ISLAMABAD: The Federal Board of Revenue (FBR) Wednesday directed power/gas distribution companies to allow concessionary utility tariff to only those manufacturers/ exporters whose names appear on the FBR's Active Taxpayers List (ATL) while issuing monthly electricity/gas bills.

The FBR has also announced that the Board would also grant concessionary rate of sales tax on supply of electricity/gas to 4,084 units of export sectors appearing on the FBR's ATL.

In this regard, the FBR has issued instructions to the chief commissioners of the Large Taxpayer units and Regional Tax Offices (RTOs) here on Wednesday on the decision of the Economic Coordination Committee of the Cabinet.

The FBR stated that refer to the decision of the Economic Coordination Committee (ECC) of the Cabinet in case number ECC-434/59/2020 dated December 2, 2020, and communicate that the FBR has no objection to allowing concessionary rate of sales tax on supply of electricity/gas to 4,084 taxpayers, who are availing zero-rating of sales tax on supply of utilities in terms of rescinded SRO 1125(I)/2011 and their particulars existed in various sales tax general orders (STGOs) issued in this regard, as on June 30, 2019 and are presently appearing on the FBR's ATL.

The Board is further directed to say that the FBR shares monthly ATL list with DISCOs/gas companies every month.

The utility companies may, therefore, be directed to ensure that concessionary utility tariff is accorded to only those manufacturers/taxpayers that appear on the ATL, while generating monthly electricity/gas bills.

This is necessary to safeguard the interest of the national exchequer, the FBR added.

Copyright Business Recorder, 2020