What is Punjab Revenue Authority?

The Punjab Revenue Authority lawfully manages the Sales Tax on Services in Punjab. Service taxes, which are indirect, apply to services listed in Schedule II as "taxable service." The provider of the taxable service must pay the service tax to the Punjab Revenue Authority.

Sales Tax Registration with the Punjab Revenue Authority can be done electronically or manually. Proprietors, firms, or companies already registered with the Federal Board of Revenue do not need to register with the Punjab Revenue Authority.

How to Register with Punjab Revenue Authority (PRA)?

All service providers must register with the Punjab Revenue Authority (PRA). No exemptions apply under the Punjab Sales Tax on Services Act, 2012, though rates vary by service.

Services refer to commercial activities other than supplying goods. They typically include hotels, clubs, catering, advertisements on TV and radio (including cable), telecommunications, insurance, re-insurance, banking, non-banking financial institutions, stock brokers, shipping agents, courier services, and construction. The Second Schedule elaborates on all services covered by this act. 

The Followings are two ways of PRA Registration;

1. Voluntarily PRA Registration
2. Compulsory PRA Registration

PRA E-enrollment Process when Taxpayer already has Login ID of E-FBR Portal

PRA Registration Procedure

Step-1 PST-01 Application Form | Application for PRA Registration on form PST-01 can be filed manually or electronically in PRA.

Step-2 Verification of information and Documents | Verification of information and documents for PRA Registration accuracy.

Step-3 Registration Certificate issued | If verification is successful, the Punjab Revenue Authority issues the PRA Registration Certificate to the applicant.

Step-4 In the case of PRA Registration Application Rejection | If rejected, the Authority will inform the reason within 30 days of the PRA Registration application filing.

Compulsory PRA Registration

If the Punjab Revenue Authority (PRA) finds that a person should be registered but hasn't, they will notify the person 15 days in advance and issue a number. Every person has the right to a hearing, and no one is registered without prior notice.

List of Documents required for PRA Registration

Here are the documents required for registration with the Punjab Revenue Authority based on taxpayer status.

Documents Required for PRA Registration of Business Individual 

1. PST 01 Form
2. Copy of NTN
3. Copy of CNIC
4. Mobile Number and Email Address
5. Paid Electricity Bill
6. Tenancy Agreement along with owner CNIC or Ownership Documents of Business Premises
7. Bank Maintenance Certificate

Documents Required in case of PRA Registration of Partnership Firm 

1. PST 01 Form
2. Copy of Firm NTN
3. CNIC copy of Partners
4. Mobile Number and Email Address
5. Form C
6. Partnership Deed
7. Paid Electricity Bill
8. Tenancy Agreement along with owner CNIC or Ownership Documents of Business Premises
9. Bank Maintenance Certificate

Documents Required in case of PRA Registration of Company

1. PST 01 Form
2. Copy of Company NTN
3. CNIC copy of Partners
4. Mobile Number and Email Address
5. Form II
6. Incorporation Certificate
7. MOA and AOA
8. Paid Electricity Bill
9. Tenancy Agreement along with owner CNIC or Ownership Documents of Business Premises
10. Bank Maintenance Certificate

 

Suspension of PRA Registration

The Punjab Revenue Authority may suspend or deactivate a person's registration if it determines the person was not entitled to register with the PRA or has failed to meet legal obligations under the Punjab Sales Tax on Services Act and Rules.

De Registration from Punjab Revenue Authority

The Punjab Revenue Authority may de-register anyone not engaged in services and not required to register under this Act. If a registered person disagrees with section 25 of the Punjab Sales Tax on Services Act 2012, they may apply for de-registration. The Authority must resolve this application within three months or an extended period of sixty days.

The Punjab Sales Tax on Services Act 2012 and its rules differ from the Federal Board of Revenue's. The FBR handles federal taxes, while the PRA manages provincial taxes. Registered persons must file a separate return for services under the Punjab Revenue Authority.

Filing of Sales Tax Return with Punjab Revenue Authority

Sales Tax Return on services is a form filed with PRA before the 15th of each month to report the Sales Tax due. If registered in Sales Tax, you won’t file a Return. Late filers face a penalty of Rupees five thousand.

The Sales Tax Return indicates the number of services provided, the tax deducted during the month, and the balance payable to PRA. If there is a balance payable, a challan is prepared, and the amount is submitted at any designated branch of the National Bank of Pakistan or via Online ADC payment.

Active Taxpayer List Punjab Revenue Authority (PRA)

This is a PRA record of monthly online Sales Tax Return filers. The PRA system monitors taxpayers' Sales Tax Return filings. If a taxpayer hasn't filed for the last two months or more, they become inactive in the Punjab Revenue Authority's records. To remain active, taxpayers must update their Sales Tax Returns. Check your Active Taxpayer status using the following links. *(Active Taxpayer List PRA)

Taxpayer Online Verification in Punjab Revenue Authority

To verify a taxpayer in the Punjab Revenue Authority, click the following link for the required information. (Taxpayer Online Verification)

• PNTN: XXXXXXX-X
• CNIC: XXXXXXXXXXXXX
• Passport No. as mention on the Passport
• Reg/ Inc. No As Provided by Firm Registrar or SECP, if any

A person registered under this Act must maintain all records of services during the tax period.

According to the Punjab Sales Tax Act on Services 2012, records of taxable service indicate the following; 

1. Description and nature of service; 
2. Service provided during the Tax Period; 
3. The details of the person to whom the service was given; and 
4. Records of exempted service; if any 
5. 5. Any other important information as specified by the PRA;

Becoming a Sales Tax registered person with PRA helps you understand your business turnover. If you're unsure about registration or the best Sales Tax category, MAS Law Firm can assist, making taxes easy. We offer full Sales Tax services to ensure accurate collections and payments to the PRA.

• We offer top services to businesses and individuals registering for Sales Tax, helping them avoid risks and penalties, and assisting new businesses with optimal setup and tax rates.
• Sales Tax Registration Services PRA and FBR
• De-registration services with PRA and FBR.
• What Type of Sales Tax is the most suitable and gives the best results for you?
• Negotiating disputes with the Punjab Revenue Authority and representing you at Sales Tax Tribunals.
• Services with Sales Tax Returns
• General advice and assistance on all Sales Tax matters
• Conduct regular checks and financial planning to identify cost-saving opportunities.
• Invoice Preparation Assistance.
• Annual Filing Assistance