Sales Tax Return

Following are required to file their Sales Tax Return with Federal Board of Revenue(FBR)

• Registered Persons: Any business or individual that is registered under the Sales Tax Act, 1990 and is involved in taxable activities (sale of goods, provision of taxable services).
• Threshold for Registration: Businesses with taxable supplies exceeding a certain annual threshold (set by FBR) are required to get registered for sales tax and file returns. Sales Tax Return are typically filed monthly, covering all sales and purchases for that month

Sales Tax Return Components:

• Output Tax: This is the sales tax collected on sales of goods and services.
• Input Tax: This is the sales tax paid on business-related purchases, which can be offset against the output tax.