Difference between Zero Rated Vs Exempt Supplies | FBR | Exempt Supply | Zero Rated Supply

Definitions:-
ZERO RATED:
“Zero rated supply” means a taxable supply which is chargeable to sales tax at 0%.
EXEMPT SUPPLY:
“Exempt Supply” means a supply which is not chargeable to sales tax.
Registration:-
ZERO RATED:
Sales tax registration is required where a person wants to claim refund.
EXEMPT SUPPLY:
Sales tax registration is not required where a person is engaged exclusively in exempt supplies.
Goods:-
ZERO RATED:
Goods exported or listed in 5th schedule.
EXEMPT SUPPLY:
Goods specified by FBR through notifications and goods listed in 6th Schedule.
Invoice:-
ZERO RATED:
Raise Tax Invoice but Sales Tax will be charged at 0%.
EXEMPT SUPPLY:
No Sales tax Invoice is required.
Input Tax Credit:-
ZERO RATED:
Input tax on zero rated supplies is refundable from FBR.
EXEMPT SUPPLY:
Input tax on exempt supplies is not refundable nor adjustable.
sales tax lectures pakistan
sales tax
sales tax act 1990 pakistan
sales tax in pakistan
sales tax invoice pakistan
difference between exempt supply and zero rated supply
#Zeroratedsupplies #exemptsupplies #FBR
Feel Free to reach me via
WhatsApp: [phone]
Email: [e-mail]
Web: www.neafsolutions.com
Facebook Page NE Accounting & Financial Solutions