knitting Mills             0800621700655   24312555054181U
1625     Rehman Textile Traders            0801844500491   22321500240005R
                                                           22321500239008R
                                    492Z(cx)
G.O. No. 28 of 2009                                  Law & Practice of Sales Tax

1626      Rehman Weaving Factory           2400520844664   24313151013053U
                                                           22313878028003U
                                                           22313171000407U
1627      Rehman Weaving                   2400520000419   24321454002688U
1628      Rehmat Weaving Factory           2400520813637   21332121022012U
                                                           21332121023002U
1629      R.Z. Textiles                    0801520887719   24311151006036U
1630      Riaz Weaving Factory             2400520803655   24322252026035U
                                                           24322252011112U
1631      Riaz Ahmed W/F                   2400620001482   22321112943009U
1632      Riaz Ahmed W/F                   2400844615919   24322252006020U
1633      Sabir Ali W/F                    2400521011046   24321454083001U
1634      Saeed Saleem W/F                 2400551100119   22321505584106R
                                                           08321504843007R
                                                           22321506180004R
1635      Saeed Umer Textile               0880630500955   24311252013159U
1636      Saeed Weaving Factory            2400520823955   24311252019046U
1637      Sajjad Akram Weaving             2400521011619   22321500154143R
1638      Sajjad Arif Weaving Factory      2400844613855   24313858097258U
1639      Saleem Javed W/F                 2400844600491   24311252046025U
1640      Saleem Weaving Factory           2400520812319   24312454012106U
1641      Saleemi Yarn Dyeing              2400521012864   24313757018212U
1642      Sattar Weaving Factory           2400521009819   24312757012059U
1643      786 Weaving Factory              2400520838491   23322412618004U
                                                           23322412634004U
                                                           23322412619003U
1644      Shabbir Weaving Factory          0800520806473   24322554047253R
1645      Shah     Muhammad       Power    2400520840119   24321555227002R
          Looms/F
1646      Shahid Hayat W/F                 2400521011464   24321656079007U
                                                           22321417556000U
                                                           22321417557009U
                                                           22321417541008U
1647      Shahid Mehmood W/F               2400590011091   22321502381000R
                                                           22321502382009R
                                                           22321500251001R
                                                           22321500238009R
                                                           22321500249006R
                                                           22321500239008R
                                                           22321502202007R
                                    492Z(cxi)
General Orders                                              G.O. No. 28 of 2009

1648     Shahid Weaving Factory             2400520846982   23322101853007U
                                                            23322101847006U
                                                            23322101848005U
1649     Shamshad Akhtar W/F                2400520832291   24321656035019U
1650     Shaukat Ali Weaving Factory        2400844610964   24322353001254U
1651     Sher Muhammad W/F                  2400520829737   24321555147009R
1652     Sher Muhammad Power Loom           2400761600455   22321505659204R
                                                            22321502607008R
                                                            22321502611002R
1653     Sheikh Brothers W/F                2400520818191   24322353090201U
1654     Siddique Weaving Factory           2400520834682   24322554044354R
1655     Sitara Enterprises                 2400510900355   24313252074028U
1656     S.K. Weaving                       2400520815046   24322252021003U
                                                            24322252070003U
1657     S.M. Textile                       2400520804491   24311454035039R
1658     Sohail Shahzad W/F                 2400520835591   24322454027081U
1659     Sohail Weaving Factory             2400521012037   24322554054100U
1660     Sony Fabrics                       2400830000773   23322411063006U
                                                            23322410481011U
1661     Speenzur Cotton Waste Factory      0800520901091   24314555009014R
1662     S.S. Enterprises                   0800520804073   24322353070401U
1663     S.S. Fabrics                       0890999985473   24312353076005U
                                                            24322252032000U
                                                            24322252037201U
                                                            24312353108007U
1664     S.S. Weaving Factory               2400844607182   24322252022048U
                                                            23322208092001U
1665     S.A.S. Weaving Ind                 0801520899028   24312555103501U
1666     Sultan Fabrics                     0800520807955   22321415236002U
                                                            22321415239009U
                                                            22321415238000U
                                                            22321415237001U
1667     Tahir Weaving Factory              2400590015473   24321555006009U
1668     Taj Mahal Sizing                   2400520841937   24321555217004U
1669     Talha Asif Weaving/F               2400520821482   24322252040000U
1670     Talib Hussain W/F                  2400844607919   23322100853009U
                                                            23322100675005U
                                                            23322101337003U
1671     Tariq Cottex (Pvt) Ltd             0800520200728   24311656017004R
1672     Tariq Javed W/F                    2400761600373   24322151010171U
                                                            23322101980003U
                                     492Z(cxii)
G.O. No. 28 of 2009                                        Law & Practice of Sales Tax

                                                                 23322101992009U
1673      Tariq Mehmood W/F                   2400520843264      24321454002205U
1674      Tayyab Weaving /F                   0803520833091      22321100862001U
1675      Tayyab Weaving Factory              2400520827755      24321555070000U
1676      Top Ten Weaving                     2400520810746      24322252029345U
1677      T.U. Textile                        2400521010055      24322252083080U
1678      2.B Textile                         2400630200464      22312676035307U
1679      Umar Farooq Weaving/F               2400520827673      24321555088000U
1680      Umair Weaving Factory               2400520839555      22313878043004R
                                                                 22313878081007U
1681      Unique Embroidery                   0802581004391      22313878135003R
1682      United Waste & Yarn Factory         0804520500182      24311454035119R
1683      United Weaving Factory              2400844600982      24321454031004U
                                                                 24321454034001U
1684      U.S. Weaving Factory                2400520815464      24313858054099R
1685      Wahid Weaving Factory               2400844600155      24333252065007U
1686      Wajid Ali Weaving Factory           2400521008173      22321400456007U
                                                                 24321454042788U
1687      Waqar Ahmad W/F                     2400844615346      24321555062000U
1688      Waqar Ahmed W/F                     2400844608091      24313858099005U
1689      waseem Weaving Factory              2400761600291      24321555221008U
                                                                 22321504759000R
1690      Yaseen Weaving Factory              2400520833519      22321504962003R
                                                                 22321505530003R
                                                                 22321506160008R
1691      Zaheer Ahmad W/F                    2400521009737      24322151010144U
1692      Zaheer Weaving Factory              2400520836419      24321555084004U
1693      Zaheer Weaving Factory              2400520833937      24321507150008R
                                                                 22321507269006R
1694      Zahid Bashir W/F                    2400520839719      24321555073007U
1695      Zahid Weaving Factory               0800591000182      24322554047217R
                                                                 24322554047100R
1696      Zahid Weaving Factory               2400520900591      24321656042001U
1697      Zakir Weaving Factory               2400844607673      24313858078162R
1698      Zulfiqar Weaving/F                  2400520805637      24322151033548U
                                                                 23322101541005U
                                                    (Muhammad Sadiq)
                                                  Secretary Tariff (ST&FE)
                                   _______________
                                     492Z(cxiii)
General Orders                                                    G.O. No. 29 of 2009

C.No.1(15)STT/2005                                   Islamabad, 8th September, 2009
                 SALES TAX GENERAL ORDER NO.29/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.10 of 2007 dated the
13th September, 2007, namely:–
    In the aforesaid General Order, in the Table–,
    (a) against S.No.52 in column (1), in column (4), after the figure
        “27512315518010R” the figure “27571113462068U” shall be
        substituted; and
    (b) after serial number 176 in column (1) and the entries relating thereto
        in columns (2), (3) and (4), the following new serial numbers and the
        entries relating thereto shall be added, namely:–
        177       Al-Jilan Cotton Ginners     0407520189337       27572117060000U
        178       Al-Aziz Weaving             0408520811955       27561302315040R
        179       Bajwa Cotton Indutries      0401520146319       27543100023080U
        180       Bajwa Cotton Ginning &      0407520157982       27542614599003U
                  Pressing Factory
        181       Chaudhry         Brothers   0407520104019       27542303308005U
                  Cotton Ginners
        182       Dervesh Exporters           0407640500564       27517303219031U
        183       Golden Cotton Ginning       0407520123991       27512501936000U
                  Factory
        184       Hilal Enterprises (Pvt)     0490999968837       27511800033018U
                  Ltd
        185       Hussain Cotton Ginners      0407520103937       27542110243011U
        186       Iqbal Industries            0407520107164       27514425334008U
        187       Kohinoor Industries         0410901800137       27551100008006U
        188       Masood & Company            0407520103855       27542312095003U
                  Cotton Ginners
        189       Roomi Cotton Factory        0407520191964       27572113435007U
                  No.3                                            27571617320006U
        190       Roomi Cotton Ginning        0407520125973       27574406103004U
                  Industry
        191       Zeyneb Textile Mills        0407590002073       27511800155047U
                                                     (Muhammad Sadiq)
                                                   Secretary Tariff (ST&FE)
                                   _______________
                                  492Z(cxiv)
G.O. No. 30 of 2009                                    Law & Practice of Sales Tax

C.No.1(15)STT/2005                             Islamabad, 8th September, 2009
                SALES TAX GENERAL ORDER NO.30/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.11 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 431 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
“432     Abid Textile Industry         2500520800428         24212604900004U
433      Adnan Silk Factory            2500500700782         24211304057003U
434      Ali Silk Factory              2500520802737         27212604571005U
435      Ambreen Silk Factory          2500500402619         24212604899007U
436      Amin Power Looms               250051002619         21211502957009U
                                                             21211502953003U
                                                             21211502954002U
437      Anns Silk Factory             2500500701855         21212609889004U
438      Ansari Textiles               0309520801146         24214212408010R
                                                             21214212150007U
                                                             21214212164001U
439      Al-Wahab Silk Factory         2500521002873         27212507308000U
440      Babu And Co.                  2500520900173         27221320135006U
441      Babar Weaving Factory         2500521002128         27211305843002U
                                                             21211305844004U
442      Balqees Power Loom Factory    2500500401055         27212604581003U
443      Bismillah Silk Factory        2500500701691         28212500076003U
444      Chohan Silk Factory           2500500403037         27212506612003U
445      Faisal Silk Factory           2500520802164         27221318305004U
446      Falcon Rice Mills             0309210002928         24214119129006R
447      Farooq Silk Factory           2500500402873         27212506565000U
                                                             21212506545008U
448      Haji Nasro Rice Mills         0601980502255         24214300054010R
449      Hammad Silk Factory           2500520801582         24221320206007U
450      Hamza Silk Factory            2500500702019         27221318258001U
451      Hassan Silk Factory           2500520802573         21211203141001U
                                                             21211203142000U
                                                             21211203140002U
                                                             27211203144005U
                                     492Z(cxv)
General Orders                                                  G.O. No. 30 of 2009

