Law:

Section: 10,10(4),4,8(1)(a),13(2)(a),FifthSched,4 6,13,7,.34(1),35(5),36(1)

(a) Sales Tax Act (VII of 1990)--- ----Ss.10(4), 4, 8(1) (a), 13(2)(a) & Fifth Sched., Entry No.5---Sales Tax Rules, 2005, Chapter VII---S.R.O. 1035(I)/2005, dated 13-10-2005---S.R.D. 575(I)/2002, dated 31-8-2002, R.8---Excess amount to be refunded---Exemption---Zero rating supplies--International tender---Refund was claimed on the basis of supplies made to International Committee of the Red Cross being exempt, as supplies to approved voluntary non-government organizations or welfare bodies by registered manufacturers for free distribution amongst earthquake victims were exempted and also claimed zero-rating of such supplies made against international tender---Claim of refund was rejected by the assessing authority on the ground that requirement for international tender had not been fulfilled by the claimant as the tender should be properly advertised in a leading daily and subsequently the supplier will be chosen by the purchasing party from against many contenders; inadmissible refund was claimed---First Appellate Authority observed that the Collectorate of Customs had already sanctioned rebates of customs duty on raw materials used in the manufacturing of goods reported that certificate showing "purchase order" had clearly been mentioned on the face of GD-1, meaning thereby that the tender of the appellant was accepted as International Tender that Appellant had made all the remittances to the government and that it was against the natural justice to keep two different criteria with the appellants which would amount to discrimination, if equal treatment was not given to the appellants, appeal was accepted and order-in-original was set aside---Validity---Claimant was registered person under Sales Tax Act, 1990 while the International Committee of the Red Cross to whom supplies had been made was neither the registered person nor involved in any taxable activity in Pakistan ---Supplies against International Tender could only be construed if the International Tender had been floated by the registered person under the Sales Tax Act, 1990 and against which supplies had been made by another registered person or the Federal…