INTRODUCTION

The Punjab Revenue Authority (PRA) issued four notifications No. PRA/Order.06/2017.Vol(V)/1434, 1435, 1436 & 1437 dated October 1, 2019 requiring certain persons to collect and pay the tax on the value of taxable services.

 

COMMENTARY

Through these notifications the following class of persons are required to collect and pay the sales tax on services and the register person shall entitled to claim adjustment of tax paid under these notifications except in case of reduced rate (Oil marketing companies). The person making payment of tax under these notifications shall be liable to register with the authority if not already registered.

1 2 3 4 5 6
Persons or class of persons Taxable Services Description Value of taxable services Rate Adjustment of Input tax
Oil marketing companies engaged in marketing of refined oil products under license from OGRA Commissions agents Persons providing commission services for selling distributing or marketing of refined oil products at outlets or filling stations Value of commission or margin, by whatever name called. 16% Allowed
Distribution companies (DISCOs) responsible for distribution of electricity in the Punjab Services in relation to transport of goods other than water, through pipeline, conduit, transmission lines or any other medium. Payments made or accrued to power transmission company (NTDC) on account of wheeling charges, transmission line charges etc. Gross value of charges 16% Allowed
Aircraft operators providing facilities for travel by air Travel Agency Services Commission on providing any service or connected with the booking of passage by air for travel Value of commission 16% Allowed
Private medical hospitals, clinics, health care service providers/centers Medical consultation/visit fee exceeding R.S 1500 per consultation/visit of doctors, medical practitioners and medical specialists.

 

 Medical consultation services provided by doctors, medical specialists Gross value of charges, visit fee exceeding Rs. 1,500 per consultation/visit 5% Not Allowed

DOCUMENT LINK

notification_2 notification_3 notification_4 notification_5