452     Javaid Silk Factory                2500500402791        24212421362013U
                                                                21212604658013U
453     M.D. Textile Industry              2500521002464        24212500065014U
454     Muhammad       Siddiq      Silk    2500500701937        24212604746002U
        Factory
455     Munaza Power Loom                  2500520800346        27212610201000U
456     Mushtaq Silk Factory               2500500701282        21221320039006U
457     Nasir Weaving Factory              2500520802246        21212503491009U
                                                                21213630887001U
458     Nawaz Silk Factory                 0903500401691        27212604622004U
459     New Chaudhry Silk Factory          2500500700864        21221320040003U
460     Pak Silk Factory                   0903520804455        27212515743006U
                                                                21212515743018U
461     Rahimee Textile Industry           2500521002382        21221326024000U
                                                                21221326025009U
462     Saira Silk Factory                 2500521002955        21212604652000U
                                                                21212604652019R
463     Sajjad Silk Factory                2500520802328        27212600051002U
464     Salamat Industry                   0900520800755        24211102820007U
465     Saqib Silk Factory                 0900540200537        27221319828000U
466     Shakeel Silk Factory               2500500403119        27212506595004U
467     Shoaib Anjum Silk Factory          2500521000637        21221319786003U
                                                                21221319800005U
468     Summer Silk Factory                2500521002791        21211502892007U
                                                                21211502893006U
469     Tariq Textile Industry             2500500401137        21212604578001U
470     Umer Industry                      2500520801255        24211102864013U
471     Umer Silk Factory                  2500521002537        21221326080001U
472     Urfan Weaving Factory              2500520800919        21212503528006U
                                                                21212503527007U
473     Usman Industry                     0900490900137        27211102654001U
474     Usman Silk Factory                 2500521002046        24211101795000U
475     Wasal Silk Factory                 2500500701364        24211304055005U
476     Zubair Enterprises                 0915999900328       28225100010006U”
                                                   (Muhammad Sadiq)
                                                 Secretary Tariff (ST&FE)
                                   _______________
                                      492Z(cxvi)
G.O. No. 31 of 2009                                         Law & Practice of Sales Tax

C.No.1(15)STT/2005                                   Islamabad, 8th September, 2009
                SALES TAX GENERAL ORDER NO.31/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendment in its Sales Tax General Order No.12 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 45 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial number and the entries relating thereto shall be added,
namely:–
46.    Al-Amin Woolen Mills            0101510600264           240722100010405-B3
                                                     (Muhammad Sadiq)
                                                   Secretary Tariff (ST&FE)
                                  _______________


C.No.1(15)STT/2005                                   Islamabad, 8th September, 2009
                SALES TAX GENERAL ORDER NO.32/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendment in its Sales Tax General Order No.14 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 40 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
41.      M.S. Textiles                    2105520200137           24632106254013U
42.      Sarhad Punjab Cotton Mills       0500540100173           24634400181007U
                                                     (Muhammad Sadiq)
                                                   Secretary Tariff (ST&FE)
                                  _______________


C.No.1(15)STT/2005                                   Islamabad, 8th September, 2009
                SALES TAX GENERAL ORDER NO.33/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.16 of 2007 dated the
13th September, 2007, namely:–
                                        492Z(cxvii)
General Orders                                                        G.O. No. 34 of 2009

     In the aforesaid General Order, in the Table, after serial number 907 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
908     Amex Co.                                      1202999978137         4290831000
                                                                            5326731000
909     Al-Karam Towel Industries                     1712590039446         3067586592
910     Arbi Industries                               0201511100519         2199516139
911     Faisal Industries                             1750590011982         0270178956
912     Farah Towel Factory                           1100620076928         0707521000
913     Kings Apparel Industries                      1200610300873         2322756381
914     Lakhany Textile International                 1100520505464         1541831000
915     Riaz Bleaching                                1100520861855         8459811000
916     Tauheed International                         1712420302446         6940190000
                                                        (Muhammad Sadiq)
                                                      Secretary Tariff (ST&FE)
                                   _______________


C.No.1(15)STT/2005                                      Islamabad, 8th September, 2009
                 SALES TAX GENERAL ORDER NO.34/2009
     In exercise of powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.17 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table–,
     (a) against S.No.162 in column (1), in column (4), after the figure
          “41100032081” the figure “31100012884” shall be added;
     (b) against S.No.278 in column (1) in column (4), after the figure
          “18100000228” the figures “18220000681” and “18100000262”
          shall be added;
     (c) against S.No.480 in column (1), in column (4), after the figure
          “12100000071” the figure “12120000288” shall be added;
     (d) against S.No.831 in column (1), in column (3), for the figure
          “0303320001673” the figure “0803320001673” shall be substituted;
     (e) against S.No.942 in column (1), in column (4), after the figure
          “38200718500” the figure “31100013791” shall be added; and
      (f) after serial number 992 in column (1) and the entries relating thereto
          in columns (2), (3) and (4), the following new serial numbers and the
          entries relating thereto shall be added, namely:–
                                        492Z(cxviii)
G.O. No. 34 of 2009                                             Law & Practice of Sales Tax

993       Ali Raza Sizing                              0800520500128        31100010424
994       Al-Ahmad Processing                          2400520900428        31100004629
995       Al-Jamil Textile Industry                    2400590013646        31200691004
996       AL-Remat Traders                             0405511118891        31200826200
997       Ansari Textiles                              0309520801146        52100000213
998       Arif Mehmood Malik Textile Ind               2400520826846        31100012527
999       Chaudhry Hosiery                             0802620000473        31200771203
1000      Fazal E Rabbi Textiles                       2400521010546        31100013360
1001      Gohar Textile Mills                          0405630300364        31100010350
1002      Hina Sana Textile Mills                      0880520900455        31200396901
1003      Hussain Sizing Industry                      2400590700391        31100001802
1004      Idrees Knitting Industries                   0890999147919        31200802604
1005      Karaim Hosiery                               0801621700155        31200298405
1006      Karam Din Ghulam Sabir & Co.                 2400999806928        31200807308
1007      Kay Sons International                       1200621600346        31200616205
1008      Masood Textile Mills                         0404520200564        31100010855
1009      Muhammad Shakeel W/F                         2400521005773        31200667805
1010      Muhammad Yasin (Lesee Jadha                  0801520850828        31100002850
          Sizing
1011      Naveed Brothers                              0304520000346        41100035507
1012      New Al-Jamia Sizing                          0801520895973        31100009260
1013      Qamir Cotton Industries                      0303300500119        62200018603
1014      Rehman Rainbow (pvt) Ltd                     0302300538428        41100025540
1015      Ravi Spinning Limited                        0305320200519        41100033363
1016      Rehman Knitting Mills                        0800621700655        31200625203
1017      Saleemi Yarn Dyeing                          2400521012864        34280810907
1018      Star Textile Printing Industry               2400320000873        31100013401
1019      Siddique Processing Mills                    0403511104873        31100013821
1020      Taj Mahal Sizing                             2400520841937        31100013779
1021      Usman Cloth Mills                            0403511104537        31100013951
1022      Zubair Enterprises                           0915999900328        54260016006
                                                         (Muhammad Sadiq)
                                                       Secretary Tariff (ST&FE)
                                       _______________
                                   492Z(cxix)
General Orders                                                   G.O. No. 36 of 2009

C.No.1(5) FED/2009                         Islamabad, the 15th September, 2009
                  SALES TAX GENERAL ORDER 35/2009
Subject: Extension in Time Limitation under Section 74 of the Sales Tax
         Act 1990 for Issuance of Debit/Credit Notes by Insurance
         Companies in Terms of Section 9 of the Act read with rule 22 of
         Sales Tax Rules 2006.
     The Insurance Association of Pakistan has approached the Board that the
Insurance Companies have to encounter undue encumbrance in seeking
extension in limitation imposed by sub-rule (4) of rule 22 of the Sales Tax
Rules 2006 for issuance of debit / credit notes, especially when a policy is
discarded or changed by a client. Though the SRO 394(I)/2009 dated
21.05.2009 empowers the Collector to grant extension upto one year on case
to case basis yet the recourse to that action entails individual applications by
the concerned registered persons, time and again, for resolution to individual
problems.
     2. With a view to mitigating the hardship faced by the Insurance
Companies, the Board, in exercise of powers conferred under section 74 of the
Sales Tax Act,1990, is pleased to allow them extension in the time limitation
for issuance of Debit Credit Note from 180 days to 365 days .
                                                  (Muhammad Sadiq)
                                                Secretary Tariff (ST&FE)
                                 _______________


C.No.1(15)STT/2005                                 Islamabad, 24th September, 2009
                 SALES TAX GENERAL ORDER NO.36/2009
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendment in its Sales Tax General Order No.17of 2007 dated the 13th
September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 1022 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial number and the entries relating thereto shall be added,
namely:–
1023     Galaxy Textile Mills                   0406520200964         39100014011
                                            (Fahad Ali Chaudhary)
                                        Second Secretary Tariff (ST&FE)
                                 _______________
                                      492Z(cxx)
G.O. No. 37 of 2009                                         Law & Practice of Sales Tax

C.No.1(15)STT/2005                                    Islamabad, 19th October, 2009
                SALES TAX GENERAL ORDER NO.37/2009
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.07 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table–,
       (a) against S.No.801 in column (1), in column (4), after the figure
           “BL0002195” the figures “2408476832213” and “2510166030997”
           shall be added; and
       (b) after serial number 1208 in column (1) and the entries relating
           thereto in columns (2), (3) and (4), the following new serial numbers
           and the entries relating thereto shall be added, namely:–
S.#        Name of Unit                           Registration No.    Consumer No.
1209       Al-Farooq Industries                   1750590017764      2505667241792
1210       Al-Hai Dyeing & Printing               1700320002682      2512555865234
                                                                     2512555865250
1211       Asif Industries                        1100520865573      2506467471102
1212       Classic Enterprises                    1100999973373      2850365763012
1213       Euro Weaving International             1200520950455      2600465661137
1214       Hassan Textiles                        1100590748791      2400565816425
1215       Iantex Industries                      1200580206337      2612555844436
1216       Machtrade Corporation                  1200580206582      2508466621103
                                                                     2508466621097
1217       Polycot Industries                     0205520800855      2706467435350
1218       Shekha Knitwear                        1200610308019      2508456622535
1219       Sultex Industries                      1200580203519      2612555840678
1220       Sunshine International                 1100580205437      2950365799216
1221       Zahid Garments                         1700620029946      2812565859023
                                                                     2812565793774
1222       Zaib Industries                        1700590013973      2505857375256
                                                                     2505857371137
                                                                     2505857372877
                                                                     2505857375116
                                               (Fahad Ali Chaudhary)
                                           Second Secretary Tariff (ST&FE)
                                    _______________
                                    492Z(cxxi)
General Orders                                                  G.O. No. 39 of 2009

C.No.1(15)STT/2005                                  Islamabad, 19th October, 2009
                 SALES TAX GENERAL ORDER NO.38/2009
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.08 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 744 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
S.#      Name of Unit                    Registration No.           Consumer No.
745      Descon Oxychem limited          0304284700228         24112590344000U
746      Hira Terry Mills Limited        0304630201464         24191990042029U
747      Irus Indutries (Pvt) Ltd.       0305520507237         20123513029009R
748      Muhammad Anwar Textile          0390999919928         20171132749008U
         Ind.                                                  20171434542007R
749      Noor Tex                        0304590002019         24153199940071U
750      Prime Naalain                   0306640001455         27165226011244U
751      Zeenat Enterprises              0300844500455         24122510075056U
                                             (Fahad Ali Chaudhary)
                                         Second Secretary Tariff (ST&FE)
                                  _______________


C.No.1(15)STT/2005                                  Islamabad, 19th October, 2009
                 SALES TAX GENERAL ORDER NO.39/2009
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.09 of 2007 dated the 13th
September, 2007, namely:–
      In the aforesaid General Order, in the Table–,
      (a) against S.No.862 in column (1), in column (4), after the figure
          “21333535015501R” the figure “21333535015805R” shall be added;
      (b) against S.No.864 in column (1), in column (4), for the figure
          “21333232015541R” the figure “21333232015514R” shall be
          substituted;
      (c) against S.No.1426 in column (1), in column (4), after the figure
          “23322100853009U”       the     figures   “23322212226002U”
          “23322212196008U” and “23322212195009U”shall be added;
                                   492Z(cxxii)
G.O. No. 39 of 2009                                      Law & Practice of Sales Tax

