on 17-Sep-2021 (Fri)

In case reported as 2000 PTD 874 blending of tea was held to be 'manufacturing, the Honourable Supreme Court of Pakistan in case reported as 1982 SCMR 523 held crushing of bones to be manufacturing and cutting of forest trees into pieces of timber for sale is manufacturing in `case reported as PLD 1959 Lah. 955.

Sec. 2(29C) Industrial undertaking i. In CIT v. Textile Machinery Corporation (1971) 80 ITR (436-37) it was observed that: Industrial undertaking therefore would normally be in its ordinary acceptation, some industrial concern or enterprise or adventure which is undertaken to be done by the person concerned. Whether the industrial undertaking covers a complex of ideas both physical and non-physical and we will not choose one at the cost of the other. It is a complex of ideas and methods of practical execution and, therefore, must necessarily involve both tangible and intangible consideration."

Sales Tax . General Order No. 104 of 2019, dated 29th August, 1871 2019.--Payment of sales tax on the basis of retail price on raw tea imported by tea manufacturers.

Sales Tax General Order No. 103 of 2019, dated 7th August, 1870 2019.--Printing of retail price on imported Third Schedule items and other related issues.

Repacking.—Repacking of goods comes within the scope of and definition of manufacturer. [M/s. Khyber Tea and Foods Company, Peshawar and others Vs. The Collector Customs, Peshawar and others (PTCL 2013 CL 256) (Cwt. Trib)J

14, Tea Respective sub-headings of 09.02

[14. Filing of returns,-(l) Every person excluding aretailer not being atier-1 retailer,] registered under the Sales Tax Act, 1990, or the Federal Excise Act, 2005, shall file the return as specified in the form STR-7, alongwith all its annexures provided therein, in accordance with the instructions given therewith, in the manner as specified in rule 18 *®[:] [Provided that all registered manufacturers making supply of taxable goods as mentioned in column (2) of the Table below shall furnish, in Annex-J of the monthly return, details of such goods manufactured or produced and goods supplied, using the units mentioned in column (3) of that Table, namely:- TABLE s« 61 Unit of measurementProduct S.No. (3) (2) (1) M. Tons M. Tons Million Nos. “ 0 0 0 ” L i t r e s M. Tons M. Tons M. Tons M. Tons M. Tons M. Tons M. Tons 1 Sugar Tea blen d ed Cigarettes Aerated Waters Paper Board Chemicals Caust i c soda Toilet soap Flakes &Detergent Industrial Hydrogen, Oxygen etc.) P a i n t s & Va r n i s h e s LPG 2 3 4 5 6 7 8 9 10 Gase s (Chlorine, 11 M. Tons M. Tons

SALES TAX GENERAL ORDER NO. 104 OF 2019, DATED 29TH AUGUST, 2019 [Reported as PTCL 2019 St. 9l9(i)] P A Y M E N T O F S A L E S T A X O N T H E B A S I S O F R E T A I L PRICE ON RAW TEA IMPORTED B Y TEA MANUFACTURERS. Recognized tea manufacturers of well-known tea brands have approached FBR regarding difficulties in fixation of retail price of imported raw tea on the ground that it is not possible to detemine retail price at the time of import because of different SKUs (in terms of varieties of blend, size, packing) of tea manufactured by them from such imported raw tea. Acknowledging, the dif ficulty as pointed out, the Board is pleased to direct that the raw tea, which is not in retail packing, shall be assessed on the basis of average retail price as declared by such manufacturers and certi fied by the concerned Chief Commissioner on the basis of past sales of each manufacturer. However, such average retail price shall not be, less than the limit as stipulated in para (ii) of STGO 103/2019 dated 07.08.2019. SUBJECT:- 2. 3. I t i s c l a r i fi e d t h a t t h e b a l a n c e a m o u n t a s w o r k e d o u t a f t e r production will be paid with return. It is also clari fied that no adverse inference shall be drawn by the department on account of such declaration of retail price, as made at import stage, being different from final retail price as determined/fixed by the manufacturer at local supply stage.

SALES TAX GENERAL ORDER NO. 103 OF 2019, DATED 7TH AUGUST, 2019 [Reported as PTCL 2019 St. 918] P R l N T f N G O F R E T A I L P R I C E O N I M P O R T E D T H I R D S C H E D U L E I T E M S A N D O T H E R R E L AT E D I S S U E S . The Board vide letter No. 1/2-STB/2019, dated 15.07.2019, had directed that imported Third Schedule items be allowed clearance after affixation of stickers printed with retail price till 31st July, 2019. The Board has received several representations highlighting various issues and requesting further extension in the aforesaid time period. Accordingly the Board is pleased to provide as under:- SUBJECT;- (i) For the imports from North and South America, if bill of lading date is prior to 30th June, 2019, the condition of printing retail price is relaxed up to 31st August, 2019, subject to the condition that the importer declares retail price for each of the imported items in terms of section 2(27) of the Sales Tax Act, 1990, and that the goods are assessed for sales tax on such declared retail price. The retail price, if not printed at import stage, can be printed at the port of import in the prescribed manner. If that is also not possible, the importer shall undertake to print the retail price after clearance of goods and shall pay sales tax on retail price w h i c h s h a l l n o t b e l e s s t h a n 1 3 0 % o f t h e c u s t o m s v a l u e increased by assessed customs duties, excise duty and other applicable taxes and charges excluding sales tax. If the phrase "in retail packing" appears against any item/entry in the Third Schedule, the retail price taxation thereon shal

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