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Sales Tax Registration & Filing for IT in Sindh
| Step | Action | Portal | Reference |
|---|---|---|---|
| 1 | Visit eSRB portal and create account | e.srb.gos.pk | |
| 2 | Fill registration form (business details, CNIC, services) | e.srb.gos.pk | |
| 3 | Upload required documents (CNIC, NTN, business registration) | e.srb.gos.pk | |
| 4 | Receive SRB registration number upon approval | e.srb.gos.pk | |
| 5 | File monthly sales tax return (due: 18th of following month) | e.srb.gos.pk | |
| 6 | Make tax payment via designated bank or online channels | e.srb.gos.pk | |
| 7 | Verify ATL (Active Taxpayer List) status | srb.gos.pk | |
| 8 | File complaints or track existing complaints if needed | srb.gos.pk |
| Service | Tariff Heading | CPC Code | SST Rate | Notes | Reference |
|---|---|---|---|---|---|
| IT Software/System Dev Consultants | 9815.6000 | CPC 7331, 8313, 8314, 8315, 8316, 843 | 15% (standard) / 3% concessional | Default 15%. 3% concessional under sub-rule (1A) if CPC matches SRB-3-4/45/2025. No Form S needed. No ITC on concessional. | |
| Franchise Services | - | CPC 7331 | 15% | Standard rate. Franchise classification per SRB-3-4/45/2025 | |
| IT Infrastructure/Network | - | CPC 8313 | 15% (standard) / 3% concessional | Under IT software/system dev consultants if eligible | |
| Software Development | - | CPC 8314 | 15% (standard) / 3% concessional | Under IT software/system dev consultants if eligible | |
| IT System Analysis/Design | - | CPC 8315 | 15% (standard) / 3% concessional | Under IT software/system dev consultants if eligible | — |
| IT Support/Consulting | - | CPC 8316 | 15% (standard) / 3% concessional | Under IT software/system dev consultants if eligible | — |
| Content Streaming/Media | - | CPC 843 | 15% (standard) / 3% concessional | Under IT software/system dev consultants if eligible | — |
| Advertisement Services | - | CPC 8363 | 15% | Through collection agent | — |
| Market Research | - | CPC 83700 | 15% | Through collection agent | — |
| Call Centers/BPO | 9835.0000 | - | 15% (standard) / 3% concessional | Form L election required for 3% concessional rate. No ITC. | — |
The Sindh Revenue Board (SRB) administers the Sindh Sales Tax on Services Act, 2011. IT companies providing services consumed/rendered in Sindh must register with SRB and comply with filing requirements.
| Service Category | CPC Code | Rate (Sindh) | Sub-rule (1A) | Notes |
|---|---|---|---|---|
| Software/IT dev (PSEB export) | 7331, 8313, 8314, 8315, 8316 | 0% (Sindh) | — | Zero-rated with PSEB registration per SRO 981(I)/2015 |
| IT software/system dev consultants (domestic) | 7331, 8313, 8314, 8315, 8316, 843 | 3% (Sindh) | Auto | Deemed exercised per SRB-3-4/45/2025; no ITC |
| IT consulting (domestic) | 8313 | 3% (Sindh) | Auto | No Form S required |
| Web/app development (domestic) | 8314 | 3% (Sindh) | Auto | Incl. custom software, web dev |
| Hosting / cloud (domestic) | 8315 | 3% (Sindh) | Auto | Excl. CPC 83159 collocation |
| Software licensing (domestic) | 7331 | 3% (Sindh) | Auto | SaaS, database licensing |
| Collocation / Datacenter | 83159 | 19.3% (Concessional) | — | Higher rate under Second Schedule Part-I |
| BPO / Call Centres | — (Tariff 9835.0000) | 3% (Sindh) | — | Notification-based concession |
| Advertisement services | 8363 | 15% (Sindh) | — | Standard rate |
| Market research | 83700 | 15% (Sindh) | — | Standard rate |
| Telecommunication services | — | 19.3% (Concessional) | — | Internet, mobile, fixed-line |
| General services (default) | — | 15% (Sindh) | — | Standard rate per Sindh Sales Tax on Services Act 2011 §4 |
Per SRB-3-4/28/2025 and SRB-3-4/45/2025, CPC Version 2.1 codes now supplement/replace tariff headings for service classification across all SRB rules:
| CPC Code | Description | Key Sub-codes | Rate (Sindh) | Sub-rule (1A) |
|---|---|---|---|---|
| 7331 | Licensing services for right to use computer software & databases | 73311 — Software licensing 73312 — Database licensing | 3% (Sindh) | Yes |
| 8313 | IT consulting and support services | 83131 — IT consulting (integration, security, procurement advice) 83132 — IT support services | 3% (Sindh) | Yes |
