Islamabad: The Federal Board of Revenue (FBR) instructed retailers on Thursday (October 14) to publish cash discounts offered to end-users on standardised sales tax invoices, news sources reported.
The board earlier published notification SRO 1006(1)/2021 on August 9, 2021, indicating the minimum criteria for the Point of Sales System invoice. The clarification was given in relation to the value of supply, as specified in sub-section (46) of Section 2 of the Sales Tax Act of 1990.
The FBR emphasised that the aforementioned reduction is just for business-to-business transactions and does not apply to consumer discounts. According to the new explanation, the company will now indicate the cash discounts provided to customers at the point of sale (POS) on standardised sales tax invoices . The problem was brought to the FBR’s attention when firms and chambers of commerce from around the country approached the board about the notification SRO 1006(1)/2021.