     (d) against S.No.1564 in column (1), in column (4), after the figure
         “22313272050206U” the figure “24313454043518R” shall be added;
     (e) against S.No.1608 in column (1), in column (3) for the figure
         “2400520839480” the figures “2400520839482” shall be substituted;
     (f) against S.No.1669 in column (1), in column (4), after the figure
         “24322252040000U” the figure “24322151033502U” shall be added;
     (g) after serial number 1698 in column (1), and the entries relating
         thereto in columns (2), (3) and (4), the following new serial numbers
         and the entries relating thereto shall be added, namely:–
   S.#      Name of Unit                    Registration No.       Consumer No.
   1699     Abdul Ghafoor W/F               2400844616173      24321555099007U
   1700     Abid Weaving Factory            2400520828582      24321555132006R
   1701     Adnan Weaving Factory           2400520828255      24313858020152R
   1702     Akram Weaving Factory           2400844615837      24322252019007U
   1703     Akram Weaving Factory           2400520845246      24312454075002U
   1704     Alia Weaving Factory            2400520811328      24313252008500U
   1705     Amjad Ali Weaving Factory       2400590018364      22321504791108R
                                                               22321506267000R
   1706     Arshad Hosiery Knitting         2400610302946      24322252073000U
   1707     Ashfaq Anwar W/F                2400844617573      22321502332000R
   1708     Asif Weaving Factory            0804520807346      24333252047000U
   1709     Bismillah Tex Weaving           2400521011955      24312555102147U
   1710     Ejaz Ahmad Weaving Factory      2400520839228      24313858090068R
                                                               22313878042005R
                                                               22313878035004U
   1711     Faryad Muhammad Power           2400520840528      24321656030103U
            Looms
   1712     Fashion & Trends                0890999157319      24312757019604U
   1713     Ghulam Mustafa W/F              2400844614437      22313272022700U
   1714     Gohar Enterprises               2400999812119      24313151029732R
   1715     Gulshan Sizing Industry         0801520501446      24322151033968U
   1716     Hammad Weaving Factory          2400844604528      24321555220009R
   1717     Huzaif Hanif Weaving Factory    2400520847973      22321504326102R
                                                               22321504326200R
                                                               22321504703105R
                                                               22321504703007R
   1718     Imran Ali Weaving Factory       2400590700546      23311272041208U
                                                               23311272017002U
                                                               23311272041002U
                                                               23311272017100U
                                   492Z(cxxiii)
General Orders                                               G.O. No. 39 of 2009

  1719     Irfan Weaving Factory             2400844619064   24321555013082U
  1720     Jahangir    Bano     Weaving      2400830000519   23311272040708U
           Factory                                           23311272040806U
                                                             23311272040600U
                                                             23311272040502U
  1721     Jillani Fibres                    2400520501291   24312555083113U
  1722     Kassana Textile Industries        2400590007137   24322151030024U
  1723     Khalid Hameed W/F                 2400520849128   23322101507007U
                                                             23322101525005U
  1724     Khushnood Weaving Factory         2400520811246   24313858062071R
  1725     Liaqat Ali W/F                    2400520832864   22321400738007U
                                                             22321400737008U
  1726     Maqsood Ahmad W/F                 2400520814964   24313858060509R
  1727     Malik Bashir & Sons Cotton/F      2400520901582   24322252083099U
  1728     Mian Weaving Factory              2400520833773   24321454036205U
  1729     M.M. Fabrics                      2400581001428   24312555085558U
  1730     Muazzam Weaving Factory           2400590014555   24313252033652U
  1731     Mukhtar Ahmad W/F                 2400520848882   24322151001038U
  1732     Muhammad Anwar W/F                2400844619146   23322412612000U
                                                             23322412616006U
                                                             23322412617005U
                                                             23322412599007U
  1733     Muhammad Asif W/F                 2400844618319   22321502343007R
                                                             22321502272002R
  1734     Muhammad Ashfaq Anwar W/F         2400844617573   22321502332000R
  1735     Muhammad Amjad W/F                2400520837737   24321555083005U
  1736     Muhammad Nawaz W/F                2400520848137   24322151033959U
  1737     Muhammad Awais Liaqat W/F         2400844608173   22321400804006U
  1738     Muhammad Imran Sittar W/F         2400844617737   24321555108006U
  1739     Muhammad Siddique W/F             2400844616255   24313858041040U
  1740     Muhammad Shahbaz W/F              2400520848391   24322151033940U
  1741     Muhammad Younis W/F               2400520840373   24321656056004R
  1742     Mumtaz Weaving Factory            2400844612946   24322252010006U
  1743     National Textiles                 0802520809837   22312676011902U
  1744     Nazir Ahmad Weaving Factory       2400590013982   23322212651006U
                                                             23322212589003U
                                                             23322212598002U
                                                             23322212677006U
                                                             23322212566000U
                                                             23322212599001U
                                     492Z(cxxiv)
G.O. No. 39 of 2009                                      Law & Practice of Sales Tax

   1745     Niaz Ali Power Looms              2400844620291    22321503815004R
                                                               22321505584008R
                                                               22321505320007R
                                                               22321504055001R
   1746     Noum Tex                          0801300500264    24312555093004U
   1747     Philco Industries                 0802520813382    24311353004110U
   1748     Pervaiz Ahmad W/F                 2400520808373    24312353122606U
   1749     Raheel Weaving Factory            2400590700473    23322212441001U
   1750     Rashid Power Loom                 2400520849791     2432155503000R
   1751     Saddique Ahmad W/F                2400520837246    24321656045008R
                                                               24321656045026U
                                                               22321608557003R
   1752     Salman Liaqat W/F                 2400844608255    24321555180007U
   1753     Saqib Weaving Factory             2400520901664    24312656099969U
   1754     Shahid Ali Power Looms            2400520840782    22321601012007R
   1755     Shoaib Weaving Factory            2400844614764    24321656031102U
   1756     Super Fine Textile                0801520503428    24312555083177U
   1757     Waseem Fabrics                    2400590009864    23322100437004U
                                                               23322100438003U
   1758     Weaving Factory                   2400844619228    23322101429002U
                                                               23322101426005U
                                                               23322101428003U
                                                               23322101422009U
                                                               23322101427004U
   1759     Yameen Weaving Factory            2400520802091    21333333009607U
   1760     Zafar Iqbal Weaving Factory       2400520847891    22312575031305R
   1761     Zafar Iqbal Weaving Factory       2400761600528    22321504096556R
                                                               22321504029004R
                                                               22321504278002R
   1762     Zahid Iqbal Weaving Factory       2400520848473    24321555155008U
   1763     Zain Cotton (Pvt) Ltd.            0405520403437    24337454006007U
   1764     Zulfiqar Ali Weaving Factory      2400844620119    22321504093005R
                                                               22321504092006R
                                                               22321504043006R
                                                               22321504312000R
                                                               22321504027006R
   1765     Zulfquar Ali Power Looms          2400520840946    24321656055005R
                                               (Fahad Ali Chaudhary)
                                           Second Secretary Tariff (ST&FE)
                                   _______________
                                   492Z(cxxv)
General Orders                                                 G.O. No. 41 of 2009

C.No.1(15)STT/2005                                 Islamabad, 19th October, 2009
                 SALES TAX GENERAL ORDER NO.40/2009
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.10 of 2007 dated the 13th
September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 191 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
S.#    Name of Unit                        Registration No.        Consumer No.
192    Abdullah Enterprises                0407120700737       27512303512003R
193    Ali Samad Traders Cotton            0410520110991       27551112279012R
       Ginners
194    Gulistan Cotton Factory             0410520120891       27551300244006U
195    Hajvary Cotton Factory              0407520145028       27533501264061R
196    Malik Brothers Cotton Ginning/F     0402520135337       27574311205003U
197    Millat Seed Corporation (Pvt)       0408520114082       27561200061006U
       Ltd.
198    Noor Cotton Factory                 0408520125473       27564100022003U
199    Progressive Cotton Ginners          0407520119464       27512110388003U
200    Rana Brothers Cotton & Oil Ind.     0410520123119       27551511572000U
201    Shan Cotton Ginners                 0410520122537       27551513958000U
202    S.M. Nisar and Company              0410520115864       27551300245005U
                                             (Fahad Ali Chaudhary)
                                         Second Secretary Tariff (ST&FE)
                                 _______________


C.No.1(15)STT/2005                                 Islamabad, 19th October, 2009
                 SALES TAX GENERAL ORDER NO.41/2009
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.11 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 476 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
                                    492Z(cxxvi)
G.O. No. 41 of 2009                                           Law & Practice of Sales Tax

S.#      Name of Unit                       Registration No.               Consumer No.
477      A One Gloves Supply Company        0905420334455              21243301345009U
478      Embroidery Export Corporation      0905999924364              27241303134009U
479      Gold Penal International           0905420359782               2124241396008R
480      Hayeesons Corporation              0905999980037              24242413766007U
481      Hakim Enterprises                  2801420300128              21242510387014R
482      JSM Tradewell International        0990999963837              24247217608009R
483      Momin Sports                       0905950632737              21247209637007R
484      Technics Garments                  0905950696764              27242206371014R
485      Well Product Industries            0905950634973              21243305975007U
                                                                       21243305976015U
                                             (Fahad Ali Chaudhary)
                                         Second Secretary Tariff (ST&FE)
                                  _______________


C.No.1(15)STT/2005                                    Islamabad, 19th October, 2009
                SALES TAX GENERAL ORDER NO.42/2009
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.16 of 2007 dated the
13th September, 2007, namely:–
      In the aforesaid General Order, in the Table–,
      (a) against S.No.667 in column (1), in column (4), after the figure
          “1745900129” the figures “5099190000” and “8406951000” shall be
          added;
      (b) against S.No.675 in column (1), in column (4), after the figure
          “7020290000” the figure “9110290000” shall be added;
      (c) against S.No.717 in column (1), in column (4), after the figure
          “2300900082” the figures “7406951000” and “6406951000” shall be
          added; and
      (d) after serial number 916 in column (1) and the entries relating thereto
          in columns (2), (3) and (4), the following new serial numbers and the
          entries relating thereto shall be added, namely:–
          S.#    Name of Unit                       Registration No.      Consumer No.
          917    Ahmed General Mills                0203580800164          8690352387
          918    Al Hai Dyeing & Printing           1700320002682          2369811000
          919    Arif Silk Industries               1700590701119          8129960000
          920    Dastgir Textile Factory            1100590736246          2652109756
                                    492Z(cxxvii)
General Orders                                                          G.O. No. 43 of 2009

         921     Karmanwala Bleaching                1100845100791            8301070000
         922     Levette International               1712630200173            8583311756
         923     Machtrade Corporation               1200580206582            0795253485
         924     Polycot Industries                  0205520800855            6367331000
         925     Premium Knits                       1200620008373            3721831000
         926     Shakir Industries                   1750520902228            9259852201
         927     Yakoob & Sons                       1700410700137            4972831813
                                              (Fahad Ali Chaudhary)
                                          Second Secretary Tariff (ST&FE)
                                   _______________


