Are you no longer required to be registered under the Balochistan Revenue Authority’s (BRA) Sales Tax on Services (BSTS) Act? Whether your business circumstances have changed, you’ve transitioned to another tax regime, or simply no longer meet the registration criteria, de-registration from BRA’s Sales Tax on Services can be a smooth process with the right knowledge. This article explores the provisions outlined in Section 29 of the Act and guides you through the steps involved in de-registering effectively.
De-registration signifies the permanent removal of your registration with the BRA for Sales Tax on Services. This means you’ll no longer be obligated to:
- File Sales Tax on Services returns.
- Pay Sales Tax on Services.
- Issue tax invoices.
- Maintain records related to taxable services.
Who can De-register?
There are two ways to de-register:
- Authority-Initiated: The BRA may de-register a class of taxpayers deemed no longer required under the Act or an individual taxpayer found ineligible for registration.
- Taxpayer-Initiated: You can apply for de-registration if you believe you no longer meet the registration criteria and have fulfilled all your tax obligations under the Act.
The De-registration Process:
- Identify your eligibility: Carefully review Section 25 of the BSTS Act to ensure you no longer meet the registration criteria.
- Gather documentation: Prepare documents supporting your eligibility for de-registration, such as financial statements or proof of business closure.
- Submit an application: Download and complete the BRA De-registration Form (BSTS-02) from the BRA website. Attach the required documentation and submit it electronically or at a designated BRA office.
- Authority review: The BRA will assess your application and supporting documents. This process can take up to three months, with a possible 60-day extension for further verification.
- Decision and notification: You’ll receive an official notification regarding the de-registration decision. If approved, your registration will be removed from the BRA system.
Important Points to Remember:
- De-registration doesn’t absolve you of outstanding taxes or penalties incurred before the application date.
- You must settle all tax liabilities before de-registration is finalized.
- Maintain your business records for at least three years after de-registration in case of audits or inquiries.
- Consult a tax advisor for personalized guidance and assistance, especially if your situation is complex.