Exemption of the whole amount of Sales Tax in excess of that liable to be paid at the rates specifie

GOVERNMENT OF PAKISTAN MINISTRY OF FINANCE, ECONOMIC AFFAIRS, STATISTICS AND REVENUE REVENUE DIVISION ***** Islamabad, the 18th June, 2001. NOTIFICATION (SALES TAX) S.R.O. 392(I)/2001.¾ In exercise of the powers conferred by clause (a) of sub-section (2) of section 13 of the Sales Tax Act, 1990, the Federal Government is pleased to exempt the whole amount of sales tax in excess of that liable to be paid at the rates specified under any applicable fixed sales tax rules up to the 30th June, 1998, the Simplified Sales Tax Rules, 1999, or under any written instructions from the Central Board of Revenue, on supplies made by a manufacturer up to the 30th June, 2000, subject to the following conditions, namely: - (i) Such manufacturer was working in accordance with any of the aforesaid rules or instructions of the Central Board of Revenue and was regularly paying tax due under such schemes or instructions up to the 30th June, 2000; (ii) outstanding arrears of sales tax, if any, pertaining to the period up to the 30th June, 2000, or thereafter are paid before the 31st December, 2001; (iii) no case of tax fraud is outstanding against him for the period up to the 30th June, 2000, or the date of starting to operate under VAT mode of sales tax, whichever is earlier; and (iv) such manufacturer is registered, and has been regularly paying sales tax at the rate specified in sub-section (1) of section 3 of the Sales Tax Act, 1990, since the 1st July, 2000, or the date of starting to operate under VAT mode of sales tax, whichever is earlier: Provided that, - (a) for the purpose of conditions (i) and (iv) above, non-filing of, or non-payment against a maximum of four tax returns during the relevant period shall be condoned subject to the condition that the arrears are paid before the 31st December, 2001; (b) with reference to condition (iv) above, if any person started discharging his tax liabilities under the VAT mode of sales tax on any date prior to the 1st July, 2000, the exemption under this notification shall be admissible only up to that date provided arrears are paid in terms of condition (ii) above; and (c) the benefit of this notification shall not be admissible to any person who obtained a new registration before or after the abolition of any of the aforesaid fixed tax or other scheme to avoid payment of his tax liabilities accrued thereunder. 2. The benefit of this notification shall be admissible only if the registered person applies to the Collector of Sales Tax having jurisdiction in proper form along with the relevant documents duly certified by the concerned trade association as to the fulfillment of the said conditions and the Collector, after having satisfied himself about the accuracy and genuineness of such application issues a formal order to the effect that the applicant is allowed the benefit of this notification. 3. This notification shall not entitle any person to claim or take refund of any amount of sales tax already paid by or recovered from him. [C. No. 3(9)STL&P/2001] ( RIAZ AHMAD MALIK ) Additional Secretary