C.No.1(15)STT/2005                                     Islamabad, 19th October, 2009
                 SALES TAX GENERAL ORDER NO.43/2009
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.17 of 2007 dated the 13th
September, 2007, namely:–
    In the aforesaid General Order–,
     (a) against S.No.671 in column (1), in column (4), after the figure
         “31100010770” the figure “31200845102” shall be added; and
    (b) in the Table, after serial number 1023 in column (1) and the entries
        relating thereto in columns (2), (3) and (4), the following new serial
        numbers and the entries relating thereto shall be added, namely:–
         S.#      Name of Unit                       Registration No.       Consumer No.
         1024     Baber Dyeing                       0306320001519           41100036083
         1025     Descon Oxychem                     0304284700228          41100035080
         1026     Fashion & Trends                   0890999157319           31100012130
         1027     Fortress Manufacturing and         0303420300191           41100030557
                  Technology (Pvt) Ltd.
         1028     Mr. Denim (Pvt) Ltd.               0393999993155          41100031077
         1029     Muslim Tannery                     0905420501919          58200102608
         1030     Noum Tex                           0801300500264          31200587703
         1031     Saqib Weaving Factory              2400520901664          31200670106
         1032     Simon Sports Industries            0990999929791          58200220902
         1033     Tajmahal Sports Co.                0990999904664          58200256301
                                              (Fahad Ali Chaudhary)
                                          Second Secretary Tariff (ST&FE)
                                   _______________
                                     492Z(cxxviii)
G.O. No. 44 of 2009                                           Law & Practice of Sales Tax

C.No.1(15)STT/2005                                    Islamabad, 22nd December, 2009
                SALES TAX GENERAL ORDER NO.44/2009
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.07 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 1222 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
 S.#              Name of Unit                  Registration No.       Consumer No.
1223      Adam Weaving (Pvt) Ltd.               1100520801164          2806467420412
1224      Adnan Apparel                         1100119003473          2500465582820
                                                                       2600465668355
1225      Amir Textile Industries                1700630202437         2500555815565
1226      Anis Ahmed                             1100840012519         2706457757497
                                                                       2706457757473
1227      Mubeen Fiber Industries                1700390300119         2406477711263
1228      Mustafa & Company (pvt) Ltd.           1200620011246         2306457425332
1229      Pacific Linen Supply Industries        1700590017773         2512555856545
1230      T & T Textile                          1750590017437         2806467420331
1231      Umer Silk Factory                      1700500400555         2612565756136
                                                                       2612565783990
                                                (Fahad Ali Chaudhary)
                                            Second Secretary Tariff (ST&FE)
                                    _______________


C.No.1(15)STT/2005                                    Islamabad, 22nd December, 2009
                SALES TAX GENERAL ORDER NO.45/2009
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.09 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid General Order, in the Table–,
       (a) against S.No.63 in column (1), in column (4), after the figure
           “24311252039006U” the figure “24311252102035U” shall be added;
     (b) against S.No.85 in column (1), in column (4), after the figure
         “22312575000400U” the figure “24312555083195U” shall be added;
                               492Z(cxxix)
General Orders                                           G.O. No. 45 of 2009

     (c) against S.No.114 in column (1), in column (4), after the figure
         “24322353020000U” the figure “24322353090728R” shall be added;
    (d) against S.No.286 in column (1), in column (4), after the figure
        “24321454036606U” the figures “24322554037068U” and
        “24321454089005U”shall be added;
     (e) against S.No.504 in column (1), in column (4), after the figure
         “24312353004002U” the figure “24312555095075U” shall be
         added” shall be added;
     (f) against S.No.583 in column (1), in column (4), after the figure
         “24314353009005U” the figure “24313252054503U” shall be
         added”
    (g) against S.No.695 in column (1), in column (4), after the figure
        “22312676034102U” the figure “24312656068001U” shall be added;
    (h) against S.No.740 in column (1), in column (4), after the figure
        “23322203922008U” the figure “24322252082027U” shall be added;
     (i) against S.No.884 in column (1), in column (4), after the figure
         “22321414805006U” the figure “24321454101009U” shall be added;
     (j) against S.No.988 in column (1), in column (4), after the figure
         “22321502343052R” the figure “22321502343052R” shall be added;
    (k) against S.No.1026 in column (1), in column (4), after the figure
        “24312353031704U” the figure “24312353054207U” shall be added;
     (l) against S.No.1158 in column (1), in column (4), for the figures
         “22313878070000U” and “22313878065007U” the figure
         “24313858090718R” shall be substituted;
    (m) against S.No.1169 n column (1), in column (4), after the figure
        “24312252078123U” the figure “24322252045210U” shall be added;
    (n) against S.No.1252 in column (1), in column (4), after the figure
        “24321454036009U” the figure 22321401546009U” shall be added;
    (o) against S.No.1303 in column (1), in column (4), after the figure
        “24322353069850U” the figures “23322333114519U” and
        “23322333123518U” shall be added;
    (p) against S.No.1306 in column (1), in column (4), after the figure
        “24311252039006U” the figure “24311252102035U” shall be added;
    (q) against S.No.1350 in column (1), in column (4), after the figure
        “22321505341002R” the figure “22312373001908U” shall be added;
     (r) against S.No.1395 in column (1), in column (4), after the figure
         “24313656005051U” the figure “22313676008005R” shall be added;
                                492Z(cxxx)
G.O. No. 45 of 2009                                Law & Practice of Sales Tax

     (s) against S.No.1491 in column (1), in column (4), after the figure
         “24312757001178U”       the     figures   “22312777017902U”
         “24312757035506U” and “22312777017804U” shall be added;
     (t) against S.No.1535 in column (1), in column (4), after the figure
         “24322252029103U” the figure “24322151032193U” shall be added;
     (u) against S.No.1545 in column (1), in column (4), for the figure
         “2432215103307U” the figure “24322151033307U” shall be
         substituted;
     (v) against S.No.1586 in column (1), in column (4), after the figure
         “2332223373001U” the figure “23322213373001U” shall be added;
    (w) against S.No.1648 in column (1), in column (4), after the figure
        “23322101848005U” the figure “23322101851009U shall be added;
     (x) against S.No.1694 in column (1), in column (4), after the figure
         “24321555073007U” the figure “24321555114008R” shall be added;
     (y) against S.No.1699 in column (1), in column (4), for the figure
         “24321555099007U” the figure “24321555155008U” shall be
         substituted;
     (z) against S.No.1700 in column (1), in column (4), for the figure
         “24321555132006R” the figure “24321656063005U” shall be
         substituted;
    (aa) against S.No.1719 in column (1), in column (4), for the figure
         “24321555013082U” the figure “24321555099007U” shall be
         substituted;
   (ab) against S.No.1733 in column (1), in column (4), for the figures
        “22321502343007R” and “22321502272002R” the figure
        “24321555108006U” shall be substituted;
    (ac) against S.No.1735 in column (1), in column (4), for the figure
         “24321555083005U” the figure “24321555013082U” shall be
         substituted;
   (ad) against S.No.1738 in column (1), in column (4), for the figure
        “24321555108006U” the figure “24321555132006R” shall be
        substituted;
    (ae) against S.No.1739 in column (1), in column (4), for the figure
         “24313858041040U” the figure “24321555083005U” shall be
         substituted;
    (af) against S.No.1750 in column (1), in column (4), for the figure
         “2432155503000R” the figure “24321555203000R” shall be
         substituted;
                                    492Z(cxxxi)
General Orders                                                 G.O. No. 45 of 2009

   (ag) against S.No.1762 in column (1), in column (4), for the figure
        “24321555155008U” the figures “22321502343007R” and
        “22321502272002R” shall be substituted;
   (ah) in the Table, after serial number 1765 in column (1) and the entries
        relating thereto in columns (2), (3) and (4), the following new serial
        numbers and the entries relating thereto shall be added, namely:
 S.#    Name of Unit                        Registration No.     Consumer No.
1766    A.A.A. Weaving Factory              2400520856046      24311353025106U
1767    A.A. Weaving Factory                2400844623755      22321111666104U
1768    Abbas Weaving Factory               2400844613446      22313474039106R
                                                               22312373029906U
                                                               22312373030002U
1769    Abida Weaving Factory                2400844621773     24322252006002U
1770    Abdullah Weaving Factory             2400520850428     23311474009521U
                                                               23311474009512U
1771    Abdul Ghafar Weaving Factory         2400844613937     22321504839004R
1772    Abdul Ghaffar Weaving Factory        2400521015755     24322252070209U
1773    Abdul Ghafoor Weaving Factory        2400521011791     24313252033279U
1774    Abdul Ghafoor Weaving Factory        2400520856955     24321555190014U
1775    Abdul Majeed Weaving/F               2400844632428     22321504761006R
                                                               22321504330106R
1776    Abdul Rauf Weaving Factory           2400520809446     22312676016300U
                                                               22312676016202U
                                                               22312676016104U
1777    Abdul Sattar Weaving/F               2400521015264     22321116306001U
                                                               22321113219004U
1778    Ahmad Power Loom                     2400520855882     22321503766003U
                                                               22321504024009U
                                                               22321503972003U
                                                               22321503760009U
1779    Ahmad Weaving Factory                2400844616664     24331959023037U
1780    Akbar Ali Weaving Factory            2400844614273     22313272051107U
                                                               24313252068357R
1781    Akbar Ali Weaving Factory            2400520855964     23311272066707U
                                                               23311272063700U
                                                               23311272063602U
1782    Akhtar Majeed Weaving/F              2400521017246     22321503969008R
1783    Akram Weaving Factory                2400844613364     24321555198007R
1784    Akram Weaving Factory                2400521004528     24313454083252U
1785    A.K. Sons Weaving Factory            2400520840455     24322252083115U
                                  492Z(cxxxii)
G.O. No. 45 of 2009                                   Law & Practice of Sales Tax

1786    Amjad Ali Weaving Factory           2400520826191   23322202839002U
                                                            23322202837004U
                                                            23322202840009U
                                                            23322202837157U
                                                            23322202837102U
                                                            23322202838003U
1787    Amjad Weaving Factory               2400844624746   24322252066125U
1788    Aamir Saleem Weaving Factory        2400521015428   22321415138001U
                                                            22321415114009U
                                                            22321415115008U
                                                            22321400611009U
                                                            22321400614006U
                                                            22321400612008U
1789    Ansar Arshad Weaving/F              2400520835673   22321507560002R
                                                            24321555210001R
                                                            12321506925005R
                                                            22321506924005R
1790    Anwar Weaving Factory               0801520898864   24313656005079U
1791    Anwar Weaving Factory               2400844613519   24313252033554U
1792    Ansar Arshad Weaving Factory        2400520835673   22321507560002R
                                                            24321555210001R
                                                            12321506925005R
                                                            22321506924005R
1793    Allah Ditta Weaving Factory         2400520831791   24321555080008U
                                                            22321502347003R
1794    Al-Aziz Weaving Factory             2400520832528   22321506643005R
                                                            24313454065085R
1795    Al-Barkat Fabrics                   2400520829573   24321417531000U
1796    Al-Firdous Fabrics                  2400520810255   24322353090407U
1797    Al-Hajj Ameer Fabrics               2400520822473   24313555010021R
1798    Al-Imran Fabrics                    2400844610391   24322252024064U
                                                            23322213198004U
                                                            23322213199003U
1799    Al-Noor Cone Dyeing                 2400320001037   24311353011102U
1800    Al-Noor Weaving Factory             2400521014928   23322207823009U
                                                            23322207820002U
1801    Ali Fayyaz Weaving                  0801520914782   24313858041040U
1802    Arif Rafique Weaving Factory        0800520900264   24311454036029U
1803    Ali Saad Textiles                   0800520802664   24322151032193U
                                                            24322151025058U
                                                            23322100994009U
1804    Arfan Weaving Factory               2400521003873   24312353102600U
                                    492Z(cxxxiii)
General Orders                                                G.O. No. 45 of 2009

