Sales Tax General Order No. 7 of 2022, Islamabad, 5th January 2022

SROS: Sales Tax General Order No. 7 of 2022, Islamabad, 5th January 2022 Government of Pakistan Revenue Division Federal Board of Revenue Inland Revenue ***** C. No. 01/POS/IR/2021/1954-R Islamabad, 5th January 2022 Sales Tax General Order No.7 of 2022 Subject: Tier-1 Retailers - Integration with FBR's POS System The Finance Act, 2019 added sub-section (6) to section 8B of the Sales Tax Act, 1990 ("the STA, 1990") whereby a Tier-1 Retailer "(T-1R)" who did not integrate its retail outlet in the manner prescribed under sub-section (9A) of section 3 of the STA, 1990 during a tax period, its adjustable tax for that period would be reduced by 15%, The figure of 15% has been raised to 60% vide Finance Act, 2021. 2. In order to operationalize this important provision of law, a system-based approach has been adopted whereby all T-IRs who are liable to integrate but have not yet integrated, with effect from July-2021 (Sales Tax Returns filed in August, 2021) are to be dealt with as per the procedure laid down in STGO No. 1 of 2022 issued on 3rd August 2021. 3. Vide the instant Sales Tax General Order, a list of 1,284 identified T-IRs has been placed on FBR's web portal at www.fbr.gov.pk allowing them to integrate with FBR's system by 10th of January 2022 and the procedure of exclusion from this list of 1,284 identified T-IRs shall apply as laid down in Para 2 of STGO 1 of 2022 dated 03.8.2021. 4. Upon filing of Sales Tax Return for the month of December, 2021 for all hereby notified T-IRs not having yet integrated, their input tax claim would be disallowed as above, without any further notice or proceedings, creating tax demand by the same amount. Salman Ahmad Khan Secretary Analysis/ POS Circulation:- (i) SA to Chairman, FBR (ii) SA to Member (IR-Operations), FBR (iii) Chief Commissioners LTOs, CTOs, MTO, RTOs (iv) Pakistan Tax Bar Association (PTBA) (v) Webmaster, FBR (HQ) for uploading S. No. Tax Office Name STRN NTN Name of the Business Owner Business Name 1 RTO-II, Karachi 3277876252222 2942429 Muhammad Javed Ansari Fine Super Mart 2 RTO-II, Karachi 3277876240770 A323100 Ariana Hyper Market Ariana Hyper Market 3 RTO-II, Karachi 3277876249502 1317722 Nadem Ahmed…