| |
|
 |
| For business information, annual reports, laws, ordinances, regulations and articles. |
|
|
|
|
|
030415
Sales Tax Ruling
Instruction No. 07/2003
GOVERNMENT OF PAKISTAN
REVENUE DIVISION
CENTRAL BOARD OF REVENUE
(SALES TAX WING)
C. No. 3(36)STP/99 (Pt.I)
Islamabad, the 15th April, 2003
SUBJECT:- PAYMENT AGAINST A SUPPLY MADE IN KIND.
I am directed to refer to the subject noted above and to say that a question has been raised, whether payment against any supply can partly be made by transferring landed property and whether the said transfer of land could fulfill the requirement of transfer of payment from the business account of the buyer to the business account of the seller in terms of section 73 of the Sales Tax Act, 1990.
2
The matter has been examined in the Board. It is ruled that the payment in kind by transferring landed property can be made provided:
(i) Attested copy of Mutation deed showing transfer of landed property between the two registered persons is furnished;
(ii) Transfer of property is duly reflected in the books of accounts with reference to sales tax invoice number and date;
(iii) Payment of sales tax due on such supply is made either by the buyer from his bank account to the bank account of the supplier or tax is deposited by supplier himself; and
(iv) The balance / remaining amount, if any, even less than Rs. 50,000/- is transferred from the bank account of the buyer to the bank account of the seller through banking instrument, as mentioned in section 73 of the Act.
(Dr. Kamal Azhar Minhas)
Secretary (ST-L&P)
Tel: 9205311, Fax:9215418
|
|
|
|
|
|
| Home | About Us | Contact | Information Resources |