1805    Arif Ali Weaving Factory              2400520841282   22313272049308U
                                                              22313272049406U
1806    Arshad Ali Weaving Factory            2400520814137   22312777021005U
                                                              22312777031209U
1807    Arshad Tufail Weaving Factory         2400844613691   24321656073003R
1808    Arslan traders                        2400610302455   22312676021401U
1809    A.S. Impex                            2400520200646   23311474045000R
1810    Asia Yarn Dyeing                      2400520501119   24311353011111U
1811    Asif Weaving Factory                  2400521017737   24322151033753U
1812    Asif Ali Weaving Factory              2400521017164   24322151035118U
                                                              23322102447008U
                                                              23322102442003U
                                                              23322102443002U
1813    Ashraf Doubling                       2400590010673   24321151011554U
1814    Asghar Ali Weaving Factory            2400521013364   24322252082072U
1815    Asghar Ali Weaving Factory            2400520852164   22321500269001R
1816    Ashraf Weaving Factory                2400520840037   22321555237000R
1817    Ashraf Weaving Factory                2400521013282   23322203409000U
                                                              23322212750006U
1818    Aslam Weaving Factory                 2400520854637   24322252071002U
1819    Aslam Weaving Factory                 2400521013937   22321113217006U
                                                              22321113132008U
1820    Aslam Weaving Factory                 2400520832946   24321555092004U
1821    Awan Enterprises                      2400520202546   23322202265005U
1822    Azhar Weaving Factory                 2400520828828   22321113109105U
1823    Aysha Zahid Weaving/F                 2400520857864   24321454029703U
1824    Babar Ali Weaving Factory             2400520855628   23322101257009U
                                                              23322100834129U
                                                              23322100821008U
1825    Babar Javed Weaving Factory           2400844606928   22313878053001U
1826    Badshah Khan Cotton Waste/F           0803520203273   24314555010002U
1827    Balwal Weaving Factory                2400844617246   24311252020114U
1828    Bashir Ahmad Power Looms              2400520849537   22321506262005R
                                                              22321504272008R
                                                              22321504271009R
1829    Best Embroidery                       2400581000846   23322213687002U
1830    Bismillah Weaving Factory             2400520850755   24313252033288U
1831    Buraque Industries                    0800520000173   22312575016153U
1832    Doaba Weaving Factory                 2400520809028   22312676025700U
                                                              22312676025602U
                                                              22312676025309U
                                 492Z(cxxxiv)
G.O. No. 45 of 2009                                  Law & Practice of Sales Tax

1833    East Embroidery                    2400581000764   23322213686003U
1834    Elahi Textile                      2400844620528   24313858061036R
1835    Faisal Akbar Weaving Factory       2400520841364   22313272050402U
1836    Famous Cotton Waste                2400520900837   24314555020019R
1837    Farooq Weaving Factory             2400521014846   22321113112002U
                                                           22321113099009U
1838    Farzana Kausar Weaving Factory     2400520839064   22321504840001R
1839    Fateh Ali Weaving Factory          2400844617819   24321151001057U
1840    Fateh Hussain W/F                  2400520844582   24322252045185U
1841    Fayaz-E-Lasani Knitting            2400610302528   22312676021508U
1842    Fayaz Ahmad Weaving Factory        2400844624173   22312373038200U
1843    Ferozaan Tex                       0803520200955   24314555035003U
1844    Fine Thread                        0801520400791   22313272068705U
1845    Ghaffar Weaving Factory            2400520855391   22321505013009R
                                                           24321555216005U
                                                           22321505005009R
1846    Ghani Weaving Factory              2400520851173   24312757014627U
                                                           22312777017305U
1847    Ghulam Jilani Weaving Factory      2400520820564   22313272052204U
1848    Ghulam Murtaza W/F                 2400521013028   24321454042957U
1849    Ghulam Murtaza W/F                 2400520849619   22321506400543R
                                                           22321505223005R
                                                           22321504846005R
1850    Ghulam Mustafa Cotton Waste/F      0800520300146   24314555010020R
                                                           24314555010011R
1851    Ghulam Nabi Weaving Factory        2400521012119   24313151028948R
1852    Ghulam Rasool W/F                  2400520841691   24322151032157U
1853    Ghulam Rasool W/F                  2400844610219   24321151051500U
1854    Ghulam Sarwar Weaving/F            2400844621446   24321555242003U
1855    Galaxy Embroidery Works            2400581000191   24311454007006U
1856    Habib Weaving Factory              2400844623591   22313474022105U
                                                           22313474023006R
1857    Haider Weaving Factory             2400520838982   21333232017905U
                                                           21333232017807U
                                                           24333252045002U
1858    Haji Muhammad Boota W/F            2400521018073   24321151011607U
1859    Haji Saleem Weaving Factory        0800441100564   23322100124057U
                                                           24322151032184U
1860    Hameed Weaving Factory             2400520852246   23322102114000U
                                                           23322102113001U
                                   492Z(cxxxv)
General Orders                                              G.O. No. 45 of 2009

                                                            23322102116008U
                                                            23322102111003U
1861    Hamza Weaving Factory               2400844610137   24322554037139U
1862    Hassan Bibi Weaving Factory         0801520872037   24322454005014U
1863    Hassnain Weaving                    2400520808037   24312555009007U
1864    Himalaya Textile Industry           2400590002182   24321151050379U
1865    Hurmat Weaving Factory              2400844622355   24322252010024U
1866    Hussainee Weaving Factory           2400520817519   24312353056606U
1867    Huzaifa Weaving Factory             2400520808946   24321555001120U
1868    H.M.A. Weaving                      2400844617991   24312656069000U
1869    Idrees Cotton Waste Factory         2400520200564   24312757052103U
1870    Iftikhar Sohail Weaving/F           2400844618564   24313858090102U
1871    Iftikhar Weaving Factory            2400521017655   24313656003204U
1872    Ifzal Rizwan Weaving                0803520838128   24313656004203U
1873    Imtiaz Naveed Weaving/F             2400520849382   24311151010012U
1874    Ilyas Sharif Weaving Factory        2400520838155   24322151033771U
1875    Ilyas Weaving Factory               2400844620037   22321504787408R
                                                            22321505016006R
                                                            22321506908005R
                                                            22321504696006R
1876    Ilyas Weaving Factory               0800590000446   24321353051058U
1877    Imran Irshad Power Looms            2400520853155   22321502499107R
                                                            22321504142006R
                                                            22321504141007R
                                                            22321503666004R
                                                            22321504129003R
1878    Imran Khalid Weaving Factory        2400520847482   24322554037406R
                                                            22321401458003U
1879    Iqbal Weaving Factory               2400521009328   24322554047280R
1880    Iqbal Weaving Factory               2400521014764   22312777004300U
                                                            22312777004104U
1881    Irfan Weaving Factory               2400590019764   24313454083127R
                                                            22313474054703U
1882    Irshad Weaving                      2400590007628   24322151008068U
1883    Islam Nadeem W/F                    2400590018446   23322101811008U
                                                            23322101810009U
                                                            23322101719001U
                                                            23322101717003U
1884    Javed Iqbal Weaving Factory         2400999806355   24321555013108U
1885    Jhalander Weaving                   0800830000691   23322208386006U
                                                            23322208335008U
                                   492Z(cxxxvi)
G.O. No. 45 of 2009                                    Law & Practice of Sales Tax

1886    Karam Din Ghulam Sabir & Co.         2400520850346   24312555094209U
1887    Khair Din Weaving Factory            2400520824528   23311272063309U
                                                             23311272063201U
                                                             23311272063407U
                                                             23311272070603U
                                                             23321100899008U
1888    Khalid Mehmood Weaving/F             2400520851664   24322554037308R
1889    Khalid Mahmood Weaving/F             2400520840864   23322102155000U
                                                             23322102156009U
                                                             23322102154001U
1890    Khalid Pervez Weaving/F              2400521017328   22321417623009U
                                                             22321400717002U
                                                             22321418203005U
                                                             22321418202006U
                                                             22321400718001U
1891    Khalifa Weaving Factory              2400520839637   22313272034001U
1892    Khalil Weaving Factory               2400844620373   23311171001102U
1893    Kisana Weaving Factory               2400521012528   22312676027101U
1894    Lal Hussain Weaving Factory          2400844614928   22313272023102U
1895    Lessee Sargodha Sizing Services      0801520846064   24321454018001U
1896    Luqman Weaving Factory               2400520825446   24313656005088R
1897    Madni Weaving Factory                2400521016255   24313151032005U
1898    Mashallah Weaving Factory            2400521014355   24322252020059U
1899    M.Akram Weaving Factory              2400590900119   23322212644006U
                                                             23322212812128U
1900    M. Anwar Weaving Factory             2400844601891   24322554035328R
1901    M.Ashraf Qadri Weaving Factory       2400520855546   22321505369009R
                                                             22321505405005R
                                                             22321504310002R
                                                             22321505399003R
1902    M. Aslam Weaving Factory             0801520875428   24312757040803U
1903    M.M. Doubling                        2400560700164   24312555001050U
1904    Moon Dyeing Industries               2400610303937   22312676032408U
                                                             22312676012705U
1905    M.Ramzan Weaving Factory             2400520820982   22313272052008U
1906    Madni Weaving Factory                2400520835428   24321656034001U
1907    Madni Weaving Factory                2400521016255   24313151032005U
1908    Mahmood Weaving Factory              2400521009573   24322554046003U
1909    Makkah Sizing                        2400520848546   22321500156007R
1910    Makki Weaving Factory                2400520836828   24321656052008R
                                  492Z(cxxxvii)
General Orders                                              G.O. No. 45 of 2009

1911    Manzoor Ahmed Weaving Factory       2400520837164   23322100364010U
                                                            23322100361013U
1912    Manzoor Hussain W/F                 2400520837819   24312757025009U
1913    Manzoor Weaving Factory             2400520803819    2332210063004U
                                                            23322100633006U
1914    Maqbool Ahmad W/F                   2400521011128   24321454111007U
1915    Maqbool Ahmad W/F                   2400590018855   24321656058002R
1916    Maqsood Weaving Factory             2400844624091   22312373038004U
1917    Maria Textile                       2400844616828   24311454029162U
1918    M.S.B. Weaving Factory              2400520821228   24313858015006U
1919    M.S.J. Weaving Factory              0800520501864   24322554035587U
                                                            22321501586201R
1920    M.Tariq Usman Weaving Factory       2400520809937   22321505776005R
1921    Muhammad Abid Saeed W/f             2400521015182   24313151028902U
1922    Mohd Afzal Doubling Machine         2400520853728   24312656100083R
1923    Mohammad Bilal W/F                  2400844619555   24311252021140U
1924    Mohsin    Khurshid    Weaving       2400844608828   24322151006042U
        Factory
1925    Mubashar Weaving Factory            2400521012373   23322408978006U
                                                            23322408993007U
                                                            23322408997003U
1926    Muhammad Afzal Weaving Factory      2400844611619   22312575006903U
1927    Muhammad Ahmad W/F                  2400844618982   22321503812007R
                                                            22321506260506R
1928    Muhammad Akhtar W/F                 2400590020164   24322252082090U
1929    Muhammad Akram W/F                  2400521016173   24313858027084R
                                                            24313858030070R
1930    Muhammad    Amin    Weaving         2400520828091   22321113118006U
        Factory
1931    Muhammad Arif Weaving/F             2400520808291   22312676023007U
                                                            22312676020108U
                                                            22312676023203U
                                                            22312676023105U
                                                            22312676020901U
                                                            22312676016408U
1932    Muhammad Asif Weaving Factory       2400844618155   24312454006088U
                                                            22312474040408U
1933    Muhammad Asim Weaving/F             2400844617164   24322151034253U
1934    Muhammad Ashraf Power Looms         2400844621364   22321505221007R
                                                            22321506163005R
                                                            22321505216004R
                                492Z(cxxxviii)
G.O. No. 45 of 2009                                  Law & Practice of Sales Tax

