FBR relaxes condition of NTN/CNIC reporting on taxable supplies

KARACHI: The Federal Board of Revenue has defined the Rules easing the requirements of reporting NTN/CNIC of the buyer by the sellers registered with Sales Tax.

The Sales Tax General Order (STGO) 106/2019 defines rules for CNIC and Good Faith for Sales Tax.

Keeping in view the problems reported by the registered persons is ensuring proper identity of the buyer to fulfil the requirement of reponing NTN/NIC of the buyer in terms of section 23 of thc Sales Tax Act, 1990, it is directed that the NIC/NTN of the buyer with respect to taxable supplies to an unregistered person shall be deemed to have been reported in good faith by the supplier provided that:

(a) The tax invoice complies with the requirements of section 23(b) of the Act.
(b) Payment made by or on behalf of the unregistered purchaser of the amount of the tax invoice, inclusive of sales tax and applicable further tax, is deposited into the supplier’s declared business bank account.
(c) The NIC provided by the purchaser is found authenticated by the National Database and Registration Authority (NADRA).
(d) The NIC/NTN provided is not of the employee of the seller or of his associates as defined under the Income Tax Ordinance, 2001.

The issuance of a show cause notice to a registered person being a seller on account of any matter arising out of the NIC provided by a purchaser shall not be made without the prior approval of the Member (IR-Operations), FBR after providing an opportunity to be heard.

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Your email address will not be published.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.

  • RSS Newsnreleases

    • C. Hunter becomes CEO of HomeTrust Bank, President of HomeTrust Bancshares 27-Jul-2021
      ASHEVILLE: HomeTrust Bancshares Inc., the holding company of HomeTrust Bank, announced that C. Hunter Westbrook will assume the positions of... Continue reading The post C. Hunter becomes CEO of HomeTrust Bank, President of HomeTrust Bancshares appeared first on NewsnReleases.
    • Blackwood Partners and Nicola Wealth acquire another industrial land 27-Jul-2021
      TORONTO, ONTARIO: Blackwood Partners and Nicola Wealth Real Estate (NWRE) acquired a 34-acre industrial development site located in Grimsby, southwest... Continue reading The post Blackwood Partners and Nicola Wealth acquire another industrial land appeared first on NewsnReleases.
    • Neles to acquire Flowrox for Eur 40.9 million 27-Jul-2021
      HELSINKI, FINLAND: Neles has signed an asset purchase agreement to acquire the valve and pump businesses of the Finland-based technology... Continue reading The post Neles to acquire Flowrox for Eur 40.9 million appeared first on NewsnReleases.
    • Beatrice Mary Nicholas appointed non-executive director at Cohort Plc 27-Jul-2021
      LONDON, UK: Cohort Plc, the independent technology group, announced the appointment of Beatrice Mary Nicholas as a non-executive director, with... Continue reading The post Beatrice Mary Nicholas appointed non-executive director at Cohort Plc appeared first on NewsnReleases.
    • Stephen Birrell joins Live Company Group board 27-Jul-2021
      LONDON, UK: Live Company Group plc has appointed Stephen Birrell as an independent Non-Executive Director with immediate effect, a news... Continue reading The post Stephen Birrell joins Live Company Group board appeared first on NewsnReleases.