ISLAMABAD: Federal Board of Revenue (FBR) has amended rules to transfer sales tax refunds to the taxpayers’ bank accounts electronically.
According to a notification, the FBR amended Sales Tax Rules, 2006, which directs Centralized Sales Tax Refund Organization (CSTRO) to prepare a statement of payment advice for all cheques issued on the day and the same shall be sent to State Bank of Pakistan (SBP) duly signed by the signatory and co-signatory.
The CSTRO will electronically transfer the details of approved refund payment order to the SBP for direct credit to the declared bank account of the claimant and the intimation of such advice shall be given to the claimant.
Following is the text of the SRO issued here on Friday: SRO 1031(1)/2016.- In exercise of the powers conferred by section 4, sub-section (2A) of section 6 and section 40 of the Federal Excise Act, 2005, section 219 of the Customs Act, 1969 (IV of 1969), section 50 of the Sales Tax Act, 1990, read with proviso to clause (i) of sub-section (2) of section 7, clause (I) of sub-section (1) of section 8, sub-section (2) of section 8, clause (ii) of sub-section (2) of section 8B, section 9, 10, 14, 21 and 28, clause (c) of Sub-section(1) of section 22, section 26, sub-section (6) of section 47A, sections 48, 50A, 52, 52A and 66 thereof the Federal Board of Revenue is pleased to direct that the following further amendments shall be made in the Sales Tax Rules, 2006, namely:-
In the aforesaid Rules,
(1) in rule 30,-
(a) for sub-rule (7), the following shall be substituted, namely,
“(7) The CSTRO shall also prepare a statement of payment advice for all cheques issued on the day and the same shall be sent to State Sank of Pakistan (SSP) duly signed by the signatory and co-signatory” ; and
(b) after sub-rule (7), substituted as aforesaid, the following new sub rule shall be added, namely:
“(8) In lieu of the procedure stated in sub-rules (6) and (7), the CSTRO may electronically, transfer the details of approved Refund Payment Order to the State Bank of Pakistan for direct credit to the declared bank account of the claimant and the intimation of such advice shall be given to the claimant.
