Exemption From Sales Tax on Locally Manufactured Goods Produced By Industries Set Up In N.W.F.P. and

GOVERNMENT OF PAKISTAN CENTRAL BOARD OF REVENUE SALES TAX WING *** Islamabad, the 9th June, 1994 NOTIFICATION (SALES TAX) S.R.O. 561(I)/94.-- In exercise of the powers conferred by sub-section (1) of section 13 of the Sales Tax Act, 1990, and in supersession of this Ministry's Notification No. S.R.O. 580(I)/91, dated the 27th June, 1991, the Federal Government is pleased to direct that all supplies made by manufacturers or producers of industrial units which are set up in the North-West Frontier Province and the Province of Baluchistan (except Hub-Chowki area) between the 1st July, 1991, and the 30th June, 1994, shall be exempt from the tax payable under the said Act for a period of five years from the date the industry is set up: Provided that this exemption shall also be available to such units which have opened letters of credit before the 30th June, 1994, for import of machinery or have firmed up financial arrangements with the banks or financial institutions before the said date for the new unit to be set up upto the 30th June, 1996: Provided further that these letters of credit or firmed up financial arrangements with the banks or financial institutions are registered with the Central Board of Revenue before the 15th July, 1994 by such units and the Board, after verifying the facts, will intimate to the applicant in writing whether he is entitled to enjoy exemption under this Notification or otherwise: Provided further that, this exemption shall be available for a maximum period of five years to such new capital intensive units consisting one billion rupees or more which come into commercial production from the 17th October, 1994 to the 3 1st December, 2000, and shall cease to be available after the 30th June, 2001 irrespective of the date on which any unit came into commercial production subject to the condition that letters of credit for import of machinery are established or financial arrangements for setting up the unit are made with the banks or financial institutions before the 1st July, 1996. Explanation. --For the purpose of this Notification, the expression "set up" shall mean the date on which the industrial unit commences its production including trial production, which date shall be intimated, in writing, by manufacturer to the Assistant Collector of Sales Tax having jurisdiction in the area atleast fifteen days before commencing such production but shall not include the date of expansion, balancing, modernization or replacement of such industry. Amended vide SRO 612(I)/94 dated 14.06.1994. Amended vide SRO 1131(I)/94 dated 22.11.1994. Amended vide SRO 475(I)/96 dated 13.06.1996.