Retail Tax Rules 1998

GOVERNMENT OF PAKISTAN MINISTRY OF FINANCE AND ECONOMIC AFFAIRS Islamabad, the 12th June, 1998 NOTIFICATION SALES TAX S.R.O.583(I)/98.- In exercise of the powers conferred by section 3AA of the Sales Tax Act, 1990, read with sections 26AA and section 71 thereof, and in supersession of its Notification No. SRO.1333(I)/97, dated the 31st December, 1997, the Federal Government is pleased to make the following rules and to specify the 1st July, 1998, to be the date for the charge, levy and payment of retail tax from retailers engaged in taxable supplies of goods, namely:- 1. Short title, application and commencement.- (1) These rules may be called the Retail Tax Rules, 1998. (2) They shall apply to persons engaged in making taxable supplies as a retailer and whose annual turnover, from taxable goods or otherwise, exceeds twenty million rupees in any period during the last twelve months. (3) These shall come into force on and from the first day of July, 1998. 2. Definitions.- (1) In these rules, unless there is anything repugnant in the subject or context,- (a) "Act" means the Sales Tax Act, 1990; (b) "Annex" means an annex appended to these rules; (c) "application" means application for registration as a taxpayer for retail tax as specified in Annex-A; and (d) "return" means retail tax return-cum-payment challan as specified in Annex-B; (2) All other words and expressions used but not defined in these rules shall have the same meaning as are assigned to them in the Act. 3. Registration of taxpayer of retail tax.- (1) Every retailer liable to be registered for retail tax shall make an application within one month of the issuance of these rules for registration to the Collector having jurisdiction in the area where his business premises are located. (2) The Collector shall, having satisfied himself with the requisite information provided in the application for registration, register the applicant as taxpayer of retail tax and issue the registration certificate accordingly. 4. Furnishing of returns and payment of retail tax.- A retailer registered under these rules shall deposit the return-cum-payment challan in a designated branch of the National Bank of Pakistan for the tax period as specified in section 26AA of the Act. 5. Book keeping and invoicing requirements.- (1) A retailer shall keep and maintain books of accounts, issue invoices for supplies and maintain other records as specified under Chapter IV of the Act: Provided that inventory records shall be maintained by such retailer on quarterly basis: Provided further that a retailer whose annual turnover does not exceed twenty million rupees in any period during the last twelve months shall maintain such records as are prescribed in the proviso to rule 5 of the Turnover Tax Rules, 1999. (2) The invoices issued by the retailer shall not indicate the amount of tax separately and the sale price shall be inclusive of the amount of sales tax. (3) The amount of tax shall be calculated by the following formula: Percentage rate of tax X Value of sales Percentage rate of tax + 100 6. Obligations of a retailer.- A retailer liable to be registered under these rules shall,- (a) get himself registered within one month of the issue of these rules or the commencement of his business, whichever is later; (b) file returns as required under the Act; (c) display his registration certificate conspicuously at the place of his business; (d) charge retail tax on his sale of taxable goods from his customers in a manner that it is included in the sale price charged from his customer; and (e) issue invoices in the form specified in Annex-C, whether in the form of a cash-memo or receipt, prepared manually or generated by an electronic cash register duly approved by the Collector, to his customers, irrespective of their demand. The aforesaid invoice may be suitably amended with the prior approval of the Collector: Provided that buyer's name and address shall be given in the invoice or, as the case may be, the cash-memo only on the request of the buyer. Annex-A [See rule 2(c)] GOVERNMENT OF PAKISTAN APPLICATION FOR REGISTRATION AS RETAILER UNDER SALES TAX ACT, 1990 ----------------------------------------------------------------------------------------------------------------------------------------------------------------- (01) BUSINESS NAME _______________________________________________________ (02) ADDRESS _______________________________________________________________________ (03) CITY _________________________ POST CODE ____________________ (04) TEL NO. _________________________ FAX NO. ________________ (05) NATIONAL TAX NUMBER (NTN) _______________________________ (06) IMPORT REGISTRATION NO. (if any) _______________________________ (07) ADDRESS WHERE BUSINESS RECORD ARE KEPT ________________________________ (if different from 02 above) (08) CITY _____________________________ POST CODE ____________________ (09) TEL NO. ______________________________ FAX NO. ____________________ (10) STATUS OF BUSINESS (Only one column may be marked) INDIVIDUAL AOP / HUF REGISTERED FIRM UNREGISTERED FIRM COMPANY (11) APPROXIMATE VALUE OF SALES DURING LAST 12 MONTHS (Rs.) ____________________ --------------------------------------------------------------------------------------------------------------------------------------------------------------------- DECLARATION I,_______________solemnly declare that to the best of my knowledge & belief, the information given above is correct and complete and I have not been allotted any Retail Tax Registration Number nor I have applied for it elsewhere. I understand that incorrect information can lead to punitive action. ___________________ ______________________________ _________________________ Date Official Stamp Authorized Signature ------------------------------------------------------------------------------------------------------------------------------------------------------------------------- ( FOR OFFICIAL USE ) Retail Tax Registration Number Allotted ___________________________________________________ Anned - B [See rule 2(d)] GOVERNMENT OF PAKISTAN RETAIL TAX RETURN CUM PAYMENT CHALLAN -------------------------------------------------------------------------------------------------------------------------------------------------------- PART - I (01) RETAIL TAX REGISTRATION NUMBER (02) NATIONAL TAX NUMBER (NTN) __________________________________________________________________________________________ (03) NAME & ADDRESS (04) TAX PERIOD MONTH YEAR ___________________________________________________________________________________________ (05) Outstanding Sales Tax Credit (Input Tax) for the preceding period if any. Rs. ___________________________________________________________________________________________ (06) SALES ___________________________________________________________________________________________ VALUE (Excld. Tax) RATE SALES TAX DUE (Output Tax) TAXABLE GOODS EXEMPT GOODS TOTAL ------------------------------------------------------------------------------------------------------------------------------------------------------------------------- (07) PURCHASES DOMESTIC VALUE (Excld. Tax) RATE SALES TAX DUE (Input Tax) TAXED GOODS ------------------------ IMPORTED TAXED GOODS ----------------------------------- EXEMPTED GOODS TOTAL ------------------------------------------------------------------------------------------------------------------------------------------------------------------------- (08) Sales Tax Payable [ 6 - ( 7 + 5 )]: Rs. (09) Input Tax Credit carried forward [( 7 + 5 ) - 6 ]: Rs. ------------------------------------------------------------------------------------------------------------------------------------------------------------------------- (10) DECLARATION I declare that the above particulars are true and correct. --------------------------------------------------------------------------------------------- Signature of Authorised Person with Office Stamp Date (Name and Designation) ----------------------------------------------------------------------------------------------------------------------------------------------------------------------- PART - II ( FOR BANK USE ) SALES TAX PAYMENT CHALLAN (11) SALES TAX (A/C HEAD): 0220000 Sr. No._____________________ (12) Amount Paid: ________________________________________________ (13) Amount in Words: ________________________________________________ Dated: ___________________ _____________________________________ Treasury/Authorised Bank with official Stamp. ___________________________________________________________________________________________________ ANNEX-C [See rule 6] INVOICE/CASH MEMO Tel: _______________ Fax: ______________ Sales Tax Regn.No.__________ Serial No.___________ M/s: _______ (Sellers' Name)__________ (_________Seller's' Address_________) Buyer's NAME & : ______________________________________________________________ Address : ________________________________________________________________ S. No. Description Unit Price Quantity/No./Weight/Volume Amount Total ---------------------------------------------------------------------------------------------------------------------------------------- Note: The value of sales in this document includes amount of sales tax, where leviable. -------------------------------------------------------------------------------------------------------------------------------------- [C.No.3(16)-STP/98] S.M. Kazimi Additional Secretary Amended vide SRO 295(I)/2000 dated 31.05.2000 Amended vide SRO 399(I)/2001 dated 18.06.2001 Amended vide SRO 509(I)/2003 dated 07.06.2003