ISLAMABAD: The Islamabad High Court (IHC) adjourned hearing of a couple of important tax matters filed against the Federal Board of Revenue (FBR) during third week of December.
A division bench of the IHC comprising Justice Athar Minallah and Justice Miangul Hassan Aurangzeb and a single bench comprising Justice Aamer Farooq heard the cases.
The division heard the matter challenging a recovery notice of Rs 457.21 million under the head of income tax.
Through both the references, M/s WiTribe Pakistan had named chief commissioner Inland Revenue, LTU, assistant commissioner Inland Revenue Withholding, LTU, commissioner Inland Revenue (Appeals), LTU, and Federal of Pakistan through the chairman of Federal Board of Revenue (FBR) as respondent in the case.
M/s WiTribe Pakistan Limited had challenged show-cause notices issued during month of August for the tax year 2015 in head of income tax under sections of Income Tax Ordinance, 2001.
IHC bench comprising Justice Aamer Farooq heard the cases filed by M/s Huawai Technologies (Private) Limited and M/s Wateen Telecom Limited and M/s Pak Telecom Mobile Limited. M/s Pak Telecom Mobile Limited had filed against the FBR field office, Large Taxpayers’ Unit, Islamabad.
During last hearing, the bench had directed the field office of the FBR to submit a reply before the court regarding issuance of the recovery notice to the appellant.
M/s Pak Telecom Mobile Limited had filed the case, challenging a show cause notice issued by the Large Taxpayers Unit, Islamabad. The company had also filed a reference against Appellate Tribunal Inland Revenue (ATIR) and had challenged it announcement before the court. The officers of the Large Taxpayers Unit were also made respondents in the case.
The appellant had submitted that ATIR had maintained decision of the LTU adjudication in ignorance of law and the appellant’s submissions were not addressed completely, challenging recovery of outstanding tax amount.
ATIR, Federal Board of Revenue (FBR), officers of LTU including Commissioner Inland Revenue, and others were made respondent in the case. M/s Pak Telecom Mobile Limited had prayed the court to direct the LTU not to recover the said amount and abstain from any coercive action against it. The petitioner also sought suspension of the notice until the decision of the appeal pending before the field office of the FBR.
M/s Pak Telecom Mobile Limited submitted before the court that the impugned order was issued under mala fide intention 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.