1935    Muhammad Ashraf Weaving/F          2400590018519   24321555145001R
                                                           22321500553006R
                                                           22321500552007R
1936    Muhammad Aslam Raza W/F            2400520854719   23322208043001U
                                                           23322208053008U
                                                           23322208052009U
1937    Muhammad Bashir Weaving/F          2400999802473   24321151002056U
1938    Muhammad    Iqbal    Weaving       2400521011873   22313272037106U
        Factory
1939    Muhammad Hussain W/F               2400521005691   22313272044857U
                                                           24313454002982U
                                                           22313474039008R
1940    Muhammad Iqbal Doubling            2403520836664   22312777001303U
1941    Muhammad Naeem Aziz W/F            2400520841773   23322100497001U
                                                           23322102403000U
                                                           23322102404009U
                                                           23322100528004U
                                                           23322100530000U
1942    Mhammad Rafique Weaving            2400520851091   22313878030009U
        Factory                                            22313878029002R
1943    Muhammad Ramzan W/F                2400844618646   22321504407104R
                                                           22321504163000R
1944    Muhammad Sajad Weaving/F           2400520833855   24321151016504U
1945    Muhammad Saleem W/F                2400844622846   22321505418000R
                                                           22321505400000R
                                                           22321505396006R
                                                           22321505430004R
                                                           22321505292001R
                                                           09321505394005R
                                                           08321504679006R
1946    Muhammad Shabbir W/F               2400844607428   22321500235002R
                                                           22321500236001R
                                                           22321501916006R
1947    Muhammad Shafique W/F              2400520847064   23322101644001U
                                                           23322101639008U
                                                           23322102626001U
1948    Muhammad Shahid Javed W/F          2400521017573   24321454036651U
1949    Muhammad    Tariq    Weaving       2400844614355   24313252068259U
        Factory                                            22313272051508U
1950    Muhammad Yaqoob W/F                2400520852991   23322102525003U
                                                           23322102483003U
1951    Muhammad Yasin W/F                 2400844617082   22313272052507U
                                 492Z(cxxxix)
General Orders                                             G.O. No. 45 of 2009

1952    Muhammad Yousaf Weaving            2400590017864   24311252024021U
        Factory
1953    Murtaza Weaving                    2400520816528   24322151036108U
1954    Musa Weaving Factory               0800844601719   24322554035701R
1955    Mustafa Weaving                    0801520893573   24312757043702U
                                                           24312757043604U
1956    N.A. Weaving Factory               2400520838073   22321415598004U
                                                           22321417037009U
                                                           22321417038008U
                                                           22321202785009U
1957    Nadeem Shahzad Weaving/F           2400520853491   22321609213007R
                                                           22321609185001R
1958    Nadeem Sultan Weaving Factory      2400520847228   22312676015409U
                                                           22312676015301U
                                                           22312676015203U
1959    Naveed Weaving Factory             2400520852082   23322530138004R
1960    Nisar Weaving Factory              2400521016664   22313474056505U
1961    Nisar Weaving Factory              2400520833282   22321506644004R
1962    Noor Muhammad Power Looms          2400844621691   24322252005094U
1963    N.W.S Export                       0802520908837   21314575009535R
1964    Pahalwan Sizing Industries         0801520837073   24321555010003R
1965    Paradise Weaving Factory           2400520823128   24313858090086R
1966    POP Weaving Factory                2400521015346   23322333217515U
                                                           23322333226514U
                                                           23322333211511U
1967    qudsia Weaving Factory             2400521015673   24321151008103U
                                                           22321101045009U
                                                           22321101050001U
1968    Rafi Cotton Industries             0407520118391   24313757063109R
1969    Rana Weaving Factory               2400844608337   24312656009735U
1970    Rhamat Ali Power Looms             2400844624582   22321605915006R
                                                           22321605841005R
                                                           22321605863106R
1971    Rashid Minhas W/F                  2400520849046   24322353090808U
                                                           23322332872513U
1972    Rashid Weaving                     2400520856873   22312575008938U
1973    Rashid Weaving Factory             2400520847146   16321613638008R
1974    Raza Apparels                      0403620000328   24313252036203U
1975    Rehan Weaving Factory              2400520856537   24313858012009R
                                     492Z(cxl)
G.O. No. 45 of 2009                                    Law & Practice of Sales Tax

1976    Rehman Enterprises                   0890999931428   23311272112907U
                                                             23311272112809U
                                                             22321301464007U
1977    Rehmat Fabrics                       2400520843837   24322554033099R
1978    Riasat Ali Weaving Factory           2400844614191   24322151032086U
1979    Riaz Weaving Factory                 2400520843591   23311474020205U
                                                             23311474021302U
                                                             22321102081002U
1980    Royal Tex Weaving Factory            2400844622273   24312353089509U
1981    Sabir Weaving Factory                2400521013519   22312777004505U
                                                             22312377004408U
1982    Sadiq & Sons                         0803610302182   24312757019105U
1983    Saeed Weaving Factory                2400521017819   24321417084001U
1984    Saleem Weaving Factory               2400999801973   23322100361004U
1985    Saleem Weaving Factory               0804520818491   21333232008201R
                                                             21333232006908U
                                                             21333131009302U
                                                             21333131009008U
1986    Sandhu Weaving Factory               2400520836337   24322554035319R
1987    Sarwar Ali Weaving Factory           2400844614846   23322212668007U
                                                             23322212725008U
                                                             23322212726007U
1988    S.A. Weaving Factory                 2400520826682   24311151013028U
1989    Sajid Ali Khan Weaving Factory       2400520807873   22313272043000U
1990    Sajjad Hussain Weaving/F             2400521014682   24321151016130U
                                                             22321113209006U
1991    Sameer Weaving Factory               0800844600491   21333131013002U
                                                             21333131013208U
                                                             21333131010906U
                                                             21333131015607U
                                                             21333131010201U
                                                             21333131014403U
                                                             21333131015705U
                                                             21333131014500U
                                                             21333131013100U
1992    Saqib Weaving Factory                2400844624419   23322408535002U
                                                             23322410467000U
                                                             23322101133009U
1993    S.A. Weaving Factory                 2400844609991   24322252020139U
1994    Sardar Ali Weaving Factory           2400521016582   24313151028984U
                                                             22313171022900R
                                  492Z(cxli)
General Orders                                             G.O. No. 45 of 2009

1995    Sarwar Weaving Factory             2400844622682   22321504791206R
                                                           22321504787355R
1996    Saghir Ahmed Weaving Factory       2400520847555   24321151002207U
1997    S.S. Weaving Factory               2400590008464   24322151034048U
1998    Shafi Weaving Factory              2400520839973   22321504094004R
                                                           22321504041008R
                                                           22321504037004R
                                                           22321504040009R
1999    Shaheen Weaving Factory            0801520916437   22312373016705U
                                                           22312373012709U
2000    Shahid Iqbal Weaving/F             2400520841855   24322151001029U
2001    Shahid Mehmood Weaving/F           2400999808091   24313858018003U
2002    shahid Rehman Weaving/F            2400844624664   24321454029650U
2003    Shaikh Textile                     0803520815355   24312555085941U
2004    Shalimar Weaving Factory           2400520836746   24312757016206R
2005    Sharif Thread Works                2400520853646   24322252005085U
2006    Shahzad Aziz Weaving Factory       2400844626155   23322101861052U
                                                           23322101880004U
2007    Sher Muhammad W/F                  2400590015055   23322212593007U
                                                           23322212646004U
                                                           23322212576008U
                                                           23322212577007U
2008    Sidra Zahid Weaving Factory        2400844621519   22312676050600U
                                                           22312676052403U
                                                           22312676050904U
                                                           22312676050806U
                                                           22312676052500U
2009    Siddique Weaving Factory           2400520834682   24322554047100R
2010    Shaukat Ali Weaving Factory        2400521014437   24321454042886U
2011    Sohail Fabrics                     2400520819755   24312555103609U
2012    Subhan Weaving Factory             2400520812728   24321555133005R
2013    Sulman Weaving Factory             2400844622437   23322101070004U
                                                           23322101139003U
                                                           23322101066000U
2014    Suleman Weaving Factory            2400590017782   24311252021097U
                                                           23311373023803U
2015    Tahira Begum Weaving/F             2400521015591   24321151001002U
                                                           22321111665007U
2016    Tahir Mehmood Weaving/F            2400521012291   24322151001154U
                                                           23322218725005U
                                                           23322218726004U
                                   492Z(cxlii)
G.O. No. 45 of 2009                                        Law & Practice of Sales Tax

2017    Talib Hussain Weaving Factory        2400590018691       22321505001003R
                                                                 22321505024006R
                                                                 22321505486007R
2018    Taibah Industries                    0990999978619       22312676038206U
2019    Taj Weaving Factory                  2400520852737       22312777033804U
                                                                 22312777034206U
2020    Taj Weaving Factory                  0801520801091       24312555054252U
2021    Tariq Textiles                       2400521004455       24313454083118U
2022    Tariq Waseem W/F                     2400520809937       22321505776006R
2023    Umer Weaving                         2400520803737       24322252029407U
                                                                 23322212556002U
2024    Umer Weaving Factory                 0801520852564       24321656030005U
2025    Usman Azhar Weaving Factory          2400590017455       24322151033815U
2026    Waris Ali Weaving Factory            2400520849955       24322151033511U
2027    Waseem Weaving Factory               2400520851582       22321417461004U
                                                                 22321417459008U
                                                                 22321417460005U
2028    Weaving Factory                      2400520857037       24321555079001U
                                                                 24321555191004R
2029    Weaving Factory                      2400844623182       23322101262002U
                                                                 23322101259007U
2030    Weaving Factory                      2400521004864       24321454005701U
                                                                 22321417702003U
                                                                 22321417703002U
2031    Zafar Iqbal Weaving Factory          2400844622764       23322101721007U
                                                                 23322101736000U
2032    Zahid Weaving Factory                2400520827919       22321116325008U
                                                                 22321116305002U
2033    Zahid Weaving Factory                2400590008791       24311252010027U
2034    Zohaib Zahid W/F                     2400520815537       24321555060002U
                                            (Fahad Ali Chaudhary)
                                        Second Secretary Tariff (ST&FE)
                                 _______________


C.No.1(15)STT/2005                                 Islamabad, 22nd December, 2009
                SALES TAX GENERAL ORDER NO.46/2009
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.10 of 2007 dated the
13th September, 2007, namely:–
                                    492Z(cxliii)
General Orders                                                     G.O. No. 47 of 2009

     In the aforesaid General Order, in the Table, after serial number 202 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
S.#    Name of Unit                          Registration No.        Consumer No.
203    Afshan Cotton Industries              0407140402728        27515200065009U
204    Arshad Industries                     0407520119619        27514525324007U
205    Global Cotton Industries              0402520126346        27524115061002R
206    Macca Model Industries                0410520130464        27554418757002R
207    Maqbool Cotton Factory                0407520121837        27517314990025U
208    Mehar Cotton Factory                  0407520132564        27516210012001U
209    Rafi Cotton Industries                0407520118391        27514525325006U
210    Shadman Cotton Industries             0401520175846        27583510199141R
211    Shahid Industries                     0407520182637        27512315477019U
212    Sohail Amjad Industries               0407520182637        27512315477019U
213    Silver Fiber Cotton Industries        0410520125764        27554500410042R
214    Umer Cotton Factory                   0407520121755        27535302273007U
215    Yasrab Model Cotton Industries        0402520127173        27524300772037R
216    Zeeshan Cotton Industries             0402520129982        27524318082007U
217    Zohaib Model Industries               0400140403119        27554505002009U
                                            (Fahad Ali Chaudhary)
                                        Second Secretary Tariff (ST&FE)
                                   _______________


