INTRODUCTION
Baluchistan Revenue Authority issued Notification Ref: No.BRA/BSTW/06/2018 . Throught this notification, The Balochistan Sales Tax Special Procedure (Withholding) Rules, 2018 have been issued.
COMMENTARY
The ST withholding Rules are very similar to the Rules issued by SRB. The Rules incorporate reference and proper definition of rental income against property.
However, the term “registered” includes the reference to the “FBR registered”.
The Rules have been divided in following parts:
- Short title, application and commencement
- Definitions
- Responsibility of withholding agent
- Responsibility of registered services provider
- Application of other provisions
- Forms prescribed for withholding agent (Sign up, de-signing, monthly sales tax return, tax payment challan, notice for deduction/withholding, certification of deduction/withholding)
The following Summary is prepared for the understanding purposes only:
| Description | Rate | Amount |
| Offices and departments of Federal Government (Registered including FBR) | 20% | S/Tax |
| provincial government and local or district government (Registered including FBR) | 20% | S/Tax |
| Autonomous Bodies (Registered including FBR) | 20% | S/Tax |
| Public sector organization (Registered including FBR) | 20% | S/Tax |
| Organizations funded by budget of fed/prov government (Registered including FBR) | 20% | S/Tax |
| Company (Registered including FBR) | 20% | S/Tax |
| Registered persons receiving advertisement services (other than advertisement in newspapers and periodicals) ,auctioneers, renting of immovable property, intercity transport or carriage of goods by road | 100% | S/Tax |
Proviso
Provided that a person shall be treated as withholding agent if a Person resident in Baluchistan or person has a place of business in Baluchistan
Exemptions
- Telecommunication
- Banking companies
- Financial institutions, Insurance companies (other than re-insurance)
- Port operator
- Airport operator
- Terminal operator
- Airport ground services
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