Sales Tax Registration Services

Are you a business owner operating in Pakistan? Do you know if your business is required to register for sales tax? If not, you may be at risk of facing legal penalties and financial liabilities.
At Macrame Consultants, we provide comprehensive Sales Tax Registration services to help you avoid any potential legal consequences and simplify the process of registering for sales tax in Pakistan.


Who is required to register for sales tax in Pakistan?

Every person engaged in making taxable supplies in Pakistan is required to be registered under the Sales Tax Act of 1990.
The following categories of persons are required to be registered under the Act if not already registered:

  1. Manufacturers who are not running a cottage industry.
  2. Retailers liable to pay sales tax under the Act or rules made thereunder, excluding such retailers required to pay sales tax through their electricity bill under sub-section (9) of section 3.
  3. Importers.
  4. Exporters who intend to obtain sales tax refunds against their zero-rated supplies.
  5. Wholesalers, dealers, or distributors.
  6. Persons who are required, under any other Federal law or Provincial law, to be registered for any duty or tax collected or paid as if it were a levy of sales tax to be collected under the Act.

Sales Tax Registration in Pakistan

A sales tax is a tax imposed by the government on the sale of goods and services. In Pakistan, sales tax is regulated under the Sales Tax Act 1990. Under this act, the federal government has the authority to impose sales tax on certain goods and services at various stages of their production and distribution.

There are two types of sales tax in Pakistan:

Federal Sales Tax – This is imposed by the federal government on the production and sale of goods across the country and services in ICT.

Provincial Sales Tax – This is imposed by the provincial governments on the services provided within their respective provinces.

Benefits of Sales Tax Registration in Pakistan.

As a business owner in Pakistan, you may wonder whether it’s worth registering for sales tax. After all, there are many administrative tasks to manage, and it may seem like an unnecessary burden. However, several benefits to sales tax registration make it a worthwhile investment for your business.


There are several benefits of Sales Tax Registration in Pakistan, including:

  • Improved Compliance with the Law:
    One of the most important benefits of sales tax registration is ensuring compliance with the law. As per the Sales Tax Act, 1990, every business engaged in taxable supplies in Pakistan is required to get registered for sales tax. By getting registered, you avoid the risk of penalties, fines, and legal action for non-compliance with the law.
  • Increased Credibility and Trust:
    Getting registered for sales tax can also improve your business’s credibility and trustworthiness in the eyes of your customers, suppliers, and partners. When you’ve registered for sales tax, it shows that you’re a legitimate and law-abiding business. This can help build trust with your stakeholders and give you a competitive advantage in the market.
  • Access to Input Tax Credit:
    Another significant benefit of sales tax registration is that it allows you to claim input tax credit. When you purchase goods and services for your business, you pay sales tax on those purchases. With sales tax registration, you can claim a credit for the sales tax paid on those purchases against the sales tax you collect from your customers. This can help reduce your overall tax liability and improve your cash flow.
  • Sales Tax Refunds:
    Registered businesses are eligible to claim refunds on sales tax paid on inputs used in the production of goods or services. This can result in significant cost savings for businesses, particularly those operating in industries with high input costs.
  • Supplier Requirement:
    Registered businesses are required to obtain sales tax registration numbers (STRNs) from their suppliers to claim input tax deductions. This incentivizes suppliers to also register for sales tax, thereby promoting compliance and accountability throughout the supply chain.
  • Customer Requirement:
    Registered businesses are required to charge sales tax on taxable supplies made to customers. This ensures that businesses are able to recover the sales tax paid on inputs used in the production of goods or services. Additionally, customers who are registered for sales tax can claim input tax deductions, which can result in cost savings for them.
  • Expansion Opportunities:
    Being registered for sales tax can also open up new business expansion opportunities. For example, if you’re registered for sales tax, you can sell your products and services to other registered businesses. This can help you tap into new markets and increase your customer base. Additionally, sales tax registration is often a requirement for participating in government tenders, which can be a lucrative source of business.

Registration Process

The process of sales tax registration in Pakistan can be complex and time-consuming, but our expert team can simplify it for you.


Documents required for Sales Tax registrations

To register for sales tax in Pakistan, certain documents are required. These documents serve as proof of the business’s existence and its eligibility to register for sales tax. Here is a list of the documents required for sales tax registration in Pakistan:

  • Form STR-1 application on the computerized system

  • Bank account certificate issued by the bank in the name of the business

  • Registration or consumer number with the gas and electricity supplier

  • Particulars of all branches in case of multiple branches at various locations

  • GPS-tagged photographs of the business premises

  • GPS-tagged photographs of machinery and industrial electricity or gas meter installed (for manufacturers)

  • Goods Description (GD) of the machinery imported.

  • Applicants must specify the Regional Tax Office (RTO) in whose jurisdiction the registration is sought.

  • Applicants with NTN or income tax registration must upload the above documents using their login credentials.

  • After registration, the applicant or authorized person must visit an e-Sahulat Centre of NADRA within a month for biometric verification.

Why Choose Macrame Cosultantants?

Looking to register for sales tax in Pakistan? Look no further than Macrame Consultants. Our team of experienced professionals specializes in providing efficient and hassle-free solutions for businesses seeking to register for sales tax.

Why should you choose Macrame Consultants for your sales tax registration needs?

  • Expertise:
    Our team of sales tax experts has years of experience in assisting businesses with their sales tax registration needs. We are well-versed in the requirements and procedures for sales tax registration in Pakistan, and we ensure that your registration process is completed smoothly and efficiently.
  • Time-Saving:
    At Macrame Consultants, we understand the value of your time. That’s why we strive to complete the registration process as quickly as possible, allowing you to focus on your business operations.
  • Cost-Effective:
    We believe in offering our clients the best value for their money. Our services are competitively priced to ensure that you receive cost-effective solutions for your sales tax registration needs.
  • Hassle-Free:
    Don’t waste time and energy dealing with paperwork, documentation, and follow-up required for sales tax registration. Our team takes care of all the administrative work for you, providing you with a hassle-free experience.

Contact Macrame Consultants today to learn more about our sales tax registration services and how we can help simplify the registration process for your business.

Get a Free Consultation!

We would love to hear from you and help you with your Sales Tax Registration.

For any kind of quiries, Please call

+92 0516102627
+92 3022522555
+92 3033933999

Office: 302 Building: 123
Civic Center Bahria Town
Rawalpindi, Pakistan.