C.No.1(15)STT/2005                                   Islamabad, 22nd December, 2009
                 SALES TAX GENERAL ORDER NO.47/2009
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.16 of 2007 dated the
13th September, 2007, namely:–
     In the aforesaid Genera Order, in the Table, after serial number 927 in
column (1) and the entries relating thereto in columns (2), (3) and (4), the
following new serial numbers and the entries relating thereto shall be added,
namely:–
S.#      Name of Unit                          Registration No.       Consumer No.
928      Adnan Apparel                         1100119003473            8919960000
929      Jamal Industries                      0201511101273            8837002942
930      Jamal Textile                         1101511100228            4721152453
931      Mubeen Fiber Industries               1700390300119            7671731000
                                     492Z(cxliv)
G.O. No. 47 of 2009                                           Law & Practice of Sales Tax

932       Mustafa & Company                      1200620011246             0467331000
933       Smartwear International                1100119005782             6337913715
                                              (Fahad Ali Chaudhary)
                                          Second Secretary Tariff (ST&FE)
                                    _______________


C.No.1(15)STT/2005                                    Islamabad, 22nd December, 2009
                SALES TAX GENERAL ORDER NO.48/2009
     In exercise of the powers conferred by clause (d) of section 4 of the Sales
Tax Act, 1990, the Federal Board of Revenue is pleased to make the following
further amendments in its Sales Tax General Order No.17 of 2007 dated the
13th September, 2007, namely:–
      In the aforesaid General Order–,
       (a) against S.No.389 in column (1), in column (4), after the figure
           “31200738802” the figure “31200799801” shall be added;
      (b) against S.No.480 in column (1), in column (4), after the figure
          “12100000071” the figure “11190000011” shall be added;
       (c) against S.No.766 in column (1), in column (4), after the figure
           “51100014990” the figure “52100000439” shall be added;
      (d) against S.No.936 in column (1), in column (4), for the figure
          “34110072420” the figure “34110012420” shall be substituted;
       (e) against S.No.1002 in column (1), in column (4), after the figure
           “31200396901” the figure “31100012152” shall be added;
S.#         Name of Unit                           Registration No.     Consumer No.
1034        Asia Yarn Dyeing                       2400520501119         31200628804
1035        Buraque Industries                     0800520000173         31100007651
1036        Fine Thread                            0801520400791         31200770103
1037        Himalaya Textile Industry              2400590002182         31200716309
1038        J.A. Textile Mills                     0404520202137         31100011654
1039        Klash Textile (Pvt) Ltd.               0801610300464         31100011405
1040        Pahalwan Sizing Industries             0801520837073         31100010093
1041        Rahim Fibres (Pvt) Ltd.                0800540200137         31100013898
1042        Tahir Rafique Textile Mills            0803520505555         32100013846
1043        Taibah Industries                      0990999978619         31200592505
                                              (Fahad Ali Chaudhary)
                                          Second Secretary Tariff (ST&FE)
                                    _______________
                                   492Z(cxlv)
General Orders                                                 G.O. No. 1 of 2010

C.No.3(5)ST/L&P/2010                              Islamabad, 20th January, 2010
                 SALES TAX GENERAL ORDER NO.1/2010
Subject: Fiscal relief to rehabilitate the economic life in NWFP/ FATA,
         instalment in arrears.
    In pursuance to Ministry U.O. dated 7-1-2010 the FBR has decided to
allow instalments in deposit of arrears by taxpayers/registered persons
belonging to violence-hit areas of NWFP and FATA given in this order.
     2. Following procedure shall be observed in allowing instalments to the
registeed persons/taxpayers namely:–
     (i) Filing of application for instalment of arrears. The taxpayer shall
         file application to the Chief Commissioner Regional Tax Office
         Peshawar/Abbattobad for allowing him instalment in payment of
         outstanding arrears of sales tax stretching over a period of not
         exceeding three years.
    (ii) Processing of the application.– The Chief Commissioner shall
         cause the application of the taxpayer/registered person examined and
         processed by an officer subordinate to him not below the rank of
         Additional Commissioner.
    (iii) Decision by Commissioner.– After satisfying himself about the
          propriety of the application, the Chief Commisisoner, or as the case
          may be, the Commissioner, shall pass an order to that effect.
    3. Taxpayers of Violence affected areas.– For the purposes of this
order, violence affected areas shall cover the following districts/ areas of the
NWFP and FATA:
    (i) Most Affected Areas
          Bajur Agency
          Mohamand Agency
          Khyber Agency                         FATA
          Orakzai Agency
          Kurrum Agency
          North Waziristan Agency
          South Waziristan Agency
          Malakand Agency
          District Swat
          District Buner                        PATA
          District Shangla
          District Upper Dir; &
          District Lower Dir
                                      492Z(cxlvi)
G.O. No. 1 of 2010                                            Law & Practice of Sales Tax

           District Hangu
           District Bannu; and                      Settled Areas
           District Tank
     (ii) Moderately Affected Areas
           District Kohat
           District Charsadda
           District Peshawar
           District D.I. Khan; and
           District Batagram
           Lakimarwat
           Swabi
           Mardan
    4. Exclusion.– The facility of instalment under this STGO shall not be
applicable to arrears on account of beverages, cement, sugar and cigarette.
    5. Application to Excise Duty Arrears.– Subject to paragraph 4 this
order shall, mautatis mutandis, be applicable to arrears of excise duty.
                                                  (Muhammad Sadiq)
                                                Secretary ST&FE (L&P)
                                     _______________


C.No. 2(1)ST-L&P/2000 (Pt.)                            Islamabad, 27th January, 2010
               SALES TAX GENERAL ORDER NO. 03/2010
Subject: Refund of Sales Tax by Customs Collectorates.
     In exercise of the powers conferred by sub-section (2) of section 50 of the
Sales Tax Act, 1990, the Federal Board of Revenue is pleased to order that
following further amendment in the Sales Tax General No. 03/2004 dated the
12th June 2004, shall be made, namely:–
     “In the aforesaid General Order, paragraphs 25 and 26 shall be substituted
by the following, namely:–
     25. (1) Sales Tax refund filed by registered person for import-related
sales tax paid in excess due to inadvertence, error or misconception arising out
of classification dispute, SRO application dispute or valuation dispute may be
decided and allowed by the Customs importing station subject to sub
paragraph (2) below.
    (2) In the case of registered person while applying for refund to the
concerned Customs Collectorate, the applicant must endorse a copy of the
refund application to the Refund Division of the concerned RTO / LTU.
                                     492Z(cxlvii)
General Orders                                                       G.O. No. 3 of 2010

Before processing import-related refund claims, the concerned Collectorate of
Customs must seek confirmation from the concerned Regional Tax Office (RTO) that
no adjustment of input/refund of the said amount has been claimed by the applicant
or paid by the Sales Tax authorities, to avoid double payment of refund. The
concerned RTO/LTU on receipt of a reference from Collectorate of Customs, shall
issue required confirmation within thirty days to the effect that no adjustment of
input/refund of the amount involved has been claimed by the registered person in the
RTO / LTU.
    26. “(1) For the unregistered persons, the import related refund shall be
processed at the Customs stations concerned with out prior reference to RTO / LTU.
     (2) Notwithstanding anything contained in the preceding paragraphs, the Sales
tax refund files after authorization / issuance of refund payment order by the relevant
officers of the customs stations shall be sent through proper channel in the case of
registered person to the RTO / LTU concerned and in the case of unregistered person
to the nearest RTO where the customs station is located. The refund sanctioning
authority of the Customs Collectorate shall mention in his sanction order the number
and date, etc. of RTO’s / LTU’s confirmation of input / refund, in the case of
registered person, having not been allowed earlier. On receipt of such sanction order
from customs station to the RTO/LTU the payment of import related refund will be
made by the Chief Accounts Officer, of that RTO / LTU. The amount of such sales
tax refund shall be debited from the head of sales tax (on imports).
                                                  (Muhammad Sadiq)
                                                Secretary ST&FE (L&P)
                                    _______________


C.No. 1(15)STT/2005                                   Islamabad, 12th February, 2010
                  SALES TAX GENERAL ORDER NO. 04/2010
     In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.07 of 2007 dated the 13th September,
2007, namely:–
    In the aforesaid General Order, in the Table–,
       (a) against S.No.1022, in column (1), in column (3), for the figure
           “1200590755291” the figure “1100580232246” shall be substituted; and
       (b) after serial number 1231 in column (1) and the entries relating thereto in
           columns (2), (3) and (4), the following new serial numbers and the
           entries relating thereto shall be added, namely:
          S.#      Name of Unit                Registration No.       Consumer No.
          1232     Noor Apparel                 1200620034764        2605667344049
          1233     Roomi Tex                    1100590740282        2506467478317
          1234     Shan Fabrics                 1100520866982        2704647750302
                                       492Z(cxlviii)
G.O. No. 1 of 2010                                               Law & Practice of Sales Tax

           1235      S.S. Textile Industries         1700620030673       2806467420749
           1236      Union Textile Industries        1750580200664       2800455667837
           1237      White Pearl Rice Mills          0397999904437       2305467123017
                                                     (Fahad Ali Chaudhary)
                                                   Second Secretary (ST&FE)
                                      _______________


C.No. 1(15)STT/2005                                       Islamabad, 12th February, 2010
                     SALES TAX GENERAL ORDER NO. 05/2010
     In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.08 of 2007 dated the 13th September,
2007, namely:–
     In the aforesaid General Order, in the Table, after serial number 751 in column
(1) and the entries relating thereto in columns (2), (3) and (4), the following new
serial numbers and the entries relating thereto shall be added:–
S.#        Name of Unit                            Registration No.         Consumer No.
752        Colony Industries (Pvt) Ltd.            0309520830682       24191990080004U
753        Shafi Texcel Limited                    1200590760973       24191991790003U
                                                     (Fahad Ali Chaudhary)
                                                   Second Secretary (ST&FE)
                                        _______________

C.No. 1(15)STT/2005                                       Islamabad, 12th February, 2010
                     SALES TAX GENERAL ORDER NO.06/2010
     In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.09 of 2007 dated the 13th September,
2007, namely:–
      In the aforesaid General Order, in the Table–,
        (a) against S.No.6 in column (1), in column (4), after the figure
            “24312555027005U” the figure “24312555024507U” shall be added;
        (b) against S.No.738 in column (1), in column (4), after the figure
            “22321112565006U” the figure “24313858079189R” shall be added;
        (c) against S.No.1279 in column (1), in column (3), for the figure
            “0800520831664” the figure “0800520803164” shall be substituted;
        (d) against S.No.1387 in column (1), in column (4), after the figure
            “24312555094352U”     the    figures  “24311353027140U”      and
            “24312555094307U” shall be added;
                                    492Z(cxlix)
General Orders                                                  G.O. No. 3 of 2010

