HIGHLIGHTS

• Zero-rating of sales tax on dairy products and stationery items .
• Sales tax zero-rating on import and supply of trucks and dumpers of g.v.w. of 5 tonnes and above:
• Levying upfront single stage sales tax on 30% value addition on import of pesticides.
• Zero-rating of sales tax on Compost (Non-chemical fertilizer).
• Sales tax exemption on aircrafts of all types.
• Levying single stage tax @ 3% for retailers having annual turnover of more than 5 million rupees per annum.
• Allowing input tax adjustment to retailers and wholesaler-cum retailers (Chain Stores) who opt to pay sales tax at standard rate.
• Abolishing the condition of depositing 15% of the principal amount at the time of filing appeal under the Sales Tax law.
• Amending Sales Tax & Excise laws to improve the working of ADRC.
• Allowing commercial importers to file sales tax return on quarterly basis.
• Withdrawing exemption of sales tax on computer hardware.
• Broadening the scope of Third Schedule to the Sales Tax Act, 1990.
• Fixation of the value of supply of coal @ Rs.670/- PMT.
• Introducing a consolidated return for sales tax and excise and prescribing annual return for corporate sector.
• Simplification of Refund Rules.
• Simplifying and expediting the processing of sales tax refunds through authorized Chartered Accountants.
• Consolidation of Notifications.
• Removal of anomaly in the definition of ‘Wholesaler.’
• Identifying the scope of plant, machinery and equipment for sales tax zero-rating.
• Collection of sales tax on accrual basis from WAPDA.
• Incorporating legal provisions in the Sales Tax law to introduce the concept of Joint and Several liability of all partners in the supply chain.
• Disallowing input tax credit / refund in case the tax is not deposited.
• Amendment to prescribe time limit for filing of revised return.
• Imposing higher penalties for repeated offences.
• Incorporating ‘Sales Tax Accounts’ in the list of records to be maintained by a registered person.
• Requiring the cigarette manufacturers to print their name on the cigarette packets.
• Powers to search without warrant withdrawn.
• Inclusion of financial & operating leases in the definition of supply.
• Amending section 26 of the Sales Tax Act, 1990 to give coverage to e-filing.
• Providing the powers to the Board to fix the value of imported goods for sales tax purposes.
• Introducing the concept of Common Taxpayer Identification Number.
• Amending the Sales Tax law to initiate proceedings in cases of deliberate short filing, without giving show cause notice.
• Prescribing penalty for non-submission of the summary of sale and purchase invoices.
• Granting one time extension of time limit for cases pending adjudication.
• Abolishing the provisions regarding voluntary registration of person making exempt supplies.
• Authorizing the Additional Collector to file appeal before the Appellate Tribunal and reference to the High Court.
• Amending the Sales Tax law to introduce the use of Computerized System.
• Enabling the Sales Tax Officers to obtain third party information.

AMENDMENTS

Common taxpayer ID number
Computerized system
e-intermediary
Input tax
Sales tax account
Supply
Value of supply
Wholesaler
Tax Credit Not Allowed
Joint and several liability
Excess amount to be refunded
Short paid amounts receivable
Exemption
Records
Return
Audit by Cost Accountants
Offences and Penalties
Obligation to produce documents
Search without Warrant
Power of Adjudication
Appeals
Appeals to Appellate Tribunal
Reference to High Court
Alternate Dispute Resolution