1) Telecommunication Services which is chargeable to Sindh sales tax at 19.5% under section 8 of the Sindh Sales Tax on Services Act, 2011 (here-in-after referred to as the "Act") read with tariff heading 9812 of the Second Schedule to the Act.
2) The person engaged in providing and rendering telecommunication services shall pay sales tax on the said telecommunication services in the following mode and manner, namely :
(i) In case of post paid telephone services, Sales tax shall be paid by the 21st day of the following second month
(ii) In case of pre-paid telephone services, sales tax shall be paid by the 21st day of the following month
(iii) In case of incoming international calls, sales tax shall be paid by the 21st day of the month following the month in which the incoming international call is terminated; and
(iv) In case of other telecommunication services, Sales Tax shall be paid by the 21st day of the following month. .
3) Following Telecommunication Services are exempted from payment of sales tax:
a) Internet services, Whether dial up or broadband, including email services and data communication network services of upto 2mbps speed value at not more than 1,500 rupees per month per services recipient
b) Telecommunication Services involving charges payable on the International leased lines or bandwidth services used by software exporting firms registered with the Pakistan Software Exporting Board.
4) Any person having registered office, place of business located in Sindh and is engaged in providing or rendering telecommunication services as listed in Second Schedule of the Sindh Sales Tax on Services Act, 2011 are liable for registration under section 24 of the said Act.
1) The services provided or rendered by banking companies, corporate finance societies, modarabas, musharikas, leasing companies, foreign exchange dealers, non-banking financial institutions and other persons dealing in such services are taxable under various sub-heads vide tariff heading 98.13 @ 15%. The services of the issuance, processing and operation of credit and debit cards (tariff heading 9813.5000), commission and brokerage of foreign exchange dealings (tariff heading 9813.6000), ATM operations, maintenance and management (tariff heading 9813.7000) and the services provided or rendered by foreign exchange dealers or exchange company or money changer (tariff heading 9813.9000 and 9819.2000) are also taxable at 15%.
2) Under Sr. No. 4 in the Table notification No.SRB.leg(I)/2011 dated 01-07-2011, the services of the utility bills collection, Umrah and Hajj services and cheque book, Musharika and Modaraba Financing are exempt from tax. at the rate of [fifteen] per cent ad valorem except the goods and services specified in the First Schedule, which shall be charged to Federal excise duty as, and at the rates, set-forth therein.
3) The tax shall be paid by such companies or institutions or its offices/branches located in the Province of Sindh on the gross amount charged for service provided to the customers excluding mark-up or interest.
4) The tax due for the month shall be paid by the 15th day of the following month. The prescribed Monthly Sales Tax Return shall be e-filed by the 18th day of the month following the tax period to which it relates. In addition, a quarterly Reconciliation Statement, in the prescribed format, is required to be e-filed on the SRB web portal by the 24th of the month following the end of every quarter.
5) Although the Banking Companies and NBFCs are not required to issue tax invoices in respect of the services provided or rendered by them, they may issue the tax invoice, as prescribed in rule 29(1) of the 2011-Rules, to such of the service recipients who are registered with FBR and SRB for the sales tax purposes and demand issuance of the tax invoice for the purpose of claiming input tax credit/adjustment. The detail of the service recipients and the tax invoices issued to them shall be duly entered in Annex-C of the tax return (SST-03) of the banking companies/NBFCs
6) Each outlet of the company or the institution located in the Province of Sindh shall maintain records of the services provided or rendered. The central office in the Province of Sindh shall submit a copy of annual audit repot to the SRB within 15 days of the publication.
1) The services provided or rendered by insurer, including a reinsurer, in respect of insurance or reinsurance services is liable to sales tax at 15% under tariff heading 9813.1000 (and its sub-headings) of the Second Schedule to the Act.
2) The services of Marine Insurance for Export, Life Insurance, Health Insurance and Crop Insurance are exempt from the levy of the sales tax. However, persons providing or rendering such exempt services are required to e-register/e-enroll with SRB, to issue exempt tax invoices of the services and also to e-file their tax return (SST-03) on e-SRB portal on quarterly basis, in terms of Sr.No.1 in the Table of notification No.SRB 3-4/10/2011 dated 18-10-2011
3) The sales tax shall be paid on the gross amount of premium charged on risk covered in insurance or reinsurance policy. However, the tax shall not be payable in respect of an insurance contract or its part which is cancelled.
4) The sales tax on insurance or reinsurance services shall be paid by the 15th day of the month following the tax period to which it relates. The Sales tax return (SST-03) shall be e-filed with SRB within three days of the due date for payment of the tax.
5) A copy of the annual audit report, duly audited by the Chartered Accountant, shall be submitted to the SRB within 15 days of its publication alongwith evidence of payment of the amount of sales tax, detected (if any) as a result of such audited report
Service Provided or rendered by Hotels
Service Provided or rendered by Restaurants
Service Provided or rendered by Marriage Halls
Service Provided or rendered by Clubs
Service Provided or rendered by Caterers Suppliers
& Food of Drink