       (e) against S.No.1594 in column (1), in column (4), for the figure
           “24321151002065U” the figure “24321150102065U” shall be
           substituted;
        (f) against S.No.1759 in column (1), in column (4), after the figure
            “21333333009607U”     the    figures  “21333333009509U”      and
            “21333333008902U” shall be added;
       (g) against S.No.1991 in column (1), in column (4), after the figure
           “21333131013100U” the figure “21333131010309U” shall be added;
           and
       (h) in the Table, after serial number 2034 in column (1) and the entries
           relating thereto in columns (2), (3) and (4), the following new serial
           numbers and the entries relating thereto shall be added, namely:–
S.#      Name of Unit                       Registration No.       Consumer No.
2035     A.A. Weaving Factory               2400590020655      24311252012043U
2036     Abdul Qadir Weaving Factory        2400844612864      22321504315007R
                                                               22321504101005R
                                                               22321504314008R
2037     Abubakar Weaving Factory           2400844626564      24313858079161R
2038     Akhtar Weaving Factory             2400521019637      24331959049000U
2039     Ali Weaving Factory                0801520898946      22313676014604R
                                                               22313676014506R
                                                               22313676014409R
2040     Al-Farid sizing                    0801520834264      22321418199001U
2041     Al-Haram Weaving Factory           2400844619637      24321555158005U
2042     Al-Imran Enterprises               2400521020946      24311252200429U
                                                               23311272043901U
2043     Al- Madina Weaving Factory         2400520860991      23322207906009U
2044     Al-saleh Weaving Factory           2400520857946      22321504844007R
                                                               22321505019003R
                                                               22321505196008R
2045     Al-Yousaf Fabrics                  2400520847637      24322252011167U
2046     Ammar Textile                      2400590021155      24321151013080U
2047     Amjad Cone Dyeing                  2400320001291      23311272010508U
                                                               23311272011400U
                                                               23311272011106U
2048     Amin Weaving Factory               2400520834355      24321656072004U
                                                               22321605993001R
2049     Asif Finishing Hosiery Plant       0803320000764      23311272165306U
                                       492Z(cl)
G.O. No. 1 of 2010                                       Law & Practice of Sales Tax

2050      Chaudhary Weaving                   2400521016337    24311252019000U
                                                               24311252020007U
2051      Dilpasand Apparels                  2400620003464    22321204176002U
2052      Eastren Weaving Factory             2400844627482    24312353096001U
2053      Ehsan Elahi Weaving Factory         2400590020082    22321415252001U
                                                               22321415251501U
2054      Farukh      Qaisar      Weaving     2400520850591    24313858011000R
          Factory                                              27313868105009R
2055      Fogi    Khurshid        Weaving     2400844618073    27311262020009U
          Factory
2056      F.S. Textiles                       2400590022228    24322554037228R
2057      Ghulam                Muhammad      2400590026855    24311252021186U
          Weaving/F
2058      Ghulam Mahayudin W/F                2400844627555    24321555002780U
2059      Ghulam Murtaza Weaving/F            2400520836255    24321555017051U
2060      Ghulam      Mustafa     Weaving     2400590026937    24311252021042U
          Factory
2061      G.M. Weaving Factory                2400590023964    22312777024002R
2062      Grace Weaving Factory               2400520849464    24313858013151R
2063      Hafiz Weaving Factory               2400844625573    24322252044131U
2064      HIMTEX                              2400840006882    22313878164007U
2065      H.M. Weaving Factory                2400520860655    24312757014725U
2066      Imran Brothers                      0800520801755    22312373001301U
2067      Imran Weaving Factory               2400520821973    22321100840008U
                                                               22321100871000U
                                                               24321151001155U
2068      Inshallah              Mashallah    2400521018155    24311252095016U
          Weaving/F
2069      Irfan Weaving Factory               2400844619064    24321555099007U
2070      Irshad Weaving Factory              2400520857455    23311272058208U
                                                               23311272058306U
                                                               23311272058404U
2071      Javed Iqbal Weaving Factory         2400590024619    24313454037008U
2072      Javed Iqbal Weaving Factory         2400520861982    24311252021113U
2073      Jutt Weaving Factory                2400590026691    22313474009308U
                                                               22313474009200U
2074      M/s KAATEX                          0803620002937    23311474011313U
2075      KAKA Khail Textile                  0802520905946    24314353005009U
                                       492Z(cli)
General Orders                                                 G.O. No. 3 of 2010

2076     Kashif Nazir Weaving Factory         2400520862146   22321504689005R
                                                              22321503086006R
                                                              22321504326219R
2077     Khalid Weaving                       2400844606191   22313272028704U
                                                              22313272022309U
2078     Khawar Masood Chishti W/F            2400844625655   24322151036153U
2079     Madina Weaving Factoy                2400590024537   27312464004803U
2080     Mahar Rub Nawaz Harl W/F             2400520859273   24313555010030R
2081     Malik Abdul Jabbar Textiles          2400520856464   23311272054408U
                                                              23311272054505U
                                                              24321353051101U
                                                              24311252042047U
2082     Maqbool    Ahmad     Weaving         2400521014273   24331151001000U
         Factory
2083     M. Idrees Weaving Factory            2400521018237   24331151039024U
2084     Morning Star Weaving Factory         2400844625082   24312757009704U
2085     Mujeeb    Ahmad      Weaving         2400521015919   24331151004007U
         Factory
2086     Muhammad Abbas Weaving/F             2400520857528   24313454027028U
2087     Muhammad Abbas Weaving               2400520858282   24321151013008U
         Factory                                              16312112798053U
2088     Muhammad Afzaal W/F                  2400844628391   24322252051202U
2089     Muhammad     Amin Weaving            2400844625164   24322252005067U
         factory
2090     Muhammad      Asif   Weaving         2400844621855   23322212490001U
         Factory                                              23322212489004U
                                                              23322212496005U
2091     Mohammad Aslam Weaving               2400520833691   24322151034208U
         Factory
2092     Mohammad Aslam Weaving               2400520855473   22321504158007R
         Factory                                              22321506402809R
2093     Muhammad Aslam          Cotton       2400520861564   23322213532009U
         Power Looms                                          23322213530001U
                                                              23322213531000U
2094     Muhammad Ikram W/F                   2400521019146   22313575015803R
                                                              22313575016401R
                                                              22313575015901R
                                                              22313575006902R
                                       492Z(clii)
G.O. No. 1 of 2010                                        Law & Practice of Sales Tax

2095      Muhammad        Rafiq   Weaving      2400844628546    24313454028508U
          Factory
2096      Muhammad Saleem Raza W/F             2400520854973    22321415111002U
2097      Muhammad Shahbaz W/F                 2400520857373    22321501970009R
2098      Muhammad        Yaqub     Akhtar     2400844613028    22321400308007U
          W/F                                                   22321417183001U
2099      Muhammad        Zia     Weaving      2400520859928    24321656049022U
          Factory
2100      Mushtaq & Sons                       0800520804491    24322252069300U
2101      Muslim Cotton Ginners & Oil          2400520100246    24334151002024U
          Factory
2102      M.Z.A. Weaving Factory               2400844623673    24321555182005U
2103      Najeeb Ahmad Weaving Factory         2400521014191    24331151035028U
2104      Nazir Weaving Factory                2400844626319    23322101435004U
                                                                23322101482006U
                                                                23322101417006U
                                                                23322101418005U
                                                                23322408987005U
                                                                23322408988004U
2105      Naseem Fabrics                       0890999137691    24313858080033R
2106      Qaisar Embroidery                    2400581001182    22313272045348U
2107      Qamar Weaving Factory                2400844623837    24321656068000U
2108      Rabia Saleem Weaving Factory         2400520850264    24321454029909U
2109      Rafique Raza Power Loom              2400590026773    22321502739009R
                                                                24321555204009U
                                                                22321502766005R
                                                                22321502596083R
2110      Ramzan Weaving Factory               2400520858855    24322151032558U
2111      Rana Ihsan ul Haq Weaving            2400844619973    24321555139009U
          Factory
2112      Rehan Cotton (Pvt) Ltd.              2400520901746    24337353021002U
2113      Rizwan Weaving Factory               2400520848964    24313858078117R
2114      Sadiq Textile                        2400590016873    22321101789009U
2115      Sakhi Weaving Factory                0801520811982    22313474057201U
                                                                24313454028107U
2116      Sargodha Weaving Factory             2400520860737    24321151011028U
2117      Shahida    Jabeen       Weaving      2400844627637    24311252021195U
          Factory
                                      492Z(cliii)
General Orders                                                      G.O. No. 3 of 2010

2118     Shahzad Siddique (Pvt) Ltd            0405511118482       24313454036009R
2119     Shama Trading Co.                     0803520835564       27322262099100U
2120     Shamaila Weaving Factory              2400520862064       24311252021033U
2121     Sheri Fabrics                         2400830000446       24321555179000R
2122     Siraj Weaving Factory                 2400520853319       22313878195000R
2123     S.K Embroidery                        0801581007373       22313272043901U
2124     S.S. Weaving                          2400521016419      22321100852003U
                                                                  22321100857008U
                                                                  22321100850005U
                                                                  24321151002047U
2125     Standard Industries                   0800581000846       23311575014555U
2126     Subhan Weaving Factory                0800844600564      21333232008407U
                                                                  21333232008005U
2127     Umer Weaving Factory                  2400520850182       22321415264007U
2128     Umer Weaving Factory                  2400520824864       22312777009403U
2129     Usman Weaving Factory                 2400844610546       22313474056006U
2130     Usman Weaving Factory                 2400520856619      24311252021104U
                                                                  23311272082404U
                                                                  23311272082501U
2131     Wahab Abdullah Clander &              2400520827837      24321252061005U
         Standard
2132     Waleed Textiles                       0801590004237       24313858055016U
2133     Yasir Doubling Machine                2400844500246       24321151051305U
21234    Yasmeen Weaving Factory               2400520855055       22321606035009R
                                                                   22321605950002R
2135     Zahid Textiles                        0800520806964       21333535018401R
                                                                   21333535017108R
                                                                   21333535017304R
                                                 (Fahad Ali Chaudhary)
                                               Second Secretary (ST&FE)
                                    _______________

C.No. 1(15)STT/2005                                   Islamabad, 12th February, 2010
                 SALES TAX GENERAL ORDER NO.07/2010
     In exercise of the powers conferred by clause (d) of section 4 of the Sales Tax
Act, 1990, the Federal Board of Revenue is pleased to make the following further
amendments in its Sales Tax General Order No.10 of 2007 dated the 13th September,
2007, namely:–
    In the aforesaid General Order, in the Table–,
                                      492Z(cliv)
G.O. No. 1 of 2010                                         Law & Practice of Sales Tax

        (a) against S.No.217 in column (1), in column (4), after the figure
            “27554505002009U” the figure “27554505003008U” shall be added;
            and
       (b) after serial number 217 in column (1) and the entries relating thereto in
           columns (2), (3) and (4), the following new serial numbers and the
           entries relating thereto shall be added, namely:–
S.#   Name of Unit                           Registration No.         Consumer No.
218   A.A. Cotton Ginners                    0407520102782      27514702627006U
219   Al-Hamd Cotton Industries              0402520139964      27524118061006U
220   Al-Hilal Model Industries              0408230607573      27563304904005U
221   Ali Sons Cotton Ginners                0408520106819      27564100021004U
222   Al-Madina Cotton Industries            0400120701382      27524115059006U
223   Al-Serat    Cotton         Ginning     0401520127346      27543100021000U
      Pressing & Oil Mills
224   Al-Talib Cotton Industries             0407520156328      27514706078001U
225   AR-Rafai Industries                    0400140400482      27533412429009U
226   Aziz-ur-Rehman Model         Farm      0408520122246       27564100042009R
      Ginning