ISLAMABAD: Federal Board of Revenue (FBR) has decided not to extend the date of sales tax refund bonds from April 10.
Official sources from FBR told Customs Today that the board had earlier extended the date of sales tax returns from March, 25 to April 10, 2019, in order to facilitate the taxpayers. The board has amended Section 67-A of the Sales Tax Act 1990 which stated that these bonds are specified only for the sales tax refunds, sources confirmed.
Sources also added that earlier the board had advised the State Bank of Pakistan for making payment of sales tax refunds amounting to Rs7,236 million to facilitate the exports as the board was well aware of the problems being faced by the businesses on account of outstanding refunds and it was working on a plan to pay remaining outstanding refund claims by issuing bonds.
However, the board has now decided that the due date will not be extended further from April 10 and advised the business community to claim their sales tax refund bonds.
Meanwhile, as per the board statistics, at least Rs140 billion refunds are pending; however, after scrutiny, it is expected to at least Rs110 billion may be the adequate amount of refunds for which the government planned to issue bonds where the government is agreed with the exporters.
