C.No.l/51-STT/96-Pt.II, Dated 22nd August, 2000.

I am directed to refer to the Board's earlier letter of even number dated 26.7.2000 on the subject cited above (copy enclosed) and to say that with the issuance of customs Notification No. SRO 552(I)/2000 dated 10.8.2000 the Sales Tax Wing of the Board has been pleased to withdraw the above-referred letter and issue the following new instructions:- (i) The items mentioned in SRO 552(I)/2000 dated 10.8.2000 shall be dealt with, for the purpose of sales tax, as per conditions available in the notification itself (no bank guarantee for the goods mentioned in Table-I). For goods mentioned at table-II and III of the notification bank guarantee or indemnity bond with post-dated cheque equivalent to the amount of sales tax exempted shall be obtained and discharged on production of consumption certificate as required under the notification. (ii) For raw materials which presently attract statutory rate of customs duty at 10%, but were included in the erstwhile Notification No. SRO 349(I)/85 dated 15.4.1985 are exempt from payment of sales tax and no bank guarantee or indemnity bond with post dated cheque is required. Such materials will be cleared as per conditions contained in Table-I of SRO 552(1)/ 2000 dated 10.8.2000. (iii) For all those raw materials which presently attract 10% statutory…