Federal Board of Revenue has issued notification ref: SRO 890/(I)/2018 dated July 23, 2018.


The said SRO issued is giving effect to the decisions taken in Economic Coordination Committed (ECC) in meeting held on May 31, 2018 for considering the financial matters arising after the 31st amendment in Constitution of Islamic Republic of Pakistan. The said effects have been discussed in detail in our newsletter for June 2018 (available at our website). Accordingly, the areas previously regarded as FATA/PATA have been included in the scope of Sales Tax Act, 1990 and are subject to compliance of its applicable provisions. The above mentioned SRO grants exemption to the residents of aforesaid areas in following manner:

  1. Exemption from sales tax to supply of goods (reference has been made to sub-section 9 & 9A as well i-e including exemption from electricity and reporting requirement) to retailors
  2. No refund and adjustment will be available from the date of assent given by the President to the Constitution (twenty fifth Amendment) Act, 2018

Link of original notification