Sales Tax Calculator

BASICS OF SALES TAX
It is advised that one develop a fundamental awareness of these processes before registering and filing a sales tax return. Basic notions would ensure that the chores are completed not just quickly but also in the correct order.

Under the Sales Charge Act of 1990, the Federal Government of Pakistan imposes a tax known as sales tax on the sale and supply of items as well as on imported goods. Under The Islamabad Capital Territory (Tax on Services) Ordinance, 2001, the federal government imposes a sales tax on services.

INPUT TAX The tax a registered person pays on the taxable products and services he buys or obtains is known as input tax. Added to this is the sales tax incurred on imports.

INPULT TAX

The amount of sales tax charged and imposed on the purchase or provision of goods or services subject to the application of sales tax.

AREA OF THE SALES TAX

The following are subject to sales tax:

GOODS

All items are taxable, with the exception of those that fall within the section 13 exemptions listed in the 6th Schedule of the Sales Tax Act of 1990. For the purposes of sales tax, goods encompass all transportable property types except from actionable claims, cash, stocks, shares, and securities.

ADVANCE TAX

The tax that a registered person must pay on the taxable products and services that he acquires or purchases is known as input tax. Added to this is the sales tax incurred on imports.

OUTPUT