Manufacturers of eight types of goods and two types of service providers will now be required to submit online VAT returns through the National Board of Revenue’s (NBR) e-VAT portal. The new directive will take effect immediately.

NBR’s VAT wing imposed the requirement through a general order issued on September 20, introducing it for suppliers of specified goods and services under the Value Added Tax and Supplementary Duty Act, 2012 and the Value Added Tax and Supplementary Duty Rules, 2016.

According to the NBR order, manufacturers of eight types of goods at the production stage — cigarettes, mobile phones, MS products, medicines, beverages, cement, tiles, and paints and varnishes — will have to submit their returns online. The requirement will also apply to service providers in the insurance sector and providers of banking, non-bank financial and mobile banking services.

The order states that the requirement will also apply to a registered person if, in addition to the specified goods or services, they are engaged in supplying any other goods or services. Any previous NBR orders making online return submission mandatory will be deemed cancelled following the issuance of the new order. But the NBR has reserved the authority to amend, add to or remove items from the list of specified goods and services as necessary.

The NBR said the order would take effect immediately. It has instructed the relevant VAT commissionerates, the VAT Audit, Intelligence and Investigation Directorate and other concerned offices to take the necessary measures to implement the order.