ISLAMABAD, Oct 30: The Central Board of Revenue has exempted the sales tax liabilities adjudged against Wapda in respect of supplies of electricity.

The exemption would be available during the period commencing from August 16 to December 31, 1999, said a sales tax order issued on Wednesday.

The exemption would also be available on the amount of additional tax payable by Wapda on account of sales tax liabilities adjudged in the orders-in-original issued by collectors of customs, sales tax and central excise (adjudication), Lahore.

According to the sales tax order, the exemption of sales tax would be available following the conditions — notwithstanding that exemption of sales tax on electricity was withdrawn on August 16, 1999, the Ministry of Finance vide its letter D.O No F.5(4)- CFI/99-2000, dated December 24, 1999, and had inter alia, clarified that Wapda will levy GST in the bills to be issued with effect from January 1, 2000.

The principal liability of sales tax adjudged under the aforesaid adjudication orders in respect of supplies of electricity made by Wapda during the period from August 16, 1999 to December 31, 1999, having been exempted under this order, may charge or demand for additional tax accruable thereon is not legally justified.

The liability of sales tax adjudged in the above referred adjudication orders on the account of input tax adjusted by Wapda out of the relevant tax period has accrued from a technical mistake and the CBR is pleased to condone the output tax period adjustment of input tax and no refund of any amount of sales tax already paid by Wapda in consequence of or related to the above referred adjudication orders shall be claimed or paid.