ISLAMABAD: The Islamabad High Court (IHC) on Wednesday adjourned the hearing of a tax reference filed by M/s Mustehkam Cement Limited, challenging a notice for recovery of Rs 3,396,722,925 issued by the Large Taxpayers Unit (LTU), Islamabad.
A single bench of the IHC comprising Justice Aamer Farooq heard the case and adjourned hearing for third week of November. Through the petition, the company had challenged a re-assessment of the company’s tax payments for the tax year 2010 on April 12, 2016.
Federal Board of Revenue (FBR), officers of LTU including Inland Revenue (IR) commissioner, deputy commissioner and IR-Appeals commissioner were made respondent in the case.
Mustehkam Cement Limited had prayed the court to direct LTU not to recover the said amount and abstain it from any coercive action in this regard. It also asked the court to suspend the operation of the impugned order issued by the tax authority till the decision of appeal pending with the LTU.
The company submitted to 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. It also stated that due legal course was not followed by the department in issuing the order.
The appellant had also mentioned that departmental obligations were not met amid processing the notice of recovery demand while later the adjudication did not addressed grievances of the appellant too.
