- FBR issues clarification on sales tax treatment when tax rates change
- Guidance aims to help taxpayers understand compliance requirements and reduce disputes
- Changes in tax rates are governed by Section 5 of the Sales Tax Act, 1990
- For taxable supplies by registered persons, tax rate at time of supply applies
- For imported goods, tax rate is determined by the date goods declaration is presented
- Special rules apply if goods declaration is submitted before arrival of goods
- Late payment beyond seven days after goods declaration leads to tax rate adjustment to date of payment
- FBR encourages taxpayers to learn and adhere to these rules to avoid penalties
- New directive effective immediately to improve tax administration and transparency
Source: pkrevenue.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
