ISLAMABAD, Oct 15: The Central Board of Revenue (CBR) has notified conditions for manufacturers of five zero-rated sectors — textile, surgical, sports, carpet and leather — for availing sales tax exemption on consumption of natural gas.
The conditions were notified along with the names of the registered manufacturers of the five sectors supplied by Sui Northern Gas Pipelines Limited (SNGPL) through a sales tax notification SRO1040 of 2005 issued here on Saturday.
Similarly, through another notification SRO1039 of 2005 issued here, the natural gas supplied by the Sui Southern Gas Company Limited (SSGCL), to the relevant manufacturing units of the registered persons would also be exempted from levy of sales tax.
According to the both notification, the sales tax to be charged at the rate of zero per cent subject to the following conditions, namely: the connection is in the name of the registered person and bill issued by SNGPL contains the name and the sales tax registration number of such person; in case where the connection is not in the name of such person, the registration number of such person is mentioned in the bill along with his address as declared in his application for sales tax registration; and the gas is consumed exclusively in the manufacture of goods specified in the Federal Government’s Notification No. SRO621 of 2005, of June 17, 2005, issued under clause (c) of section 4 of the Sales Tax Act, 1990.
