ISLAMABAD: A single bench of the Islamabad High Court (IHC) on Tuesday disposed of a case filed against Appellate Tribunal Inland Revenue (ATIR) and officers of the Federal Board of Revenue (FBR).
The bench, comprising Justice Miangul Hassan Aurangzeb, heard the arguments in the case filed by M/s Sky Petroleum and Allied Services (Private) Limited.
The IHC bench disposed of the case with directions to the Regional Tax Office (field office of FBR) to hear and decide the departmental application within 60 days.
The appellant had challenged a decision of RTO’s Inland Revenue (IR) Appeals commissioner for maintaining RTO’s show cause notice issued on June 30, 2013.
The RTO had created a demand of Rs 1.331 million under the head of income tax against fiscal year 2013 under section 122(1) of Income Tax Ordinance, 2001.
Later, the appellant challenged RTO’s commissioner appeals decision before the ATIR, which granted a stay of 180 days on the matter; however, the RTO did not withdraw its show cause notice despite filing appeals by Sky Petroleum and Allied Services Private Limited.
As a result, Sky Petroleum and Allied Services Private Limited approached the IHC for suspension of show cause notice as well as demanding a halt for recovery of said amount as the stay granted by ATIR.
The court heard the case and directed the RTO to decide pending application of the appellant in a lawful manner. The court also restrained the RTO to make any coercive move regarding recovery of said amount.