KARACHI: The Sindh High Court (SHC) has issued notices to the tax authorities and deputy attorney general on a constitutional petition filed by M/s Ismail Industries Limited, seeking exemption in respect of withholding tax on import of plant and machinery under SRO 947 of 2008.
During the hearing of the petition, a two-member bench, headed by Justice Muhammad Ali Mazhar, also directed them to file their respective para wise comments on the next date of hearing. The court adjourned the matter for July 6, 2017.
Earlier, counsel for the petitioner stated that commissioner Inland Revenue Zone-IV, Large Taxpayer Unit had passed an order to issue an exemption certificate to the plaintiff in respect of withholding tax on import in respect of plant and machinery being imported by the petitioner under SRO 947 of 2008.
He further informed that however, officials of the customs department issued a notice for recovery of such advance income tax against the subject consignment illegally.
Citing Secretary Revenue Division, Commissioner Inland Revenue Zone-IV, Large Taxpayer Unit, Chief Collector of Customs Karachi and Collector of Customs East as respondents, petitioner pleaded the court to restrain tax department from such demands till final decision of its petition.
