NOTIFICATION

SALES TAX

            S.R.O.923(I)/99.- In exercise of the powers conferred by section 71 of the Sales Tax Act, 1990, the Federal Government is pleased to make the following rules, namely:-

1. Short title, application and commencement.--

        (1)    These Rules may be called Special Procedure for Spinning Industry Rules, 1999.

        (2)    These shall apply to the spinners and spinning units manufacturing and producing cotton yarns and

                blended yarns falling under Chapters 52 and 55 of the First Schedule to the Customs Act, 1969 (IV of

                1969).

       (3)    They shall come into force on 23rd August, 1999.

2. Definitions.--

        (1)    In these Rules, unless there is anything repugnant in the subject or context,-

                (a)    "Act" means the Sales Tax Act, 1990;

                (b)    "APTMA" means All Pakistan Textile Mills Associations;

                (c)    "Spinning" means the process of manufacture or production of cotton or blended yarns;

                (d)    "spinning unit" means a manufacturing or production unit engaged in spinning; and

                (e)    "spinner" means a person who is engaged in the manufacture and supply of cotton yarns or

                   blended yarns.

        (2)    The words and expressions used, but not defined herein, shall have the meaning assigned to them in the

                Act.

3. Registration.--

        (1)    A spinner shall apply and obtain registration, if not already registered, in accordance with the provisions

                of Chapter-III of the Act:

 

                        Provided that where a spinner conducts taxable activity through distinct or different branches,

                        divisions, storage places, sales depots or manufacturing units located at addresses other than

                        those shown in Part-B of Annex-A of Registration, Voluntary Registration and De-registration Rules,

                        1996, he shall intimate the Collector, who issued registration, the address, nature of taxable

                        activity, phone number and fax number of all such premises of his branches, divisions, storage

                        places, sales depots and manufacturing units and the details, so furnished by the spinner, shall be

                        written by the Collector on the registration certificate and also entered in the computer profile of the

                        spinner:

 

        (2)    In case of registration certificate issued prior to issuance of these rules the spinner shall give the

                intimation specified in sub-rule (1) of rule 3 to the Collector and shall get the same entered on his

                registration certificate by the respective Collector within ten days of the date of commencement of these

                rules.

        The registered spinner shall, in addition to the records prescribed under the Act, maintain the following

        records, namely:-

            (a)    raw material register in the format prescribed in Annex-A;

            (b)    daily production and finished goods register in the format prescribed in Annex-B;

         (1)    The yarns shall be removed from the registered spinning unit---

                 (a)    to the branches, divisions, storage places, sales depots and other manufacturing units of the

                         spinner or amongst the aforesaid of the same registered spinner or to any other person for further

                         processing against a "Transit Note" as prescribed at Annex-C; and 

 

                 (b)    from its branches, divisions, storage places, sales depots or other manufacturing units to any other

                         person against a "Delivery Note" as prescribed at Annex-D.

 

         (2)    The transit Note or the Delivery Note shall be in duplicates duly serially-numbered and in bound books,

                 duly authenticated by an authorized person of APTMA. The movement and disposal of the Transit Note

                 and the Delivery Note shall be as hereunder:-

 

       (1)    the original copy shall accompany the consignment from consignor's premises to consignee's

               premises;

 

                 (2)    the duplicate copy shall form part of the bound book and shall be kept in record;

 

                 (3)    a separate Transit Note or Delivery Note shall be issued in respect of each vehicle or other means

                         of conveyance. If a single vehicle is carrying goods for more than one consignee, separate Notes

                         shall be prepared for each consignee; and

 

                 (4)    the Transit Note and Delivery Note shall be prepared immediately before commencement of loading

                         on the vehicle or the conveyance. 

6. Tax invoice.--

         (1)    The spinner or its branches, divisions, sales depots, storage places shall issue a tax invoice on the

                 supply of taxable goods in accordance with section 23 of the Act.

 

         (2)    The spinner shall give delivery of yarn to the buyer after issue of tax invoice and the tax invoice number

                 and date shall be duly entered on the Delivery Note. 

         The spinner shall file his tax returns on the prescribed forms in the prescribed manner and by the prescribed

         date under the Act.

 

8.      All provisions of the Sales Tax Act, 1990, and the rules made thereunder, in so far as these are not

         inconsistent with these rules shall, mutatis mutandis, apply to the spinners under these rules.

 

9.      The Special Procedure for Spinning Industry Rules, 1999, issued vide Notification No. S.R.O.805(I)/99, dated

        the 1st July, 1999, are hereby repealed.

Name Of Registered Person: __________________    Type Of Material: ___________

Name Of Registered Person: __________________    Type Of Material: ___________

       premises ________________________________________________________________

Serial No. ______________                                                                 Date ________________

4.    Quantity/Weight (net) of the goods ________________________________________

6.    Marks and numbers, if any _________________________________________________