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Sales tax collectors can condone time limit

ISLAMABAD (July 28 2004): Taking a relief measure to facilitate the business community, the Central Board of Revenue (CBR) has empowered the Collectors of sales tax to condone the time limit of payment under section 73 of the Sales Tax Act, 1990. The CBR on Tuesday issued SRO 642(I)/2004 to extend powers of condonation to the collectors of sales tax.

The tax authorities have used powers under section 74 of the Sales Tax Act to implement the decision.

Previously, the CBR issued condonation relating to time limit under section 73, which bound the business community to come to the Board for obtaining the certificate, whereas the whole processing of application was carried out by the concerned collector. Now, the CBR has delegated the powers to the collectors to simplify procedure for the trade.

Sources said that the businessmen are no more required to approach the Board for obtaining “condonation of time limit of payment under section 73 beyond the prescribed limit”. They would only have to file application with the concerned collector having jurisdiction over the unit/person etc.

As per notification, the collectors would condone cases where four conditions are fulfilled by the concerned person.

First, the payments have been made in accordance with the provisions of sub-section (1) of section 73 of the Sales Tax Act, 1990.

Secondly, the invoice relating to the transaction contains the full name, address and registration number of both the supplier and the buyer besides other particulars specified in section 23 of the Sales Tax Act, 1990.

The transaction does not involve any closed, de-registered or any person whose registration has been blacklisted or suspected, the notification added.

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