CNo.l/lO-STB/99, Dated 1st July, 1999.

I am directed to invite your attention to the following documents relating to the above subject:- (a). Section 16 of the Finance Act 1999, relating to the Sales Tax Act, 1990; (b). Section 12 of the Finance Act 1999, relating to section 59-E, 8- E, 143-B and sub-para (iii) of Part-IV of the Second Schedule to the Income Tax Ordinance, 1979; (c). Section 20 of the Finance Act, 1999, relating to the Common Taxpayer Identifier (CTI); (d). Notification No.SRO. 679(I)/99 and 681(I)/99, dated 12.06.1999 and SRO. 788(I)/99 dated 29.06.1999 issued by the Federal Government; (e). Notification No.SRO. 680(I)/99 and 682(I)/99, dated 12.06.1999 issued by the CBR; (f). Notification No.SRO. 751 (I)/99 dated 15.06.1999; (g). Notification No.SRO. 794(I)/99 dated 30.06.1999; (h) Notification No.SRO. 795(I)/99 dated 30.06.1999; (i). Notification No.SRO. 804(I)/99 dated 01.07.1999; and (j). Notification No.SRO. 805(I)/99 dated 01.07.1999. 2. The following salient changes in the law and procedure of sales tax have been effected in the current budget 1999-2000. I. IMMEDIATE MEASURE (i) Extention of Amnesty Scheme upto30.06.1999:- Notification SRO 679(I)/99, dated 12.06.1999 read with SRO 788(I)/99 dated 29.06.1999 allowed amnesty from the payment of 4/5th of the additional tax and penalty, if the principal amount of sales tax (in arrears) and also the l/5th of additional tax and penalty relatable thereto as were outstanding as on 31st May, 1999, were paid by the 30th June, 1999. Similarly, where there was no principal amount of tax in arrears but there were arrears of additional tax and penalties, amnesty could be availed of by paying l/5th of that arrears of additional tax and penalty by 30.06.1999.. MEASURES EFFECTIVE FROM 1ST JULY, 1999 A. Legal changes (1) Definition of Value.- The incidence of all Federal and Provincial taxes (except the sales tax) has been included in the assessable value for the purpose of sales tax by adding the words "and taxes" after the word "duties" occurring in the definition of "value of supply" giving in clause (a) of sub section (46) of section 2 of the Act. This will remove all doubts and ambiguities in this regard. (2) Further Tax.-The rate of…