Amendment in Sales Tax Special Procedure Rules, 2007

GOVERNMENT OF PAKISTAN
MINISTRY OF FINANCE, REVENUE, ECONOMIC AFFAIRS,
STATISTICS AND PRIVATIZATION
(REVENUE DIVISION)

Islamabad, the 25th January, 2018.

NOTIFICATION
(SALES TAX)

S.R.O. 61(I)/2018.- In exercise of the powers conferred by section 71 of the Sales Tax Act, 1990, read with clauses (9) and (46) of section 2, sections 3 and 4, sub-section (2) of section 6, sub-section (3) of section 7, section 7A, clause (b) of sub-section (1) of section 8, sub-sections (2A) and (3) of section 22, sections 23 and 60 thereof, the Board with the approval of the Federal Minister-in-charge is pleased to make the following further amendment in the Sales Tax Special Procedure Rules, 2007, namely:-

In the aforesaid Rules,-

(1) in the preamble, after the word and figure "section 6", the expression ", sub-section (3)" shall be inserted;

(2) in rule 20, in sub-rule (2), in clause (b), for the semi-colon at the end, a colon shall be substituted, and thereafter the following proviso shall be added, namely:-

"Provided that in case a bore-hole or well or gas field is run by a joint venture comprising separate registered persons, each shall charge and pay sales tax as aforesaid to the extent of his share of supplies;";

(3) in rule 21, in the proviso, for the full-stop at the end, a colon shall be substituted, and thereafter the following new proviso shall be added, namely:-

"Provided further that in case of a bore-hole or well or gas field is run by a joint venture, the person acting as operator of the field may transfer the share of common input tax to other registered persons in the joint venture by issuing a credit transfer note, depending upon respective share of the transferees in the joint venture, showing the amount of sales tax involved with zero sales value and the same shall be admissible for the purpose of input tax adjustment by the registered person to whom issued. The common input tax of the operator shall be reduced by the amount involved in such notes as issued by him."; and

(4) in rule 58T, for the existing proviso, the following shall be substituted, namely:-

"Provided that extra tax under this rule shall not apply on supplies of lubricating oils made to registered oil market companies (OMCs) and to lubricating oil marketing companies registered with OGRA and those made by OMCs and by lubricating oil marketing companies registered with OGRA to registered manufacturers for in-house consumption.".

[C. No. 3(1)ST-L&P/2015]

(Zulfiqar Hussain Khan)
Chief (Sales Tax and Federal Excise Policy)