Section 99A: Special provisions relating to payment of tax through electricity

3[99A. Special provisions relating to payment of tax through electricity connections. (1) Notwithstanding anything contained in the Ordinance, a tax shall be charged and collected from retailers other than Tier-I retailers as defined in the Sales Tax Act, 1990 (VII of 1990) and specified service providers on commercial electricity connections at the rates specified in the income tax general order issued in terms of sub-section (2). (2) For the purposes of this section, the Federal Government or the Board with the approval of the Minister in-charge pursuant to the approval of the Economic Coordination Committee of the Cabinet may, issue an income tax general order to — (a) provide the scope, time, payment, recovery, penalty, default surcharge, adjustment or refund of tax payable under this section in such manner and with such conditions as may be specified; (b) provide the collection of tax on the amount of bill or on any basis of consumption, in addition to or in lieu of advance tax collectible under sub-section (1) of section 235, at such rates or amounts, from such date and with such conditions as may be specified; (c) provide record keeping, filing of return, statement and assessment in such manner and with such conditions as may be specified; (d) provide mechanism of collection, deduction and payment of tax in respect of any person; (e) include or exempt any person or classes of persons, any income or classes of income from the application of this section, in such manner and with such conditions as may be specified; and (f) provide that tax collected under this section shall in respect of such persons or classes of persons be adjustable, final or minimum, in providers on commercial electricity connections at the rates provided in clause (2A) of Division IV, Part IV of the First Schedule. (2) A retailer who has paid sales tax under sub-section (9) of section 3 of Sales Tax Act, 1990 (VII of 1990), shall not be required to pay tax under this section and the sales tax so paid shall constitute discharge of tax liability under this section. (3) The tax collected or paid under this section shall be final tax on the income of persons covered under this section in respect of business being carried out from the premises where the electricity connection is installed. (4) For the purposes of this section, Board with the approval of the Minister in-charge may issue an income tax general order to- (a) provide the scope, time, payment, recovery, penalty, default surcharge, adjustment or refund of tax payable under this section in such manner and with such conditions as may be specified. (b) provide record keeping, filing of return, statement and assessment in such manner and with such conditions as may be specified; (c) provide mechanism of collection, deduction and payment of tax in respect of any person; or (d) include or exempt any person or classes of persons, any income or classes of income from the application of this section, in such manner and with such conditions as may be specified.] respect of any income to such extent and with such conditions as may be specified. (3) The provisions of sub-section (1) of section 235 shall apply to the persons as specified therein unless specifically exempted under the income tax general order issued under sub-section (2). (4) The provisions of section 100BA and rule 1 of the Tenth Schedule shall not apply to the tax collectible under this section unless specifically provided in respect of the person or class of persons mentioned in the income tax general order issued under sub-section (2).]

Effective date: 2001-09-13

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