- Sindh government grants conditional sales tax exemption to beauty parlors and clinics
- Exemption applies to hair cutting, hair dressing, hair dyeing, shaving, and services from businesses with turnover below Rs. 2.5 million
- Exemption does not apply to businesses located in hotels, motels, guest houses, clubs, franchisees, businesses with multiple outlets, or those with utility bills exceeding Rs. 25,000
- Standard sales tax rate for beauty services is 15%, reduced rate of 10% available without input tax credit, further reduced rate of 5% with additional conditions
- Additional conditions for 5% rate include electronic submission, POS machine installation, electronic invoicing, and no input tax credit/adjustment
- Aim of exemptions and varying tax rates is to provide relief to smaller businesses and ensure fair contribution from larger entities
- SRB aims to enhance transparency and reduce tax evasion through electronic invoicing and POS machine installations.
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.
