 |
|
For business information, annual reports, laws, ordinances, regulations and articles. |
|
|
960822
GOVERNMENT
OF PAKISTAN CENTRAL BOARD OF REVENUE
NOTIFICATION
Islamabad,the 22nd August,1996
SALES TAX
S.R.O.696(I)/96.-
In exercise of the powers conferred by section 50 of the Sales Tax Act,1990, read
with section 9 thereof, and in suppression of S.R.O.802(I)/91, dated the 12th August 1991,
and S.R.O.130(I)/92, dated the 22nd February,1992, the Central Board of Revenue is pleased
to make the following
rules, namely.-
1. Short title, application and commencement .- (1) These rules may be called
the Debit and Credit Note and Destruction of Goods Rules,1996.
(2) These shall apply to a taxable supply where the goods are returned by the buyer.
2. Issuance of Debit and Credit Note.- (1) Where a registered person makes a
supply of taxable goods which are returned by the buyer within ninety days of such supply
on the ground that the goods supplied were damaged or of sub-standard quality, the buyer
shall issue a Debit Note (in duplicate) in respect of goods returned by him indicating
their value determined on the basis of supplier, amount of sales tax paid thereon, number
and date of the original tax invoice:
Provided that the Collector may, at the request of the supplier, in specific cases, by
giving reason in writing, extend the period of ninety days to one hundred and eighty days.
(2) The original copy of Debit Note shall be sent to the supplier and the other copy
shall be retained for his own record.
(3) On receipt of the goods returned by the buyer and the Debit Note, the supplier
shall issue a Credit Note (in duplicate) in respect of the goods received by him
indicating their value, amount of sales tax charged thereon at the time of their supply
and the number and date of tax invoice which was issued by the supplier in respect of
these goods and send the original copy to the buyer and retain the duplicate copy for his
own record.
3. Adjustment of input and output tax.- (1) The buyer shall not be entitled to
claim input tax in respect of goods which he has returned to the supplier.
(2) Where the buyer has already claimed input credit in respect of these goods, he
shall reduce the amount of input tax to that extent in his return for the tax period
in which the goods were returned by him to the supplier.
(3) The supplier shall on the basis of the Credit Note issued by him, correspondingly
reduce, the amount of output tax in his return for the tax period in which the goods were
received by him.
(4) Where the aforesaid goods are supplied to the original buyer or some other person
with or without carrying out any repairs, the supplier shall charge sales tax
thereon in the normal manner and account for it in his return for the period in which
these goods were supplied.
4. Destruction of goods and adjustment of input and output tax.- (1) Where the
goods are returned by the buyer on the ground that the same are unfit for
consumption and need to be destroyed by the supplier, he shall issue a Credit Note in
respect of these goods indicating their value and the amount of sales tax charged
thereon at the time of supply.
(2) The Credit Note shall also indicate the original tax invoice number, date and
reason for destruction and on the basis of the Credit Note, the supplier shall
correspondingly reduce the amount of output tax in his return for the tax period in which
the goods were destroyed.
( Lutfullah Virk )
Secretary (Sales Tax)
[C.No.1/43-STB/96]
As amended
S.R.O.682(I)/9, dated 12.06.1999
