Circular 20 of 1992

[Information Consultant]

Presumptive tax on exporter Clause 2(1)Please clarify it
"Local Sales of goods not constituting more than 20 % of such production may also be treated as export sales if the assesse opts to pay tax on such sales at the rate applicable to export sale "
Pls confirm me is this circular still valid or not ?
If yes then confirm me following working is correct
Export 100000
Local Sales 18000 ( supplies )
Tax Return we have declared only export sales not local sales bcz it is less then 20 % of export .Is it correct working ?

[Naseem Iqbal]

No your working is not correct,it mean that that you have a opt to pay income Tax at the rate which is applicable for Export sale, instead of normal tax rate,you have to declear local sale and pay tax same as export sale

[Information Consultant]

Thanks

U mean we show our local sale in local sale column despite we avail the facility given in circular 20 1992 and treat our return as normal tax return ?