Inland Revenue advised to sanction refund against provincial sales tax invoices

KARACHI: The Federal Board of Revenue (FBR) has advised all Inland Revenue formations to also process and sanction refunds against provincial sales tax invoices.[the_ad id=”31605″]FBR noted that during the process of refund claims of the registered persons, field formations reportedly do not entertain the input/refund claims of the invoices issued by the registered persons relating to provincial tax authorities.

The provincial sales tax levied under various provincial statutes is included in the definition of input tax as provided in section 2(14) of the Sales Tax Act, 1990 read with SRO 814(1)/2016.

However, due to non availability of authentic verification, refund claims against such invoices get deferred in the system.

FBR has advised Inland Revenue formations to sanction refunds against provincial sales tax invoices.

Tagged , , . Bookmark the permalink.

Leave a Reply

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.