KARACHI: The Sindh High Court (SHC) has issued notices to the Customs Department and deputy attorney general on a constitutional petition filed by M/s Omega Industries (Private) Limited, seeking restoration of its sales tax registration suspended by the customs authorities.
While the hearing of the petition, a two-member bench, headed by justice Munib Akhtar, also directing them to file their respective para wise comments on the next date of hearing.
Earlier, counsel for the petitioner stated that petitioner is served with a show cause notice on March 6, 2018 of the Sales Tax Act, 1990 read with rule 12 (a) (1) (g) of sales tax act, rule 2006 on the back ground that petitioner at the time of processing of their case at Directorate General of Intelligence and Investigation-IR, Karachi, had agreed to pay recoverable amount and subsequently made payment of Rs 10 Million along with 5 post-dated cheques for Rs 5 million.
The counsel argued that respondents took action against the petitioner and suspended sales tax registration without fulfilling the legal requirement, therefore, action of the respondents is illegal and no legal effect.
Citing Chairman Federal Board of Revenue, the Commissioner Inland Revenue Zone-III large Tax Payers as respondents, he pleaded the court to declare that act of the respondents as illegal, mala fide and arbitrary.
He also pleaded the court may direct them to restore its sales tax registration and restrain them from taking any coercive action against the petitioner till final order in this petition.
