Sindh exempts tax on services provided to relieve floods

KARACHI: The Sindh government has authorized full sales tax on services provided or rendered for flood relief operations.

In this regard, Sindh Revenue Board (SRB) has issued a notification dated September 13, 2022 stating that the Sindh Government exempts the entire sales tax payable on taxable services certified by the National Managing Authority Disasters (NDMA) or the province. Disaster Management Authority (PDMA), Sindh, for flood relief operations in Sindh province.

READ MORE: SBP Allows Flood Relief Donations Through Home Money Transfer Channel

The province has allowed exemption from sales tax on the following services:

01. Services provided or rendered by restaurants for free distribution as a gift or charity.

02. Services provided or rendered by caterers, food and drink suppliers for free distribution as a donation or charity.

READ MORE: FBR Leads Fast Clearance of Flood Relief Goods

03. Advertisements for charities and donations in Prime Minister’s Relief Fund or Sindh Chief Minister’s Relief Fund.

04. Rental of machinery, equipment, devices and other tangible assets acquired and used for rehabilitation and reconstruction.

READ MORE: USC to distribute ration bags worth Rs 540m to flood victims

05. Labor supply and labor supply services provided under flood relief operations.

06. Services provided or rendered by persons engaged in intercity transport or road transport of flood relief goods.

The SRB said the notification, if not canceled sooner, will be canceled effective January 1, 2023.

READ MORE: Pakistani fintech allows individuals to donate to flood victims

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