KARACHI: The Customs authorities informed the Sindh High Court (SHC) that M/S Apple Paper Production (Private) Limited has been involved in evading a huge amount of sales tax and legal proceedings have been initiated in accordance with law.
A two-member bench, headed by Justice Aqeel Ahmed Abbasi, was hearing the constitutional petition filed by M/S Apple Paper Production. During the hearing, the court restrained the respondents from taking any coercive action against the petitioner pursuant to impugn proceedings till next date of hearing. During the hearing, counsel for the respondents filed para-wise comments which were taken on record.
In a reply tax department stated that petitioner approached the court with unclean hands and mala fide intent, it has been evading huge amount of sales tax for which legal proceedings have been initiated in accordance with law, petitioner mislead the court and obtained stay order, so that the petitioner can continue with tis illegal acts and keep on evading sales tax such the petition is liable to be dismissed.
Earlier, counsel for the petitioner stated that petitioner is doing lawful business and fulfilling the all requirements, petitioner import and manufacturing and supply of goods having description paper and paperboard, however, officials of the respondents issued notice to the petitioner dated 04/11/2016 for physical verification of manufacturing feasibility, production, capacity, machinery installed etc of the petitioner by its nominated officer.
According to the petitioner, dated November 10, 2016 officials of the tax department without issuing any severing notice suspended its sales tax registration illegally.
Citing Chairman Federal Board of Revenue (FBR), Commissioner Inland Revenue Zone-II Corporate Regional Tax Office and Deputy Commissioner Inland Revenue intellegince, Investigation & Prosecution Zone-II Corporate Regional Tax Office as respondents, petitioner pleaded the court may set aside impugned notice, restore its sales tax registration no and restrain them from taking any coercive action against the petitioner.
