Back to Questions
Punjab Sales Tax on Services Act, 2012 QUESTION #2581
Question 1
Under section 14(2), who may be required to withhold full or part of tax charged on taxable services — a power that extends even to unregistered persons?
  • Only registered persons with annual turnover exceeding the threshold
  • Any person or class of persons WHETHER REGISTERED OR NOT, as notified by the Authority✔️
  • Only persons who are themselves service providers
  • Only banks and financial institutions
Correct Answer Explanation
Section 14(2) explicitly states that the Authority may require ANY PERSON OR CLASS OF PERSONS WHETHER REGISTERED OR NOT for the purpose of this Act to withhold full or part of the tax charged, and deposit it with the Government in the prescribed manner.