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Advance tax from provincial sales tax registered person
(1) Every provincial sales tax registered person shall be liable to pay adjustable advance tax at the rate of three per cent of the turnover declared before the provincial revenue authority.
(2) The advance tax under sub-section (1) shall be paid monthly at the time when sales tax return is to be filed with the provincial revenue authority.
(3) Advance tax paid under this section may be taken into account while working out advance tax payable under section 147.
(4) The provisions of this Ordinance shall apply to any advance tax due under this section as if the amount due were tax due under an assessment order.
(5) A taxpayer who has paid advance tax under this section for a tax year shall be allowed a tax credit for that tax in computing the tax due by the taxpayer on the taxable income of the taxpayer for that year.
(6) A tax credit allowed for advance tax paid under this section shall be applied in accordance with sub-section (3) of section 4.
(7) A tax credit or part of a tax credit allowed under this section for a tax year that is not able to be credited under sub-section (3) of section 4 for the year shall be refunded to the taxpayer in accordance with section 170.
(8) This section shall not apply to a person whose name was appearing in the active taxpayers’ list on the thirtieth day of June of the previous tax year. Division II Advance Tax Paid to a Collection Agent
(2) The advance tax under sub-section (1) shall be paid monthly at the time when sales tax return is to be filed with the provincial revenue authority.
(3) Advance tax paid under this section may be taken into account while working out advance tax payable under section 147.
(4) The provisions of this Ordinance shall apply to any advance tax due under this section as if the amount due were tax due under an assessment order.
(5) A taxpayer who has paid advance tax under this section for a tax year shall be allowed a tax credit for that tax in computing the tax due by the taxpayer on the taxable income of the taxpayer for that year.
(6) A tax credit allowed for advance tax paid under this section shall be applied in accordance with sub-section (3) of section 4.
(7) A tax credit or part of a tax credit allowed under this section for a tax year that is not able to be credited under sub-section (3) of section 4 for the year shall be refunded to the taxpayer in accordance with section 170.
(8) This section shall not apply to a person whose name was appearing in the active taxpayers’ list on the thirtieth day of June of the previous tax year. Division II Advance Tax Paid to a Collection Agent
Amendment history (7)
- New sub-section (7A) inserted through Finance Act, 2020 dated 30 June, 2020
- Sub-section (11) omitted by the Finance Act, 2004. The omitted sub-section (11)
- Inserted by the Finance Act, 2016.
- Words “who was filer” substituted from Finance Act, 2019
- The expression inserted through Finance Act, 2020 dated 30 June, 2020
- The “full stop” substituted by “colon” and thereafter proviso added through Finance Act, 2020 dated
- Full stop substituted and a new proviso inserted by the Finance Act, 2025.
Amendment notes captured from the source page(s); they may include changes to neighbouring provisions.
Source FBR PDF page 309
Unofficial reference, compiled from the FBR’s consolidated Income Tax Ordinance 2001 (amended up to 30 June 2026). Provided for general information only — not an official FBR publication and not legal or tax advice. Always verify against the official FBR text before relying on it for filing or any decision.