ISLAMABAD: The Islamabad High Court (IHC) on Thursday adjourned the hearing of a tax reference filed by M/s Islamabad Electric Supply Company (Iesco) against the Federal Board of Revenue (FBR).
A single bench of the IHC comprising Justice Aamer Farooq heard the case and adjourned the same for July. The court also asked the counsels to finalize their arguments on post-Eid hearings.
M/s Islamabad Electric Supply Company had filed the case seeking restrictions for Regional Tax Office, Islamabad about recovering outstanding tax amount of Rs551,142,009.
The appellant had challenged an RTO order, dated May 30, 2016 before the IHC after exhausting the departmental platform for appealing disputing orders. The department had issued the order under provisions of Income Tax Ordinance, 2001 for the fiscal year July 2014 to June 2015.
Federal Board of Revenue (FBR), RTO Commissioner Inland Revenue and Assistant Commissioner Inland Revenue were made respondent in the case.
The appellant had prayed the court to directed RTO not to recover the said amount and abstain from any coercive action in this regard.
The appellant submitted before the court that the impugned order was issued under mala fide intentions and had no legal standing or authority and the court may decide on relief which it deemed appropriate in this regard.
The appellant prayed the court that referred order or assessment had been issued with malafide intentions and without legal grounds. It also stated that due legal course was not followed by the department in issuing the order.
Because of departmental lethargy, the company was compelled to file the petition before the IHC in order to seek lawful relief, it stated.
The petitioner had prayed the court operation of the impugned order issued by the tax authority may kindly be suspended till the decision of appeal pending before the RTO.
The appellant also demanded the court to provide relief to the appellant which the court may deem appropriate.
