ISLAMABAD: The Islamabad High Court (IHC) will hear a tax matter filed by M/s Orient Petroleum (Private) Limited on Monday (today). A single bench of the IHC comprising Justice Aamer Farooq will hear the case.
M/s Orient Petroleum had file the petition, challenging tax recovery claim against evasion of Rs 4,945,136,330 and Rs 59,040,530 allegedly under head of sales tax and federal excise duty (FED).
Deputy Commissioner Inland Revenue, Large Taxpayers’ Unit, Islamabad had issued notice to the company.
M/s Orient Petroleum had filed the case, seeking restrictions for the Large Taxpayers Unit, Islamabad, from recovering the alleged outstanding tax amounting to Rs 4,945,136,330 and Rs 59,040,530 under the head of sales tax and federal excise duty. The appellant had also sought from court to nullify the LTU order carrying the claim about outstanding tax amount.
The appellant had challenged an LTU order, dated May 30, 2016 before the IHC after exhausting the departmental platform for appealing disputing orders. The department had issued the order under provisions of Sales Tax Act, 1990 and Federal Excise Duty Act, 2005 for the tax year 2011-12.
Federal Board of Revenue (FBR), officials of LTU including commissioner Inland Revenue, deputy commissioner Inland Revenue and commissioner Inland Revenue (Appeals) were made respondent in the case.
The appellant had prayed the court to direct LTU not to recover the said amount and abstain from any coercive action in this regard.
The appellant submitted before the court that the impugned order was issued under mala fide intentions 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.
The petitioner had prayed the court operation of the impugned order issued by the tax authority may kindly be suspended till the decision of appeal pending before the LTU.
