FBR to deny 60pc input tax to non-integrated Tier-1 retailers

Islamabad: Federal Board of Revenue (FBR) in its drive to integrate Tier-1 retailers across the country, has issued Sales Tax General Order No.2 of 2022 by which a system-based approach has been adopted to integrate non-integrated Tier-1 retailers with effect from August 1, 2021.

A list of identified Tier-1 non-Integrated Retailers has been placed at FBR’s web portal and if these identified Tier-1 Retailers fail to integrate by September 15, 2021, they would be denied credit for input tax equal to 60 per cent claimed in the Sales Tax return for the month of August 2021.

If, however, a Tier-1 Retailer feels that it is not a Tier-1 Retailer in terms of Section 2(43A) of Sales Tax Act, 1990, it may get itself excluded from the list by applying to the concerned Commissioner by September 10, 2021.

The list shall be updated every month and taxpayers who remain in the List shall be considered as non-Integrated Tier-1 Retailers and their input tax to the extent of 60pc shall be disallowed as per the provisions of sub-section (9A) of Section 3 of the Sales Tax Act, 1990.

- Advertisement -

LEAVE A REPLY

Please enter your comment!
Please enter your name here

- Advertisement -

Must Read

Cabinet may approve appointment of new PPL MD in coming week

ISLAMABAD: The federal cabinet is likely to choose one of three shortlisted candidates during the coming week's scheduled meeting for the top position of...