| 8314 | IT design and development services | 83141 — App/web design & dev 83142 — Network & systems design 83143 — Software originals | 3% (Sindh) | Yes |
| 8315 | Hosting and IT infrastructure provisioning | 83151 — Website hosting 83152 — App service provisioning 83159 — Other hosting (collocation = 19.5%) | 3% (Sindh) | Yes |
| 8316 | IT infrastructure and network management | 83161 — Network management 83162 — Computer systems management | 3% (Sindh) | Yes |
| 843 | Online content / Internet telecom services | 8431 — Online text (books, news) 8432 — Online audio (streaming) 8433 — Online video 8439 — Other content | 3% (Sindh) | Yes |
| 8363 | Advertising space/time services | 83631 — Print media 83632 — TV/radio 83633 — Internet advertising 83639 — Other | 15% (Sindh) | No |
| 83700 | Market research and public opinion polling | Market analysis, consumer studies, surveys | 15% (Sindh) | No |
| Your Situation | Recommended Rate (Sindh) | Why |
|---|---|---|
| PSEB + exporting IT services | 0% (Sindh) | Zero-rated + ITC refund on inputs. Best option. |
| Domestic IT, low input costs | 3% (Sindh) — auto | Lowest tax. No ITC, but acceptable if inputs are small. |
| Domestic IT, high input costs (rent, utilities with SST) | 3% (Concessional) | ITC may offset the higher rate. Consult tax advisor. |
| Collocation / datacenter | 19.3% (Concessional) + ITC | Mandatory rate under Second Schedule Part-I. |
Per SRB-3-4/45/2025, the Table in Rule 3(1) now includes CPC code column:
| S.No | Tariff Heading (as on 30 June 2026) | Service Description | CPC Code | Rate (Sindh) |
|---|---|---|---|---|
| 1 | 9802.1000–9802.9000 | Advertisement services via collection agent to non-resident | 8363 | 15% (Sindh) |
| 2 | 9815.6000 | Software/IT system dev consultants incl. cloud content streaming via collection agent to non-resident | 7331, 8313, 8314, 8315, 8316, 843 | 3% (Sindh) |
| 3 | 9818.3000 | Market research via collection agent to non-resident | 83700 | 15% (Sindh) |
| Notification | Description | Key CPC Mappings |
|---|---|---|
| SRB-3-4/28/2025 | CPC Version 2.1 classification — master reference | All CPC codes |
| SRB-3-4/45/2025 | Special Procedure Rules 2023 — CPC codes + sub-rule (1A) | 7331, 8313–8316, 843, 8363, 83700 |
| SRB-3-4/44/2025 | Online Integration of Business Rules — CPC for E-IMS | 63310, 63320, 63399, 63400 |
| SRB-3-4/42/2025 | Withholding Rules — CPC replacing tariff headings | 8363, 7211, 612, 62 |
| SRB-3-4/41/2025 | Collection Agent Rules — CPC for specified services | Various |
| SRB Working Tariff 2025 | Full working tariff with CPC code mapping | All |
Monthly returns are due by the 18th of the following month. File online through the eSRB portal. Tax payment can be made via designated banks or online channels.
| Violation | Penalty |
|---|---|
| Non-registration | Fine up to Rs. 37,000 (per §33 Sindh SST Act 2011) + back taxes + interest |
| Late filing | Rs.500 per day of default |
| Non-payment of tax | Tax amount + default surcharge (KIBOR + 3% (Federal)) (as of April 2026) |
| Failure to issue invoice | Fine up to Rs.10,000 (per §33 Sindh SST Act 2011) |
| False/fraudulent return | Up to 2 years imprisonment + 100% of evaded tax |
| Office | Location |
|---|---|
| Head Office | 3rd Floor, Shaheen Complex, M. R. Kiyani Road, Karachi |
| Hyderabad Regional Office | Hyderabad |
| Sukkur Regional Office | Sukkur |
| Larkana Regional Office | Larkana |
| Mirpurkhas Regional Office | Mirpurkhas |
| Shaheed Benazirabad Regional Office | Shaheed Benazirabad |
| Authority | Province | Website | Standard Rate |
|---|---|---|---|
| SRB | Sindh | srb.gos.pk | 15% (Sindh) |
| PRA | Punjab | PRA — PSTS Act 2012 | 0% (Zero-Rated) |
| KPRA | KP | kpra.kp.gov.pk | 5% (Digital) / 2% (BPO) |
| Bal-RA | Balochistan | bra.gob.pk | 15% (Balochistan) |
Key Takeaway: Sindh's 15% (Sindh) standard rate and 3% (Sindh) concessional IT rate (auto per sub-rule 1A) with 6% employer (Sindh SESSI)-only social security make it the most attractive province for domestic IT companies. PSEB exporters pay 0% everywhere. The province where services are provided FROM (origin) determines jurisdiction, not where the client is located.