HIGHLIGHTS

• Registered person allowed zero-rating on imports and supply of Plant, Machinery, Equipment and ginned cotton.
• Exemption on imports of tractors, bulldozers, combined harvesters and agricultural implements.
• Fixation of deemed price of DAP Fertilizer and Phosphoric Acid.
• Further Tax and higher rate of sales tax of 20% abolished.
• Registered Retailers and steel melters to come under simplified Tax Regime
• Carry Forward period reduced to six months.
• Activation Charge In Respect Of Cellular Phones reduced.
• Benefit of input tax on certain items with certain exclusions allowed.
• Certain types of Islamic banking and financing transactions excluded from the purview of sales tax.
• Turnover tax scheme abolished and exemption threshold raised at Rs. 5 million for both manufacturers and retailers.
• Sales tax on supply of Cottonseed, Crude Vegetable Oil obtained there from and Oil Dirt/Sludge. Supply of oil cake will be levied at zero-rated.
• Central Excise Duty in the VAT Mode on Advertisement on cable and closed circuit television and Services supplied by shipping agents allowed.
• Central Excise Duty in VAT Mode on Import/ Supply of edible oil and supply of vegetable ghee/cooking oil allowed.
• Presumptive Assessment Scheme improved.
• Import/supply of hides and skin and raw wool to be Zero-rated.
• New simplified Refund Rules introduced.
• Section 73 substituted and input on accrual basis allowed.
• Provisions relating to registration/deregistration simplified.
• Collectors given powers of condonation of delay.
• Penalty reduced.
• New sales tax registration and returns forms introduced.
• Debit and Credit Note Rules rationalized.
• Input adjustment on account of fake invoices to be disallowed.
• Penalty for cases of tax fraud increased.
• Collector empowered for requisitioning information from Banking Companies in cases of tax fraud.
• Restriction on supply of Filter Rods to unregistered persons.
• Provision made for search under Warrant.
• Provisions made to provide for assistance to officers of sales tax by other agencies.
• Board empowered to allow exemption on imports through special order.
• Rules issued in respect of services sector.
• Existing and new Notifications consolidated.
• Legal framework made for the Gawadar Special Economic Zone.
• Supply of zero-rated goods to privileged persons rationalized
• Payment in installments allowed.
• Taxable supplies without getting sales tax registration to be deemed as tax fraud.