November 4, 2003	Tuesday	Ramazan 8, 1424

ISLAMABAD, Nov 3: The Central Board of Revenue (CBR) has clarified that sales tax will not be charged on advertisements released on closed circuit television (CCTV).

A official source in CBR said on Monday that the decision was taken following a query whether or not advertisements released on CCTV usually installed at airports, railway stations, bus stands, shopping centres, etc., were chargeable to Sales Tax under the respective Provincial Sales Tax Ordinances, 2000.

According to CBR ruling issued on Monday, however, no refund of the sales tax already paid by the registered person on this account and the incidence of which has been passed on to the consumer would be allowed or claimed on the basis of this ruling, in terms of the provisions of section 3B of the Sales Tax Act, 1990. 3.

It may be mentioned here that during the Budget 2000-01, when Central Excise Duty on services was brought under GST mode through provincial legislation, the description advertisements on CCTV falling under PCT sub-heading No.9802.3000 was not considered for inclusion in the schedules of the respective Provincial Ordinances.

The ordinances cover only advertisements on television, which are separately classifiable under PCT sub-heading No.9802.1000.