How to efile Sales Tax Return, Filling Annexures-F, & C in Pakistan? - Guide to filing Sales Tax Return Pakistan (FBR)

As per FBR's notification last date for of returns for July-2011 and August-2011 has been extended upto 26th September 2011. This is due to the defects in newly launched return which is to be e-filed by all registered persons. Major problem is regarding filling in the Annex-F which relates to carry forward of losses. It does not work properly, hence it is allowed, as per clarifications/FAQ available on e.fbr.gov.pk, to manually add the figure of carry forward of losses.

The Federal Board of Revenue has announced new sales tax return to be e.filed (Electronically filed) through FBR e.portal.There are certain problems and misconceptions in the minds of registered persons of sales taxpayers for whom it is mandatory to file sales tax returns electronically. Some of the features of the new return are introduced as under:-

1.Major misconception in filing of sales tax returns is that every taxpayer may require to provide national tax No. or NIC of registered and unregistered person. However, as per clarification made by the Board this condition is applicable only to the persons who are registered as manufacturers, importers and exporters. All other taxpayers may declare their sales and purchases to unregistered persons under the category of “bulk unregistered”.

2. However, it is important to mention that in the previous return there was an option to provide number of sales invoices, which is not provided in the new return. What is meant for document No. and date? Is it be a sales register or No. and date of invoice. If invoices are more than number, how No. and date could be the same. In so far as this aspect is concerned, the sales tax return available on eportal appears to be deficient.

3. All the registered persons are required to provide invoice by invoice details of all the purchases made from the registered persons. Previously, it was sufficient to mention the total amount and number of invoices if they are from a single party. It is a real hardship for the taxpayers and this amendment in sales tax return is made without considering the aspect that there are thousands of invoices to be issued in major cases and it would took months to enter all the data in the e.portal of FBR.

4. The other major change for the common registered persons to e.file their sales tax return is “Annex-F”. It is mandatory for all registered persons/ taxpayers who are require to claim adjustment of carried forward sales tax for the previous month/months. This annexure is divided into three portions. First and second portion relates to Opening balance, material purchased/ consumed during the month and closing balance of value of goods and sales tax. Third portion relates to value addition tax. First and second portion is to be filled in carefully by the taxpayers whereas the third portion will be automatically filled in on the basis of data provided in the first two portions.

5. Besides, Annex-H relating to stock position is mandatory to be filled in by the registered sales taxpayers who have to claim refund.

6. Keeping in view the technical hardships for e.filers of sales tax returns the FBR has extended the date of filing of sales tax return for tax periods July-2011 and August-2011. Now the sales tax return filers can file their returns by 20th September, 2011.