VAT & SD Act 2012
Section 45 - Method of assessing net tax payable on supply and payment thereof
(as updated till Finance Ordinance 2025)
(1) The amount of net tax payable by a taxpayer for any tax period shall be assessed in the following manner, namely:-
(a) by adding together all of the output taxes and supplementary duty payable in such tax period;
(b) by subtracting all the input tax credits entitled to be claimed in such tax period from 1[the summation of assessment] under clause (a);
(c) by adding together all the increasing adjustments of that registered person in such tax period; and
(d) by subtracting all the decreasing adjustments of that registered person in such tax period.
(2) The net tax payable assessed in the process outlined under sub-section (1) shall have to be paid in the prescribed manner by the taxpayer before submission the return for such tax period.
1 The words “the summation of tax assessed” were substituted by section 63 of the Finance Act, 2022 (Act No. 13 of 2022) with effect from 01 July 2022.
Disclaimer: This is the authentic English text of The Value Added Tax and Supplementary Duty Act 2012, as published under SRO No. 440-Law/2025/326-Mushak dated 05 November 2025. In the event of any inconsistency or conflict between the content on this website and the official Government publications or gazette notifications relating to laws, rules, regulations or SROs, the official Government publications and notifications shall prevail.